Showing papers in "Journal of Consumer Marketing in 2006"

Consumer perceptions of product packaging

Abstract: Purpose – This paper seeks to discuss the need to understand consumer perceptions in order to correctly design product packing and to achieve the desired position in the minds of consumers.Design/methodology/approach – Data collection was divided into two phases. The first, (based on designers' opinions), to determine the key graphic variables in the design of packaging. The second, (based on consumers' opinions), to associate each packaging with a positioning strategy. The seven product‐positioning strategies selected were represented from the consumers' standpoint using multidimensional scaling. Four maps were obtained related to: alternative packaging colours; alternative packaging typography; alternative packaging graphical forms; alternative packaging imagesFindings – Each positioning strategy appears associated with particular packaging dimensions.Research limitations/implications – Consumers have exhibited harmonious perceptions towards products‐packaging strategies, so one can conclude that a gene...

Lasting customer loyalty: a total customer experience approach

Abstract: Purpose – Understanding and delivering total customer experience (TCE) in order to sustain lasting customer loyalty (LCL) is increasingly important given the pressures of commoditization, globalization and market saturation in developed countries. The purpose of this paper is to review the concepts of TCE and LCL.Design/methodology/approach – The concepts of TCE and LCL are discussed and defined and their combined importance for marketers is outlined and few key cases of their best practices are analyzed in order to derive a set of managerial frameworks for strategizing TCE to achieve LCL. Customer loyalty as a hierarchical ladder starting from random casual awareness in the bottom rung to high bonding loyalty of brand communities in the topmost rung is derivedFindings – TCE is captured in its three essential interactive elements: physical moments, emotional involvement moments, and its value chain moments. Accordingly, a typology of customer loyalties is proposed as a function of high vs low levels of th...

The influence of the country‐of‐origin image, product knowledge and product involvement on consumer purchase decisions: an empirical study of insurance and catering services in Taiwan

Abstract: Purpose – The main purpose of this study is to explore the influence of the country‐of‐origin image, product knowledge and product involvement on consumer purchase decisionDesign/methodology/approach – Taiwan, China and the USA were the three countries selected for research into the country‐of‐origin, insurance and catering services Structured questionnaires and convenience sampling were used Samples were collected from consumers in the Taipei area A total of 400 questionnaires were distributed with convenience sampling method, and 369 effective samples were collected, the effective rate being 9225 percent Stepwise regression analysis was adapted to test hypothesisFindings – The main findings were listed as follows: the country‐of‐origin image, product knowledge and product involvement all have a significantly positive effect on consumer purchase decision; the country‐of‐origin image has a significantly positive effect on consumer purchase decisions under different product involvement; and product

Environmental values and lifestyles as determining factors of ecological consumer behaviour: an empirical analysis

Abstract: Purpose – The aim of this study is to identify what values and lifestyles best explain environmentally friendly behaviours.Design/methodology/approach – This paper adapts the Values and Lifestyle scale and the Environmental and Attitude and Knowledge scale to the Spanish context in order to describe the ecological consumer profile. The data were obtained from a questionnaire handed out to a random sample of 573 individuals. With the information obtained, and after the scales validation process, a structural equation analysis has been conducted.Findings – Findings of the study highlight that environmental patterns and self‐fulfilment values are those that best characterise the ecological market segment. This group of consumers is characterised by their self‐fulfilment feeling. They are people who always try to improve themselves and take actions which pose a new challenge for them. They are also characterised by having an ecological lifestyle, that is, environment consciousness, selecting and recycling pro...

Consumer innovativeness and perceived risk: implications for high technology product adoption

Abstract: – To investigate consumer innovativeness (CI) from a hierarchical perspective and examine the simultaneous impacts of hierarchical perspective of CI and perceived risk on new product adoption., – An extended innovativeness and perceived risk model was developed. A structural equation model was used to test the hypotheses using empirical data from 746 respondents in a high technology product context., – The results provide support for the hierarchical perspective of CI; domain specific CI mediates the relationship between global CI and new product adoption. Specifically, cognitive and domain‐specific innovativeness enhances the actual adoption of new products; whereas sensory innovativeness and perceived social and physical risks enhance consumers' propensity to acquire novel information about new products. Financial risk, on the other hand, has a negative impact on the propensity to acquire novel information about new products. Time, performance, psychological, and network externalities risks show no significant relations with the tendency to acquire novel information about new products., – The findings provide an explanation to the less than consistent relationship between consumer innovativeness and new product adoption. However, a single research context of high tech consumer goods may be a limitation and future studies need to replicate this hierarchical perspective of CI as a predictor of new product adoption in different research contexts for greater generalizability., – The findings of the study provide some guidelines to marketers on how to increase the new product commercialization success. Marketers should tap into the cognitive and domain‐specific innovativeness to enhance the new product adoption. The sensory part of CI and perceived social and physical risks have implications for the promotion and communication aspects of new product marketing., – Provides new insights about consumer innovativeness trait as a useful predictor of new product adoption.

The company‐cause‐customer fit decision in cause‐related marketing

Abstract: Purpose – Cause‐related marketing activities are increasingly becoming a meaningful part of corporate marketing plans. This paper aims to examine the relationship between the company, cause and customer, and how fit between these three groups influences consumer response via generating a positive attitude toward the company‐cause alliance and purchase intent for the sponsored product.Design/methodology/approach – Two studies are carried out, first among students and second among consumers.Findings – Two studies (study 1=232 students, study 2=531 consumers) demonstrate that company‐cause fit improves attitude toward the company‐cause alliance and increases purchase intent. Additionally, this effect is enhanced under conditions of customer‐company and customer‐cause congruence, and the consumer's overall attitude toward the sponsoring company. Skepticism about the company's motivation for participating in a cause‐related marketing initiative was not relevant to consumer purchase decisions.Research limitatio...

The royalty of loyalty: CRM, quality and retention

Abstract: Purpose – The purpose of the study is to examine and develop a better understanding of triangle relationship between quality, customer relationship management (CRM) and customer loyalty (CL) which might lead to companies' competitiveness (CC).Design/methodology/approach – A research model (5Qs) was designed to measure satisfaction and loyalty. This model is based on two conditions: the customer database and CRM strategy are well structured; and that management control systems have the capacity to produce required data for the analysis.Findings – Changing in quality over time within various segments or related to specific products or categories of products/services can be used as an indicator the level of loyalty. By linking infrastructure, interaction and atmosphere indicators to the quality of object and processes, researchers and managers can document which changes in CRM strategy improve the overall satisfaction and loyalty, hence the ultimate outcomes.Practical implications – Key ways to build a stron...

The effect of strategic and tactical cause‐related marketing on consumers' brand loyalty

Abstract: Purpose – The first objective was to find out to what extent consumers reveal an effect of strategic and tactical cause‐related marketing on brand loyalty. Second, the article seeks to assess the moderating role of consumer involvement with a product on the relationship between cause‐related marketing and brand loyalty.Design/methodology/approach – An experimental design with 240 participants was used.Findings – The results show that consumers perceive a significantly enhanced level of brand loyalty as a result of strategic cause‐related marketing as long as the firm has a long‐term commitment to this campaign and the campaign is related to a low involvement product. Consumers do not exhibit a significant impact of tactical cause‐related marketing campaigns – whether related to high or low involvement products – on brand loyalty.Research limitations/implications – First, all respondents were students from a western European university. Second, the experiment relied on imaginary storyboards. Third, the pro...

The role of loyalty programs in behavioral and affective loyalty

Abstract: Purpose – The aim of this paper is to analyze the behavioral and affective loyalty of retailer customers in order to establish the role played by loyalty programs in the development of these variables.Design/methodology/approach – Research data were taken from a survey carried out on 750 customers from a Spanish supermarket chain. Several ANOVAs are employed to compare the two loyalty dimensions among participants and non participants in loyalty programs.Findings – The results show that participants in loyalty programs are more behavioral and affectively loyal than non participants. Nevertheless, most customers do not change purchase behavior after joining a loyalty program. The strategy is therefore to retain loyal customers and to achieve the reinforcement of affective bonds linking the customer to the retailer.Practical implications – Companies should focus their efforts on developing a reward plan as adapted as possible to concrete needs of each participant in the program to achieve true loyalty.Origi...

M‐loyalty: winning strategies for mobile carriers

Abstract: Purpose – This study aims to investigate determinants of satisfaction and loyalty decisions in the use of mobile services.Design/methodology/approach – A research model was designed to identify multi‐dimensions of mobile service quality and perceived value, and investigate their influences on satisfaction and loyalty. Structural equation modeling was employed to test hypotheses.Findings – Statistical analysis identified five distinct dimensions of mobile service quality, and their direct and indirect effects on economic value, emotional value on loyalty intention through satisfaction. Two dimensions of perceived value (i.e. economic value, emotional value) had significant influences on customer satisfaction, and then, on loyalty intention. Also, the results show interrelationship between economic and emotional value.Originality/value – In particular, each dimension of mobile service quality appeared to have different effects on perceived economic value, emotional value, and the level of satisfaction. Acco...

Improving attitudes toward brands with environmental associations: an experimental approach

Abstract: – The purpose of this article is to determine the relative importance of the ecological attribute when other attributes referring to the functional performance of a brand are taken into account, and check the effectiveness of environmental labels., – The paper establishes an experiment in which 352 women responsible for the household shopping are exposed to different levels of environmental information. The study analyses the effect said information has on product attitude and purchase intention. In order to transmit the information, a leaflet specifically designed for the research was used., – This study confirms the presence of a positive effect of environmental associations on brand attitude, though this effect is smaller than that of other functional attributes. It also demonstrates that using independent environmental certifications strengthens beliefs in the product's ecological performance., – The use of washing powder can limit the feasibility of extrapolation of the results to other products. Therefore, a replication in other product categories is necessary/advisable., – In the light of the results, using environmental associations certified by independent bodies is recommended. This would help improve both brand attitude and brand equity., – This paper increases the knowledge about the precise commercial usefulness of environmental associations in relation with other attributes.

Customer satisfaction and loyalty in a digital environment: an empirical test

Abstract: Purpose – The purpose of this paper is to explore the links between customer loyalty attitude, customer loyalty behaviours (measured by customer purchase behaviours) and profitability. The aim is to define a conceptual framework within which to analyse the relationships between attitudes, behaviour, and profitability of the customers.Design/methodology/approach – Reference was made to earlier studies which argued that loyal customers constitute competitive asset of business organizations. Several authors noted that customers generally vary in terms of loyalty behaviours and attitudes and highlighted that differences about customers' loyalty levels affect a firm's profitability results. Customer loyalty, its antecedents and outcomes, and the links between customer satisfaction, customer loyalty and profitability have been analyzed at a customer level.Findings – The results showed support for all but one of the five hypotheses, the exception being H2.Originality/value – The results of the study provide evid...

The impact of country of design and country of manufacture on consumer perceptions of bi‐national products' quality: an empirical model based on the concept of fit

Abstract: Purpose – The purpose of this paper is to decompose the concept of country of origin (COO) and test the influence of country of design (COD) and country of manufacture (COM) on consumer evaluations of bi‐national products (products designed in one country and manufactured in another). In addition to global country images, the paper aims to introduce the concept of “fit” or the logical connection between product categories and the COD or COM.Design/methodology/approach – Relationships between constructs (perceived product quality, COD image, COM image and perceived fits) are hypothesized and data are collected via survey on the Tunisian market. Each of the 389 respondents evaluated different combinations (COD/COM) for two product categories (automobiles and television sets). All hypotheses are tested using multiple regression analysis.Findings – The paper finds that the concept of fit between country image (both COD and COM) and product category is an important determinant of product evaluations. For produ...

Extrinsic cues and perceived risk: the influence of consumption situation

Abstract: Purpose – This paper aims to investigate the influence of consumption situation on the use of extrinsic cues, such as price and expert opinion, in the assessment of different types of risk associated to purchase decisions.Design/methodology/approach – An experimental design was conducted in a sample of 128 postgraduate students, using red wine as product category. The experiment manipulated consumption situation, price, and expert opinion about the product. Different types of risks associated with the purchase decision and purchase intention were then measured.Findings – Results suggest that consumption situation affects the use of price in the assessment of performance risk, but only in the case of negative expert opinion about the products. Additionally, expert opinion demonstrated to have a strong effect reducing performance risk and increasing intention to buy.Research limitations/implications – The main limitations of the present research are associated with the exploratory and inconclusive character...

Psychological and environmental antecedents of impulse buying tendency in the multichannel shopping context

Abstract: Purpose – The purpose of this study is to examine the effect of psychological traits and shopping environmental factors on impulse buying tendency via television shopping programs and to reflect the inherent nature of the impulsive television shopping environment in the USA as well as the traditional retail channel.Design/methodology/approach – A total of 154 questionnaires were returned from multichannel customers who purchased apparel from television shopping programs and traditional retail stores.Findings – Five causal relationships among impulse buying and interaction tendencies in both television and retail settings and TV shopping program browsing duration proposed in this study were confirmed through structural equation modeling.Research limitations/implications – This study adds valuable empirical findings to the literature on the distribution channel relationship by examining buying behavior of multichannel customers as well as some theoretical implications for impulse buying‐related theories.Ori...

A strategic approach to building online customer loyalty: integrating customer profitability tiers

Abstract: Purpose – The purpose of this paper is to present a strategic framework to managing online loyalty.Design/methodology/approach – The paper integrates concepts including a range of recently published (1993‐2006) theoretical works in consumer loyalty and ongoing case developments in internet practice.Findings – Provides information and action approaches to consumer marketers that may increase the success providing want satisfying market offerings. Outlines the costs and benefits of some online customer loyalty building practices. By integrating the literature supporting lifetime customer value with the literature concerned with generating online customer relationships, it provides a pathway to profitable relationships. It also exposes the unintended problems that some online customer loyalty initiatives may create.Research limitations/implications – The theoretical concepts that form the foundation of the paper appear to have a significant application to consumer marketing but have not been tested empirical...

Customer loyalty programs: are they fair to consumers?

Abstract: Purpose – The purpose of this paper is to examine the fairness of loyalty programs to consumers regarding two emerging criticisms of loyalty programs: discriminating value proposition segmentation and potential exploitation of captured personal information.Design/methodology/approach – Equity theory and exchange theory are the theoretical foundations used for evaluation of the aspects of loyalty program fairness.Findings – First, through the application of equity theory, firms can more effectively recognize and reward more valuable customers without alienating less valuable customers. Second, through the use of exchange theory, firms can secure authorization to collect and use individual customer information from customers in exchange for enhanced value proposition offerings via loyalty programs. Loyalty programs can induce customers to give up their personal information in exchange for benefits they would not otherwise receive. Marketers use the higher level of benefits available through loyalty programs...

Segmenting customer‐brand relations: beyond the personal relationship metaphor

Abstract: Purpose – The purpose of this paper is to propose and test segmentation of multi‐dimensional customer‐brand relationships as a superior method of defining, understanding, and predicting customer loyalty behaviors.Design/methodology/approach – A method of segmenting customer‐brand relationships is proposed, based on the development of personal and functions connections. The resulting groups are hypothesized to better define and predict customer loyalty behaviors. The model is tested with an empirical sample.Findings – Customers can be effectively segmented into relationship groups, based on the extent to which they have personal and functional connections with the brand. These relationship groups display different levels of commitment to the brand and engage in significantly different levels of loyalty behaviors. The resulting segments serve to define and measure levels of customer loyalty.Research limitations/implications – The primary limitation of this research is that behaviors were self‐reported. Howe...

The role of value in services: a study in a retail environment

Abstract: Purpose – This paper aims to underline the effects of shopping value on customer satisfaction and to determine its antecedent variables.Design/methodology/approach – A qualitative survey through interviews with hypermarket customers was first carried out. It was followed by a quantitative study, carried out in two stages: 199 patrons were first interrogated in order to clarify the outlet characteristics scale. A second set of data was then collected (436 respondents). Factorial analysis, confirmatory factorial analysis and analysis of regression were conducted.Findings – The last study results show that both utilitarian and hedonic values have an influence on satisfaction; they tend to indicate that the utilitarian value is related to product availability, while the hedonic value is influenced by such elements as atmosphere, relations with store employees, as well as crowding and other peripheral services.Research limitations/implications – The influence of the five outlet characteristics studied (atmosph...

Dimensions of consumer knowledge and its impacts on country of origin effects among Australian consumers: a case of fast‐consuming product

Abstract: Purpose – The main purpose of the study is to extend Schaefer's paper by investigating how different dimensions of consumer knowledge may affect country of origin cues with an Australian sample.Design/methodology/approach – A self‐administered mail survey was used in this study. The main sample consisted of Australian residents who are aged 18 and above and may or may not be alcoholic drinkers. The mailing list was purchased from a local council consisting of a suburb of metropolitan Perth, Western Australia. The total usable response rate was 38.7 per cent.Findings – The results indicated that country of origin cues affect Australian consumers in beer evaluations despite its weak influences. It suggested that brand familiarity and objective product knowledge mediate the extent to which consumers relied on country of origin in product evaluation. However, the study found inconsistent results between different levels of objective knowledge and its effects on country of origin of manufacture.Originality/val...

Using framing and credibility to incorporate exercise and fitness in individuals' lifestyle

Abstract: Purpose – To investigate the influence of message framing and message credibility on one's attitude and intention toward exercise and fitness activities.Design/methodology/approach – A sample of 136 respondents participated in the study. A 2 × 2 factorial design was utilized and tested using multivariate analysis of variance (MANOVA).Findings – The findings reveal the significance of source credibility for influencing both attitude and intention toward exercise and fitness activities. Additionally, the results reveal a significant impact of current lifestyle on attitude as well as intention toward exercise and fitness activities.Research limitations/implications – The findings suggest the importance of carefully designed messages to reach and affect a target population whose exercise activity has been largely unaffected despite years of public pronouncements and publicity.Practical implications – Service marketers could most effectively encourage physical activity by utilizing highly credible sources in t...

The art of storytelling: how loyalty marketers can build emotional connections to their brands

Abstract: Purpose – The purpose of this paper is to highlight the importance of building emotional connections between brands and consumers. Using Canada's Air Miles Reward Program as an example, the paper aims to stress the importance of using customer insight to drive branding decisions and ensure a long‐term emotional attachment to a loyalty program.Design/methodology/approach – The paper thoroughly explains Air Miles' method of reaching out to its customers to glean information that could be used to re‐brand the program. The method, used during focus groups, asked collectors to re‐tell stories that were important in their life. Common themes emerged, which Air Miles incorporated into the re‐branding of their program.Findings – Through specially‐designed focus groups, Air Miles strategists learned that it isn't enough to be a well‐functioning loyalty program. In order to be distinctive in an overcrowded market, Air Miles must provide collectors with an emotionally engaging experience in the redemption process.Pr...

Understanding advertising clutter and the real solution to declining audience attention to mass media commercial messages

Abstract: Purpose – In all mass media advertising, the increasing advertising to editorial ratio is causing audience inattention and consumer complaints. The usual solutions are more creative advertising or better hiding of the messages within the editorial content. This discussion aims to describe the real solution, first predicted by Howard Gossage five decades ago, which requires understanding the problem in historical perspective and maybe a shift back to some older practices.Design/methodology/approach – Uses a historical perspective plus the wisdom to Gossage to point out the potential salvation and future for effective advertising.Findings – More effective advertising would mean that there would be less of it.Originality/value – Abuse of audiences by intrusive advertising lowers the effectiveness of the entire communications form. For better advertising, there should be less of it and more targeted both in placement and content. This offers a more realistic statement of how advertising can maximize its persu...

Integrating exhibit marketing into integrated marketing communications

Abstract: Purpose – The purpose of this paper is to explore developments in the field of integrated marketing communication and the changing relevance of its component processes that have implications for marketing managers.Design/methodology/approach – The paper integrates concepts including a range of recently published (1993‐2005) theoretical works, practitioner developments in practice and industry studies.Findings – The paper provides information and action approaches to marketing communicators that may increase the success of their promotional efforts. In addition, the paper provides a useful perspective in the proper use and applications of event marketing. It outlines the benefits of adopting event‐marketing techniques and offers practical suggestions for maximizing their value in the promotion process.Research limitations/implications – The theoretical concepts that form the foundation of the paper appear to have a significant application to the integrated marketing communications. Some, but not all, have ...

Making the transition to retirement: appraisals, post‐transition lifestyle, and changes in consumption patterns

Abstract: Purpose – This research proposes to examine how the retirement experience in the USA is cultivated via the appraisal process and reflected in post‐retirement lifestyle postures and consumption changes.Design/methodology/approach – A sample of 298 recent retirees were surveyed to test hypotheses suggested by a proposed model of the retirement experience. The model proposes that the appraisal process is integral in determining how a retiree interprets impact of the event for self‐identity and reflects self‐realignment strategies in post‐retirement consumption patterns.Findings – Findings show that perceptions of resource availability are important predictors of retiree appraisals. Furthermore, appraisals directly impact retirees' adoption of a post‐transition lifestyle posture, whether “new start”, “continuation of life”, “disruption to life”, or “beginning of old age”. Also explored are differences between lifestyle postures and post‐retirement consumption expenditures across a number of product categories...

Word of mouth, brand loyalty, acculturation and the American Jewish consumer

Abstract: Purpose – The intent of this article is to explore if there is a difference between American Jewish consumers and American non‐Jewish consumers in the use of word of mouth and brand loyalty in response to the purchase of durable goods (automobiles). Additionally, this article aims to explore if there is a difference in the use of word of mouth and brand loyalty among American Jews with differing levels of acculturation.Design/methodology/approach – This article utilizes survey data obtained from over 400 respondents with analysis performed using regression and chi‐squared analysis.Findings – This study shows no significant difference in brand loyalty and word of mouth between all American Jews and American non‐Jews, however, a significant difference between highly acculturated American Jews and low‐acculturated American Jews was found.Practical implications – The article helps firms plan their marketing strategy in terms of how they will utilize word of mouth where American Jewish consumers comprise a sig...

How our adolescent children influence us as parents to yield to their purchase requests

Abstract: Purpose – The purpose of this paper is to examine the influence tactics used by adolescent children and parental yielding to these tactics outside North America.Design/methodology/approach – Parents of children ages ten to 18 in Israel were surveyed. The questionnaire included questions on adolescents' influence tactics for two products – breakfast cereals and athletic shoes. It also included items to assess parental yielding.Findings – The findings indicate that Israeli adolescents use rational tactics more often than emotional tactics for both products. Parental yielding follows the same pattern – it is highest for rational tactics and lowest for emotional tactics for both products.Research limitations/implicationsSome ways to improve on this kind of research in the future are using a non‐convenience sample with more balanced gender composition of adolescents and collecting data from multiple countries.Practical implications – One important implication of our findings is that, given that parents are mor...

“I'll always be in debt”: Irish and UK student behaviour in a credit led environment

Abstract: Purpose – This research seeks to explore current attitudes, motivations and behaviours in relation to student credit and debt consumption in the UK and Ireland.Design/methodology/approach – Key qualitative consumer research based on 20 interviews with Irish and UK higher education students is presented.Findings – The findings highlight that, while the UK and Irish student contexts are significantly different in terms of accommodation costs, tuition fees and living expenses, many Irish students reported relatively high debt levels, with some exceeding their UK counterparts. The research identifies key contextual factors associated with the credit‐friendly environment in which students live in addition to shedding light on student orientation towards credit and debt, with specific conclusions for future student debt.Research limitations/ implications – Given the rise in debt and its detrimental consequences, the study has far‐reaching implications for policy makers, consumer agencies financial providers and...