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In real-world marketplaces, one may encounter an alternative that is inferior to another one in the assortment. While the presence of such seemingly irrelevant inferior alternatives should ostensibly have no influence on consumers' decisions, an extensive literature using stylized lab experiments has found that, surprisingly, their presence matters. Specifically, the dominance effect suggests that the presence of an inferior alternative shifts consumer's preferences toward the alternative made to be superior. However, null results in some recent lab studies and a lack of real-world evidence call into question whether, when, and how the effect exists. In this work, we find clear evidence that dominance matters in the wild. We also identify an important moderator for the dominance effect—preference uncertainty—and test it in both a real-world marketplace for digital freelance services and a lab experiment. Further, we find evidence for additional moderators that help explain how the effect works, including the count of dominated alternatives and the magnitude of dominance, consistent with a perceptual mechanism. This work is the first to use consequential field data to shed light on when and why the dominance effects occur, with implications for marketers, choice architects, user interface designers, and policymakers. [ABSTRACT FROM AUTHOR]

Consumers frequently exchange their private personal data with companies in return for goods and services, such as access to search results or social networks. The authors provide a normative criterion to help assess whether companies compensate consumers adequately for their private data in these exchanges. Across a series of 11 experiments, they find that individuals place a higher price on their private data when they sell them for money than when they barter them for goods. In an application of the compatibility principle in cognitive psychology, the authors also find in two additional experiments that this effect occurs because money is a more compatible medium for valuing private data than goods are, which increases the weight of the data in monetary valuations, raising the prices that participants demand for their private data in money compared with goods. This discrepancy in valuations constitutes a violation of procedure invariance and amounts to an intransitivity of participants' preferences for privacy. The findings raise the question of whether companies are compensating consumers adequately for their data and whether the ubiquitous markets for privacy function efficiently. Accordingly, the authors point to a possible consumer welfare argument for antitrust regulation of technology companies. [ABSTRACT FROM AUTHOR]

How, and to what extent, consumer choices are influenced by the context in which the product is consumed remain important marketing questions. In this article, the authors develop a parsimonious context-dependent multidimensional unfolding model that can accommodate consumers' context-specific behaviors via ideal points in multiattribute space along with brand locations in that space while accounting for unobserved heterogeneity in consumer behavior. The authors provide an empirical illustration using panel data on beer brand choices in different contexts from U.S. beer consumers. They find more heterogeneity in behavior across social versus nonsocial contexts than across in-home and out-of-home consumption. The authors then show how the model can be used to derive a firm's optimal direction of brand repositioning given its competitive landscape in the various consumption contexts. Since consumer preferences can be correlated across contexts, they show that a movement toward the ideal point in one context does not necessarily improve the firm's market competitiveness in other contexts; thereby hurting the brand's overall performance. [ABSTRACT FROM AUTHOR]

While prevailing marketing practice is to encourage ever-stronger relationships between consumers and brands, such relationships are rare, and many consumers are relationship-averse or content with the status quo. The authors examine how marketers can more effectively manage existing brand relationships by focusing on the psychological distance between consumers and brands in order to match close (distant) brands with concrete (abstract) language in marketing communications. Through such matching, marketers can create a beneficial mindset-congruency effect leading to more favorable evaluations and behavior, even for brands that are relatively distant to consumers. Study 1 demonstrates the basic mindset-congruency effect, and Study 2 shows that it is capable of affecting donation behaviors. Study 3 documents two brand-level factors (search vs. experience goods, brand stereotypes) that moderate this effect in managerially relevant ways. Study 4 shows that activation of the mindset-congruency effect influences consumers to spend more and that these behaviors are moderated by consumer category involvement. The authors conclude with marketing and theoretical implications. [ABSTRACT FROM AUTHOR]

Brands are increasingly struggling to establish and maintain strong relationships with their customers. But such relationship status is rare, and consumers are often relationship‐averse or satisfied with the relationship status quo. Drawing upon construal level theory (CLT) and consumer–brand relationship (CBR) literature, this study provides empirical support for the connection between CBRs and social distance and demonstrates that changes in CBRs foster variation of consumers' preferences to primary and secondary product features, which reflects their varying construal levels and consumer–brand social distances (study 1). Furthermore, we assessed whether the congruency between consumer–brand social distance and construal levels can contribute to more favorable product evaluations. Studies 2 and 3 reveal that when consumers are socially close to brands, product attributes (low‐level construal) exert a higher impact on product assessments, whereas when consumers are socially distant from the brand, price (high‐level construal) exerts a greater impact on product evaluations. Additionally, unlike the common belief that high prices lead to higher perceived quality, our findings suggest that a positive perception of a product attribute for low‐priced products leads to more favorable product evaluations. These results indicate that marketers can nurture existing CBRs for developing their communication strategy to achieve better consumer evaluations. [ABSTRACT FROM AUTHOR]

As consumers become more aware of and concerned about the environmental impact of their consumption choices, an increasing number of luxury brands are now engaging in sustainability practices. This study examines factors influencing the effectiveness of embedding sustainability in luxury brands. Specifically, the research focus is the effect of childhood socioeconomic status on moderating consumer preferences for sustainable (vs. regular, nonsustainable) luxury brands. Four experimental studies using different product categories and luxury brands show that preferences for sustainable (vs. regular, nonsustainable) luxury brands are stronger among consumers with relatively low (vs. high) childhood socioeconomic status (Studies 1–4). Notably, these preference patterns are driven by differences in the perceived importance of cooperation in the community among consumers with low versus high childhood socioeconomic status (Study 3). However, these divergent patterns are attenuated when consumption involves the nonluxury brand category (Study 2), and when consumers experience a high‐threat environment (e.g., the COVID‐19 pandemic; Study 4). As such, the findings of this study contribute to the literature by shedding light on the conditions under which consumers show preferences for sustainable (vs. regular, nonsustainable) luxury brands, establishing a theoretically grounded mediator (importance of cooperation in the community) and moderator (perceived environmental threat). [ABSTRACT FROM AUTHOR]

The authors offer a new conceptualization and operational model of consumer choice that allows context-sensitive information usage and preference heterogeneity to be separately and simultaneously captured, thus transforming the axiom of full information use into a testable hypothesis. A key contribution of the proposed framework is the integration of two previously disjointed and often antagonistic research paradigms: (1) the economic rationality perspective, which assumes stable preferences and full information usage, and (2) the psychological bounded-rationality perspective, which allows context-sensitive preferences and information selectivity. The authors demonstrate that the two paradigms can and do coexist in the same decision-making space, even at the level of individual consumer choices. The proposed information archetype mixture model is tested in four studies that span different product categories and levels of task complexity. The findings have ramifications for choice modeling theory and implementation, beyond the disciplinary boundaries of marketing to applied economics and choice-focused social sciences. [ABSTRACT FROM AUTHOR]

Understanding how consumers make ethical purchases has numerous benefits for firms and other stakeholders. Although several ethical decision-making frameworks seek to explain such purchasing behaviour, they typically focus on the content of such decisions, rather than considering how such decisions unfold in a given context. Yet, the complexities of consumer choice suggest that greater insight into how consumers make ethical purchases in store can enhance understanding. We report our findings from a survey of a geographically disperse sample of 688 UK shoppers and argue that a naturalistic theory of decision making, image theory, enhances our ability to explain consumer behaviour in this setting. As well as contributing to theoretical understanding of consumer choice, this has implications for the merchandising of ethical products, such as Fair Trade and ‘green’ goods. [ABSTRACT FROM PUBLISHER]

This study identifies and profiles market mavens among the baby boomer generation in the United Kingdom. Boomers are an important market segment, yet most advertising targets younger audiences, making word-of-mouth communications crucial among this older cohort. Findings suggest boomer mavens place great importance on ‘respect’ values, are particularly concerned with fashion and compared with non-mavens are more likely to try new brands, watch more television, hold positive attitudes towards advertising and seek out bargains. The study is useful to those businesses wishing to target a mature consumer who people perceive as a good source of marketplace information and who likes introducing new brands to others. [ABSTRACT FROM PUBLISHER]

The market power (or ‘competitive clout’) of a brand is an increasingly important component of modern marketing strategies. However, the factors that enhance a brand’s competitive clout (BCC) are poorly understood. This study therefore suggests an integrated model of BCC and three factors that are proposed to play a role in its formation: (i) consumer price sensitivity; (ii) brand market share; and (iii) consumer brand preferences. These variables are examined both individually and simultaneously to demonstrate the direct effect of each on BCC and how their inter-relationships contribute to BCC. In doing so, a two-step empirical analysis is conducted. First, two multinomial logit models provide an own- and a cross-price response matrix for a chosen set of competitive brands. Secondly, BCC is regressed against the variables of market share, intrinsic preferences, and price sensitivity using an interaction effects regression model. The results of the analysis show that market share is not the only way to increase BCC; in particular, consumer preferences, and especially pricing decisions, are shown to play a key role in developing a strong brand. [ABSTRACT FROM PUBLISHER]

While consumption of content in offline formats continues to decline, many providers are still struggling to monetize their content online, because consumers’ willingness to pay (WTP) for content in online formats is low. The availability of free content on the Internet is often considered the primary reason for this issue. However, we hold that the lower WTP is also related to a lower appraisal of online formats per se. Using a conjoint analysis and the example of newspaper subscriptions, we explore differences in consumer preferences and WTP between offline and online formats. Our results show that after price, format is the second-most important attribute of a newspaper subscription. While consumers still prefer the printed newspaper to any online format, WTP differs across online formats and is strongly associated with device ownership. Our study provides a novel understanding of the previously neglected factorcontent formatand its importance for content providers. [ABSTRACT FROM PUBLISHER]

This study proposes a supply chain system model containing Nash game companies that compete in a common market. Each company adopts a vertical integration strategy and runs offline and online selling channels. To maximise profits, the companies determine optimal production quantities and prices. Using theory of finite-dimensional variational inequality, we prove the existence and uniqueness of the equilibrium pattern and develop a converged algorithm. Numerically, we compute the equilibrium production quantities and prices, and subsequently generate three findings through sensitivity analyses. By changing the transportation cost, we demonstrate that the offline price is conditionally higher than the online price with different transportation and processing costs. All equilibrium prices and profits decrease when substitution intensity is increased, and thus companies should differentiate their products. Altering consumer preference for online purchasing shows that consumer preference significantly influences the production quantities and profits. Online selling is not positively affected by consumer preference for online purchasing but is affected by the complex relationship between consumer preference and its variable cost. [ABSTRACT FROM PUBLISHER]

Consumers sometimes prefer to repeat their past choices; at other times the same consumer prefers to try something new. We demonstrate that a consumers' situational future outlook, that is, local optimism or pessimism about an imminent outcome, can systematically affect the sequential consistency of consumer choices. Specifically, local optimism increases sequential choice consistency, whereas local pessimism increases sequential variety seeking. We test this foresight effect in two experimental paradigms, using both real and hypothetical consumer choices, across six studies. We first establish the basic effect of situational future outlook on sequential choice consistency (studies 1 and 2). Then we provide evidence that differences in the preference for self-continuity underlie the effect (studies 3, 4, and 5). Last, we extend this effect to choices between broadly defined usual and novel consumer products (study 6). Across the studies, we rule out differences in mood, causal attribution, and perceived control as alternative explanations. These findings have theoretical implications on the relationship between future-oriented cognition and consumer behaviors, as well as broad managerial implications for when consumers will be more apt to repeat past purchases or more open to novel product adoption. [ABSTRACT FROM AUTHOR]

Ratings-based conjoint analysis suffers two problems: the distortion raised by consumer perceptions of brand equity, and the lack of efficiency of probabilistic models for estimating preference shares. This article proposes two new approaches to scale customer-based brand equity using repeated measures and structural equation modeling and to estimate the share of preferences on the basis of a randomized first choice. The outcome is a new tool to predict accurate preference shares, taking into account product utilities (estimated by rating-based conjoint analysis) and the brand equity related to product attributes (estimated as a latent variable with structural equation modeling). An example with three products illustrates this new approach. [ABSTRACT FROM AUTHOR]

Prior research has suggested that many consumers prefer domestic to foreign products, even when the quality is lower and the price is higher. Such bias is attributed to consumer ethnocentrism. This study critically examines the current conceptualizations of consumer ethnocentrism and proposes an extension of its conceptual boundaries and measurement. It determines that consumer ethnocentrism is a multidimensional construct that encompasses five dimensions: prosociality, cognition, insecurity, reflexiveness, and habituation. Empirical evidence from the United Kingdom and the United States demonstrates that the extended measurement instrument better predicts consumers' preferences for local brands at the expense of foreign brands. [ABSTRACT FROM AUTHOR]

The purpose of this research is to aid manufacturers operating in multiple market segments (characterised by a number of product variants) to formulate and synchronise their product commercialisation strategy. Product commercialisation is primarily characterised by upgrading/launching product features aimed at meeting customer’s preferences, while at the same time, enabling the enterprise to achieve its major commercial objectives. Firstly, by employing the semi-automated crowd sourcing-based approach and considering qualitative customer evaluations, customer-preferred product features have been identified and their relative weights determined. Thereafter, a detailed mixed integer quadratic programming formulation has been evolved taking into account pertinent commercial objectives of the enterprise and engineering-level constraints of the product. The developed formulation has been solved using the Branch and Cut method of commercial solver, LINGO. Detailed sensitivity analysis has been carried out, followed by populating key managerial insights. The proposed framework has been illustrated using a real-life case example of operator cabin used in heavy construction equipment industry. Our focus has been on development and illustration of devised framework; hence, the superiority of results has not been claimed. Better results may be obtained using other heuristics/algorithms. [ABSTRACT FROM PUBLISHER]

It is well established that neural imaging technology can predict preferences for consumer products. However, the applicability of this method to consumer marketing research remains uncertain, partly because of the expense required. In this article, the authors demonstrate that neural measurements made with a relatively low-cost and widely available measurement method--electroencephalography (EEG)--can predict future choices of consumer products. In the experiment, participants viewed individual consumer products in isolation, without making any actual choices, while their neural activity was measured with EEG. At the end of the experiment, participants were offered choices between pairs of the same products. The authors find that neural activity measured from a midfrontal electrode displays an increase in the N200 component and a weaker theta band power that correlates with a more preferred product. Using recent techniques for relating neural measurements to choice prediction, they demonstrate that these measures predict subsequent choices. Moreover, the accuracy of prediction depends on both the ordinal and cardinal distance of the EEG data; the larger the difference in EEG activity between two products, the better the predictive accuracy. [ABSTRACT FROM AUTHOR]

Traditional choice-based conjoint methods are based on an unrealistically rational model of consumer decision-making. These methods work accurately only if we assume that consumers can process all the information given to them, weigh it up and make a calculated, accurate decision. Modern discoveries in behavioural economics make it clear that these assumptions are incorrect. To accurately understand consumers' decisions and preferences, conjoint methods must be updated to include behavioural understanding. This paper presents five ways in which this can be done: rank-finding conjoint, goal-attribute conjoint, intangible-attribute conjoint, algorithmic conjoint and contextual conjoint. Each of these extensions to the standard conjoint method can explore a specific aspect of the decision-maker's psychology, and together they result in a much deeper and more accurate reading of consumer behaviour and desires. [ABSTRACT FROM AUTHOR]

Consumers' preferences for domestic over imported products have been investigated in various isolated studies, but never in a single model incorporating several in-group and out-group consumer orientations at the same time. Building on social identity theory, this study develops and tests--in two countries--a conceptual model that assesses the relative influence of consumer ethnocentrism, national identity, and consumer cosmopolitanism on consumers' product judgments and willingness to buy domestic and foreign products. Furthermore, the study develops an empirically based typology of consumer segments using these sociopsychological traits and subsequently profiles them on consumption-relevant variables. The findings reveal several undiscovered patterns regarding the interplay of consumer ethnocentrism, national identity, and consumer cosmopolitanism as drivers of consumer behavior and offer managerial guidance on their relevance as segmentation variables. [ABSTRACT FROM AUTHOR]

Recently, several global companies start to develop wearable devices like smart watches or smart glasses to avoid market saturation in smart phones, especially when wireless technology was rapidly shifting from the third to the fourth generation. In order to better understand the relative strengths and weaknesses of smart alternatives, this paper presents a market-oriented framework to accomplish product positioning and product recommendation. Initially, correspondence analysis is applied to elicit expert perceptions for conducting product positioning. Then, based on customer preferences, product recommendation can be accomplished in either an unsupervised way (purchase profiles for new products are unavailable) or a supervised manner (for justifying the validity of the proposed recommender system). In particular, analytical hierarchy process is employed to elicit customers’ choices among smart alternatives (treated as prior information or decision labels). In summary, managerial insights are provided as follows: (1) smart phones are good at providing a platform for satisfying home entertainment, (2) smart watches are perceived as auxiliary carriers to accomplish health care and safety monitoring and (3) smart glasses are promising to fulfill industrial operation, logistics service and homeland security. [ABSTRACT FROM PUBLISHER]

Diverse customer desires coupled with technological advances have forced companies to manufacture products with ultimate performance, low cost, high quality and much shorter time-to-market. Recently, the popularity of smart phones has given rise to seriously declined product sales of digital cameras. In this paper, a two-phase framework is presented to offer decision supports on developing next-generation cameras. In the phase of market segmentation, Kansei engineering is employed to capture customer perceptions of affective features. Then, rough set theory is conducted to generate decision rules for partitioning the whole market into the consumer segment and the professional segment, respectively. In the phase of product customisation, conjoint analysis is applied to extract customer preferences for functional features. Furthermore, Grey relational analysis is conducted to select the top three varieties with regard to two distinct segments. In particular, this paper is capable to help brand companies or camera manufacturers better capture customer perceptions and preferences for digital cameras, effectively perform market segmentation (based on affective features) and efficiently conduct product customisation (based on functional features). [ABSTRACT FROM AUTHOR]

Prior research with consumable goods has consistently found that consumers have a preference for greater variety when selecting items simultaneously as a bundle, rather than as a sequential series of individual decisions. However, digital information goods have a number of important differences from consumable goods that may impact variety-seeking behavior. In three experiments, we address two general research questions. First, as a precursor to studying digital goods, we disentangle the role of bundle cohesion (i.e., item relatedness) from the role of timing (simultaneous vs. sequential choice) as factors in variety seeking with consumable goods. Next, based on differences between digital and consumable goods, we theorize differences in the behavioral effects of bundle cohesion and timing on variety preferences for digital goods. The results show a reduction of influences upon variety-seeking behavior with digital goods, providing important implications for the sellers of such goods in contrast to what has been suggested for consumable goods. Therefore, a key takeaway is that, for digital goods such as music, the use of consumer-driven bundling variations does not suggest an advantage in terms of their ability to affect consumers’ variety-seeking behavior. [ABSTRACT FROM PUBLISHER]

Businesses are increasingly embracing corporate citizenship strategies. However, the empirical literature surrounding consumer responses to such practices features many contradictions concerning their impact. As a result, many businesses are uncertain about the extent to which they should commit resources to these activities to influence a positive response from consumers. Therefore, this paper seeks to address this gap by exploring consumers’ awareness of varying levels of corporate citizenship activities and assessing their moral responses to such efforts. Using a combination of qualitative methods and projective techniques with a broad cross-section of 20 consumers, the results help to shed light on the impact of corporate citizenship activities upon moral recognition, consumer decision-making and choice. [ABSTRACT FROM PUBLISHER]

While scent is generally considered the more important factor determining consumers' choice of cosmetics, the first impression gained by a potential purchaser is the sight of the packaging design. The purpose of this study was to investigate the relative roles of sight and smell in consumers' choice of body lotion, using a combination of sense testing, questionnaire and interview. A total of 492 convenience-selected volunteers were asked to designate their favourite scents of five prepared body lotion samples by sight and by smell. They then undertook a questionnaire survey, and 21 of the group took part in semi-structured in-depth interviews. Most participants chose different scents when relying on sight or smell, and this difference affected their purchasing intention and purchasing motivation, with visual features of products influencing intentions more than olfactory properties. While scent was not the major reason for purchasing a cosmetic, for many participants it was an important factor. The method used may have advantages in market research over others not utilising one or other of the components. [ABSTRACT FROM AUTHOR]

This article describes the development of a new online tool for collecting data about customer preferences. The tool was created to produce comprehensive data on the connections between important variables, while offering an interesting and easy-to-use tool for respondents and researchers. The tool uses the principle of a mind-map. It was applied to two cases concerning housing preferences, and to one of municipal construction. Consumer preferences are complex and the authors thought that a visual tool could prove helpful in data collection. We present examples of network analysis, which give good insights into the complexity of preferences. Ways to improve the usability and analytical potential of the tool are also discussed. The mind-map tool shows potential for being a good data collection method, although further development is necessary to uncover the whole potential of the tool. [ABSTRACT FROM AUTHOR]

This study interviewed 15 art directors to explore their understanding of visual brand identity. Art directors define visual brand identity as the holistic look and feel of a brand, manifest as consistency among the brand, its strategy, and all its individual visual elements, ongoing over time. Art directors search for “ownable” visual elements within the competitive space and rely on examples of previous brand advertising to start ideation. We identified four possible routes that visual brand identity construction can take, corresponding to whether existing visual brand identity is strong or weak, and whether many or few client mandatories are imposed. The interviews also indicated that conflicts with clients may arise because elements that contribute to a brand's visual identity may be selected, in part, based on art directors’ personal taste preferences and felt emotion. Implications for managing visual branding and for future research on brand identity are discussed. [ABSTRACT FROM PUBLISHER]

Customizing a product by choosing each of its attributes individually tends to be onerous for consumers, and the benefits of product customization may thus be offset by an increase in choice complexity. As a remedy for this dilemma, the current research introduces the customization via starting solutions (CvSS) architecture, which substantially reduces the complexity of product customization while preserving all of its advantages. Under CvSS, consumers first select one starting solution from a set of prespecified products, which they then refine to create their final customized product. Evidence from nine studies (three of which were conducted in field settings) across a wide range of product domains (shirts, cars, vacation packages, jewelry, and financial products) shows that the CvSS architecture results in substantial benefits relative to the standard attribute-by-attribute product customization format for both consumers (increased satisfaction with their product choices, reduced choice complexity, and enhanced mental simulation of product use) and firms (purchases of more feature-rich, and thus higher-priced, products). [ABSTRACT FROM AUTHOR]

Three laboratory experiments and a field experiment in a restaurant demonstrate that neither a price surcharge nor an unhealthy label is enough on its own to curtail the demand for unhealthy food. However, when the two are combined as an unhealthy label surcharge, they reduce demand for unhealthy food. The authors also show that the unhealthy label is as effective for women as the unhealthy label surcharge, whereas it backfires for men, who order more unhealthy food when there is an unhealthy label alone. The authors demonstrate that an unhealthy surcharge, which highlights both the financial disincentive and potential health costs, can significantly drive healthier consumption choices. From a policy and government perspective, if the goal is to reduce demand for unhealthy food, increasing the transparency of the health rationale for any financial disincentive is necessary to effectively lower unhealthy food consumption. [ABSTRACT FROM AUTHOR]

In brand imitation lawsuits, the primary focus is on demonstrating harm as it relates to brand confusion. The authors' premise is that such a narrow focus does not capture the complete impact of brand imitation. They offer a broader, theory-based perspective of harm by proposing that brand imitation affects both brand consideration and preference in the consumer choice process. The authors establish a formal nexus between brand consideration and the legal doctrine "initial interest confusion." Using choice experiments and statistical modeling, they show that brand imitation harms the imitated brand even after controlling for brand confusion. Moreover, brand imitation harms not only the imitated brand but also other national brands in the category that are not being imitated. To quantify brand consideration and preference harm in financial terms, the authors propose two metrics: choice share shift and share-equalizing price cut. The results show that brand imitation harms the national brand more when the imitating brand is not associated with a well-known retailer and that brand imitation harm extends beyond brand confusion. The proposed framework provides both legal and managerial guidance. [ABSTRACT FROM AUTHOR]

The authors explore the effects of having a large dominant competitor and show conditions under which focusing on a competitive threat, rather than hiding it, can actually help a brand. Through lab and field studies, the authors demonstrate that highlighting a large competitor's size and close proximity can help smaller brands rather than harm them. The results show that support for small brands goes up when faced with a competitive threat from large brands versus when they are in competition with brands that are similar to them or when consumers view them outside a competitive context. This support translates into purchase intentions, real purchases, and more favorable online reviews in a study of more than 10,000 Yelp posts. The authors argue that this "framing-the-game effect" is mediated by consumers' motivation to express their views and have an impact in the marketplace through their purchase choices. [ABSTRACT FROM AUTHOR]

Within a modern family life, roles have changed significantly; however, relatively little attention has been given to the increased health and longevity of parents. This article focuses on the tensions relating to the transitional role of parent as ‘carer of the child’ to child as ‘carer of the parent’ as parents age. This article focuses on the experiences of adult children as they care for their parents and the related tensions that emerge and coping strategies that are adopted. Adopting an interpretive approach we shed light on the decision-making practices around shopping, residential arrangements and other consumer choices and how they take place in complex arenas of intricate family interactions, influence and power. Key themes that emerged were strategies adopted by both the adult child and ageing parent to attain or retain control in an increasingly sensitive environment where there is no roadmap to guide either party. [ABSTRACT FROM PUBLISHER]

Being a first-choice brand is a valuable asset for an organisation, both for remaining competitive and for attracting potential employees. Despite the considerable research available on linking brand associations to employer brand attractiveness, research on how to become an employer of choice is limited. This article addresses the research gap by investigating employer brand associations that predict status as an employer first-choice brand (FCBe), and by determining how these associations are transferred into preference. Research was based on university students' evaluations of employer brand associations and identification of their FCBe. Results indicate that work content and work culture of employer brand associations are drivers of being an FCBe, with no support found for effects of salary, advancement opportunities, location or organisational reputation. Importantly, employer brand emotions emerged as a full mediator in the model, indicating that for an FCBe, work content and work culture need to be linked to emotions. These results suggest that only if employer brand associations lead to positive employer brand emotions can an FCBe be established. This study contributes to the literature by being the first to investigate drivers of employer first-choice brand, and to identify employer brand emotions as essential for establishing an FCBe. [ABSTRACT FROM AUTHOR]

Consumer research has documented dozens of instances in which the introduction of an “irrelevant” third option affects preferences between the remaining two. In nearly all such cases, the unattractive dominated option enhances the attractiveness of the option it most resembles—a phenomenon known as the “attraction effect.” In the studies presented here, however, the authors contend that this phenomenon may be restricted to stylized product representations in which every product dimension is represented by a number (e.g., a toaster oven that has a durability rating of 7.2 and ease of cleaning rating of 5.5). Such effects do not typically occur when consumers experience the product (e.g., taste a drink) or when even one of the product attributes is represented perceptually (e.g., differently priced hotel rooms whose quality is depicted with a photo). The authors posit that perceptual representations of attributes do not support the sorts of comparisons that drive the attraction effect with highly stylized examples, and they question the practical significance of the effect. [ABSTRACT FROM AUTHOR]

In recent years, maximum difference scaling (MDS) analysis has gained a significant increase in popularity in market research. MDS represents a valid and better alternative when collecting preference measurements, being scale-free and providing more differentiation when measuring attribute importance than standard rating scales. With growing popularity there is a clear need to better understand the potentialities and limitations of MDS. While some work has already been done (among others, Orme 2005), there are still many unexplored areas, in particular regarding the impact of the key elements in an MDS design on the accuracy of results. With this paper we try to understand to what extent the number of versions, the number of tasks and the number of respondents impact on the results. [ABSTRACT FROM AUTHOR]

It is well established that differences in manufacturing location can affect consumer preferences through lay inferences about production quality. In this article, the authors take a different approach to this topic by demonstrating how beliefs in contagion (the notion that objects may acquire a special aura or "essence" from their past) influence perceptions of authenticity for everyday consumer products and brands. Specifically, they find that due to a belief in contagion, products from a company's original manufacturing location are viewed as containing the essence of the brand. In turn, this belief in transferred essence leads consumers to view products from the original factory as more authentic and valuable than identical products made elsewhere. The authors further reveal that consumers who are higher in sensitivity to contagion are more likely to exhibit this effect and that activating the concept of contagion enhances preferences for products made in the brand's original factory. The authors close by discussing theoretical and practical implications of these findings. [ABSTRACT FROM AUTHOR]

Customized assembly occurs when a consumer makes customization decisions and participates in the construction or modification of a product. While customization increases satisfaction with the end-product, less is known about the utility derived from the assembly effort. Three studies show that the structure of the customized assembly task determines whether consumers derive negative or positive utility from the assembly effort. When customization decisions and assembly processes are segregated, consumers find the assembly process disagreeable. Consequently, more assembly effort leads to a lesser appreciation for the assembly experience. When customization decisions and assembly processes are integrated, consumers become creatively engaged in the assembly process. Consequently, more assembly effort leads to a greater appreciation for the assembly experience. In each case, the assembly experience influences the value of the materials that afforded the experience (i.e., the to-be-assembled product). The results have implications for repeat purchasing in product categories that allow for coproduction. [ABSTRACT FROM AUTHOR]

The "visual preference heuristic" suggests that consumers prefer visual to verbal depiction of information in a product assortment. Images produce greater perceptions of variety than text, which is appealing in assortment selection, but can result in choice complexity and overload when choice sets are large and preferences are unknown, suggesting a moderator for Iyengar and Lepper's results. Eye-tracking results reveal that the natural gestalt processing of individual visual stimuli, as compared to the piecemeal processing of individual textual stimuli, affects the processing of the assortment as a whole with visual (compared to verbal) presentation facilitating a faster, though more haphazard, scanning of the assortment. While the less systematic processing that results from visual presentation feels easier, it is not ideal for larger assortments resulting in higher complexity ratings and choice overload than with text depiction. These findings reveal that, like many heuristics, preference for visual depiction may be overapplied. [ABSTRACT FROM AUTHOR]

Social media are becoming increasingly important for consumer decisions. This holds true in particular for vacation decision-making, as an example of a high-involvement decision. The research focuses upon the relation between the information people search regarding aspects or properties of choice options and the types of social media used for finding it. The social media classification framework used is based on two dimensions: first, domain-specific social media versus domain-independent social media; second, large opportunities for self-disclosure versus limited or no opportunities for self-disclosure. Based on this framework, predictions are made about the relation between social media used and information sought. It was found that domain-specific social media with limited opportunities for self-disclosure, like Tripadvisor, are more frequently used for search-determined sub-decisions than for experience-determined sub-decisions. For domain-independent social media with large opportunities for self-disclosure, like Twitter and Facebook, it was found that they are used with equal frequency for both types of sub-decision. These findings are relevant for multichannel management in marketing. As regards the valence of the information obtained from different social media, we found a preponderant use of positive/mixed messages and comments, and almost no use of negative information. A practical implication of this finding is that 'webcare' should be focused less on complaints and more on leveraging positive aspects that are reported in social media for choices that have comparable characteristics, such as vacations. If a relatively large number of aspects play a role in a product choice process, tracking and use of positive information should be emphasised, while negative experiences should be more important for products characterised by a very limited number of relevant product choice aspects. [ABSTRACT FROM AUTHOR]

Marketers are increasingly allowing consumers to sample sensory-rich experiential products before making purchase decisions. The results of seven experimental studies (two conducted in field settings, three conducted in a laboratory, and two conducted online) demonstrate that the order in which consumers sample products and the level of (dis)similarity between the sensory cues of the products influence choices. In the absence of any moderators, when sampling a sequence of sensory-rich experiential products (e.g., fragrances, chocolates, flavored beverages, music) with similar sensory cues (e.g., smell, taste, color, sound), consumers prefer the first product in the sequence. However, when sampling a sequence of products with dissimilar sensory cues, consumers prefer the last product. These findings (1) contribute to a better understanding of the role of sequential sensory cues on consumer choice formation, (2) have implications for effects related to sensory habituation and sensory trace fading, and (3) help resolve apparent inconsistencies in prior research on order effects in the context of choices for sequentially sampled experiential products. [ABSTRACT FROM AUTHOR]

This article argues that the structure of a choice set can influence the extent to which consumers weight a given attribute. The results of seven experiments suggest that the relationship between options under consideration can influence preference ordering by shifting the decision strategy people adopt when constructing their preference. In decisions in which people afford greater importance to one attribute versus another, preference for an option that scores high on this prominent attribute may decrease when decoy options that are clearly better or worse than the focal options are inserted into the choice set. The authors posit that this effect arises because decision makers initially (and spontaneously) use dominance cues rather than prominence when evaluating options, and they continue to use this strategy even when it does not enable them to differentiate the alternatives under consideration. The authors moderate this effect by prompting respondents to consider prominence and by manipulating the order in which respondents evaluate options in the choice set. This article has theoretical implications for research on context effects, contingent decision behavior, and choice architecture as well as practical implications for product-line management. [ABSTRACT FROM AUTHOR]

Prior research on consumer response to preferential treatment has focused on treatment that has been earned through loyalty or effort, and most of this work has reported positive outcomes for recipients. Unearned preferential treatment (e.g., receiving a surprise discount, getting a free upgrade), in contrast, has received little attention. The current research demonstrates that, although receiving unearned preferential treatment does generate positive reactions, it is not always an entirely pleasurable experience. Results from four experiments show that when unearned preferential treatment is received in front of others, the positive feelings of appreciation for the treatment can be accompanied by feelings of social discomfort stemming from concerns about being judged negatively by other customers. These feelings of discomfort can reduce satisfaction with a shopping experience and affect purchasing behaviors. The negative impact of unearned preferential treatment on satisfaction is moderated by the characteristics and reactions of those observers. [ABSTRACT FROM AUTHOR]

While extant research has primarily studied methods and measures of virtual world marketing, we examine complications that arise when marketers create and subsequently close virtual worlds. Adverworlds are virtual worlds created for marketing purposes in which consumers contribute to building a brand-centric virtual world. From a qualitative investigation of the closure of Disney’s adverworld, ‘Virtual Magic Kingdom’, we identify consumer responses to the adverworld’s closure and three areas of tension that underlie these responses: access and ownership, relationships, and communication. We identify competing consumer and marketer logics that underscore each tension and discuss how consumers negotiate the resulting conflicts. We conclude with theoretical insights into virtual worlds as sites of consumer-brand relationship and offer practitioners recommendations for closing an adverworld’s virtual doors. [ABSTRACT FROM PUBLISHER]

Past research has shown the robustness of egocentric anchoring or false consensus effects (e.g., Naylor, Lamberton, and Norton; Ross, Greene, and House) primarily in situations where consumers adopt a cooperative or neutral stance toward one another. However, competition among consumers is a ubiquitous part of Western culture. Across five experiments in competitive contexts (either a dictator game or an online auction), interpersonal ambiguity leads to an inference of dissimilarity, rather than similarity. As a result, consumers compete as aggressively against ambiguous others as they do against dissimilar others. This effect occurs regardless of brand quality, seller reputation, or number of other competitors in the auction. A final study demonstrates that aggressiveness may be directed toward the seller rather than other bidders when sellers are ambiguous or dissimilar. This work therefore offers an important boundary condition for the operation of egocentric tendencies, highlighting the pervasive effect of competitive contexts on consumer behavior. [ABSTRACT FROM AUTHOR]

Customer referral programs are an effective means of customer acquisition. By assessing a large-scale customer data set from a global cellular telecommunications provider, the authors show that participation in a referral program also increases existing customers' loyalty. In a field experiment, recommenders' defection rates fell from 19% to 7% within a year, and their average monthly revenue grew by 11.4% compared with a matched control group. A negative interaction between referral program participation and customer tenure reveals that the loyalty effect of voicing a recommendation is particularly pronounced for newer customer-firm relationships. A laboratory experiment further demonstrates that referral programs with larger rewards strengthen attitudinal and behavioral loyalty, whereas smaller rewards affect only the behavioral dimension. This article contributes to our theoretical understanding of the roles played by the commitment-consistency principle and positive reinforcement theory as mechanisms underlying the effectiveness of customer referral programs. [ABSTRACT FROM AUTHOR]

Why and how do marginalized consumers mobilize to seek greater inclusion in and more choice from mainstream markets? We develop answers to these questions drawing on institutional theory and a qualitative investigation of Fatshionistas, plus-sized consumers who want more options from mainstream fashion marketers. Three triggers for mobilization are posited: development of a collective identity, identification of inspiring institutional entrepreneurs, and access to mobilizing institutional logics from adjacent fields. Several change strategies that reinforce institutional logics while unsettling specific institutionalized practices are identified. Our discussion highlights diverse market change dynamics that are likely when consumers are more versus less legitimate in the eyes of mainstream marketers and in instances where the changes consumers seek are more versus less consistent with prevailing institutions and logics. [ABSTRACT FROM AUTHOR]

A fundamental assumption of choice models is that products are valued for the benefits they provide. The only non-benefit-based source of preference is the processing fluency (e.g., ease of perceiving, encoding, comprehending, or retrieving information) that results from prior exposure to the product. This research documents an additional source of non-benefit-based "preference formation." Repeatedly allocating attention to a product (selective attention) and away from other products (inattention) subsequently influences choices between these products and competing products. Five experiments show that prior selective attention (inattention) to a product increases the likelihood the product will be selected (rejected) in a subsequent choice. Demonstrating that prior acts of attention can influence subsequent choices has implications for any visually complex environment in which marketers communicate about a brand (e.g., banner advertising, packaging). The results also speak to how stimulus-based choices can have enduring consequences. [ABSTRACT FROM AUTHOR]

People differ in their threshold for satisfactory causal understanding and therefore in the type of explanation that will engender understanding and maximize the appeal of a novel product. Explanation fiends are dissatisfied with surface understanding and desire detailed mechanistic explanations of how products work. In contrast, explanation foes derive less understanding from detailed than coarse explanations and downgrade products that are explained in detail. Consumers' attitude toward explanation is predicted by their tendency to deliberate, as measured by the cognitive reflection test. Cognitive reflection also predicts susceptibility to the illusion of explanatory depth, the unjustified belief that one understands how things work. When explanation foes attempt to explain, it exposes the illusion, which leads to a decrease in willingness to pay. In contrast, explanation fiends are willing to pay more after generating explanations. We hypothesize that those low in cognitive reflection are explanation foes because explanatory detail shatters their illusion of understanding. [ABSTRACT FROM AUTHOR]

An introduction is presented for several previously published articles on consumer behavior, together with abstracts of these articles, discussing topics such as self-identity and gift giving, responses to social identity threats, and self-affirmation and aesthetic preference.

A large literature demonstrates that people process information more carefully in states of low compared to high confidence. This article presents an alternative hypothesis that either high or low confidence can increase or decrease information processing on the basis of how information is construed. Five experiments demonstrate two sets of findings supporting this alternative formulation. First, low confidence leads people to focus on concrete construals, whereas high confidence leads people to focus on abstract construals. Second, people in a state of low confidence view messages framed in a concrete manner as more relevant and thus engage in greater processing of messages framed concretely; in contrast,people in a state of high confidence view messages framed in an abstract manner as more relevant and thus engage in greater processing of messages framed abstractly. These results enrich the literature by providing a fundamental shift in understanding how psychological confidence influences information processing. [ABSTRACT FROM AUTHOR]