The effect of perceived price fairness through satisfaction and loyalty on international tourists’ price acceptance of Islamic-Iranian art products

2014 ◽  
Vol 7 (4) ◽  
pp. 201-215 ◽  
Author(s):  
Ali Asadi ◽  
Javad Khazaei Pool ◽  
Mohammad Reza Jalilvand
Keyword(s):  
Customer Satisfaction ◽  
Positive Impact ◽  
Equation Modeling ◽  
Price Fairness ◽  
Content Type ◽  
Perceived Vulnerability ◽  
Iranian Art ◽  
Perceived Price ◽  
Perceived Price Fairness ◽  
Customer Satisfaction And Loyalty

Purpose – The purpose of this paper is to investigate the effect of perceived price fairness through satisfaction and loyalty on price acceptance. The antecedents of price fairness, including price perception and tourist vulnerability, will also be examined. Design/methodology/approach – The authors collected 674 questionnaires from international tourists who purchased Islamic-Iranian art products and analyzed simultaneous relations with a structural equation modeling. Findings – The results indicate that perceived price awareness and perceived vulnerability positively and significantly affect perceived price fairness. Additionally, perceived price fairness has a significant influence on customer satisfaction and loyalty. Moreover, customer satisfaction and loyalty were found to have a positive impact on price acceptance. Practical implications – Based on the findings, the results are expected to create a useful perspective for the researchers so they can present a broader model in future studies. The results of this research can help managers develop better pricing strategies and effective pricing mechanism design and, through recognition of factors influencing customer perception of the price, instigate better pricing. Originality/value – Although prior research focused on the relationships among the variables of perception of price, perceived vulnerability, perceived price fairness, satisfaction and loyalty and price acceptance, the current study considers the effect of these variables as a general compound model and in the context of Islamic-Iranian art tourism products.

An integrated model of price, satisfaction and loyalty: an empirical analysis in the service sector

2007 ◽  
Vol 16 (7) ◽  
pp. 459-468 ◽  
Author(s):  
David Martín‐Consuegra ◽  
Arturo Molina ◽  
Águeda Esteban
Keyword(s):  
Customer Satisfaction ◽  
Service Sector ◽  
Empirical Support ◽  
Service Industries ◽  
Price Fairness ◽  
Content Type ◽  
Perceived Price ◽  
Perceived Price Fairness ◽  
The Relationship ◽  
Customer Satisfaction And Loyalty

PurposeThe purpose of this paper is to investigate the effects of customer satisfaction both directly and indirectly (through loyalty) on price acceptance. In addition, price fairness is considered as an antecedent of customer satisfaction and loyalty.Design/methodology/approachBased on a theoretical discussion regarding the relationship among price fairness, customer satisfaction, loyalty, and price acceptance, empirical research was conducted to test the proposed relationships. Multiple‐item indicators from previous studies were employed to measure the constructs.FindingsThe results from the study provide empirical support, suggesting that perceived price fairness influences customer satisfaction and loyalty. The analysis also suggests that customer satisfaction and loyalty are two important antecedents of price acceptance.Research limitations/implicationsThe study ponders the relationship between customer satisfaction and loyalty and price acceptance, while other factors that have an influence on price acceptance are not considered.Practical implicationsThe research results suggest that perceived price fairness in service industries can be viewed as a threshold factor in order to maintain satisfied and loyal customers. Additionally, managers should consider that price acceptance depends on the level of satisfaction and loyalty.Originality/valueThe present study provides useful information on the relationship among price fairness, customer satisfaction, loyalty, and price acceptance in service industries.

scholarly journals THE EFFECT OF E-SERVICE QUALITY AND PERCEIVED PRICE FAIRNESS ON CUSTOMER LOYALTY WHICH CUSTOMER SATISFACTION AS INTERVENING STUDY ON ONLINE SHOPPING SITE IN INDONESIA

2021 ◽  
Vol 4 (1) ◽  
pp. 143-171
Author(s):  
Olivia Citra Octaviani ◽  
Mohamad Rizan ◽  
Agung Kresnamurti Rivai P
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Loyalty ◽  
Online Shopping ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Price Fairness ◽  
Perceived Price ◽  
Perceived Price Fairness

This study examines the effect of e-service quality and perceived price fairness on customer loyalty with the intervening role of customers’ satisfaction in the online shopping site in Indonesia. The research method uses a quantitative research design with a survey model. The sample used in this study is Lazada consumers which consists of five large cities in Indonesia (Jakarta, Bogor, Depok, Tanggerang, and Bekasi City) and have done online shopping site at Lazada at least once in the last six months. The object of this research were the 200 customer respondents who had made purchases on the largest online shopping site platform of Indonesia, Lazada. Data analysis was done by using SPSS and Structural Equation Modeling (SEM). The results show that: first, the e-service quality and perceived price fairness affect customer satisfaction positively. Second, there is a mediating effect of customer satisfaction on the relationship between e-service quality and perceived price fairness on customer loyalty. Third, e-service quality and perceived price fairness directly affect customer loyalty positively but insignificantly. The result implies that the role of customer satisfaction is significant in creating loyalty. In the online shopping site a  good quality and perception about price could positively influence customers but not necessarily form loyalty.

scholarly journals The Influence of Price Fairness to Customer Satisfaction

2016 ◽  
Vol 7 (1) ◽  
pp. 8
Author(s):  
Denny Yoristar
Keyword(s):  
Customer Satisfaction ◽  
Descriptive Analysis ◽  
Price Fairness ◽  
Price Perception ◽  
Perceived Vulnerability ◽  
Consumer Vulnerability ◽  
Perceived Price ◽  
Automobile Sales ◽  
Perceived Price Fairness ◽  
Price Offer

The objective of this research is to analyze the influence of price fairness, customer satisfaction, empirically demonstrate the influence of perceived price fairness that can be broken down into price perception, consumer vulnerability, price offer fairness and price procedure fairness. Methodology used in this research is descriptive analysis, which is to identify characteristics of variables under certain circumstances and to scribal down the response of automobile customers in Jakarta, Bekasi, Depok, and Tangerang. Variables measurement ranked from price perception, consumer vulnerability, price offer fairness, price procedure fairness, satisfied with dealer's service, satisfied with delivery car and satisfied with purchase that the result would be used as information to manage automobile sales. The collected data was analyzed using multiple regression analysis. This research concluded that variable of price perception and perceived vulnerability has a significant impact toward price offer fairness, variable of price offer fairness and price procedure fairness has no effect toward satisfied with purchase, and variable of satisfied with dealer's service and satisfied with delivery car significantly affect the satisfied with purchase variable.

scholarly journals Innovations for potential entrepreneurs in service quality and customer loyalty in the hospitality industry

2020 ◽  
Vol 14 (3) ◽  
pp. 317-328
Author(s):  
Zoya Wajid Satti ◽  
Samreen Fahim Babar ◽  
Shagufta Parveen ◽  
Kashif Abrar ◽  
Asma Shabbir
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Loyalty ◽  
Hospitality Industry ◽  
Moderated Mediation ◽  
Price Fairness ◽  
Content Type ◽  
Perceived Price ◽  
Perceived Price Fairness

Purpose This study aims to investigate the role of moderated mediation between innovation in service quality and customer loyalty in the hospitality industry for potential entrepreneurs in the hospitality industry. Design/methodology/approach The authors have collected data from customers of the hospitality industry of significant cities of Pakistan using 362 structured questionnaires. Structural equation modelling was used to find out moderated mediation between innovation in service quality and customer loyalty in the hospitality industry for potential entrepreneurs in the hospitality industry. Findings The results showed that the role of customer satisfaction as a mediator and the role of perceived price fairness as a moderator between service quality and customer loyalty is statistically significant. Customers are influenced by price, and it leads to their satisfaction in the hospitality industry. Research limitations/implications The results of this study can be used by managers of the restaurant industry to enhance customer loyalty by focusing on customer satisfaction and perceived price. Originality/value The evidence documented in this paper is first known to measure the role of a mediator and moderator between service quality and customer loyalty for potential entrepreneurs. This paper will add to the literature of service quality in the hospitality industry concerning the role of customer satisfaction and perceived price fairness for future and potential entrepreneurs.

scholarly journals An Examination of the Relationship between Perceived price Fairness on Customer Satisfaction and Loyalty in Kenyan Star-Rated Restaurants

2018 ◽  
Vol 6 (10) ◽  
Author(s):  
Margaret Githiri
Keyword(s):  
Customer Satisfaction ◽  
Linear Regression Analysis ◽  
Survey Study ◽  
Price Fairness ◽  
Cross Sectional Survey ◽  
Perceived Price ◽  
Perceived Price Fairness ◽  
The Relationship ◽  
Customer Satisfaction And Loyalty ◽  
Return Intention

Perceived price fairness is an important predictor of relationship quality, trust, satisfaction and loyalty of customers visiting restaurants. Although several studies on customer satisfaction and loyalty have been done, little is still known about customer satisfaction and loyalty regarding perceived price fairness in Kenyan rated restaurants. The main objective of the study was therefore to examine the relationship between perceived price fairness on customers’ satisfaction and loyalty at rated restaurants in Nairobi and Coastal region. A cross sectional survey study was used in recording the information that is present in the population. Simple random sampling method was used in selecting 345 customers used in the study. The target population included all customers visiting the selected restaurants. Structured questionnaires were used in acquiring relevant information from customers. Descriptive statistics and inferential statistics (linear regression analysis) were used in analyzing the objective. The results indicated significant relationship between perceived price with satisfaction and return intention (p< 0.05), leading to the rejection of the hypotheses.  Majority of the customers were found to be satisfied with all dimensions of perceived price which implied that satisfaction of perceived price fairness led to return intention of customers in the rated restaurants. The study suggested that the restaurant managers should improve on both perceived value and price. They should also ensure that the set prices are not more than the prices of their competitors of the same standard. Investment on staff training was also suggested.

Psychological influences on customer willingness to pay and choice in automated retail settings

2014 ◽  
Vol 29 (3/4) ◽  
pp. 237-260 ◽  
Author(s):  
Ashutosh Dixit ◽  
Kenneth D. Hall ◽  
Sujay Dutta
Keyword(s):  
Willingness To Pay ◽  
Dynamic Pricing ◽  
Price Change ◽  
Price Fairness ◽  
Content Type ◽  
Theoretical Contribution ◽  
Perceived Price ◽  
Quasi Experimental ◽  
Small Increments ◽  
Perceived Price Fairness

Purpose – The purpose of this paper is to investigate the influence of price attribute framing and factors such as urgency and perceived price fairness on customer willingness to pay (WTP) in automated retail settings. Design/methodology/approach – The authors conducted two sets of quasi-experimental scenarios surrounding vending-machine purchase decisions. The first set was analyzed with MANOVA, the second set with choice-based conjoint (CBC) analysis. Findings – When prices are framed positively (as a discount), customer WTP is higher at high published price levels than it is for unframed or negatively framed prices. The effect on WTP holds whether the reference price range is broad (few large increments) or narrow (numerous small increments). In the CBC scenarios, immediate availability of the product was most influential on choice, followed by price and brand effects. These findings held under conditions invoking both urgency and price fairness. Providing an explanation for higher prices increases perceived price fairness. Research limitations/implications – Further study might assess the presence or absence of interaction effects in the conjoint scenarios. Practical implications – Managers should consider transparency in dynamic pricing, particularly when the price change is outside the control of the firm. The conjoint scenario results also offer evidence that dynamic pricing will not impact other marketing-mix decisions for fast-moving consumer goods (FMCG) dramatically (availability at point of purchase and presence in the consumer consideration set remain strong influences on choice). Social implications – Understanding these effects on WTP could help managers manage perceptions of unfairness and optimize WTP. Originality/value – A theoretical contribution from this study is that the immediate loss/gain consideration under theories of decision making under uncertainty outweigh considerations such as scarcity urgency or perceived unfairness. Use of conjoint analysis in WTP research, study of dynamic pricing in FMCG setting.

Exploring the synergy effect of trust with other beliefs in television shopping

2019 ◽  
Vol 58 (3) ◽  
pp. 428-447
Author(s):  
Yung-Shen Yen
Keyword(s):  
Purchase Intention ◽  
Service Providers ◽  
Purchase Behavior ◽  
Media Richness ◽  
Synergy Effect ◽  
Price Fairness ◽  
Content Type ◽  
Host Interaction ◽  
Perceived Price ◽  
Perceived Price Fairness

Purpose Television (TV) shopping has notably changed human shopping behaviors. However, despite its significant advantages, TV shopping still faces many challenges in promoting customer purchase behavior. The purpose of this paper is to explore the synergy effect of trust with other beliefs on purchase intention in TV shopping. Other beliefs, including perceived media richness, perceived price fairness, perceived convenience and perceived host interaction, were tested as the synergy factors in the proposed model. Design/methodology/approach A hierarchical moderator regression analysis was conducted, and data on the TV shopping habits of 428 customers in Taiwan were examined. Findings The findings of the study revealed that trust synergizes perceived price fairness and perceived host interaction rather than perceived media richness and perceived convenience to enhance purchase intention in TV shopping. Research limitations/implications This study confirmed the assumption that trust synergizes the beliefs (i.e. perceived price fairness and perceived host interaction) to enlarge purchase intention in TV shopping. Practical implications This study suggests that service providers need to prioritize concerns to build trust with customers to encourage purchases during TV shopping. They should also actively promote fair prices and invite famous people to serve as hosts to motivate purchases in TV shopping. Originality/value This study advances the knowledge of the trust theory and the synergy model by examining the synergy effect of trust with other beliefs in TV shopping.

The role of prosocial and proactive personality in customer citizenship behaviors

2019 ◽  
Vol 36 (2) ◽  
pp. 288-305 ◽  
Author(s):  
Laee Choi ◽  
Jiyoung Hwang
Keyword(s):  
Customer Satisfaction ◽  
Service Providers ◽  
Positive Impact ◽  
Two Dimensions ◽  
Proactive Personality ◽  
Equation Modeling ◽  
Citizenship Behaviors ◽  
Content Type ◽  
Intention To Continue ◽  
The Relationship

Purpose This study aims to explore customer personality-related antecedents of customer citizenship behaviors (CCBs) that benefit service providers. It also investigates two-step consequences of CCBs: customer satisfaction and intention to continue the relationship. Design/methodology/approach US consumers (n = 665) participated in online surveys regarding three types of service businesses with different levels of customization and customer contact. Data were analyzed using structural equation modeling. Findings Results show a significant, positive impact of the two dimensions of prosocial personality (i.e. other-oriented empathy and helpfulness) and proactive personality on CCBs. Additionally, CCBs increase customer satisfaction and, in turn, intention to continue the relationship. Research limitations/implications This study suggests the importance of customer prosocial and proactive personality as antecedents of CCBs. Beyond intention to participate in CCBs, the present study shows that customers perceived satisfaction from CCBs, resulting in intention to continue the relationship with their service provider. Further research should investigate other types of customer personalities such as conscientiousness and agreeableness. Practical implications Service providers should understand customer personalities that lead to voluntary behaviors that benefit their organizations. This understanding allows the service providers to better communicate with their customers and to receive more assists from customers. Originality/value Previous research has shown that customers’ attitudinal perceptions impact CCBs. In contrast, this study highlights the strong and positive impact of customer personalities, prosocial and proactive personality, on CCBs. Another significant contribution of this study is that it incorporates the potential consequences of CCBs.

When do high prices lead to purchase intention? Testing two layers of moderation effects

2019 ◽  
Vol 31 (5) ◽  
pp. 1516-1531 ◽  
Author(s):  
Junghwa Son ◽  
Byoungho Ellie Jin
Keyword(s):  
Purchase Intention ◽  
Price Fairness ◽  
Moderating Effects ◽  
Content Type ◽  
Leisure Class ◽  
Brand Familiarity ◽  
Perceived Price ◽  
Willingness To Purchase ◽  
Perceived Price Fairness ◽  
The Relationship

Purpose Most marketing practices assume that consumers will buy when prices are low. This assumption, however, may not always hold true. Employing equity theory and Veblen’s theory of the leisure class, this study tested two moderating effects to ascertain the relationship between perceived price and purchase intention. The purpose of this paper is threefold: first, to examine the relationship between perceived price and willingness to purchase; second, to discover the effects of two moderators (perceived price fairness and vanity) on this relationship; and third, to compare how these moderating effects differ by consumers’ brand familiarity. Design/methodology/approach A total of 287 usable data sets were collected from college students in the southeastern region of the USA. Findings The findings showed no negative relationship between perceived price and willingness to purchase. Only perceived price fairness was found to moderate the perceived price–purchase intention relationship. Furthermore, the moderating effect of price fairness was only confirmed in the high brand familiarity group, while the moderating effect of vanity was only confirmed in the low brand familiarity group. Research limitations/implications Generalization of the findings is cautioned because findings may vary by demographic backgrounds. Practical implications Since purchase intention increases when price is fair even though price is high, marketers should put efforts into promoting and creating the perception of fair price of their products and brands. Originality/value This study extends price perception research by incorporating two theories (equity theory and Veblen’s theory of the leisure class) that help further elaborate the relationship between perceived price and willingness to purchase.

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