How previous positive experiences with store brands affect purchase intention in emerging countries

2017 ◽  
Vol 34 (4) ◽  
pp. 536-558 ◽  
Author(s):  
Mbaye Fall Diallo ◽  
Jose Ribamar Siqueira Jr

Purpose Brand experience is a key factor that helps elucidate why consumers choose a given brand among others. The purpose this paper is to investigate how previous experience with store brands affects store brand purchase intention in two emerging markets and whether the cultural context moderates the relationships between store brand positive or negative cues and store brand purchase intention. Design/methodology/approach A store-intercept survey undertaken in the Latin American context generated 769 usable responses from consumers of two metropolitan cities (Brasilia and Bogota), respectively, in Brazil and Colombia. The questionnaires were collected in four well-established retail chains by professional investigators. Structural equation modelling was used to test a series of proposed hypotheses. Findings Overall, this paper reveals that consumers in Latin America do care about brand experience when shopping. More specifically, the results indicate that previous positive experience with store brands has a positive effect on consumer purchase intention in both countries investigated. In Brazil, store brand price perceptions mediate rather strongly the relationship between previous experience with store brands and purchase intention. In contrast, this effect is weak in Colombia. Store brand perceived risk has significant mediation effects in Brazil, but no mediation effects in Colombia. The authors also underline heterogeneous moderation effects of the cultural context, suggesting that common perceptions of Latin America as a culturally homogeneous region are stereotypical. Research limitations/implications Respondents were consumers of only two Latin American emerging countries (Brazil and Colombia) and shoppers of two retail chains in each country. Caution should therefore be exercised when generalising the results to other emerging markets. Practical implications The paper offers recommendations on how to standardise/adapt brand experience management in different Latin American markets. Overall, retailers should go beyond the transaction itself and establish true differentiation using different store brand ranges. However, due to differences in cultural contexts, marketing communication should adopt different approaches to each country: emphasise the price advantages of store brands in Brazil, but focus on other factors such as quality in Colombia. Because they are culturally bound, risk perceptions towards store brands should also be managed carefully. It would be possible to target premium consumer segments with standard store brands in Colombia while a more sophisticated approach is necessary in Brazil (e.g. co-branding or launching more premium store brands). Originality/value By employing three theoretical frameworks (learning theory, cue utilisation theory and culture theory), this research investigates the effect of previous experience with store brands on purchase intention in two emerging countries that are geographically close but culturally different. It highlights direct and indirect processes of brand experience and underlines significant structural path differences between the two Latin American countries investigated in terms of consumption behaviour towards store brands.

2006 ◽  
Vol 34 (10) ◽  
pp. 761-772 ◽  
Author(s):  
Celina González Mieres ◽  
Ana María Díaz Martín ◽  
Juan Antonio Trespalacios Gutiérrez

PurposeThe purpose of the present study is to test that perceived risk is a multidimensional concept both when it is associated to the purchase of store brands and national brands and analyzes the effect of perceived risk on store brands proneness.Design/methodology/approachIn order to achieve its objective the paper used a confirmatory factor analysis to validate the proposed perceived risk scale and three regression analysis were carried out to evaluate the effect of perceived risk on store brands proneness.FindingsThe results of the study show significant differences between store and national brands and, on the other hand, it has been confirmed that these differences contribute to decrease store brand proneness, the latter being measured through three variables: actual store brands purchase, consumption intensity and future purchase intention.Originality/valuePrevious empirical research has focused primarily on the perceived risk associated with store brands individually. On the contrary, this paper considers the perceived risk difference between store and national brands, believing that the difference between brands is what will really make the consumer choose a store brand or a national brand. On the other hand, the present study will permit the evaluation of the effects of the evolution of store brands in Spain, effects that can be replicated in other Mediterranean countries.


2017 ◽  
Vol 45 (12) ◽  
pp. 1298-1316 ◽  
Author(s):  
Magali Jara ◽  
Gérard Cliquet ◽  
Isabelle Robert

Purpose The purpose of this paper is to tackle the issue of store brand equity by considering two store brand’s positioning strategies: those with high perceived added value (the organic store brands), as opposed to economic brands. It takes place in the current environmental considerations showing the important role played by the packaging in determining the store brand equity. Design/methodology/approach A PLS Path model divided into four sub-models enables the authors to make specific predictions about customers’ purchase intentions. It also provides a concise operational calculation of the brand equity of each studied store brand. Findings Results show that economic brands build their equity with reinforced packaging, and organic brands maximise their brand equity by using simple packaging. In general, reinforced packaging improves the perceived quality of economic store brands but destroys that of organic brands. The calculations of overall equity scores for each studied store brand reveal that economic brands could benefit from further development whilst organic brands already maximise their equity. Practical implications Results will enable large retailers to develop effective campaigns focussing on perceived quality and more specifically by designing packaging that are suitable for the positioning of their brands – a simple packaging for organic brands and a reinforced packaging for economic brands to maximise customers’ value. Originality/value This is one of the first studies to deepen the store brand equity, comparing two contrasting types of brands, by studying specifically variations of the levels of customers’ perceived quality depending of two types of packaging.


2020 ◽  
Vol 23 (3) ◽  
pp. 427-445 ◽  
Author(s):  
Maria Teresa Cuomo ◽  
Debora Tortora ◽  
Giuseppe Festa ◽  
Francesca Ceruti ◽  
Gerardino Metallo

Purpose The adoption of augmented reality (AR) settings represents an extraordinary opportunity to enrich the value of the omni-customer brand experience, especially in fashion retail. AR enhances the brand of extra-contents, both informational and sensorial, amplifies its significance toward consumers and inflects its commercial and emotional charm through new dimensions in the store. In this light, the purpose of this paper is to verify whether AR affects customer behavior toward brands in the retailing system. Design/methodology/approach By means of a qualitative approach, a preliminary research question linking technological settings of the store/brand and customer informational eagerness has been analyzed in a fashion retailing chain store. To frame the research question, the omni-customer segment perspective has been assumed, taking into consideration two main dimensions as follows: implementation of in-store AR settings; and affective/cognitive/functional structure of the experiential brand value. Findings Preliminary findings suggest that AR can create extra brand value by simplifying the decision-making process and engaging customers. In the sum four “realms” in terms of augmented brand experience can emerge and be managed by retailers. Originality/value Even though the contribution of AR is easily understood in selling activities from a marketing perspective, very few retail applied studies can be found to-date. The present analysis aims to narrow this gap. It also contributes to brand management, stimulating the integration of the AR dimension as an additional facet of a brand tool kit in the “project” for value co-creation.


2019 ◽  
Vol 53 (12) ◽  
pp. 2604-2628 ◽  
Author(s):  
Manveer K. Mann ◽  
Yuping Liu-Thompkins

Purpose This study aims to examine gender differences in the impact of imagining product use on purchase decisions. The authors argue that while imagination can enhance purchase intention for female consumers, it can be detrimental to male consumers. This study explores the conditions under which imagination can be turned into a positive device for male consumers. Design/methodology/approach Three experimental studies were conducted. The first two studies illustrate the differential effects of imagination on males vs females. Given the negative effect found among males, the third study focused exclusively on male consumers to identify conditions under which the negative impact of imagination on these consumers can be alleviated. Findings Studies 1 and 2 show that while an imagination tactic has positive or no effect on female consumers, a generic imagination request lowers male consumers’ purchase intention. Focusing on potential ways of alleviating this negative effect, Study 3 shows that for males without prior brand ownership experience, imagining product use in a less-typical context can increase purchase intention. Research limitations/implications The results provide evidence that gender impacts the effectiveness of imagination in improving product evaluation. Furthermore, the context of imagination and previous brand experience can be used together to determine how male consumers respond to imagination. Practical implications The study’s findings warn against the blind use of imagination tactics. Instead, retailers need to customize imagination tactics based on gender, previous brand experience and product usage context. Originality/value To the best of the authors’ knowledge, this is one of the first papers to examine the impact of gender on the influence of imagination on product evaluation.


2020 ◽  
Vol 21 (1) ◽  
pp. 77-90
Author(s):  
Lizardo Vargas-Bianchi ◽  
Marta Mensa

Purpose The purpose of this paper is to examine the effect on brand name recall in advertisements with varying levels of female sexual objectification content among young millennials and the effect of distraction on this recall effort. The question arises whether this group evokes those brands that appear in advertisements using different levels of objectification content. Design/methodology/approach The study uses a correlational design that includes two studies with different groups of subjects: an assessment of perceived female sexual objectification levels in a set of ads and a quasi-experimental study that used the assessed perceived levels of female objectification and brand name short-term recall scores of those ads, with and without the intervention of an attention distractor. Findings Results suggest that female sexual objectification content exerts a limited influence on brand name recall between participants. In addition, it is not men who remember brand names from ads using sexual objectified images, but young women. Research limitations/implications The study had an exploratory scope and used a small non-probabilistic sample. Subjects belong to a cultural context of Western world developing economy, and thus perceived female objectification may vary between different cultural settings. Results refer to graphic advertisements, though this cohort is exposed to other audiovisual content platforms. Originality/value Several studies have addressed female objectification in advertising and media, but few focused on young Latin American audiences and its impact on the recollection of advertised brands. Brand name retention and awareness is still a relevant variable that the advertising industry takes in account as one of several predictors toward buying decisions. Even less research has been made on Latin American social and cultural contexts.


2020 ◽  
Vol 49 (1) ◽  
pp. 1-22
Author(s):  
Jérôme Lacoeuilhe ◽  
Didier Louis ◽  
Cindy Lombart ◽  
Blandine Labbé-Pinlon

PurposeThe research aim is to investigate the impacts of comparative ads used by retailers to compare the prices of their store brand (SB) products with those of equivalent national brand (NB) products. More specifically, this research examines if consumers perceive retailers as legitimate when they use comparative ads to compare the prices of their SB products to those of equivalent NB products, and how effective are these comparative ads in terms of actual purchases. This research also explores for which SB type (economy, standard or premium) and consumers are comparative ads most effective.Design/methodology/approachThis research investigates consumers' reactions to comparative ads used by retailers to compare the prices of their SB products with those of similar NB products through an experiment within a store laboratory. A between-subject design has been used. The participants of the first/second/third group (n1 = 93/n2 = 92/n3 = 91) were exposed to ads comparing the prices of retailer's economy/standard/premium SB food products with their equivalent NB food products, in the same product category. The participants of each group carried out a shopping trip in the store laboratory.FindingsConsumers consider retailers legitimate when they use comparative ads. This favourable evaluation improves their attitude towards these ads. However, the impact of retailers' legitimacy of (1) means, (2) objectives and (3) historical legitimacy on consumers' attitude towards comparative ads depends on the SB type (economy, standard and premium). By contrast, comparative ads are effective in terms of consumers' attitude towards these ads and towards SBs, along with purchase intention and actual purchases of these brands, whatever the SB type. Lastly, this research highlights that comparative ads for SBs are mainly directed at consumers with high levels of price consciousness and resistance to NBs.Research limitations/implicationsThis research only tested the impact of direct comparative advertising and an extrinsic attribute (price). The research experiment was conducted on a convenience sample, which limits its external validity.Practical implicationsThis research encourages retailers to use comparative advertising for their SBs (economy, standard and premium) for several reasons. First, this study suggests that comparative advertising is an effective tool for retailers to shape or improve consumers' attitude towards SBs, via their attitude towards comparative ads. Second, this research proposes that comparative advertising contrasting the prices of SB products with those of NB products could increase retailers' in-store sales of their SBs. Lastly, this research underlines that comparative advertising is particularly effective for consumers with high levels of price consciousness and resistance to NBs.Originality/valueThis research supplements previous research in the field of SBs and comparative advertising. Previous research on comparative advertising has examined NBs exclusively (Dianoux et al., 2013; Beard, 2018). Comparisons between SBs and NBs are lacking. This research thus validates the use of this specific form of communication for SBs, given the paucity of studies of the effects of the use of mass media communication on SBs (Nenycz-Thiel and Romaniuk, 2014; Gendel-Guterman and Levy, 2017).


2018 ◽  
Vol 29 (5) ◽  
pp. 798-812 ◽  
Author(s):  
Richa Chaudhary ◽  
Samrat Bisai

Purpose Building on the theory of planned behavior (TPB), the purpose of this paper is to understand the green buying behavior of educated millennials in India. The study also attempts to extend the TPB by including two additional variables, environmental concern (EC) and willingness to pay premium, in the framework. Design/methodology/approach Data were collected from 202 students from various departments of an institute of higher education in India. The proposed model was tested with the help of structural equation modeling using bootstrapping procedures in SPSS AMOS 24. Findings Except for the direct association between subjective norm (SN) and purchase intention (PI), the study provided support for the TPB framework. EC was found to exert an indirect influence on green PI through its effect on attitude, SN and perceived behavioral control. Willingness to pay premium moderated the relationship of PI with green buying behavior. PIs were found to successfully translate into purchase behavior (PB). Practical implications This research by promoting an understanding on the factors affecting the green buying behavior of educated millennials in India will assist green marketers to tap the tremendous potential inherent in this market segment by formulating customized market plans and strategies. Originality/value The study extends the existing literature by validating and extending the TPB framework in a unique cultural context and advancing the understanding of underlying psychological mechanisms and boundary conditions of the relationship between PIs and PBs.


2014 ◽  
Vol 27 (1) ◽  
pp. 30-45 ◽  
Author(s):  
Marta Ortiz-de-Urbina-Criado ◽  
Luis Ángel Guerras-Martín ◽  
Ángeles Montoro-Sánchez

Purpose The purpose of this paper is to investigate the effect of a firm's growth strategy (specialization and diversification) and its specific resources, such as intangible assets and previous experience in the choice of growth method (organic or external). Design-methodology-approach The paper analyses 859 external growth arrangements and 1,057 cases of organic growth. A binomial logistic regression is used to test the hypotheses. Findings Results show that firms prefer to grow internally when their growth strategy is specialization, but prefer external growth methods – such as mergers, acquisitions and alliances – when their growth strategy is diversification and they have previous experience in these methods. Research limitations-implications This study applies only to the European case and could be extended to Latin American companies for a comparative analysis. Practical implications This paper may help managers to identify important factors and issues to be considered when deciding upon a growth method. The European experience can be useful for Latin American companies following a similar growth strategy. Originality-value The results confirm a large part of the prior literature, but also go a stage further by including in the same study all the growth options available to a firm and providing empirical evidence of each one's preference according to the different situations analysed.


2018 ◽  
Vol 9 (3) ◽  
pp. 683-694 ◽  
Author(s):  
Prerna Garg ◽  
Richa Joshi

Purpose The purpose of this paper is to review the existing state of research on “Halal” branding and to propose and empirically test the framework for understanding the purchase intention for “Halal” branded products in Indian context. Design/methodology/approach The research design is cross-sectional in nature; convenience sampling and snowball sampling is done, and completely filled 288 questionnaires are considered for testing the conceptual framework. Structural equation modeling is used to assess the fit of framework. The study has incorporated attitude as a mediating variable in relation to purchase intention for “Halal” branded products. The originality of the research is based on responses collected from the respondents in the form of online and offline questionnaires. Findings Findings of the direct and indirect effects in the study show that attitude has a full mediation effect on purchase intention, i.e. in the presence of attitude as a mediation variable the direct effect of subjective norm and religiosity is insignificant and the effect caused through attitude is significant. Practical implications In a country like India, which enjoys a sufficiently good percentage of Muslim population (14.2 per cent), an understanding of attitude provides enough scope for marketers to strategize techniques to reduce dissonance of non-availability of “Halal” brands. Originality/value Research is atypical, as it has focused on the mediation effects of attitude toward “Halal” branded products with the help of cosmetic range of products.


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