Complements are warm and substitutes are competent: the effect of recommendation type on focal product evaluation

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yunhui Huang ◽  
Zhijie Lin ◽  
Lu Yang

PurposePrevious research about online recommendation systems has focused largely on their impact on customers' purchase decisions regarding the products being recommended, but it has mostly ignored how they may affect focal product evaluation. This research aimed to examine the influence of recommendation type (i.e. substitute-based vs complement-based) on focal product evaluation dependent on the brand image (i.e. warm vs competent).Design/methodology/approachFour laboratory experiments were conducted. Study 1 adopted an implicit association task. Studies 2 and 3 used a 2 (image: warmth vs competence) × 2 (product display: complements vs substitutes) between-subjects experimental design. Study 4 used a 2 (decision stage) × 2 (image) × 2 (product display) × continuous (need for cognition) between-subjects design.FindingsStudy 1 demonstrated a general “complementation (competition)—warmth (competence)” association. Studies 2 and 3 found that when a focal product had a warm (competent) image, complement-based (substitute-based) recommendations led customers to evaluate it more favorably than substitute-based (complement-based) recommendations. Study 3 further demonstrated that processing fluency mediates the above effect. Study 4 showed that this effect relies on heuristic processing and disappears for those who are in the screening stage or have a high need for cognition.Originality/valueTheoretically, this research extends the understanding of the stereotype content model of focal product brand image, the feelings-as-information process, and moderating roles of processing stage and need for cognition in e-commerce contexts. Practically, the findings provide online retailers a guideline for customizing their recommendation systems.

2018 ◽  
Vol 27 (2) ◽  
pp. 103-114 ◽  
Author(s):  
Nazuk Sharma

Purpose This research aims to investigate the impact of incorporating product shadows in brand advertising on consumer brand evaluations. Design/methodology/approach Three studies were designed using experimental approach to demonstrate how the presence of a product’s cast shadow in a brand’s promotional frame implicitly influences brand evaluations differently for experiential vs functional brands. Findings The presence of a product’s cast shadow in a visual frame implicitly complements abstract processing of an experiential brand but hurts a functional brand’s concrete gestalt by acting as visual noise, thereby improving an experiential brand’s overall evaluation in comparison to a functional brand. Research limitations/implications Current findings highlight the importance of using appropriate visual elements (especially subtle elements such as product shadows) to ensure communication consistency between the firm-formulated brand concept and the consumer-perceived brand image. Practical implications Experiential (vs functional) brand images are harder to build and maintain. Current findings show that a mere presence of the product’s shadow in an experiential (vs functional) brand’s ad frame reinforces the experiential brand image by acting as a consistent element in the experiential brand’s ad frame that enhances the overall ease of product evaluation. Hence, product shadows should be used as strategic tools by brand managers, rather than a random ad-execution choice. Originality/value This research makes an initial attempt to explore the relationship between product shadows and consumer brand perceptions. It provides a deeper understanding of the underlying process (based on associative networks memory model, construal level theory and processing fluency model) that influence specific brand perceptions (experiential vs functional) when a product is showcased with its shadow in a promotional frame.


2018 ◽  
Vol 36 (6) ◽  
pp. 678-693 ◽  
Author(s):  
Muhammad Mustafa Raziq ◽  
Qazi Mohammed Ahmed ◽  
Mansoor Ahmad ◽  
Saquib Yusaf ◽  
Aymen Sajjad ◽  
...  

Purpose The purpose of this paper is to examine the relationship of advertising skepticism and need for cognition with consumers’ attitudes toward brand. There is currently limited understanding on how advertising skepticism and need for cognition relate to the consumers’ attitudes. Design/methodology/approach Using a “within-brand-comparison” strategy, a mock print advertisement of a telecom brand is shown to 204 cellular services users in Pakistan. This is followed by a survey. Data are analyzed using a variance-based structural equation modeling. Findings The relationship of advertising skepticism with attitude toward brand is negative and partially mediated by the sequence of brand image, advertisement believability and attitudes toward advertisement. In contrast, the relationship between need for cognition and attitude toward brand is positive and fully mediated by the sequence of brand image, advertisement believability and attitudes toward advertisement. Originality/value The paper fills some theoretical as well as empirical gaps by showing how (in a within-brand comparative advertisement context) advertising skepticism and need for cognition relate to the consumers’ attitudes toward brand.


2017 ◽  
Vol 119 (2) ◽  
pp. 242-252 ◽  
Author(s):  
Hung-Chou Lin ◽  
Li-Chin Shih ◽  
Hung-Ming Lin

Purpose The purpose of this paper is to examine the underlying mechanisms of how consumers respond to health-claim framing via experimental design. Design/methodology/approach Across the two experiments conducted for this research, the authors examine the moderating effects of self-perceived health status and individuals’ need for cognition on health-claim framing. Findings The results indicate that personal differences moderate the effects of health-claim framing on consumers’ food-product evaluation. Consumers with poor health status evaluate food product more favorably when the reduced-disease-risk claims are offered. However, consumers with good health status evaluate food product similarly between the two health claims. Moreover, consumers with a high need for cognition evaluate food product more favorably when the reduced-disease-risk claims are used, whereas consumers with a low need for cognition evaluate food product more favorably when the enhance function claims are used. Practical implications This research provides that reduced-disease-risk claims may be the better communication message used to persuade consumers no matter they rate themselves as poor health status or good health status. Moreover, the results of the present research also indicate the importance of market segmentation. Marketers could design proper advertisements and select the appropriate media vehicles for low need for cognition readers and high need for cognition readers separately. Originality/value There has been few studies addressed consumers’ product choice with respect to different health-claim framing. Further, this research presents a new concept of the effects between individual differences and health-claim framing on consumers’ food-product evaluation.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Woon Kian Chong ◽  
Zhuang Ma

PurposeThis paper attempts to identify key factors (i.e., personalization, privacy awareness and social norms) that affect user experiences (UXs) of mobile recommendation systems according to the user involvement theory (push-based and pull-based) and their relationships.Design/methodology/approachThe study is based on an online survey with students from an international business school located in southwestern China. The sample population for the study included randomly selected 600 university students who are active mobile phone users. A total of 470 questionnaires were returned; 456 were valid (14 were invalid due to the incompleteness of their responses), providing a response rate of 65%.FindingsSocial norms have the largest impact on user experience quality, followed by personalization and privacy awareness. User involvement in mobile recommendation systems has mediating effects on the above relationships, with larger effects on pull-based systems than on push-based systems.Originality/valueThis study provides an integrated framework for researchers to measure the effects of social, personal and risk factors on the quality of user experience. The results enrich the literature on user involvement, mobile recommendation systems and UX. The findings provide significant implications for both retailers and developers of mobile recommendation systems.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chunhui Huo ◽  
Javaria Hameed ◽  
Muhammad Waqas Sadiq ◽  
Gadah Albasher ◽  
Wedad Alqahtani

PurposeThis paper aims to provide a valid insight into consumers' minds while considering word of mouth (WOM), brand image and uniqueness as independent variables while considering the tourism industry as the primary stakeholder.Design/methodology/approachThe study adopts qualitative research methods and data collected from 1,033 respondents using convenience sampling methodology. The data are collected from different tourists spots in China and Pakistan. The PROCESS macro was utilized in this study using SPSS version 25.0 to inspect the impacts by using Model 4 and the conditional effects indirectly by utilizing Model 14.FindingsCustomer's intimacy, search for novel and unexplored destinations highlight WOM interactions and perceived service value. Service value, interactional justice and professional attitude of hotel management mediated all the given relationships significantly. The brand image does not mediate any significant associations. Perceived service value and brand image predict customer's loyalty, and WOM is the direct measure of their intentions, and these variables are market trend indicators. A tourist's response toward different destinations is described in this study with comparative analysis of Chinese and Pakistani tourists. The study results showed a significantly positive relationship between hotel management professional behavior, customer's loyalty, customer's intimacy and WOM.Research limitations/implicationsThe recruited population might not be represented as the broader and larger visitor population, resulting in restricting establishing tactics. Moreover, this study's results provide significant insight into a tourism industry, hence providing a chance to manage customer loyalty better.Social, managerial and theoretical implicationsThis study contributes significantly to the body of knowledge and provides remarkable insight from the managerial perspective. Interactional justice results in significant value for hotel management directors and top management, front desk staff and operatives and front level employees and managers. Consumer sensitivity of fairness in interpersonal dealings calls for behavioral changes in frontline employees, especially those directly dealing with hotel visitors. Hotel staff and management should formulate a system to deal with the demands and needs of visitors. It should describe the rights and obligations of visitors and ensure that each customer is treated equally and with respect. Customers should be motivated to read the survey questionnaires kept in their rooms and offer their views on the services provided. This strategy might increase the customers' sense of empowerment and leading to notions of fairness in individual encounters.Originality/valueThis study provides an insight into the customer's minds while considering essential variables that include WOM, brand image, perceived service value and uniqueness.


Kybernetes ◽  
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zonghuo Li ◽  
Wensheng Yang ◽  
Yinyuan Si

PurposeThis paper investigates a dual-channel supply chain in which a manufacturer offers coupons in the online channel and the retailer in the offline channel. The optimal pricing and coupon promotion policies are explored, and the brand image under different promotion scenarios is studied.Design/methodology/approachThree differential game models, namely no coupon is offered, coupons offered by the manufacturer and coupons offered by the retailer, are constructed.FindingsThe results show that the manufacturer and retailer intend to conduct coupon promotions under a large coupon redemption rate. Coupon promotion derives a higher price and profit for the issuers, and the manufacturer can free-ride on the retailer's coupon promotion. The retailer's profit in the retailer-promotion scenario may be lower than that in the manufacturer-promotion scenario in some special conditions. Besides, price, coupon face value, brand image and profit increase over time. After multiple cycles game, the operational strategy evolves to an optimal equilibrium status.Originality/valueThis paper provides guidance and advice for dual-channel supply enterprises to implement joint pricing and coupon promotion strategies under multiple sales seasons.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Menglong Xia ◽  
Yang Zhang

PurposeMobile technologies have recently come to serve as the primary reservation option for the hospitality industry. This study examines the role of online experience in determining potential consumers' perceived hotel brand image, through a three-stage model based on the stimulus–organism–response (SOR) framework.Design/methodology/approachA dual-stage analytical procedure, including structural equation modeling (SEM) and an artificial neural network (ANN) approach, was adopted to test the hypotheses.FindingsOnline experience of mobile applications (apps) can be influenced by perceived usefulness. As the indivisible component of consumers' cognitive beliefs, perceived ease of use exerts a positive impact on online experience. The online experience of mobile apps positively influenced brand awareness and satisfaction, further contributing to potential consumers' brand image formation.Research limitations/implicationsThis study empirically verified the relationships among potential hotel consumers' perceptions of official hotel mobile app quality, online experience and brand image.Practical implicationsThis study reiterates the importance of official hotel apps in implementing online marketing strategies, suggesting that hoteliers should pay attention to enhancing the quality of their official apps.Originality/valueThis study is one of the first to combine machine learning techniques with the traditional SEM approach to assess linear and nonlinear relationships in consumers' perceptual models. Additionally, the findings provide theoretical insights into the online experience of mobile apps and reveal the perceived brand image formation process of potential consumers.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ziang Wang ◽  
Feng Yang

Purpose It has always been a hot topic for online retailers to obtain consumers’ product evaluations from massive online reviews. In the process of online shopping, there is no face-to-face interaction between online retailers and customers. After collecting online reviews left by customers, online retailers are eager to acquire answers to some questions. For example, which product attributes will attract consumers? Or which step brings a better experience to consumers during the process of shopping? This paper aims to associate the latent Dirichlet allocation (LDA) model with the consumers’ attitude and provides a method to calculate the numerical measure of consumers’ product evaluation expressed in each word. Design/methodology/approach First, all possible pairs of reviews are organized as a document to build the corpus. After that, latent topics of the traditional LDA model noted as the standard LDA model, are separated into shared and differential topics. Then, the authors associate the model with consumers’ attitudes toward each review which is distinguished as positive review and non-positive review. The product evaluation reflected in consumers’ binary attitude is expanded to each word that appeared in the corpus. Finally, a variational optimization is introduced to calculate parameters mentioned in the expanded LDA model. Findings The experiment’s result illustrates that the LDA model in the research noted as an expanded LDA model, can successfully assign sufficient probability with words related to products attributes or consumers’ product evaluation. Compared with the standard LDA model, the expanded model intended to assign higher probability with words, which have a higher ranking within each topic. Besides, the expanded model also has higher precision on the prediction set, which shows that breaking down the topics into two categories fits better on the data set than the standard LDA model. The product evaluation of each word is calculated by the expanded model and depicted at the end of the experiment. Originality/value This research provides a new method to calculate consumers’ product evaluation from reviews in the level of words. Words may be used to describe product attributes or consumers’ experiences in reviews. Assigning words with numerical measures can analyze consumers’ products evaluation quantitatively. Besides, words are labeled themselves, they can also be ranked if a numerical measure is given. Online retailers can benefit from the result for label choosing, advertising or product recommendation.


2018 ◽  
Vol 53 (4) ◽  
pp. 597-621 ◽  
Author(s):  
Lara Cristina Francisco de Almeida Fehr ◽  
Welington Rocha

PurposeThis paper aims to discuss the role of open-book accounting (OBA) and trust on buyer–supplier relationship satisfaction. The objective of this paper is to analyze how OBA and trust influence satisfaction on the relationship between suppliers and buyers in the Brazilian automotive sector’s supply chain.Design/methodology/approachThe research has been developed based on a qualitative strategy, characterized as explanatory. Data gathering has been conducted through document analysis and semi-structured interview, and content analysis has been used for discourse analysis.FindingsResults show that OBA is unilateral, imposed by the auto manufacturer, representing a selective information process, as suppliers try to protect their information value as far as possible. Trust is partial and cooperation is not spontaneous, both driven by the search for benefits. OBA may yield a positive or a negative outcome with regard to the social and the economic overall satisfaction of suppliers, depending on how the information is used by auto manufacturer.Originality/valueThe main contribution of this article is to provide an understanding of the difficulties of applying the OBA in companies and of the factors that may influence its operation and performance, impacting on satisfaction and continuity of relationships. The paper also contributes with the proposal of a clearer and more objective definition of OBA. Being the intention that new research in this area can be developed from a delimited, clear and objective definition of OBA, allowing better understanding on the subject and comparison among research studies.


2018 ◽  
Vol 31 (2) ◽  
pp. 326-335
Author(s):  
Esmeralda Brito-Cervantes ◽  
Semei Coronado ◽  
Manuel Morales-García ◽  
Omar Rojas

Purpose The purpose of this paper is to analyse the adaptive market efficiency in the price–volume (P–V) relationship of the stocks listed in the Mexican Stock Exchange. The period under study goes from 1982 to 2015. In order to detect causality and, thus, determine adaptive efficiency in the market, one linear and two non-linear tests are applied. There are few papers in the literature that study the P–V relationship in Latin American markets; as such, this paper may be of interest and importance to financial academics and practitioners alike. Design/methodology/approach The Diks and Panchenko (DP) non-parametric Granger causality and the Brooks and Hinich (BH) cross-bicorrelation tests are applied. Findings Derived from the DP test, the findings show that there exists bi-directional non-linear Granger causality in 25.71 per cent of the firms studied, compared to 8 per cent when applying the linear Granger causality test. Therefore, there is evidence of weak-form efficiency in the market. From the BH test, evidence is shown of the adaptive market efficiency, since 71.42 per cent of firms exhibited some form of non-linear dependence in certain periods of time. With these results, the information process should be better studied for a greater comprehension of regulatory policies in the market and better decision-making tools for the investors. Originality/value This paper complements studies on the P–V relationship and efficiency in a Latin American market.


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