Does a transparent umbrella make you longing for a humorous movie? The influence of transparency on decision-making

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jiangang Du ◽  
Danhui Li ◽  
Yuxuan Zhao ◽  
Mengya Yang
Keyword(s):  
Decision Making ◽  
Willingness To Pay ◽  
Negative Emotion ◽  
Product Evaluation ◽  
Judgment And Decision Making ◽  
Consumer Decision Making ◽  
Content Type ◽  
Emotional Dimension ◽  
The Impact ◽  
Opaque Products

PurposeThe purpose of this paper is to examine the influence of transparency on consumers' judgment and decision-making.Design/methodology/approachThis study uses an experimental research design in which participants' negative emotions dynamically change driven by group emotional interactions when they are experiencing a group complaint.FindingsThe experimental results show that compared with opaque products, transparent products make consumers rely more on emotions to make judgments and decisions (Experiment 1). It is precise because transparency increases the influence of emotion on consumers' judgment and decision-making that positive emotion makes consumers' evaluation and willingness to pay higher, while negative emotion makes consumers' evaluation and willingness to pay lower (Experiments 2 and 3). Transparency will also affect consumers' subsequent judgment and decision-making methods, so they are more inclined to choose the option with the dominant emotional dimension (Experiment 4).Originality/valuePrevious studies mainly focus on the impact of transparent packaging on consumers and discuss the impact of transparent packaging on consumer product evaluation and consumption quantity. This study proves that product-related transparent elements can also affect consumers' decision-making methods, making them more dependent on emotions to make decisions, enriching the research on the influencing factors of consumer decision-making methods.

The influence of price and promotion on package size propensity

2017 ◽  
Vol 32 (2) ◽  
pp. 93-103
Author(s):  
Amit K. Ghosh
Keyword(s):  
Decision Making ◽  
Product Category ◽  
Relative Price ◽  
Grocery Stores ◽  
Consumer Decision Making ◽  
Content Type ◽  
Household Level ◽  
Packaged Goods ◽  
Package Size ◽  
The Impact

Purpose The constantly changing prices, promotions, and packaging options have made decision making more complex for consumers of packaged goods. The purpose of this paper is to explore how price and promotions influence consumer propensity to buy a certain package size. Design/methodology/approach Scanner panel data for shelf-stable salad dressing obtained from Information Resources Inc. were used to compute the proportion of large packages bought, the relative price paid for large packages, propensity to use various types of promotions, and a behavioral covariate for each household. Data of over 5,600 households were analyzed using a multiple regression analysis for hypothesis testing. Findings The positive nature of relationship between the relative price of large packages and the proportion of large packages bought demonstrates the suboptimal nature of consumer decision making. The inefficiency is partially attributable to the abundance of promotions, to consumers’ lack of price awareness, and to the use of heuristics by consumers. Also, consumers who are prone to use promotions such as displays and temporary price reductions tend to purchase larger packages. They are more likely to buy impulsively and base their decisions on heuristics. In contrast, consumers who are influenced by featured price cuts and who utilize coupons tend to purchase smaller packages. Research limitations/implications Data were obtained from grocery stores; only a single product category was studied. Practical implications Offer coupons and advertise featured price cuts on small packages to increase the sales of smaller packages. To move large packages successfully, retailers should rely more on in-store displays and temporary price reductions. Originality/value The impact of price and promotions on package size propensity has never been investigated. This study is also one of the few that uses a household-level analysis based on observable purchase data for consumer packaged goods.

scholarly journals The impact of product presentation on decision-making and purchasing

2019 ◽  
Vol 22 (3) ◽  
pp. 365-380 ◽  
Author(s):  
Rosy Boardman ◽  
Helen McCormick
Keyword(s):  
Decision Making ◽  
Eye Tracking ◽  
Visual Information ◽  
Age Groups ◽  
Target Market ◽  
Consumer Decision Making ◽  
Consumer Decision ◽  
Content Type ◽  
Product Presentation ◽  
The Impact

Purpose This paper aims to investigate how apparel product presentation influences consumer decision-making and whether there are any differences between age groups. Design/methodology/approach A mixed methodology was used including eye-tracking and qualitative in-depth interviews, with a purposive sample of 50 participants between age 20 and 70. Findings A higher number of product presentation features resulted in increased positive visual, cognitive and affective responses as consumers wanted as much visual information as possible to aid decision-making. Images of models attracted the most attention and were the most influential product presentation feature, followed by mannequin images and the zoom function. The 20 s spent much less time viewing and interacting with the product presentation features than middle age groups (30 s-50 s), had minimal fixations on mannequin images and had a much quicker decision-making process than other age groups. Practical implications The research informs retailers which product presentation features are the most effective for their target market to aid consumer decision-making with the aim of reducing returns. Originality/value The paper contributes to the literature by providing more in-depth insights than previous studies into the impact of online product presentation on consumer decision-making by using qualitative research and eye-tracking. The research also explores more product presentation features than previous research and investigates the presentation of apparel products, which are notoriously the most difficult products for consumers to assess online. The research is unique in its exploration of age differences in relation to product presentation features.

The role of elaboration likelihood routes in relationships between user-generated content and willingness to pay more

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Bekir Bora Dedeoğlu ◽  
Anil Bilgihan ◽  
Ben Haobin Ye ◽  
Yajun Wang ◽  
Fevzi Okumus
Keyword(s):  
Decision Making ◽  
Social Media ◽  
Willingness To Pay ◽  
Structural Equation ◽  
Group Analysis ◽  
Equation Modeling ◽  
Moderating Effects ◽  
Content Type ◽  
Central Route ◽  
The Impact

Purpose The purpose of this paper is to examine the impact of social media sharing on tourists’ willingness to pay more (WPM) at destinations. The moderating effects of tourists’ preferred route in decision-making or obtaining information (i.e. central or peripheral routes) were also examined. Design/methodology/approach A theoretical model was developed and tested using partial least squares structural equation modeling (PLS-SEM). Moderating effects of central and peripheral routes were tested using PLS multi-group analysis. Data were collected from 478 tourists in Antalya, Turkey, a sea, sun and sand tourist destination. Findings Findings indicate that importance attached to participant sharing (IPS) and importance attached to non-participant sharing (INPS) are significant antecedents of tourists’ WPM intentions. Moderating effects of tourists’ preferred route in decision-making reveal that the effect of IPS on WPM intention is more influential for those with high central route preferences than those with low central route preferences. While the effects of INPS and IPS on WPM intention is more determinative for those with higher peripheral route preferences. Practical implications Although it is known by the practitioners that consumer-generated contents are important, this research suggests and supports that these contents trigger tourists to pay higher prices. Originality/value How WPM is motivated by others’ social media sharing was not very clear in the literature. Therefore, this research gap was addressed in part by examining the social media sharing structure in terms of whether others posted on organization-related sites or on personal sites.

Exclusive books: applying a behavioural economics perspective

2020 ◽  
Vol 10 (3) ◽  
pp. 1-30
Author(s):  
Thiroshnee Naidoo ◽  
Charlene Lew
Keyword(s):  
Decision Making ◽  
Learning Outcomes ◽  
Consumer Choice ◽  
Behavioural Economics ◽  
Choice Overload ◽  
Consumer Decision Making ◽  
Consumer Decision ◽  
Content Type ◽  
The Impact

Learning outcomes The learning outcomes are as follows: understanding of the principles of choice overload and the impact of consumer choice overload on company sustainability and growth prospects; understanding of how several heuristics inform consumer decision-making; applying nudge theory to interpret and clarify the impact and consequences of nudges on consumer decision-making; and considering the challenge of a newly appointed CEO to influence consumer choice. Case overview/synopsis The case study and teaching note offers insights into the use of behavioural economics principles in consumer choice. The case study methodology was used to design, analyse and interpret the real-life application of behavioural economics in the retail sector. The case demonstrates how choice overload, dual process theory, decision heuristics and nudge theory play a role in consumer decision-making. The case offers insights into the application of behavioural economics to support the sustainability of a company in an emerging market context. Managers can use the findings to consider how to use behavioural economics principles to drive consumer choice. The application of behavioural economics to an industry facing challenges of sustainability offers new insights into how to design spaces and cues for consumer choice. Complexity academic level The case study is suitable for course in business administration, specifically at postgraduate level. Supplementary materials Teaching notes are available for educators only. Subject code CSS 8: Marketing

A materialistic perspective of consumer decision-making styles

2019 ◽  
Vol 12 (2) ◽  
pp. 231-248
Author(s):  
Sartaj Chaudhary ◽  
Ajoy Kumar Dey
Keyword(s):  
Decision Making ◽  
School Children ◽  
Negative Impact ◽  
Second Order ◽  
Theory And Practice ◽  
Consumer Decision Making ◽  
Consumer Decision ◽  
Content Type ◽  
Decision Making Styles ◽  
The Impact

Purpose Materialism has become a topic of increasing interest to researchers and policymakers because it can influence consumer behavior. However, a clear picture of how this phenomenon impacts consumers has proven to be elusive. Using an integrated framework, this paper aims to derive hypotheses from theoretical concepts of materialism and consumer decision-making styles and uses a survey of 1,216 respondents in India to test the hypotheses. Design/methodology/approach The present study is the first of its kind to test the impact of materialist values on consumer decision-making styles among a sample of 13-18 years old school children. The constructs are validated through a first- and second-order confirmatory factor analysis and an integrated second-order structural model is developed. Findings This study finds that materialism is a positive predictor of “recreation/ hedonistic”,; “confused by over-choice”; “brand consciousness”; “perfectionistic high-quality consciousness”; and “habitual brand loyal” style of consumers. Further, materialism has a negative impact on “price value consciousness” of consumers. These findings have important implications for theory and practice. Research limitations/implications This study is restricted to school children in the National Capital Region and hence cannot be generalized to the whole young population in India. Originality/value Conceptualizing both materialism and consumer decision-making styles as second-order constructs, this is a maiden study that examines the impact of materialistic values on the consumer decision-making styles of young consumers.

The sustainability word challenge

2018 ◽  
Vol 22 (2) ◽  
pp. 252-269 ◽  
Author(s):  
Susan Evans ◽  
Anne Peirson-Smith
Keyword(s):  
Decision Making ◽  
Hong Kong ◽  
Sustainable Consumption ◽  
Consumer Decision Making ◽  
Suggested Approach ◽  
Content Type ◽  
Ethnographic Interviews ◽  
Fashion Brand ◽  
User Frustration ◽  
The Impact

Purpose The purpose of this paper is to examine user perceptions toward consumer-facing words used by fashion brands to stimulate sustainable consumption and post consumption behavior. Design/methodology/approach A self-completion, survey based matching exercise was administered to 100 active fashion-shoppers in Hong Kong aged between 18 and 35 years old. A probability sampling method was used for on-street intercepts to ensure a random selection within the defined population. This was accompanied by 20 individual ethnographic interviews. Findings A lack of understanding and comprehension of key green language terminology used frequently in user facing communications is problematic for fashion brand marketers as the impact of their messages is often unclear, distributed and more likely to lead to user frustration rather than positive engaged consumer decision making and action. Further, there is an emerging indication that this approach is highly unlikely to enhance knowledge, engagement and action or to influence brand loyalty. Research limitations/implications Data were collected in Hong Kong and is culturally bounded, so while providing a good indication of the findings in situ this can also be replicated in other locations. Practical implications Recommended outcomes from the findings suggest that brand messages should be delivered that are intended to stimulate sustainability behaviors that are core to one key brand theme so that user outcome decision making and actions fit with the core brand values. This suggested approach will have a greater likelihood of leading to brand trust, responsible business action and greater clarity about the issue of sustainability and related action to be taken on behalf of the user. Originality/value The paper raises concerns about the effectiveness and outcomes of fashion brand marketing communications and findings provide insights into the confusion of understanding and the rise in frustration among targeted fashion shoppers 18-35 years, despite the use of frequently used words in brand communications to promote sustainable fashion consumption behaviors.

Influence of aggregated ratings on purchase decisions: an event-related potential study

2018 ◽  
Vol 52 (1/2) ◽  
pp. 147-158 ◽  
Author(s):  
Yongchao Shen ◽  
Wei Shan ◽  
Jing Luan
Keyword(s):  
Decision Making ◽  
Online Shopping ◽  
Event Related Potential ◽  
Behavioral Data ◽  
Consumer Decision Making ◽  
Neural Basis ◽  
Consumer Decision ◽  
Content Type ◽  
Decision Making Processes ◽  
The Impact

Purpose In an online shopping environment, individual reviews and aggregated ratings are important anchors for consumers’ purchasing decisions. However, few studies have considered the influence of aggregated ratings on consumer decision-making, especially at the neural level. This study aims to bridge this gap by investigating the consumer decision-making mechanism based on aggregated ratings to uncover the underlying neural basis and psychological processing. Design/methodology/approach An event-related potential experiment was designed to acquire consumers’ electrophysiological records and behavioral data during their decision-making processes based on aggregated ratings. The authors speculate that during this process, review valence categorization (RVC) processing occurs, which is indicated by late positive potential (LPP) components. Findings Results show that LPP components were elicited successfully, and perceptual review valence can modulate its amplitudes (one-star [negative] and five-star [positive] ratings evoke larger LPP amplitudes than three-star [neutral] ratings). The electroencephalogram data indicate that consumer decision-making processes based on aggregated ratings include an RVC process, and behavioral data show that easier review valence perception makes the purchase decision-making easier. Originality/value This study enriches the extant literature on the impact of aggregated ratings on consumer decision-making. It helps understand how aggregated ratings affect consumers’ online shopping decisions, having significant management implications. Moreover, it shows that LPP components can be potentially used by researchers and companies to evaluate and analyze consumer emotion and categorization processing, serving as an important objective physiological indicator of consumer behavior.

Impact of Muslim decision-making style and religiosity on intention to purchasing certified halal food

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hardius Usman ◽  
Chairy Chairy ◽  
Nucke Widowati Kusumo Projo
Keyword(s):  
Decision Making ◽  
Online Survey ◽  
Positive Impact ◽  
Survey Method ◽  
Consumer Decision Making ◽  
High Quality ◽  
Consumer Decision ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to: build Muslim consumer decision-making style (MCDMS); analyze the influence of the consumer decision-making style on Muslim behavior to buy halal certified food; analyze the impact of religiosity on Muslim behavior in buying halal-certified food and study the role of religiosity in the relationship between MCDMS and Muslim behavior in buying halal certified food. Design/methodology/approach This study’s target population is the Muslim Indonesian population age at least 18 years old. The self-administered survey method is carried out based on convenience and snowball sampling techniques and the questionnaire is distributed online. This study collects data from 396 Muslim respondents in Indonesia through an online survey. Factor analysis and regression with interaction variables are applied to test the research hypothesis statistically. Findings This study reveals several results: MCDMS produces 10 dimensions; halal consciousness is an important dimension; the perfectionist/high-quality conscious and price-conscious, has a significant negative effect on the intention to buy halal-certified food; the halal consciousness and the recreational/hedonic conscious have a significant positive effect on the intention to buy halal certified food; religiosity has a significant positive impact directly on the intention to purchase halal-certified food; Religiosity positively moderates the impact of a perfectionist/high-quality conscious and price-conscious on the intention to buy halal-certified food. Originality/value This paper will build an MCDMS by adding the dimensions of halal consciousness. The author has not found literature about MCDMS. This research will also study the impact of MCDMS and religiosity on the intention to buy halal-certified food, as well as will study the role of religiosity in relationships between Muslim decision-making styles and intention to buy halal-certified food. Similar research is still very limited in marketing literature.

The effects of country-of-origin fit on cross-border brand alliances

2018 ◽  
Vol 30 (5) ◽  
pp. 1259-1276 ◽  
Author(s):  
Jin Kyun Lee ◽  
Byung-Kwan Lee ◽  
Wei-Na Lee
Keyword(s):  
Country Of Origin ◽  
Product Evaluation ◽  
Consumer Product ◽  
Product Knowledge ◽  
Consumer Decision Making ◽  
Content Type ◽  
Cross Border ◽  
High Knowledge ◽  
Mixed Factorial Design ◽  
The Impact

PurposeThe purpose of this paper is to investigate the impact of country-of-origin (COO) fit and consumer product knowledge on consumer brand attitudes in a cross-border strategic brand alliance (SBA).Design/methodology/approachAn experimental study with 207 subjects was conducted using a series of 2 (COO fit: low vs high COO fit) by 3 (product knowledge: low vs moderate vs high knowledge) by 2 (time: pre- vs post-alliance attitudes) mixed factorial design.FindingsThe impact of COO fit on pre- and post-alliance changes in attitude toward the partner brand showed a nonlinear relationship from high-, to moderate-, to low-knowledge consumers. High COO fit significantly and positively affected pre- and post-alliance changes in attitude toward the partner brand more for high- and low-knowledge consumers than for moderate-knowledge consumers. In contrast, low COO fit significantly and positively affected pre- and post-alliance changes in attitude toward the partner brand more for moderate-knowledge consumers than for high- and low-knowledge consumers.Practical implicationsThe effectiveness of cross-border SBAs differs with consumer product knowledge. For high- and low-knowledge consumers, high COO fit information had greater impact than low COO fit information in their product evaluation. However, when targeting moderate-knowledge consumers, providing sufficient product-related attribute information would help them to generate a favorable brand attitude.Originality/valueThis study attempted to identify the complex relationship between COO fit and consumer product knowledge on the consumer decision-making process.

scholarly journals Online Reviews and Product Sales: The Role of Review Visibility

2021 ◽  
Vol 16 (4) ◽  
pp. 638-669
Author(s):  
Miriam Alzate ◽  
Marta Arce-Urriza ◽  
Javier Cebollada
Keyword(s):  
Decision Making ◽  
Dynamic Models ◽  
Generalized Method Of Moments ◽  
Online Reviews ◽  
Consumer Decision Making ◽  
Product Sales ◽  
The Impact ◽  
The Relationship ◽  
The Empirical Analysis

When studying the impact of online reviews on product sales, previous scholars have usually assumed that every review for a product has the same probability of being viewed by consumers. However, decision-making and information processing theories underline that the accessibility of information plays a role in consumer decision-making. We incorporate the notion of review visibility to study the relationship between online reviews and product sales, which is proxied by sales rank information, studying three different cases: (1) when every online review is assumed to have the same probability of being viewed; (2) when we assume that consumers sort online reviews by the most helpful mechanism; and (3) when we assume that consumers sort online reviews by the most recent mechanism. Review non-textual and textual variables are analyzed. The empirical analysis is conducted using a panel of 119 cosmetic products over a period of nine weeks. Using the system generalized method of moments (system GMM) method for dynamic models of panel data, our findings reveal that review variables influence product sales, but the magnitude, and even the direction of the effect, vary amongst visibility cases. Overall, the characteristics of the most helpful reviews have a higher impact on sales.

Sign in / Sign up

Export Citation Format

Share Document