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Limited research has paid attention to the physical attractiveness stereotype in peer-to-peer sharing accommodation settings. Since the high-risk situations in sharing accommodations, this paper aims to exam whether beauty premium is still relevant in peer-to-peer (P2P) accommodation.

The mixed method, including 2,506 secondary data analysis and two scenario experiments, is carried out to test the research framework.

The results show that both beauty premium and beauty penalty exist in the e-commerce context. Excessively high attractiveness and plain looking of hosts are likely to decrease consumers’ booking decision while moderately attractive hosts will stimulate more booking behaviors. Moreover, perceived trustworthiness mediates the effect of physical attractiveness on booking decision. Additionally, similarity between hosts and consumers plays a moderating role in the relationship between physical attractiveness and perceived trustworthiness.

This study reveals the physical attractiveness stereotype effects in P2P accommodation and carry implications to P2P platforms and hosts for providing moderately attractive profile photos, enhancing trustworthiness and similarity between hosts and consumers. Further studies can investigate the robustness of the findings as well as more possible reasons for its occurrence.

The research provides a clearer understanding of physical attractiveness stereotype effect in peer-to-peer sharing accommodation platforms. Besides, the linkage between physical attractiveness and perceived trustworthiness is dynamic; a high host – consumer similarity weakens the negative impact of both excessively high attractiveness and plain looking on consumers’ perceived trustworthiness.

In the age of “big data,” one of the most important capabilities that differentiates the winners from the losers in the intensely competitive grocery market is how successfully a firm can harness its vast amounts of shopper data to become more shopper-centric. Grocery retailers struggle with how to manage the tremendous amount of data available to them and best leverage their frequent shopper data to derive insights. These data also present an opportunity for academic research on decision-making and evaluation of strategic initiatives. This chapter discusses three case studies that illustrate the various capabilities of frequent shopper data in generating shopper insights. Specifically, using frequent shopper data for millions of shoppers, the three case studies demonstrate how frequent shopper data can be used as an important information asset for understanding differences and similarities among different shopper groups (Case Study 1), as a means to assess the effectiveness of store redesigns/environment changes (Case Study 2), and as a key tool for evaluating program success (Case Study 3). The chapter concludes with a discussion of how successful collaboration between practitioners and academics can be a boon to both business success and academic research.

Pulchronomics studies the economics of beauty. The purpose of this paper is to research CEO pulchronomics by examining whether a beauty premium exists in CEO compensation and whether this beauty premium is justified by differences in CEO performance.

The authors calculate a facial attractiveness scores (FAS) based on facial symmetry, facial structure and the golden ratio. The authors then perform OLS regressions to examine the effect of CEO beauty on CEO compensation and firm performances.

The authors find that base salaries for attractive CEOs are higher than those for unattractive CEOs, but incentive pays for attractive CEOs are not different from those for unattractive CEOs. The latter is likely due to the fact that attractive CEOs do not outperform unattractive CEOs in operations, innovation, corporate social responsibility and financial reporting quality.

Since the CEO beauty premium is not supported by the superior performance of attractive CEOs, this paper provides new evidence of appearance discrimination in CEO compensation.

The impact of image is widely investigated in various research fields. However, its effect in online health communities is rarely studied. In this research, the authors develop a theoretical model to assess the impact of physicians' image on patients' choices in online health communities.

The authors developed a web crawler based on R language program to collect more than 40,000 physicians' images and other related information from their homepages in Haodf.com–a leading online health community in China. The features of physicians' images are computed by Face++ Application Programming Interface (API) through the following variables: beauty, smile and skin status.

The empirical results derive the following findings: (1) physician's beauty or physical attractiveness has no significant effect on patients’ choice; (2) Smile has a positive effect on patients’ choices; (3) Physician's skin status also positively affects patients' choices; (4) Physician's professional capital strengthens the effect of beauty, smile and skin status on patients' choices; (5) Beauty and skin status are the substitutes for each other, and smile and skin status are the substitutes for each other too.

Also, this study provides implications for both physicians and online health community platform managers.

This study provides new evidence in understanding the impact of physician's online image and contributes to the literature on signaling theory, impression management theory and patients' choices.

By working through the case and assignment questions, students will be able to conduct a marketing environmental analysis to aid strategic decisions; analyse the first-mover advantages of a retail firm and how these can be sustained; comprehend online retail business models and the challenges therein; understand the trade-offs of online/offline retail experiences specific to an emerging market’s beauty and personal care sector; conceptualize and formulate actionable growth strategies that balance the individual and collective requirements of brick and mortar and retail e-commerce environments.

The case is set in 2022, right after Nykaa – the pioneer of beauty and wellness e-commerce platforms in India makes a blockbuster stock market debut in 2021. Starting in 2012 with a disruptive online model for selling beauty and wellness products online in India, Nykaa had come a long way with expansions in physical retail and other segments such as fashion. The firm, which initially aimed to be a virtual store, is now thinking of aggressively expanding in the brick-and-mortar retail space as it opens its 85th retail outlet.

Falguni S. Nayar, founder and CEO of Nykaa, wanted to roll out 300 physical stores targeting 100 cities in India in the next couple of years. She aspired to establish Nykaa as a category leader as the “Indian Sephora” in the beauty and personal care market. Nykaa’s first-mover advantage in the online beauty and personal care marketplace worked well to establish it as a brand with positive endorsements by digital shoppers that enhanced the investment potential with potential financiers. However, the pandemic had brought every physical retailer to the online platform. Most e-commerce platforms dealing in grocery to lifestyle had added personal care products to their existing merchandise.

Additionally, several start-ups had ventured into the online marketplace. Online was a cluttered marketplace with little to no differentiation. In this bloodbath, would the first-mover advantage for Nykaa in the online space still count as a competitive advantage? Nayar was all set to expand Nykaa’s physical presence aggressively. The concern was that the beauty and personal care segment had also moved online as a function of long stay-at-home periods. In the post-pandemic times, would the customer indeed revert to brick and mortar once again? Nykaa was also into product formulations, but so was every big and small player in the space. What was the differentiated winning formula for the consumer’s heart and mind?

The case can be effectively used in foundation courses in marketing and a wide range of specialized courses on marketing management (core/foundation course), retail marketing and e-commerce/digital marketing and e-commerce for B-school learners. The complex decision points faced by an innovative e-commerce start-up firm on its road to market expansion make the case suitable for niche courses such as Marketing for Start-ups. Moreover, learners in executive MBA programs with considerable experience can benefit from the case analysis that balances a growing retail company’s long- and short-run objectives.

Teaching notes are available for educators only.

CSS 8: Marketing.

This paper aims to investigate how the use of varying amounts of makeup by sales personnel influences perceived salesperson trustworthiness and downstream purchase intentions/sales effectiveness.

Two studies were run with female and male makeup usage examined separately. In each study, a between-subjects, scenario-based experiment was run on Qualtrics in which participants were randomly assigned to conditions representing a salesperson with varying levels of makeup usage (none to glamorous/extreme).

Using ANOVA, the authors find that the glamorous/extreme makeup condition led to significantly lower perceptions of trustworthiness. Furthermore, mediation models for both studies found that increased salesperson makeup predicted lower perceived trustworthiness, resulting in lower purchase intentions and sales effectiveness.

Managers and salespersons can benefit from these findings through increased awareness of the “masking” effect of wearing too much makeup and the insight that more is not always better when it comes to the use of makeup to increase salesperson attractiveness and effectiveness.

Much work has been done in the past on attractiveness of salespersons in general and the “beauty premium.” The present work expands on this literature by examining a specific strategy, yet to be rigorously examined, that sales personnel may use to increase their attractiveness – makeup, and by identifying an “optimal” level of makeup usage.

The learning outcomes of this paper is as follows: to identify unique selling points of a growing business for attaining competitive advantage; to understand the role of segmentation for Wellness Zone Headmasters (WZH); to explore different strategic choices for successful expansion of business; to help students understand the concept of customer satisfaction in a competitive industry; and to understand the importance of differentiation as a major deciding factor for the future of a business.

In March 2020, Kumud Goel, one of the directors of WZH, a chain of wellness spa and salon in Jammu and Kashmir (India), was considering different marketing strategies to grow her existing business. The company had opened two new outlets in the past two years and was looking at increasing its customer base. Kumud was concerned about keeping her customers satisfied in a highly competitive industry. She was aware that differentiation was critical for future growth. In what ways could WZH differentiate itself from its competitors at a time when the market was exploding? Could customer segmentation be the solution? What measures would WZH need to take to increase its repeat customers?

The case is appropriate for use in a 90-min class in a Masters in Business Administration-level management course and for undergraduates, especially marketing majors and in a module on marketing strategy and customer value.

Teaching notes are available for educators only.

CSS 8: Marketing.

The purpose of this paper is to explore how both gender and facial attractiveness affect job candidates’ chances of obtaining interviews in China’s dynamic internet job board labor market. It examines how discrimination based on these attributes varies over occupation, location, and firms’ ownership type and size.

The authors carry out a resume audit (correspondence) study. Resumes of fictitious applicants are first carefully crafted to make candidates appear equally productive in terms of their work histories and educational backgrounds. The authors control gender and facial attractiveness. The authors establish the facial attractiveness of candidate photos via an online survey. In total, 24,192 applications are submitted to 12,096 job postings across four occupations in six Chinese cities. Callbacks are carefully tracked and recorded. Discrimination is estimated by calculating the differences in the rates of callbacks for interviews received by individuals whose applications vary only in terms of facial attractiveness and gender. The authors reuse the same resumes repeatedly through this project such that names and photos of each of the candidates: attractive man, attractive woman, unattractive man, and unattractive woman is attached to each resume hundreds of times for each occupation in each city.

The authors find sizable differences in the interview callback rates of attractive and unattractive job candidates. Job candidates with unattractive faces need to put in 33 percent more applications than their attractive counterparts to obtain the same number of interview callbacks. Women are preferred to men in three of the four occupations. Women, on average need put in only 91 percent as many applications as men to obtain the same number of interview callbacks.

The analysis of this paper focusses on only four different occupations. Its scope is also limited to exploring only the first part of the hiring process – obtaining a job interview. Furthermore, its fictitious applicants are all young people, approximately 25 years old. It would be useful to explore how gender and facial attractiveness affect candidates’ chances of landing a job after getting an interview.

This paper contributes to and expands the literature on hiring through China’s internet job boards. It also contributes to the literature on the role of facial attractiveness in hiring.

The purpose of this paper is to assess field experiments of labour and product markets that have attached photos to identify applicants (in the case of labour markets) or sellers/crowd funders (in the case of product markets).

The experiments seek to identify the contribution of attractiveness, race/ethnicity, skin colour, sexual orientation or religion to the behaviour of agents in markets. These experiments attach photos to CV to signal attractiveness, or the basis of being tested such as race/ethnicity, skin colour or religion.

Many experiments report significant findings for the impact of attractiveness or the identity revealed on positive callbacks to applicants.

The issue considered here, however, is to what extent it is attractiveness or other perceived characteristics that may have had an impact on the behaviour recorded in the experiments. The results of the studies covered in this paper, to a lesser extent those of Weichselbaumer (2004) and Baert (2017), are compromised by including photos, with the possibility the responses received were influenced not only by the basis being tested such as attractiveness, race/ethnicity or religion but by some other characteristic unintended by the researcher but conveyed by the photo.

There is evidence in the experimental work of a range of characteristics that photos convey of individuals and their impact on labour and product market outcomes such as success in obtaining a positive response to job applications and success in obtaining funding to finance projects in the product market. Suggestions are made for future experiments: evaluation of photos for a range of characteristics; use of a “no photo” application together with the photo applications; and evaluation of responses for any bias from unobservable characteristics using Neumark (2012).

This paper discusses for the first time three questions with some tentative answers. First, the researcher faces introducing further unobservable characteristics by using photos. Second, the researcher cannot fully control the experimental approach when using photos. Third, the researcher is able to accurately evaluate the impact of the photos used on the response/probability of call back. Field experiments using photos need to ensure they do this for the range of factors that have been shown to affect judgments and therefore potentially influence call back response. However, the issue remains whether the researcher has, in fact, identified all potential characteristics conveyed by the photos.