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The purpose of this paper is to examine how factors that affect the processing of bundled price information moderate consumer response to a price discount on the bundle. Literature on categorical vs piecemeal processing of information predicts that consumers will be inclined to process a bundled price categorically unless circumstances encourage a piecemeal processing approach. Marketing relevant variables that foster piecemeal processing should result in stronger effects for discount size on bundle choice.

This paper reports two experiments that demonstrate that the effect of discount size on bundle choice is moderated by increased salience of price information and lower familiarity with the purchase situation, both of which increase item price processing.

When the presentation format encouraged item price processing with more salient item prices or a less familiar purchase situation, a discount on the bundle significantly increased the likelihood of bundle choice. When circumstances did not encourage item price processing, discounts on the bundle relative to the item prices had little effect on choice.

Additional research is recommended to test boundary conditions, the effects of additional presentational/situational factors and explicit consumer welfare implications.

Results indicate that a price discount on a bundle is only effective/necessary when the purchase situation motivates and enables consumers to engage in piecemeal processing of item price information. When large price discounts are offered on the bundle, marketers should create a situation that encourages item price processing, in order to maximize the effect.

This paper adds to a relatively new perspective in the bundling literature which has not fully examined if and when consumers process item price information. It is found that responsiveness to price discounts is enhanced by managerially relevant variables that increase the likelihood of item price processing.

The purpose of this paper is to report the results of two experiments designed to examine the effect on consumers of the way in which price discount messages are expressed, or “framed”.

Both studies involved stated‐preference choice modelling experiments. The aim of the first experiment was to test the hypothesis that a price reduction framed in dollar terms is more effective for high‐priced items, whereas a price reduction framed as a percent discount is more effective for lower‐priced items. The aim of the second experiment was to determine which of four alternative ways of expressing the same 33 per cent price discount – cents off, percent discount, or one of two volume discounts – is most effective.

For two “low‐priced” items, potato chips and cola drinks, the framing of a price discount had little or no effect. However, for two ”high‐priced” items, stereos and computers, framing a discount in dollar terms was significantly more effective than expressing it as a percent off discount. For three fast moving consumer goods the most effective framing of the same price discount depended on whether the product concerned was amenable to stockpiling. For tinned spaghetti, which is relatively cheap and easy to store, volume discounting was more attractive than a monetary discount, whereas for bottled water and semi‐soft butter, which are more expensive and bulkier, the opposite was true.

For high‐priced products, it is better to express price discounts as dollars or cents off than as a percentage off; the opposite may be true for low‐priced products, but this is much less certain. However, if using a volume promotion, “buy x get one free” is likely to be more effective than “y for the price of x”.

The purpose of this paper is to examine the effect of a variety bundle's product display order on consumer preferences. When forming a variety bundle, manufacturers, retailers and advertisers need to decide on the order in which their products are displayed. The authors provide empirical evidence that this apparently trivial display decision can systematically affect consumer preferences.

Four experiments were performed with over a total of 1,000 participants. Logistic regressions were conducted on the collected data sets to provide support for the hypothesis and its underlying psychological mechanism.

Results showed that product attitudes systematically affect choices among variety bundles that differ only in the order in which their products are displayed. When choosing among flat and horizontal variety bundles, Western consumers preferred the one that had the product they like the most to the left. This phenomenon was observed in different product categories, among left-to-right readers from different Western countries and languages, and with both hypothetical and consequential decisions. The incremental weight given to the first piece of information (i.e. “first” product in the bundle) explains this product order effect.

Although a significant amount of research has been conducted to understand the factors that affect consumer preferences for product bundles, little attention has been devoted to the role of visual aesthetics. The research addresses this gap, and in so doing contributes both to the marketing and to the visual aesthetics literature. One simple yet key implication of the product order effect documented here is that the value consumers assign to a variety bundle depends on the order in which its products are displayed.

The purpose of this paper is to conceptualize a typology of supply-side resilience capabilities and empirically validates these capabilities and their constituent bundles of practices.

The study is primarily qualitative, employing the critical incident technique to collect data across 22 firms and seeking to validate how and why practice bundles form and relate to operations performance. It contains a frequency of occurrence analysis for the purpose of triangulation, a minor statistical part to provide some additional evidence of bundle formation and correlation between adoption of bundles of practices and recovered operations performance after upstream supply chain disruptions.

Four supply-side resilience capabilities are conceptualized along two dichotomous dimensions – “proactive/reactive” and “internal/external” – in a 2×2 matrix as proactive-internal, proactive-external, reactive-internal and reactive-external resilience capabilities. Empirical support for the conceptualized typology is found. Bundles of specific practices that can be associated with each capability are identified. Moreover, the study finds a relationship between these practice bundles and recovered operations performance.

The statistical part is used just to provide some additional evidence through factor and regression analyses that these capabilities exist and do benefit adopting firms.

Specifies practices that lead to recovered operations performance in the event of supply disruptions.

Advances current theory by operationalizing resilience as a set of dynamic capabilities in terms of practice bundles that aid in recovering operations performance upon supply disruptions.

This paper aims to address three major issues in the development of a vision‐based navigation system for small unmanned aerial vehicles (UAVs) which can be characterized as follows: technical constraints, robust image feature matching and an efficient and precise method for visual navigation.

The authors present and evaluate methods for their solution such as wireless networked control, highly distinctive feature descriptors (HDF) and a visual odometry system.

Proposed feature descriptors achieve significant improvements in computation time by detaching the explicit scale invariance of the widely used scale invariant feature transform. The feasibility of wireless networked real‐time control for vision‐based navigation is evaluated in terms of latency and data throughput. The visual odometry system uses a single camera to reconstruct the camera path and the structure of the environment, and achieved and error of 1.65 percent w.r.t total path length on a circular trajectory of 9.43 m.

The originality/value lies in the contribution of the presented work to the solution of visual odometry for small unmanned aerial vehicles.

Examines the importance of delivering an all‐inclusive price bundle to consumers. A longitudinal study is conducted to test the role of expectations of both price and other costs (e.g. hassle, time spent) associated with a price bundle on perceptions of value across first‐time and repeat guests at an upscale resort/spa. The findings confirm that consumers consider more than just benefits (quality) and price when assessing value. Specifically, finds that providing an all‐inclusive price package, even if actual monetary outlay is higher, will significantly increase perceptions of value for first‐time consumers.

A substantial body of research evidence has now accumulated in the cause-related marketing (CRM) literature. Yet, research on positive word of mouth (WOM) in the CRM domain is scarce. Based on this, the purpose of this paper is to present a framework that enhances positive WOM persuasion in a CRM context.

Specifically, the authors explore collectivism as a contextual dimension for positive WOM persuasion in a CRM setting and discusses three novel constructs for effectively designing such campaigns, namely, cause proximity, choice of donation type and choice variety of donation types in a single offering frame. Based on conceptual logic and drawing on literature from a variety of disciplines, this framework should provide deeper insight into achieving positive WOM persuasion with CRM strategy and implementation.

Additionally, the analysis leads to specific research questions regarding the associations between these contrasts and positive WOM persuasion in a CRM context.

Finally, the managerial and theoretical contributions are discussed, as well as directions for further research.

The present research aims to identify critical antecedents of willingness to pay (WTP) for traditional bundles (those comprising only goods or services) in an emerging market context. Further, it differentiates the relative importance of the determinants of customers' WTP according to the bundle type.

Data were collected from Indian customers. The paper uses conjoint analysis with an orthogonal design. The experimental conditions were manipulated using vignettes.

The results indicated that purchase autonomy was considered the most important driver for customer's WTP in the case of traditional bundles. Quality variability, overall bundle quality and complementarity followed autonomy in the order of importance. Moreover, the interaction effects of autonomy and complementarity with bundle type significantly influenced the customer's WTP. Customers had a higher WTP for services bundle in high autonomy and goods bundle in high complementarity situations.

Retailers should allow customers to buy either the entire bundle or its components separately, irrespective of the type of traditional bundle. They should try to make bundles whose perceived quality varies significantly in the target customers. Retailers should try to keep complementary components in the goods-only bundle.

The present study extends the relationship of the WTP with its antecedents to traditional bundles. Earlier studies have only studied these relationships for hybrid (combination of goods and services) bundles. With the current study results, retailers can bundle traditional bundles (goods only and services only).

This paper aims to use a mixed method (qualitative and quantitative) approach to exploring the effectiveness of price bundling.

The study is based on a concurrent, two‐studies design where quantitative and qualitative data are both collected (concurrently or sequentially) and analyzed separately. The first study is based on a nested experimental design, and the second study is based on in‐depth interviews. The setting for the study is frequently purchased products, specifically teeth‐whitening products. The bundled items are: teeth whitener, toothpaste, mouthwash, toothbrush and dental floss. Various forms of discounts are tested to assess the effectiveness of bundles. While bundling has been investigated in marketing settings, the focus has been limited to consumer durables using quantitative scales. The experimental study is followed by a qualitative investigation in order to add further insight into the consumer's choice of a bundle. This mixed method approach provides rich narrative that adds important insights about the decision process and offers suggestions for advertising development.

The findings do not support a bundling approach. Although the consumers perceive higher value of the bundle, the attitudes, intentions and narratives support promoting these items individually rather than as a bundle.

Caution is advised in extrapolating the results beyond the issues investigated in the study.

The findings suggest caution for marketers in designing product bundles, positioning, and promotion strategies.

There are three major contributions of this study. First, the current literature suggests price bundling is an effective strategy. This study suggests that for certain products bundling may not be effective. Second, the past literature has not investigated the influence of type of discount on effectiveness of a bundle. Third, most studies in price bundling are quantitative in nature. This study uses a mixed method approach. The quantitative study is followed by a qualitative study to add further insights that will help understand consumer motivations behind the preferences.

This chapter traces the development of the pricing research program of Kent Monroe, beginning with his doctoral dissertation and continuing to the present time. Drawing on psychophysics and adaptation-level theory the early research efforts concentrated on validating two important concepts relative to behavioral pricing research: reference price and acceptable price range. Then the behavioral pricing research program expanded to explore how the context of a purchase situation, including the structure of the prices available for judgment, influences buyers' price perceptions and willingness to buy. In the early years his research included pricing models and research on patronage behavior. Subsequently, concentrating primarily on behavioral pricing research, he began to integrate findings from the research program into examining how various sellers pricing strategies and tactics influence buyers' judgments and purchase decisions. These efforts led to the first edition of his book Pricing – Making Profitable Decisions published in 1979. The book was subsequently revised and expanded in 1990 and again in 2003.