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Article
Publication date: 9 May 2016

Juha Munnukka, Outi Uusitalo and Hanna Toivonen

Advertisers use various tactics to influence consumer purchases and create positive associations with their brands. The purpose of this study is to explore the formation…

9477

Abstract

Purpose

Advertisers use various tactics to influence consumer purchases and create positive associations with their brands. The purpose of this study is to explore the formation of peer-endorser credibility and its influence on attitude formation. The role of product involvement in the formation of attitudes and endorser credibility is also examined.

Design/methodology/approach

A quantitative study was conducted among university students. Data were collected using an online questionnaire concerning three advertisements for which identical questionnaires were constructed; 364 responses were generated.

Findings

The authors show that the credibility of a peer endorser is constructed from trustworthiness, expertise, similarity and attractiveness dimensions that positively affect consumers’ attitude toward an advertisement and a brand. Product involvement affects advertising effectiveness indirectly through the endorser-credibility construct. Finally, the authors show that a consumer’s experience with an advertised product affects the perception of endorser credibility and the effectiveness of the advertisement.

Originality/value

The findings reveal new insights into the little studied area of peer-endorser effectiveness. The authors shed light on the construction of peer endorser credibility and the relative importance of specific credibility dimensions on the effectiveness of an advertisement. This study also provides information on the direct and indirect effects of consumers’ brand involvement on attitudes toward advertisements.

Details

Journal of Consumer Marketing, vol. 33 no. 3
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 19 September 2016

Heikki Karjaluoto, Juha Munnukka and Katrine Kiuru

This study aims to test and extend Carroll and Ahuvia’s (2006) model on the antecedents and outcomes of brand love by examining the moderating effects of experience and…

8226

Abstract

Purpose

This study aims to test and extend Carroll and Ahuvia’s (2006) model on the antecedents and outcomes of brand love by examining the moderating effects of experience and price on the relationship between brand love and offline word of mouth (WOM) and between brand love and electronic WOM (eWOM).

Design/methodology/approach

An online survey was conducted on Facebook, which generated 342 valid responses. The data were analyzed using partial least squares-structural equation modeling.

Findings

The results mainly support the model by confirming that the self-expressiveness of the brand and trust are positively associated with brand love. No association between hedonic product type and brand love was found. The study’s findings also suggest positive associations between brand love and both types of WOM. Experience and price were found to strengthen the relationship between brand love and offline WOM but not the relationship between brand love and eWOM.

Originality/value

This study contributes to the literature by introducing and testing an extended model of brand love. It tests two moderating effects on the relationship between brand love and WOM.

Details

Journal of Product & Brand Management, vol. 25 no. 6
Type: Research Article
ISSN: 1061-0421

Keywords

Open Access
Article
Publication date: 12 June 2020

Heini Taiminen, Kimmo Taiminen and Juha Munnukka

This study aims to understand how online weight loss services could help customers achieve a durable change. The particular focus is on exploring the roles of value…

1131

Abstract

Purpose

This study aims to understand how online weight loss services could help customers achieve a durable change. The particular focus is on exploring the roles of value co-creation and well-being outcomes in reinforcing the transformative value potential, which is argued to be realized as customers’ intentions to continue a healthier lifestyle after the service period has ended.

Design/methodology/approach

Data was collected from the participants of an online weight loss service (n =498), and a conceptual research model was tested using structural equation modelling.

Findings

The results imply that compliance with the guidelines and social support are two value co-creation activities that can influence the well-being outcomes of transformative services (i.e. perceived behavioral control and satisfaction with one’s achievements). These well-being outcomes help attain the transformative value potential of online weight loss services. However, the actual weight loss affected the transformative value potential only through customers’ satisfaction with their achievements as a subjective well-being outcome.

Originality/value

This study provides insight into the transformative value potential of services in the weight loss context. This study contributes to the transformative service research by focusing on the role of online services in reinforcing a durable change through the co-creation of value and improvements in customers’ well-being.

Article
Publication date: 12 January 2015

Juha Munnukka and Pentti Järvi

Perceived risk is an intrinsic element of all organizational decision making and business relationships. It is closely interconnected with relationship commitment and…

1005

Abstract

Purpose

Perceived risk is an intrinsic element of all organizational decision making and business relationships. It is closely interconnected with relationship commitment and strongly affects the buying decisions. Therefore, the organizations that best understand the risks perceived by their customers and hold the means that allow the customers to accommodate these risks, possess a significant competitive edge. The paper aims to discuss these issues.

Design/methodology/approach

This research surveys 165 companies on purchase-related risk perceptions and tests the effects of three risk dimensions on relations commitment, and the effectiveness of procedural control on managing these risks. Moderation effect of buying situation is also tested. Structural equation modelling is used to test the conceptual model on data from Finnish companies.

Findings

The participants in organizational buying experience three types of risks, product performance, personal psychological, and personal financial risks. Higher product performance and personal financial risks are found to decrease the customer’s commitment to the supplier, whilst higher psychological risks have a positive effect on relationship commitment. Procedural control is confirmed as an effective application in managing risks in organizational buying process. Buying situation significantly affects the model.

Originality/value

The present study shows that purchase-related risk perception is a multidimensional construct which consist of both organizational and individual-level aspects. The authors also provide new insights into the effectiveness of procedural control on mitigating organizational risk perceptions in different buying situations.

Details

International Journal of Retail & Distribution Management, vol. 43 no. 1
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 30 October 2007

Juha Munnukka

The purpose of this paper is to study consumers' adoption of mobile communications services, and to explore common denominators uniting those most likely to be early…

4175

Abstract

Purpose

The purpose of this paper is to study consumers' adoption of mobile communications services, and to explore common denominators uniting those most likely to be early adopters; thereby, to help practitioners to predict early adoption and segment the market.

Design/methodology/approach

Data were collected by postal questionnaire from 26 per cent of a sample of 3,000 customers of a telecommunications service provider in Finland, stratified into three sub‐samples according to type of usage. For this paper, the returns from the two sub‐samples with the highest rates of use were analysed.

Findings

Previous experience of related types of communications services significantly and positively influenced adoption of new mobile services. Certain of the respondents' demographic characteristics were also closely associated with early adoption.

Research limitations/implications

Further studies are required before the findings can be applied beyond Scandinavia. Qualitative research could enhance understanding of the roles of personal innovativeness and income, in particular, in adoption of mobile communications services.

Practical implications

Mobile communications service providers in Scandinavia now have a tested basis for identification of early adopters, segmentation of the market, and targeting of marketing campaigns.

Originality/value

The study tested theoretical constructs used widely in other fields, and identified adjustments required for transfer to the mobile communications service context.

Details

Marketing Intelligence & Planning, vol. 25 no. 7
Type: Research Article
ISSN: 0263-4503

Keywords

Article
Publication date: 8 May 2009

Pentti Järvi and Juha Munnukka

The purpose of this paper is to study does the structure of buying centre networks dynamically change between buying situations and during the buying processes…

1583

Abstract

Purpose

The purpose of this paper is to study does the structure of buying centre networks dynamically change between buying situations and during the buying processes. Furthermore, the influence of organizational culture on participation, extensivity, lateral involvement, and vertical involvement of buying centre networks is studied.

Design/methodology/approach

A qualitative study with empirical data gathered by semi‐structured interviews with the help of structured questions among Finnish business organizations early in 2007. The empirical data consist of 40 interviews conducted among small and medium sized companies. For the data analyses, the data were separately classified into themes relevant for each of the topics analyzed. The structured questions were used for validating the findings of qualitative analyses.

Findings

The structure of buying centre networks was found to be highly dynamic and change significantly between buying situations and phases of the buying process. Five types of networks were identified: expert, inward‐oriented informal networks; extensive, specialist and inward‐oriented formal networks; extensive, outward and more management‐oriented co‐operative networks; specification‐oriented management and responsibility‐led co‐operative networks; and management‐led specialist‐oriented versatile networks. The results also suggest power distance, risk tolerance, and individualism/collectivism are useful measures for analysing the factors influencing the structure of buying centre networks and explaining differences between buying situations and stages of the buying process.

Originality/value

Change in the surrounding business and technology environment means that buying centre networks are forced to follow suit, in order to maintain competitiveness and the efficiency of their buying operations. While cultural differences are commonly known to influence organizational behaviour, the effects of the organizational culture on buying centre network structures have not sufficiently been studied.

Details

Marketing Intelligence & Planning, vol. 27 no. 3
Type: Research Article
ISSN: 0263-4503

Keywords

Article
Publication date: 30 May 2008

Juha Munnukka

The purpose of this paper is to investigate customers' intentions to purchase mobile communications services and how these intentions are affected by the customers' price…

12469

Abstract

Purpose

The purpose of this paper is to investigate customers' intentions to purchase mobile communications services and how these intentions are affected by the customers' price perceptions in two customer segments – a mobile segment and a combined segment. A further aim was to gain insight into the formation of price perceptions, and customer characteristics that underlie the differences between purchase intentions and price perceptions.

Design/methodology/approach

The study was conducted in the Finnish mobile services market. The sample data were collected through a postal survey (n=3,000) sent to customers of a Finnish teleoperator. In analyzing empirical data the explanatory factor analyses, linear regression analyses, and analysis of variance were applied.

Findings

The results indicated that a significant and positive relationship exists between customers' price perceptions and their purchase intentions, and that the formation of price perceptions is significantly influenced by satisfaction with pricing and services. Price transparency was found to be negatively associated with customers' price perceptions. Gender, age, and experience of service use were found to explain the differences in customers' perceptions.

Practical implications

By segmenting customers according to the research results and targeting pricing schemes specific to these segments would potentially improve customers' price perceptions and their intentions to purchase mobile services. The study also supported the use of multi‐dimensional pricing schemes as it was found to positively influence customers' price perceptions.

Originality/value

This paper provides new practical and theoretical insights into the relationship between purchase intentions and price perception, and into the formation of the price perceptions of mobile services customers.

Details

Journal of Product & Brand Management, vol. 17 no. 3
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 22 June 2012

Juha Munnukka and Pentti Järvi

This study aims to explore: first, the formation of the customer value of high‐tech consumer products through application of intrinsic and extrinsic cues of product…

2693

Abstract

Purpose

This study aims to explore: first, the formation of the customer value of high‐tech consumer products through application of intrinsic and extrinsic cues of product quality; and second, the effect of the mental price category of the product on the construction of customer value.

Design/methodology/approach

The study was conducted in the Finnish consumer market in 2008. In total, 453 completed interview forms were collected through the structured interview method. The factor model was constructed through explorative factor analysis and hypothesis testing was conducted through linear multiple‐regression analysis.

Findings

The high‐tech product's price category was found to have a significant effect on the construction of the customer value. The mental price category in which consumers located the product was found to dictate how the perceived value was constructed through the intrinsic and extrinsic dimensions of product quality. The customer value of high‐tech consumer products was composed of visual appeal, excellence, and price satisfaction. Intrinsic cues of product quality were emphasised.

Originality/value

The study provides new insights into how the formation of customer value is dictated by the mental price category perceived by consumers. Also, new information on how intrinsic and extrinsic cues of product quality affect the customer value of high‐tech consumer products was provided.

Details

Journal of Consumer Marketing, vol. 29 no. 4
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 3 May 2013

Juha Munnukka, Pentti Järvi and Uusitalo Outi

Customer and value‐oriented business strategies are increasingly important in the context of business to business services. However, little is known about the construction…

1956

Abstract

Purpose

Customer and value‐oriented business strategies are increasingly important in the context of business to business services. However, little is known about the construction of customer value of B to B services. Also the influences of specific dimensions of service quality on customer value are open to debate. This study aims to explore the construction of customer value of B to B services, and to examine how specific dimensions of service quality contribute to customer value.

Design/methodology/approach

The research data consists of 90 questionnaires which were collected through the structured interview method among Finnish business organizations. Hypothesis testing was conducted through linear multiple‐regression analysis.

Findings

The results suggest that customer value of B to B services is composed of attribute and consequence level elements. Reliability, responsiveness, and assurance were found as the key contributors of consequence level customer value. Attribute level customer value is affected by empathy, responsiveness and assurance dimensions of service quality. Thus, by focusing on right dimensions of service quality organizations are most effectively able to cultivate customer value.

Originality/value

The study identifies the dimensional structure of customer value and suggests a detailed method to investigate the relationship between service quality and customer value.

Details

Marketing Intelligence & Planning, vol. 31 no. 3
Type: Research Article
ISSN: 0263-4503

Keywords

Article
Publication date: 1 January 2005

Juha Munnukka

Price sensitivity is one of the key factors affecting to companies pricing choices. Yet in mobile services sector business practitioners are facing problems in pricing…

5898

Abstract

Purpose

Price sensitivity is one of the key factors affecting to companies pricing choices. Yet in mobile services sector business practitioners are facing problems in pricing decisions as they are short of knowledge on their customers’ price sensitivity levels and dynamics. Therefore this study aims to focus on this unexplored field in order to provide more accurate tools for mobile service providers to price their services more effectively.

Design/methodology/approach

This study is conducted on Finnish mobile services markets. The focus is on examining how customers’ price sensitivity differs between different customer segments and which factors affect to the price sensitivity levels. The sample data is collected through a quantitative postal survey in which 3,000 questionnaires was sent to mobile service customers of a Finnish teleoperator. In analyzing the empirical data the explanatory factor analysis and multiple regression analysis was applied.

Findings

It was discovered that mobile service customers differ significantly in their price sensitivity levels; customers with moderate usage of mobile services are least price sensitive, while intensive and low‐end users are most sensitive to price changes. Important was also the notion that customers’ price perceptions and innovativeness levels were accurate indicators of their price sensitivity.

Research limitations/implications

This paper has concentrated only on Finnish mobile services markets. In order to construct a robust set of indicators for international use, cross‐cultural study on testing the factors of this study should be conducted.

Practical implications

For business practitioners, the most distinctive finding of this paper are a new set of factors through which segmenting of their customers can be made more accurately.

Originality/value

With the findings of this paper a mobile service provider is able to increase efficiency of pricing of mobile services.

Details

Journal of Product & Brand Management, vol. 14 no. 1
Type: Research Article
ISSN: 1061-0421

Keywords

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