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Article
Publication date: 1 December 2005

Subir Bandyopadhyay, Kunal Gupta and Laurette Dube

Compared with the large brands, not only do the small brands attract fewer customers but also their customers buy them less frequently. This twin disadvantage of the less…

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5945

Abstract

Purpose

Compared with the large brands, not only do the small brands attract fewer customers but also their customers buy them less frequently. This twin disadvantage of the less popular brands is termed “double jeopardy” (DJ). Earlier studies on the DJ effect have generally explained this as a behavioral phenomenon relating to the size structure of the market. This article aims to argue that the DJ effect is also influenced by the relationship between consumer choice antecedents and consumer buying behavior.

Design/methodology/approach

Using consumer attitudinal and behavioral data on various toothpaste brands collected by a leading consumer goods company, it is shown that small brands are jeopardized in terms of individual‐level choice antecedents of both loyal and switching consumers. In particular, small brands are further jeopardized for brand=switching consumers in terms of weaker attitude‐choice relationship.

Findings

The research findings have significant managerial implications. the research suggests that double jeopardy of small brands may not be as irreversible phenomenon posited. A more in‐depth understanding of the individual‐level antecedents of consumer choice should help small brands to develop innovative offensive and defensive strategies aimed at favorable individual choice antecedents of loyal and switching consumers. For example, it may be prudent for a small brand to concentrate on a selected few segments (such as brand‐loyal segments) instead of spreading scarce brand resources across scattered promotion and distribution strategies.

Originality/value

Examines the choice antecedents of consumers who either are loyal to a brand or are brand switchers.

Details

Journal of Product & Brand Management, vol. 14 no. 7
Type: Research Article
ISSN: 1061-0421

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Article
Publication date: 1 May 2000

Maria Närhinen, Aulikki Nissinen and Pekka Puska

To test the feasibility of the use of supermarket sales data in evaluating a local point of purchase intervention and to assess the impact of the intervention six and 12…

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2452

Abstract

To test the feasibility of the use of supermarket sales data in evaluating a local point of purchase intervention and to assess the impact of the intervention six and 12 months later. Staged point of purchase intervention pilot study followed by a longitudinal observational study. The study was carried out in one supermarket in Mikkeli, Finland. Foods were classified as healthier or reference products based on their labelled content of salt and saturated fat. The sales of packaged foods containing reduced amounts of salt and/or saturated fat were promoted with a stepwise increasing intervention culminating in a “heart week”. In addition all unplanned promotional activities during the intervention were surveyed. Information on the sales of both the promoted products and reference products was collected daily from the supermarket’s computer system. Direct and proportional sales of both single products and whole food groups were analysed during the intervention and at follow‐up. In addition the supermarket environment and the supermarket’s advertising in the local newspaper were checked. Short‐term variations in the sales could be seen related to the promotion activities. During the heart week the sales of actively promoted healthier products increased by 37‐49 per cent. Variations in the sales of reference products could also be seen; the proportional sales of some healthier products declined significantly when the reference products were actively promoted. The supermarket environment was still affected by the intervention at both follow‐ups. The mean percentage salt content of the weekly sales had declined in all food groups and the mean percentage fat content had either declined or remained unchanged. Computerised sales data provide a useful and rapid means of evaluating supermarket based interventions. The intervention had an impact on the supermarket environment which was visible at follow‐up.

Details

British Food Journal, vol. 102 no. 4
Type: Research Article
ISSN: 0007-070X

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Book part
Publication date: 11 July 2006

Andrei Mikhailitchenko and Thomas W. Whipple

The study is focused on exploring demographic characteristics of the target audience of retail grocery stores whose buyer behavior is most responsive to coupon promotions

Abstract

The study is focused on exploring demographic characteristics of the target audience of retail grocery stores whose buyer behavior is most responsive to coupon promotions. The demographic variables considered in the paper are age, employment status, and household size. As a result of a statistical analysis of scanner data, the demographic profile is developed for the coupon-sensitive category of consumers. Managerial recommendations for grocery stores’ coupon-promotion tactics are discussed.

Details

Research in Consumer Behavior
Type: Book
ISBN: 0-7623-1304-8

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Article
Publication date: 27 September 2011

Carrie Heilman, Kyryl Lakishyk and Sonja Radas

This paper aims to investigate the impact of in‐store sample promotions of food products on consumer trial and purchasing behavior. The authors investigate differences in…

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4260

Abstract

Purpose

This paper aims to investigate the impact of in‐store sample promotions of food products on consumer trial and purchasing behavior. The authors investigate differences in the trial rate for free samples across different products and consumer types, as well as the impact of sampling on product and category purchase incidence. The results of this study are relevant for retailers and manufacturers who invest in in‐store free sample promotions.

Design/methodology/approach

The authors use data from a field study, which leveraged an actual free‐sample program implemented by a US grocery store chain. Data was collected on six different products promoted by in‐store free samples over six different weekends. The data collected included consumers' trial and purchasing behavior with respect to the free sample, as well as their attitudes towards the free sample that day and free sample promotions in general.

Findings

Free sampling is very effective in inducing trial, especially among lower educated consumers. For consumers who are planning to buy the product in the promoted category, free sampling can encourage switching from the planned to the promoted brand. For consumers who do not have such previous plans, free sampling can “draw“ them into the category and encourage category purchase. Samplers' interactions with the person distributing the sample or with other samplers at the scene also seem to boost post‐sample purchase incidence.

Originality/value

Despite the importance of free samples as a promotional tool, few studies have examined consumer trial and purchasing behavior with respect to in‐store free samples. This paper presents one of the first known field studies that examines this topic.

Details

British Food Journal, vol. 113 no. 10
Type: Research Article
ISSN: 0007-070X

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Article
Publication date: 1 June 2005

J.S.A. Edwards and H.L. Meiselman

Food servers are often in a unique position to influence what customers choose, which in turn may affect their enjoyment of that food. The purpose of this study…

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8072

Abstract

Purpose

Food servers are often in a unique position to influence what customers choose, which in turn may affect their enjoyment of that food. The purpose of this study, therefore, was to evaluate the influence of positive and negative comments made by servers on food choice and acceptance.

Design/methodology/approach

Customers using a public university restaurant were “assisted” in their food choice by a server making either a positive, negative or no statement as to the popularity of a selected dish. At the end of the meal, diners were then asked to rate the acceptability of the dish chosen using a nine‐point hedonic scale.

Findings

Results show that only negative statements made by servers actually influence food choice but in all conditions, once a customer had chosen, acceptability of that dish was not affected.

Research limitations/implications

This research was undertaken in a public restaurant where the servers are students. It could be argued that customers being aware of this responded accordingly, although there was no evidence to support this.

Originality/value

The service encounter is perhaps one of the most important elements that distinguish products from services, and it is here that businesses can succeed or fail. This paper contributes towards our understanding of that encounter.

Details

International Journal of Contemporary Hospitality Management, vol. 17 no. 4
Type: Research Article
ISSN: 0959-6119

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Article
Publication date: 18 July 2008

Sungchul Choi and Moontae Kim

The paper seeks to examine cross‐cultural differences in how consumers evaluate “scratch and save” (SAS) promotions (which are characterized by uncertainty of savings…

Abstract

Purpose

The paper seeks to examine cross‐cultural differences in how consumers evaluate “scratch and save” (SAS) promotions (which are characterized by uncertainty of savings outcomes) between Canada and Korea, where the promotion tool is widely used but the countries have different cultural values.

Design/methodology/approach

An experiment was conducted to examine cross‐cultural differences in SAS promotion evaluations between Canada (n=77) and Korea (n=78).

Findings

SAS promotions effectively stimulate favorable shopping intentions in Canada, a country with a low uncertainty avoidance culture, more so than in Korea, a country with a high uncertainty avoidance culture. However, subjects in Korea show consistently higher savings expectations from SAS promotions than subjects in Canada. Thus, the results report that consumers with the highest savings expectations do not necessarily have the highest intention to shop. In addition, in Korea, a SAS promotion with guaranteed minimum savings is found to be very effective due to reduced ambiguity about its outcome.

Research limitations/implications

The study suggests cross‐cultural differences in the applicability of the disjunction effect.

Practical implications

The findings suggest that when SAS promotions are presented in a country with high uncertainty avoidance, retailers should explicitly indicate the value of the guaranteed minimum savings. By promising guaranteed savings, retailers can reduce consumers' relatively high concerns about unknown SAS outcomes, which results in a greater advantage in building favorable perceptions.

Originality/value

Very little work has been undertaken into SAS promotions and no known empirical research has been undertaken into cross‐cultural differences. This paper fills some of the gaps.

Details

Journal of Product & Brand Management, vol. 17 no. 4
Type: Research Article
ISSN: 1061-0421

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Article
Publication date: 1 February 1987

Robert J. Kopp and Stephen A. Greyser

Consumer packaged goods is an industry long known for its reliance on “pull” marketing strategies, that is, clever brand positioning supported by heavy advertising and…

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1175

Abstract

Consumer packaged goods is an industry long known for its reliance on “pull” marketing strategies, that is, clever brand positioning supported by heavy advertising and couponing. As many product categories have become mature in the 1980's, managers find themselves increasingly concerned with improving the productivity of “push” programs — trade deals and personal selling efforts aimed at retailers and wholesalers. This article reports the results of an in‐depth, descriptive study of “push” marketing techniques among packaged goods companies. Discussed are: (a) specific “push” programs initiated on both the marketing (brand management) and sales force sides of the business, and (b) organizational moves to enhance integration and coordination between the Sales and Marketing groups. A concluding section urges packaged goods marketers to regard the “push” and “pull” components as twin building blocks of a companywide marketing strategy.

Details

Journal of Consumer Marketing, vol. 4 no. 2
Type: Research Article
ISSN: 0736-3761

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Article
Publication date: 8 July 2014

Karen H. Hyllegard, Jennifer Paff Ogle and Ruoh-Nan Yan

The purpose of this paper is to explore consumers’ responses to prosocial marketing claims presented on apparel hang tags. Guided by the theory of reasoned of action, this…

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1215

Abstract

Purpose

The purpose of this paper is to explore consumers’ responses to prosocial marketing claims presented on apparel hang tags. Guided by the theory of reasoned of action, this study examined the impact of varied prosocial claims (environment, labor, cancer charity) upon college students’ evaluations of hang tags used to promote university-branded apparel (i.e. t-shirts) as well as their attitudes and patronage intentions toward the apparel.

Design/methodology/approach

An intercept survey approach, with an experimental design component, was used to administer a written questionnaire to 262 college students. The experimental design component required participants to examine a university-branded t-shirt and to read the information provided on the product hang tag attached to the t-shirt.

Findings

In total, 60 percent of college students read apparel hang tags on a very frequent or frequent basis to gain information about brand name, care instructions, and fiber content. Further, college students evaluated apparel hang tags featuring prosocial marketing claims more positively than they evaluated hang tags with no prosocial marketing claim. In turn, these evaluations positively predicted the amount of money students were willing to pay for a university-branded t-shirt as well as their attitudes and purchase intentions toward university-branded apparel.

Research limitations/implications

Findings suggest that apparel companies engaged in socially responsible business practices may wish to develop hang tags that address both desired product attributes as well as company engagement in prosocial initiatives.

Originality/value

This study extends the understanding of the role that prosocial marketing claims play in informing consumer's attitudes and behaviors relative to apparel.

Details

Journal of Fashion Marketing and Management, vol. 18 no. 3
Type: Research Article
ISSN: 1361-2026

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Article
Publication date: 1 June 2012

Keith S. Coulter and Anne Roggeveen

Information typically posted on group buying websites includes number of previous buyers, whether a limit has been placed on purchase number, and the time remaining until…

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3283

Abstract

Purpose

Information typically posted on group buying websites includes number of previous buyers, whether a limit has been placed on purchase number, and the time remaining until the deal expires. The purpose of this paper is to demonstrate that these factors may interact such that, under certain circumstances, purchase likelihood is reduced.

Design/methodology/approach

The paper first examines actual online data; the authors then follow this with a 2×2×2 experiment in which they demonstrate psychological process.

Findings

Providing previous‐buyer‐number information can have a positive effect on a consumer's decision to purchase at an online group buying website (e.g. Groupon). Imposing a purchase limit can increase these positive effects, but providing information on time‐to‐expiration (if it is relatively long) can negate the effects. Both perceived value and anticipated regret are found to be mediating factors.

Research limitations/implications

It is possible that effects may be attenuated as a result of product familiarity.

Practical implications

Retailers should pay particular attention to the timing or pattern of purchases on group buying websites, and provide information accordingly.

Originality/value

This paper is the first to show how the three factors noted previously may interact to reduce purchase intentions.

Details

Journal of Research in Interactive Marketing, vol. 6 no. 2
Type: Research Article
ISSN: 2040-7122

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Article
Publication date: 30 September 2014

Ashutosh Dixit, Kenneth D. Hall and Sujay Dutta

The purpose of this paper is to investigate the influence of price attribute framing and factors such as urgency and perceived price fairness on customer willingness to…

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1056

Abstract

Purpose

The purpose of this paper is to investigate the influence of price attribute framing and factors such as urgency and perceived price fairness on customer willingness to pay (WTP) in automated retail settings.

Design/methodology/approach

The authors conducted two sets of quasi-experimental scenarios surrounding vending-machine purchase decisions. The first set was analyzed with MANOVA, the second set with choice-based conjoint (CBC) analysis.

Findings

When prices are framed positively (as a discount), customer WTP is higher at high published price levels than it is for unframed or negatively framed prices. The effect on WTP holds whether the reference price range is broad (few large increments) or narrow (numerous small increments). In the CBC scenarios, immediate availability of the product was most influential on choice, followed by price and brand effects. These findings held under conditions invoking both urgency and price fairness. Providing an explanation for higher prices increases perceived price fairness.

Research limitations/implications

Further study might assess the presence or absence of interaction effects in the conjoint scenarios.

Practical implications

Managers should consider transparency in dynamic pricing, particularly when the price change is outside the control of the firm. The conjoint scenario results also offer evidence that dynamic pricing will not impact other marketing-mix decisions for fast-moving consumer goods (FMCG) dramatically (availability at point of purchase and presence in the consumer consideration set remain strong influences on choice).

Social implications

Understanding these effects on WTP could help managers manage perceptions of unfairness and optimize WTP.

Originality/value

A theoretical contribution from this study is that the immediate loss/gain consideration under theories of decision making under uncertainty outweigh considerations such as scarcity urgency or perceived unfairness. Use of conjoint analysis in WTP research, study of dynamic pricing in FMCG setting.

Details

American Journal of Business, vol. 29 no. 3/4
Type: Research Article
ISSN: 1935-5181

Keywords

1 – 10 of 768