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This study aims to present and test a conceptual framework for the consequences of price unfairness, positing trust and emotions as two important mediators of the perception of price unfairness and its relationship to switching and negative word‐of‐mouth intentions.

An experiment with one factor with three levels (price unfairness: no price unfairness vs low price unfairness vs high price unfairness) is applied to 253 participants. The mediation analysis is made using bootstrapping procedure.

The findings reveal that existing customers that compare their price to a lower price offered to prospective customers experience the perception of price unfairness that, in turn, triggers negative behavioral intentions toward the company, through trust (cognitive driver) and negative emotions (emotional driver).

The findings indicate that companies should consider the damage that targeted promotions to new customers may do among existing customers in the long run. They also highlight the importance of the companies' strategies to build consumer trust over time as this construct seems only partially affected by perceived price unfairness and is a key determinant of customers' behavioral intentions.

This study contributes to the understanding of price unfairness perception and its negative behavioral consequences, testing and validating a parallel mediating process with trust and negative emotions as mediators.

The purpose of this paper is to explore consumers' perceptions of price unfairness in services, what are its antecedents and when it is important for the consumer. Thus, the central question of this research is whether consumers care about how much profit the service company is making and whether there are significant differences to physical goods.

Building on justice and equity theory, a causal model is developed – which analyses the main antecedents (seller profits vs customer value), moderators and consequences of perceptions of price unfairness. Structural equation modelling has been applied to test the proposed model.

The lack of specific tools to measure perceptions of price fairness required the development of a multi‐item scale to capture the complexity of the evaluation. This instrument has been tested for reliability and validity in a variety of settings, with excellent results, and can be appropriate when using the survey as a data collection method. Also, the authors have argued that there should be significant differences due to the nature of the product – service industries vs physical goods– as well as due to the number of available alternatives that the buyer has in the market.

The validity of a new model is tested by means of an empirical research conducted in four different settings, two different services (automobile repair services and music concerts) and their related physical goods (automobiles and music CDs). A multi‐item scale is also developed to capture the complexity of price fairness perceptions. Finally, significant differences between contexts, as well as due to the number of available alternatives present in the marketplace are examined.

The purpose of this paper is to study what happens when firms misuse customers’ information and perceptions of unfairness arise because of privacy concerns. It explores a unifying theoretical framework of perceptions of unfairness, explained by the advantaged–disadvantaged (AD) continuum. It integrates the push, pull and mooring (PPM) model of migration for understanding the drivers of unfairness.

The paper is conceptual and develops a theoretical model based on extant research.

Using the PPM model, the paper explores the effects of information-based marketing tactics on the AD framework in the form of two types of customers. Findings from the review suggest that three variables have a leading direct effect on the AD customers. Traditionally, the fairness literature focuses on price, but findings show that service and communication variables impact customers’ unfairness perceptions. This paper examines the importance of these variables, in the context of an AD framework, to help explain unfairness and consider the implications.

To explain information misuse and unfairness perceptions, the paper develops a unifying theoretical framework of perceptions of unfairness, explained by linking the PPM model of migration with the AD continuum.

This paper aims to examine the effect of targeted promotions on perceptions of fairness from the perspective of consumers who are not targeted.

A scenario-based approach is used. Three studies manipulating promotion selectivity and various bases for promotion selection were conducted. A total of 403 people participated in the studies.

Results showed that these consumers consider targeted promotions unfair, and the primary reason is centered more on damage to relational identity than the economics of reduced perceived value. The effect is moderated by how the targeted promotion is delivered (buyer-discovered vs seller-delivered) and different basis for selection.

As companies adopting the practice of dynamic pricing such as targeted promotion, it is important to manage relationship with their consumers. Framing targeted promotions that reduce the salience of seller’s role and provide explanations that not attributed to buyer-seller relationship are important in reducing the potential damage of targeted promotion on relational identity.

Existing research on perceptions of price fairness has focused on the role of perceived value. This research tested the relative effect of perceived value, relational identity and personal identity in the context of targeted promotion and identified relational identity as the major mechanism.

The purpose of this study is to (a) develop a conceptual framework exploring the relationships between perceived negative firm customization, unfairness perceptions, and customer loyalty intentions, and (b) investigate the moderating effects of trust in these relationships. The study explores how customizing offers to match customers’ individual needs and how treating customers differentially provoke unfairness perceptions among those not being considered most important. While the literature discusses unfairness perceptions of pricing, promotion, and service, less is known about unfairness in customization practices.

Using a survey approach, 443 completed questionnaires we collected. Following validation of our item measures, a hierarchical linear regression analysis was conducted to test the conceptual model and hypothesized linkages between our constructs.

The results demonstrate that customers’ negative perceptions of customization increase their unfairness perceptions. Unfairness perceptions drastically reduce customer loyalty intentions with trust acting as a significant moderator. Trust increases loyalty intentions even when unfairness perceptions are present. Our findings provide a foundation for understanding how firms may improve their perceived fairness. This increase in perceived fairness creates positive attributions, reduces negative customer experience perceptions and increases loyalty intentions.

Key contribution is the development and validation of a conceptual model explaining the linkages between firm customization and unfairness perceptions, firm customization and customer loyalty intentions and the moderating role of trust between these relationships. This study extends the understanding of how customization practices impact unfairness perceptions and, subsequently, influence consumers’ perceptions, intentions and behavior.

The purpose of this study is to develop and test a conceptual model of the moderating effect of customers’ value consciousness (CVC) on the relationship of store image (SI) with four dimensions of the perceived risk associated to the purchase of a store brand over a manufacturers’ brand, and the direct effect of those variables on the perceived unfairness of manufacturers’ brand prices.

A mall-intercept survey of 600 shoppers in Colombia (South America) gathered data on their consumption experiences of a store brand and manufacturer’s brand across six product categories and two supermarket chains.

Results suggest that SI exerts different influences on the four categories of perceived risk, the strength of which varies with value-consciousness. Perceptions of the price unfairness of manufacturers’ brands are attenuated by the financial and functional risk of buying store brands but increased by the social and psychological risk.

The findings may not be generally applicable to other shopping contexts or customers. The functional perspective on SI may mean that the results are not directly comparable with other studies adopting different perspectives.

For retailers, the key implications concern awareness and management of customers’ perceptions of relative risks and the impact of value-consciousness on the use of SI as a heuristic decision-making cue. For manufacturers, they are the need to demonstrate clear product differentiation as a rationale for higher prices.

This is the first study to encompass value-consciousness, SI, perceived risk and perceptions of price unfairness in a single field survey.

The purpose of the paper is to examine perceptions of unfairness and accompanying cognitive and emotional outcomes exhibited by present versus prospective customers when faced with targeted promotions. The targeted promotions were designed to be alternatively advantageous or disadvantageous to the targeted group.

An experiment was conducted with a two (customers categories: present /prospective customer) × two (inequality conditions: advantaged/disadvantaged condition) between‐subject design. A total of 104 valid questionnaires were completed with a minimum of 24 participants per cell.

Present customers perceive higher unfairness than prospective customers when faced with disadvantaged conditions. However, perceived unfairness was not significantly different when faced with advantaged conditions. Further, perceived unfairness cognitively and affectively influences purchase intentions through perceived value and negative emotions.

Although prospective customers are price‐sensitive, targeted promotions should favor present customers instead of prospective customers to lower the perceived price unfairness of present customers. In addition, when relatively low prices are necessary to attract prospective customers, firms should create a type of “segmentation fence”, where present customers are exposed as little as possible to special offers designed to attract prospective customers.

This research contributes to three streams of literature. The first is related to perceived reference price unfairness, focusing on self/other comparisons (present versus prospective customers) rather than self/self comparisons. The second contribution is related to the outcomes of perceived price unfairness. The mediating effect of perceived value (i.e. cognitive outcomes) and negative emotions (i.e. affective outcomes) between perceived price unfairness and purchase intentions is examined concurrently. The third contribution is that this research raises echoes with the perspective of customer relationship management.

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.

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.

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.

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

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).

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

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.

This paper examines why ordinary people engage in aberrant consumer behavior (ACB), and pays particular attention to the extent to which consumer perceptions of corporate ‘unfairness’ lead to a response in kind. The study examines five ethical scenarios including insurance claim exaggeration and software piracy, using data from 344 UK consumers. Ajzen's theory of planned behavior (TPB) provides an initial analytical framework. The study also adopts an additional variable, perceived unfairness, referring to the extent to which an actor is motivated to redress an imbalance perceived as unfair.

In comparison to TPB, the study reveals different components of ACB. Furthermore, analysis of variance indicates that consumer perceptions of unfairness by insurance companies provide a significant reason for claim exaggeration. This suggests that ACB is one form of market response to unfair corporate performance. Thus it is argued that an examination of ACB will not only help to understand which ethical aspects of corporate performance might be perceived as unfair, but also to evaluate the extent to which it contributes to a negative perception of particular industries and corporations. The closing discussion considers how a consumer negative response to corporate performance might relate to pricing, product attributes and customer relationships.

The purpose of this paper is to address consumers’ post-purchase perceptions toward the brand when it adopts price reduction strategy. The study specifically conceptualizes the effect of consumers’ price unfairness perceptions of past purchase (PUPoPP) on customer-based brand equity (CBBE) with a moderating effects of elapsed time since purchase (ETSP) and magnitude of price reduction (MPR) in situations where consumers were aware of the reduction in price of the product that they had purchased earlier.

A survey was conducted among consumers who were aware of the reduction in the price of the computer laptop which they had purchased earlier. A sample size of 214 respondents was utilized for the study. The hypotheses were tested by using partial least squares-structural equations modeling.

The results of the study show that there is a significant negative impact of PUPoPP on CBBE and the ETSP was found to enhance CBBE and also weaken the negative effect of PUPoPP on CBBE. Furthermore, the MPR was found to strengthen the negative effect of PUPoPP on CBBE.

The findings of this study are unique and contribute to both pricing and branding areas of research. While extant research in these areas has focused on price fairness perceptions in situations where the price of future purchase increases, particularly for frequently purchased non-durable goods, this study explored PUPoPP in situations where the firm reduces the price of a durable good such as a computer laptop.