Search results
1 – 10 of over 1000Abdullah Murrar, Veronica Paz, Madan Batra and David Yerger
Several studies have examined the relationship between service quality and willingness to pay in many industries. However, this relationship has not been explored through the lens…
Abstract
Purpose
Several studies have examined the relationship between service quality and willingness to pay in many industries. However, this relationship has not been explored through the lens of customer perceived value and their willingness to pay for improving and sustaining water service. This study aims to examine the impact of technical and functional service quality dimensions on customer perceived value and assess the influence of customer perceived value and socio-economic factors on customers' willingness to pay for improving and sustaining the water service.
Design/methodology/approach
Technical service quality includes core water service such as water delivery and maintenance, while functional service quality refers to the appearance of facilities, employees’ dress, and communication. SERVQUAL questionnaire responses were collected from 333 Palestinian household customers. Cronbach’s alpha was conducted to measure internal consistency and convergent validity. Path analysis was utilized to evaluate a causal diagram by examining the relationships among the constructs.
Findings
The results showed that technical and functional service quality and relative price explain 52% of the customer perceived value variation. Additionally, the results revealed that customer perceived value, technical service quality, and relative price significantly impact the customer’s willingness to pay for improving and sustaining service. In contrast, the functional service quality and socio-economic factors have insignificant effects. These predictors explain 60% of the customer’s willingness to pay for improving and sustaining service.
Practical implications
The study suggests that water providers should prioritize improving and sustaining technical service quality to increase customer willingness to pay. Furthermore, they should be aware that other factors, such as employee appearance and politeness, are less influential in driving customers’ willingness to pay.
Originality/value
The study presents a water service improvement model that utilizes data from a developing country to assess the influence of perceived customer value, along with its dimensions, on the willingness to pay for improving and sustaining water service quality.
Details
Keywords
Rishi Kant, Babeeta Mehta, Deepak Jaiswal and Audhesh Kumar
The purpose of this present study is to analyze the role of consumers' social-psychological attributes, fiscal incentives and socio-demographics in the adoption intention and the…
Abstract
Purpose
The purpose of this present study is to analyze the role of consumers' social-psychological attributes, fiscal incentives and socio-demographics in the adoption intention and the willingness to pay more for electric vehicles (EVs).
Design/methodology/approach
A cognitive linkage model of “beliefs-intention-willingness” is analyzed using valid responses obtained from Indian consumers. The model is statistically tested at three levels: direct path effect of social-psychological attributes with financial incentives (subjective norm, personal norm, affective attitude, perceived knowledge) on adoption intention and willingness to pay, followed by the mediation of intention and the moderation of socio-demographics.
Findings
The findings reveal that the adoption intention and the willingness to pay are directly driven by all analyzed factors except financial incentives, which is not significantly associated with willingness to pay. Moreover, the adoption intention partially mediated the relation between all socio-psychological measures and willingness to pay, whereas full mediation of incentives is supported. Furthermore, the moderating effect of socio-demographics (gender, education, income) supports the integrated research model.
Research limitations/implications
The generalizability of findings may be warranted due to the limited sample territory and the sample's youth. However, young people, or millennials, are more receptive to new technologies such as electric or carbon-free automobiles. The research advocates marketers and manufacturers to craft policy interventions and strategies to upsurge the EV demands in the backdrop of emerging markets.
Originality/value
This timely study adds to the extant literature on green and clean technology automobile adoption by exemplifying the relationship between socio-psychological beliefs, intention and willingness to pay at three dimensions of contextual factors. The current study endeavors to endorse the “beliefs-intention-willingness” cognitive linkage framework in the context of Indian green transportation.
Details
Keywords
Anthony Amoah, Edmund Kwablah, Benjamin Amoah and Kwame Adjei-Mantey
In countries where the electronic levy (e-levy) has been implemented, one question that resonates with the populace is, “how much would you want to pay for e-levy per…
Abstract
Purpose
In countries where the electronic levy (e-levy) has been implemented, one question that resonates with the populace is, “how much would you want to pay for e-levy per transaction?” In response, varied perspectives have been shared with no convergence. Against this background, this study seeks to estimate people's willingness to pay (WTP) for electronic transaction levy in Ghana, while analysing the associated determinants.
Design/methodology/approach
This study relies on a survey of 2,810 respondents obtained from February 9 to 16, 2022 in Ghana. A multivariate logit model was estimated with its marginal effects. Further, a robustness check was undertaken using the linear probability model to validate the results.
Findings
With respect to the sample, the authors find evidence that approximately 46% of the respondents are not willing to pay any amount per transaction for the e-levy. Second, about 21% of the respondents are willing to pay Ghs0.5% as e-levy per transaction. Furthermore, about 10% of the respondents are willing to pay 1% per transaction as e-levy. Those who indicated that they would pay rates above 1% (specifically, 1.50%–1.75%) per transaction are less than 5%. For flat rates, approximately 10% of the respondents were willing to pay Ghs5 per month for all transactions above Ghs100. All others who are interested in other flat rates together are less than 5% of the respondents. The key statistically significant determinants of the probability that an individual would be willing to pay for the e-levy are also provided. This study recommends a comprehensive dialogue between the government and all stakeholders to reach a reasonable conclusion on an acceptable e-levy rate and by extension, implementation strategies.
Originality/value
To the best of the researchers' knowledge, this is the first empirical study that estimates individuals' willingness to pay for e-levy on electronic transactions in a developing country.
Details
Keywords
Concepción Varela-Neira, Filipe Coelho and Zaira Camoiras-Rodríguez
This paper aims to examine the relationship between the interaction of the social media manager’s customer orientation and the service climate perceived by supervisors, on the…
Abstract
Purpose
This paper aims to examine the relationship between the interaction of the social media manager’s customer orientation and the service climate perceived by supervisors, on the customer’s perception of brand authenticity and, through it, on the willingness to pay a price premium.
Design/methodology/approach
This study uses triadic data from 200 social media followers, 20 social media managers and 20 supervisors from a range of industries.
Findings
The findings show that the customer orientation of the brand social media managers interacts with their work context to influence social media followers’ perceptions of brand authenticity, and ultimately, their willingness to pay a premium price. Finally, product involvement moderates the relationship between brand authenticity and willingness to pay a premium price.
Research limitations/implications
This study shows how and when the disposition of brand social media managers affects the attitudes and intentions of the social media followers. Further research should continue this novel line of research and explore in greater depth the impact of social media managers and their environments.
Practical implications
Social media managers’ values should fit those of their organization. This organization-person fit reflects on social media and improves social media followers’ perceptions of brand authenticity and, consequently, their willingness to pay a premium price.
Originality/value
Leveraging participation in social media is currently a key issue for firms. However, the internal determinants of successful social media usage have received limited attention from researchers. Therefore, this research contributes to the social media literature by suggesting the need to consider the characteristics of social media managers and their context to promote the outcomes of social media usage, specifically brand authenticity and willingness to pay a premium price.
Details
Keywords
Syden Mishi and Robert Mwanyepedza
The world over is becoming urbanized, and people are migrating to cities in large numbers in search of opportunities. The increased urbanization has posed challenges such as…
Abstract
The world over is becoming urbanized, and people are migrating to cities in large numbers in search of opportunities. The increased urbanization has posed challenges such as congestion, rising crime, and growing urban poverty. The governments respond by providing amenities such as schools, hospitals, and housing to meet to increase in demand for these facilities. However, there is a need for the provision of facilities that meets the expectations of the people, particularly on the proximity of amenities and bundles of utility-bearing housing characteristics. In an attempt to address the challenge mentioned, the study estimated the hedonic characteristics influencing the willingness to accept and willingness to pay for housing facilities in the Eastern Cape Province, South Africa. Using a multiple linear regression model and artificial neural network, the study found out that properties with a bathroom, garage and large floor size have a higher value compared to properties without these facilities.When making decisions to acquire a property, buyers consider the availability of discounts and the prevailing property price. Overall, willingness to pay and accept decisions are mainly determined by location and the price at which homogeneous neighborhood properties were sold. Therefore, the study recommends that urban town planners and other housing authorities prioritize the construction of properties with larger floor areas, parking bays, and bathrooms using a cost-effective mechanism that makes the properties affordable to residents.
Details
Keywords
Eugine Tafadzwa Maziriri, Brighton Nyagadza, Brian Mabuyana, Tarisai Fritz Rukuni and Miston Mapuranga
This paper aims to examine how health consciousness, perceived nutrition of cereals, hedonic eating values and utilitarian eating values would influence consumers’ attitudes…
Abstract
Purpose
This paper aims to examine how health consciousness, perceived nutrition of cereals, hedonic eating values and utilitarian eating values would influence consumers’ attitudes towards cereal consumption, willingness to pay for cereals, actual consumption of cereal products, cereal product consumption satisfaction and continuance of cereal consumption.
Design/methodology/approach
The research embraced a quantitative approach. The examination was completed in the Eastern Cape province of South Africa (SA). A structured questionnaire was used to collect data from 380 Generation Z consumers of cereal products. Structural equation modelling analysis was used using the smart partial least squares software to test the hypothesized model.
Findings
The results uncovered that the study variables were significantly associated, and surprisingly, the relationship between hedonic eating values and attitudes towards cereal consumption was found to be insignificant. It was also found that attitudes toward cereal consumption positively and significantly mediated the relationship between health consciousness and willingness to pay for cereals, perceived cereal nutrition and willingness to pay for cereals, hedonic eating values and willingness to pay for cereals and utilitarian eating values and willingness to pay for cereals.
Originality/value
This research adds new, fresh knowledge to the established body of knowledge on cereal consumption behaviour. This area has had little research attention in developing African countries like SA.
Details
Keywords
Redeemer Krah and Gerard Mertens
The study investigates the influence of financial transparency on citizens' trust and revenue paying behaviour of citizens of local governments in sub-Saharan Africa. It relies on…
Abstract
Purpose
The study investigates the influence of financial transparency on citizens' trust and revenue paying behaviour of citizens of local governments in sub-Saharan Africa. It relies on the theories of stewardship and public choice in explaining the relationship between financial transparency, trust and willingness to pay.
Design/methodology/approach
The study applied a Partial Least Square Structural Equation Model (PLS-SEM) to survey data of 404 respondents selected from four Metropolitan and Municipal Assemblies of Ghana to test the hypotheses of the study.
Findings
It establishes the fact that financial transparency positively influences trust of citizens in local government and their willingness to pay taxes and levies. The study also found that both financial transparency and trust are low in the local governments of Ghana.
Practical implications
The study emphasises the importance of financial transparency in improving trust and willingness to pay. Thus, local governments are encouraged to seek innovative ways to enhance the quality and access to financial information by the citizens.
Originality/value
While prior studies focus on the measurement and determinant of financial transparency, this study links financial transparency to revenue mobilisation in the local government of sub-Saharan Africa.
Details
Keywords
Ching Yin Ip and Chaoyun Liang
The present study surveyed consumers in Taiwan and Japan to analyse the influence of marketing mix on purchase intention and the willingness to pay for Taiwanese pork and to…
Abstract
Purpose
The present study surveyed consumers in Taiwan and Japan to analyse the influence of marketing mix on purchase intention and the willingness to pay for Taiwanese pork and to establish a marketing-oriented model of consumer behaviour.
Design/methodology/approach
A total of 1,134 valid Internet surveys were collected, which included 526 Taiwanese respondents and 608 Japanese respondents.
Findings
An analysis of the results indicated that product quality constitutes the foundation of marketing strategies and significantly affects purchase intention and willingness to pay through physical evidence, promotional activities, place and price. Both physical evidence and product strongly affect the purchase intention of Taiwanese consumers, followed by price, whereas price and physical evidence significantly affect willingness to pay. For Japanese consumers, price, product and promotion strongly affect purchase intention, but place and physical evidence exert negative effects; by contrast, price and promotion significantly affect willingness to pay.
Originality/value
The results determined that a modified marketing mix should be applied for agricultural products. In the domestic market, marketing should promote the modernisation and scale of pork farms and possibly the brand value or market rarity. In international markets, particularly those of neighbouring countries, marketing should focus on the promotion of Taiwanese pork as a high-quality, reasonably-priced product with transparent product information and convenient purchase channels. This study contributes to the application of marketing theory to the market for staple foods by incorporating considerations for domestic and international markets.
Details
Keywords
Mario Becerra, Matteo Balliauw, Peter Goos, Bruno De Borger, Benjamin Huyghe and Thomas Truyts
Ticket sales are an essential source of income for football clubs and federations. Analyzing the determinants of fans' willingness-to-pay for tickets is therefore an important…
Abstract
Purpose
Ticket sales are an essential source of income for football clubs and federations. Analyzing the determinants of fans' willingness-to-pay for tickets is therefore an important exercise. By knowing the match- and fan-related characteristics that influence how much a fan wants to pay for a ticket, as well as to what extent, football clubs and federations can modify their ticket offering and targeting in order to optimize this revenue stream.
Design/methodology/approach
Using a detailed discrete choice experiment, based on McFadden's random utility theory, this paper formulates a Bayesian hierarchical multinomial logit model. Such models are very common in the discrete choice modeling literature. The analysis identifies to what extent match and personal attributes influence fans' willingness-to-pay for games of the Belgian men's and women's football national teams.
Findings
The results show that the strength of the opponent, the type of competition, the location of the seats in the stadium, the day and kick-off time of the match and the ticket price exert an influence on the choice of the respondent. Fans are attracted most by competitive games against strong opponents. They prefer to sit along the sideline, and they have clear preferences for specific kick-off days and times. The authors also find substantial variation between socio-demographic groups, defined in terms of factors such as age, gender and family composition.
Practical implications
The authors use the results to estimate the willingness-to-pay for match tickets for different socio-demographic groups. Their findings are useful for football clubs and federations interested in optimizing the prices of their match tickets.
Originality/value
To the best of the authors' knowledge, no stated preference methods, such as discrete choice analysis, have been used to analyze the willingness-to-pay of sports fans. The advantage of discrete choice analysis is that options and variations in tickets that are not yet available in practice can be studied, allowing football organizations to increase revenues from new ticketing instruments.
Details
Keywords
Thamaraiselvan Natarajan and Deepak Ramanan Veera Raghavan
Building on stimulus organism response theory, this study aims to examine the influence of Integrated store service quality (ISSQ) on omnichannel shoppers’ attachment to the…
Abstract
Purpose
Building on stimulus organism response theory, this study aims to examine the influence of Integrated store service quality (ISSQ) on omnichannel shoppers’ attachment to the integrated store with the mediating role of omnichannel customer engagement (CE) dimensions (absorptive attention, enthusiastic participation and social connection). This research demonstrates the effect of customers’ attachment to the integrated store on the willingness to pay more for omnichannel services and products of the retailer, their cross-buying behaviors in future purchases and loyal webrooming intentions. The moderating role of perceived relationship investment and alternative retailer attractiveness (ARA) in a few proposed relationships was also tested.
Design/methodology/approach
The research is descriptive, quantitative and cross-sectional investigation. A purposive sampling technique was used for selecting the study respondents. The data was collected from n = 589 Indian omnichannel shoppers who have experience shopping in the brick and mortar store of channel-integrated stores using a validated self-administered questionnaire. The proposed conceptual model was tested using PLS-SEM.
Findings
The results indicate that omnichannel CE dimensions (absorptive attention, enthusiastic participation and social connection) positively mediate the relationship between ISSQ and customer attachment to the store. Customer attachment to the store significantly impacts their willingness to pay more, cross-buying behaviors and loyal webrooming intentions. The moderating effect of the customer-perceived relationship investment and ARA revealed that it significantly impacted the relationship between ISSQ and willingness to pay more, cross-buying behaviors and loyal webrooming intentions. This research also demonstrated the direct impact of ISSQ on willingness to pay more, cross-buying behaviors, loyal webrooming intentions and the indirect impact through different CE dimensions and attachment with the store.
Research limitations/implications
The study is conducted in the Indian population, where omnichannel retailing is still nascent.
Originality/value
This study addresses the need to investigate the impact of CE and their attachment to stores driven by the in-store service quality of integrated stores on the various postpurchase consumer behaviors. To the best of the authors’ knowledge, this study is the first to show that ISSQ might affect their willingness to pay more, cross-buying behaviors and loyal webrooming intentions through different CE dimensions and their attachment to the store. The moderating effect of customer-perceived ARA and their perception of retailers’ investment in a relationship on proposed hypotheses was also tested.
Details