Literature in brand extensions has relied greatly on categorization theory and on prototypical models of categorization to explain the affect transfer from a parent brand to its…
Abstract
Purpose
Literature in brand extensions has relied greatly on categorization theory and on prototypical models of categorization to explain the affect transfer from a parent brand to its extensions. Drawing on the range theory exemplar models of categorization, this paper aims to show the effects of parent brand endpoint prices on consumer judgments of vertical line extensions.
Design/methodology/approach
Three experiments have been conducted. Experiment 1 tests the hypothesis that consumers rely on the parent brand price range when making judgments of an upscale extension. Experiment 2 tests the hypothesis that the effect of price range on extension evaluation is mediated by perceived risks for upscale extensions but not downscale extensions. The final experiment shows a boundary condition to the product line range effect on upscale extensions.
Findings
This research shows that upscale extensions are judged more favorably in the context of a wide versus a narrow product line even when the highest endpoints in both product lines are equally close to the extension and that this effect is mediated by perceived consistency and perceived risk. The range effect disappears, however, when consumers have a broad focus in which attention shifts to category endpoint prices, making parent brand prices less diagnostic of upscale extension judgments.
Practical implications
Managers may display a wider range of products and/or reduce prices of low-end models to expand product line price width. In consequence, low-end products become more competitive in terms of price and at the same time improve favorability ratings of the new upscale product.
Originality/value
Vertical line extensions and product line pricing are important topics to both academics and practitioners. Nonetheless, this is the first research to demonstrate how product line price width can influence consumer perceptions of vertical line extensions.
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Vivian Pontes, Dominique A. Greer, Nicolas Pontes and Amanda Beatson
This paper aims to examine how individuals’ need for distinction moderates the effect of perceived harm to others as a result of preferential treatment on customers’ attitudes…
Abstract
Purpose
This paper aims to examine how individuals’ need for distinction moderates the effect of perceived harm to others as a result of preferential treatment on customers’ attitudes towards the service provider.
Design/methodology/approach
Two experiments test the hypothesis that when a customer receives preferential treatment, the effect of perceived harm to others on the customer’s attitudes towards the service provider is moderated by their need for distinction and mediated by negative moral emotions, such that mediation occurs for customers with a lower (but not higher) need for distinction.
Findings
When customers have a lower need for distinction, they scan the environment to seek information about others when judging their own experience. In contrast, customers with a higher need for distinction tend to disregard others’ opinions and feelings, focusing solely on the benefits they receive from the service provider and avoiding moral emotions. Our results show that customers with a higher need for distinction tend to evaluate the service provider more favourably than those with a lower need for distinction in scenarios where the benefit given to an advantage customer imposes a disadvantage on other customers.
Originality/value
To the best of author’s knowledge, this research is the first to examine the interaction between perceived harm to others and one’s need for distinction as drivers of customers’ response to preferential treatment. The authors are the first to show that negative moral emotions may arise for customers with a lower need for distinction but not for those with a higher need for distinction.
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Bruno Schivinski, Nicolas Pontes, Barbara Czarnecka, Wen Mao, Jennifer De Vita and Vasileios Stavropoulos
This study aims to examine in which circumstances consumer’s self-congruity moderates the indirect influence of consumer-based brand equity (mediating role) in the relationship…
Abstract
Purpose
This study aims to examine in which circumstances consumer’s self-congruity moderates the indirect influence of consumer-based brand equity (mediating role) in the relationship between firm-created and user-generated social media content and intention to purchase fashion products.
Design/methodology/approach
In this study, the authors carried out an online survey with social media users of fashion brands and collected data from 622 participants across two samples to investigate whether consumers’ perceptions of equity of fashion brands mediate the relationship between social media brand-related communication created by both firms and users and the intention to buy the fashion brands. The indirect relationship is further moderated by self-congruity.
Findings
The results indicate that brand equity mediates the relationship between social media communication and purchase intentions of fashion products, and self-congruity moderates the relationship between social media communication types and purchase intentions, such that higher/lower levels of self-congruity strengthen/weaken the impact of social media communication on purchase intentions.
Originality/value
This study contributes to the business and marketing literature by exploring how social media communication, branding and fashion align with the individual’s self-concept and buying behaviour.
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Vivian Pontes, Nicolas Pontes, Dominique A. Greer and Amanda Beatson
Although preferential treatment has been considered a positive relationship marketing tactic, this research aims to examine how perceived harm to others as a result of…
Abstract
Purpose
Although preferential treatment has been considered a positive relationship marketing tactic, this research aims to examine how perceived harm to others as a result of preferential treatment invokes consumers’ negative moral emotions and negative attitudes towards the service provider.
Design/methodology/approach
Four studies are presented in this research. A pilot study first provides empirical evidence that customers who receive preferential treatment are aware of potential harm caused to other customers. Three experimental studies then test the hypothesis that shame and embarrassment mediate the effect of perceived harm to others on consumers’ responses to earned and unearned preferential treatment, respectively.
Findings
The present studies demonstrate that consumers naturally scan the environment and seek out information about others when judging their own experience; consequently, when preferential treatment is perceived to cause harm to others, it can trigger negative moral emotions. In particular, the authors show that shame mediates the effect of perceived harm to others when preferential treatment is earned, whereas embarrassment mediates this effect when preferential treatment is unearned.
Research limitations/implications
The results of this research contribute to the literature on earned and unearned preferential treatment and negative moral emotions. To the best of the authors’ knowledge, this is the first research to show that negative moral emotions may arise because of perceptions of harm to other customers, particularly in the context of earned preferential treatment. The authors demonstrate that ordinary shopping contexts have the potential to elicit these negative emotions, raising concerns about ethical and moral practices in service environments.
Practical implications
When designing relationship marketing programs incorporating preferential treatment, firms need to consider both the ethics of justice and the ethics of care. Guidelines considering ethics of care should be developed for employees to ensure appropriate training to deliver preferential treatment effectively and avoiding situations causing potential harm to others. Strategies could include encouraging employees to better scan the servicescape to identify if other customers’ needs should be attended first, and providing clearer justifications when administering preferential treatment. The provision of choices such as delayed redemption and passing on benefits to others can help minimise harm and potentially enhance customer service experience.
Originality/value
The studies presented here are the first to examine the role of perceived harm to others as an antecedent of consumers’ negative responses to preferential treatment. In particular, to the best of the authors’ knowledge, this is the first study to show that negative moral emotions may arise in the context of earned preferential treatment, calling into question some basic principles of relationship marketing.
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Mai Nguyen, Nicolas Pontes, Ashish Malik, Jaya Gupta and Ritika Gugnani
Amid challenges posed by the COVID-19 pandemic, fostering employee creativity has become paramount for organizations. However, there is a scarcity of research on digitalization of…
Abstract
Purpose
Amid challenges posed by the COVID-19 pandemic, fostering employee creativity has become paramount for organizations. However, there is a scarcity of research on digitalization of the workplace and its implications for implementing high involvement work systems (HIWSs) in organizations, particularly in relation to their impact on employee outcomes, such as creativity and job satisfaction. Additionally, limited attention has been given to the role of job level and organizational type in driving change during times of adversity. This study aims to examine the factors within the HIWSs model using the PIRK model – power (P), information sharing (I), rewards (R) and knowledge (K) to explore how HIWSs shape the extent of power individuals have over their employment, the sharing of information, the types of rewards that engage and motivate employees and the knowledge required to fulfil employees’ responsibilities effectively, both individually and collectively.
Design/methodology/approach
Using a qualitative research methodology, this study uses thematic analysis for data collection, analysis and interpretation. Semi-structured interviews (n = 48) served as the primary data collection method. Using the theoretical lenses of high-involvement practices and employee perceptions of PIRK, the effect on employee creativity and job satisfaction is analysed.
Findings
The findings of this study reveal that employee creativity is significantly influenced by how employees perceive power, information, rewards and knowledge. Moreover, the study highlights the role of transformational and transactional leadership in shaping employee perceptions of power, information and knowledge within HIWSs. A high perception of PIRK is found to positively impact employee job satisfaction.
Research limitations/implications
This study offers valuable insights for human resource management (HRM) professionals seeking to make informed decisions regarding best practices and initiatives for enhancing employee outcomes in the post-COVID era. By recognizing the pivotal role of HIWSs and their influence on employee perceptions, organizations can strategically implement HIWSs to foster creativity and job satisfaction. Furthermore, this research contributes to the existing literature by examining the interplay between HIWSs and the PIRK model in the context of workplace digitalization, emphasizing the importance of adapting HRM practices to address the evolving needs of the modern workforce.
Originality/value
This study will help HRM professionals in making informed decisions on the best practices and initiatives to enhance employee outcomes in the post-COVID era. This paper adds to the existing literature on HIWS and PIRK in the context of workplace digitalization.
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Mauricio Palmeira, Nicolas Pontes, Dominic Thomas and Shanker Krishnan
A fundamental aspect of hierarchical loyalty programs is that some consumers get rewards that others do not. Despite the widespread use of such programs, academics have long…
Abstract
Purpose
A fundamental aspect of hierarchical loyalty programs is that some consumers get rewards that others do not. Despite the widespread use of such programs, academics have long debated whether these benefits are outweighed by the potential negative impact of the differential treatment of customers. This study aims to extend our understanding, examining the impact of message framing on consumers’ reactions to hierarchical loyalty structures.
Design/methodology/approach
Three online studies were conducted. Study 1 uses advertisements to manipulate the message frame’s emphasis (benefits vs status). Study 2 manipulates consumers’ frame of thought by directing their attention to either changes in benefits or status. Finally, Study 3 uses the proposed framework to reconcile contradictory findings from past research.
Findings
Low-frequency customers who do not expect to qualify for a superior customer tier tend to reject hierarchical programs when thinking about status. In contrast, when these customers think about concrete rewards, loyalty program messages produce no negative reactions. High-frequency customers are positively affected by communication regardless of the type of benefits framed.
Research limitations/implications
All studies were done online, potentially limiting the external validity of the results. Nevertheless, the impact of message framing on perceptions about the loyalty program seems to be quite robust across different studies and manipulations.
Practical implications
When communicating with low-frequency customers, managers should avoid promising status; customers should instead be motivated based on concrete rewards. High-frequency customers are indifferent to alternative emphasis of communication frames.
Originality/value
Marketing academics have acknowledged the importance of being able to reward top customers without demotivating light and moderate users. This research is the first to provide a solution to this issue.
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Jorge Carlos Fiestas Lopez Guido, Jee Won Kim, Peter T.L. Popkowski Leszczyc, Nicolas Pontes and Sven Tuzovic
Retailers increasingly endeavour to implement artificial intelligence (AI) innovations, such as humanoid social robots (HSRs), to enhance customer experience. This paper…
Abstract
Purpose
Retailers increasingly endeavour to implement artificial intelligence (AI) innovations, such as humanoid social robots (HSRs), to enhance customer experience. This paper investigates the interactive effect of HSR intelligence and consumers' speciesism on their perceptions of retail robots as sales assistants.
Design/methodology/approach
Three online experiments testing the effects of HSRs' intellectual intelligence on individuals' perceived competence and, consequently, their decision to shop at a retail store that uses HSRs as sales assistants are reported. Furthermore, the authors examine whether speciesism attenuates these effects such that a mediation effect is likely to be observed for individuals low in speciesism but not for those with high levels of speciesism. Data for all studies were collected on Prolific and analysed with SPSS to perform a logistic regression and PROCESS 4.0 (Hayes, 2022) for the mediation and moderated-mediation analysis.
Findings
The findings show that the level of speciesism moderates the relationship between HSR intellectual intelligence and perceived competence such that an effect is found for low but not for high HSR intelligence. When HSR intellectual intelligence is low, individuals with higher levels of speciesism (vs low) rate the HSR as less competent and display lower HSR acceptance (i.e. customers' decision to shop using retail robots as sales assistants).
Originality/value
This research responds to calls in research to adopt a human-like perspective to understand the compatibility between humans and robots and determine how personality traits, such as a person's level of speciesism, may affect the acceptance of AI technologies replicating human characteristics (Schmitt, 2019). To the best of the authors' knowledge, the present research is the first to examine the moderating role of speciesism on customer perceptions of non-human retail assistants (i.e. human-like and intelligent service robots). This study is the first to showcase that speciesism, normally considered a negative social behaviour, can positively influence individuals' decisions to engage with HSRs.
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Wooyang Kim, Hyun Sang An, Donald A. Hantula and Anthony Di Benedetto
This study aims to examine the younger generations’ experiential consumption of foreign contemporary music online (i.e. digital music streaming services) by generation and gender…
Abstract
Purpose
This study aims to examine the younger generations’ experiential consumption of foreign contemporary music online (i.e. digital music streaming services) by generation and gender in the US market.
Design/methodology/approach
The author proposes a sequential experiential consumption model by applying Jacoby’s refined stimulus-organism-response (S-O-R) theory to better understand the experiential sequences in foreign music consumption among young generations in the US market. The proposed model, using structural equation modeling (SEM), examines a cognitive permeable role and a hierarchical affective mediating role. Also, moderating roles of generation and gender are simultaneously tested in overall and specific causal relationships.
Findings
The refined S-O-R framework is superior to a linear one in better understanding young consumers’ online experiential foreign music consumption behavior. Moreover, hierarchical sequenced affective organismic behavior is crucial to enhance young consumers’ online music consumption experiences to regulate subsequent behavioral responses. Furthermore, gender differences but no generational differences exist in the experiential consumption process among young consumers. Nevertheless, the strength of S-O-R factors affecting experiential consumption seems idiosyncratic simultaneously in gender and generation.
Practical implications
The study suggests foreign music streaming services boost profitability by focusing on young consumers' psychological ownership and tailored experiences, encouraging a shift from freemium to premium subscriptions. Also, the findings recommend adopting phygital experiences using technologies like AR, VR and MR to enhance engagement and create unique, emotionally resonant experiences for young consumers, thus fostering a more profitable business model.
Originality/value
The authors address under-researched topics relevant to young generations by applying Jacoby’s refined S-O-R framework to foreign music consumption through online streaming. This approach delves into a lesser-explored consumer behavior framework, highlighting young generations’ musical trends. The model reveals cognitive and affective roles, offering advantages over traditional linear S-O-R models. It also uniquely incorporates the moderating effects of generation and gender in music consumption studies, addressing a gap in music-related studies.
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Guillaume Bodet and Nicolas Chanavat
The purpose of this paper is to analyse the perceived brand equity of professional football clubs on foreign markets as these clubs firmly want to expand and reach a global brand…
Abstract
Purpose
The purpose of this paper is to analyse the perceived brand equity of professional football clubs on foreign markets as these clubs firmly want to expand and reach a global brand status.
Design/methodology/approach
Fitting with an inductive approach, 12 semi‐structured interviews are conducted in order to analyse the perceptions of Chinese fans of four English Premier League clubs.
Findings
The results of this research highlight the fact that the strength of professional football brand equity on the Chinese market is strongly determined by the level of brand awareness and perceived quality but, due to the increasing competition on foreign markets, professional football clubs need to clearly define their strategic marketing in order to improve the two other dimensions of brand equity, which are brand image and loyalty, which represents crucial stake to distinguish themselves.
Originality/value
The results provide useful information for professional clubs in general which want to become global but also provide relevant ways to improve brand equity for the four clubs investigated. This paper is one of the first to analyse perceived brand equity of professional clubs in direct competition among foreign potential or current customers.
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Nicolas Chanavat, Michel Desbordes and Geoff Dickson
Sponsorship rarely occurs in a one sponsor-one sponsee dyad (single sponsorship), yet a large portion of sponsorship research takes this perspective. The purpose of this paper is…
Abstract
Purpose
Sponsorship rarely occurs in a one sponsor-one sponsee dyad (single sponsorship), yet a large portion of sponsorship research takes this perspective. The purpose of this paper is to propose a model that reflects the complexity and rich diversity inherent in the field. The sponsorship network model considers the plurality of stakeholders to a sponsorship and their potential relationships to each other.
Design/methodology/approach
This conceptual paper develops a theoretical and conceptual framework to better identify the effect of sponsorship networks on consumer behavior.
Findings
Based on a review of the multiple sponsorships literature, the authors propose an innovative theoretical framework and a set of research propositions. The model considers simultaneously the potential relations between sponsors, sponsees and ambushers at the cognitive, affective and conative levels.
Originality/value
This research emphasizes the managerial implications for stakeholders involved in sponsorship and ambush marketing actions in order to maximize their investment. The model provides a comprehensive understanding of the complex nature of sponsorship networks and their ability to influence consumer behaviors. These effects are more complex than is currently recognized.