More Haste, Less Speed: How Update Frequency of Mobile Apps Influences Consumer Interest

The present study proposes a theoretical framework that uncovers the joint effects of the update frequency of apps and product type of the update on consumer interest and its underlying mechanisms. Building on the theory of mental accounting and regulatory focus, we propose that the effects of update frequency on consumer interest are different for hedonic products and utilitarian products. The authors give insights into the main effects with an empirical analysis of a field data set and establish an understanding of the fundamental mechanisms by two laboratory experiments. The findings show that for hedonic products, high update frequency contributes to higher consumer interest by affecting the benefit perception of consumers. For utilitarian products, low update frequency results in higher consumer interest by influencing the risk perception of consumers. Furthermore, the level of update can affect the combined effects of product type and update frequency on consumer interest and, particularly for low update levels, the aforementioned association can be reversed.

Omnichannel promotions and their effect on customer satisfaction

Purpose This paper aims to investigate whether customer satisfaction varies when presented with different types of omnichannel promotions (shopping goal-congruent vs shopping goal-incongruent and monetary vs non-monetary promotions) and if the effect on satisfaction is mediated by service excellence. In addition, this paper examines whether consumers respond differently to these promotions when shopping for utilitarian or hedonic products or when they have an inherent utilitarian or hedonic shopping motivation. Design/methodology/approach Two online shopping scenario experiments are conducted. Study 1 (n = 1,034) differentiates effects of omnichannel promotions between hedonic and utilitarian product categories. Study 2 (n = 345) contrasts hedonic and utilitarian shopping motivation in the same product category. Findings The findings in this paper demonstrate positive effects from both presenting a shopping goal congruent and a monetary promotion in an omnichannel setting on customer satisfaction. The positive effects are explained by service excellence and are demonstrated to be attenuated in the hedonic product category and for consumers with a hedonic shopping motivation. Research limitations/implications The effect of omnichannel promotions was demonstrated using a scenario-based experimental approach, future research should use field experiments. Practical implications The findings in this paper demonstrate practical implications for a retailer who wishes to optimize its omnichannel promotion strategy across channels and touchpoints. Originality/value To date there is little directions for retailers on how to optimize their omnichannel promotion strategy. This paper contributes to research and practice by demonstrating that shopping goal-congruent promotions (vs in-congruent) and monetary promotions (vs non-monetary) increase customer satisfaction more in an omnichannel context. The effects are enhanced for utilitarian (vs hedonic) products/shopping motivation.

The Market Responses to Super Bowl Advertising: The Role of Product Type and Multiple Executions

This study uses event study analysis to examine the impact of Super Bowl commercials on the stock prices of sponsoring firms by product type and the frequency of ad executions. By examining 272 Super Bowl advertisements from 142 firms that aired from 2010 to 2019, the results show that the execution of Super Bowl advertising was positively associated with excess returns. In particular, the abnormal return for the day after the event represents the largest gain in excess returns over a period of ±10 days around the event day. Further, cumulative average abnormal returns (CAARs) are consistently positive right after the event day. The findings demonstrate that Super Bowl commercials yielded higher returns for low-involvement and hedonic products. The number of ad executions is found to substantially enhance the effectiveness of Super Bowl advertising.

Reward Design for Customer Referral Programs: Reward–Product Congruence Effect and Gender Difference

Referral reward design is the core component of customer referral programs, which are often applied to recruit new customers. This research investigates the effectiveness of utilitarian vs. hedonic rewards in terms of referral generation. Through one field study and two laboratory studies, we demonstrate a reward–product congruency effect; that is, utilitarian rewards, compared with hedonic rewards, yield a higher referral likelihood for utilitarian products, while the opposite holds true for hedonic products. However, such a congruency effect would be crippled by gender segmentation. When males make referral decisions toward hedonic products, the effectiveness of utilitarian rewards is at least equal to that of hedonic rewards. When females make referral decisions toward utilitarian products, there is no difference in effectiveness between utilitarian and hedonic rewards. These findings provide novel insights into referral reward design.

The Influencing Factors of Brand Loyalty and Brand Love

Loving a brand can cause a positive feeling for the brand and want to use the brand for a long time. Research on the factors that make consumers feel love for a brand is still a little. This study aims to know at the factors that influence brand loyalty and brand love on iphone users in City in Souteast Asia. This research is a quantitative study using a quantitative descriptive approach. The analytical tool in this study is the Smart PLS (Path Analysis) application. The research variables consist of Romanticism (X1), Self Expression (X2), Hedonic Product (X3), Brand Loves (Y1) and Brand Loyalty (Y2) as mediating variables. Samples using the Yamane method with statistical probability methods amounted to 96 from all iphone users whose population is unknown. The results showed that romanticism, self expression and hedonic products directly have not been able to influence brand love and brand loyalty variables. However, with the presence of variable of mediator such as brand love, indirectly romanticism, self expression and hedonic products can influence brand loyalty variables with brand love as an intervening variable. Overall the results of this study are able to explain that intervening plays an important role become a mediator for other variables. Keywords : Romanticism, Self Expression, Hedonic Products, Brand Loves, and Brand Loyalty

The effects of pricing strategy on upgrade intentions

PurposeTaking a mental accounting theory perspective, this study explores how pricing strategy (all-inclusive vs partitioned) influences consumers' perceived residual value of a product and their subsequent intentions to upgrade to a newer model.Design/methodology/approachA pilot study and two formal experiments were conducted to test the hypotheses.FindingsA partitioned (vs all-inclusive) price causes consumers to later recall a lower total cost and perceive lower residual value for the existing product, thereby increasing upgrade intentions. This finding holds for both utilitarian and hedonic products. Perceived residual value mediates the impact of the pricing strategy on upgrade intentions. The pricing strategy effect is stronger for state-oriented individuals than for action-oriented individuals.Originality/valueThis study extends understanding of the impact of pricing strategies from consumers' short-term immediate demand to long-term upgrade intentions. It also identifies a previously uninvestigated moderator (action-state orientation), clarifying the boundary conditions of pricing strategy effects. The study's conceptual framework links pricing strategy, sunk costs, perceived residual value and upgrade intentions, providing rich insights and potential research paths. These findings further enhance understanding of upgrade intentions.