Consumer loyalty versus propensity to switch between providers in mature IT markets (the case of mobile phone market)

The example of the youth mobile phone market is used for pilot empirical testing of a model of consumers’ decision making, based on common features of consumer behaviour in mature markets of information and high technology products. Firstly, we discuss the key properties of mature high technology markets which affect market behaviour and strategies. These properties include: established customer and provider bases; the elements of both oligopolistic and monopolistic competition; very short product life cycle; considerable product differentiation; and using product quality, versioning and price discrimination as planning and marketing tools. Secondly, a model of consumers’ decision making in such markets is suggested on the assumption that a choice is to be made between the following options: to continue using the existing version of the product, to upgrade it with the current provider or to switch to another provider. Product price, quality characteristics, switching costs and network effects are demonstrated to be the variables affecting consumers’ decisions and therefore, these variables should be considered by competing providers when they choose production and marketing strategies. In conclusion, the results of the empirical study are discussed in the context of their possible application to other information and high technology markets.

Chinese consumers' perceptions of country design, assembly and parts capabilities : does country considered or consumer acculturation matter?

Chinese consumers are facing a diverse range of choices in regards to products produced wholly or in part overseas or by overseas corporations based in China. This study examines how consumers from China, both residing at home and abroad, perceived capability of Germany, Japan, US and China in regard to three dimensions of country capabilities- design, assembly and parts/components. The findings show that consumers have different perceptions concerning country capabilities and that Chinese consumers residing overseas appear to have more positive perceptions of foreign countries’ capabilities.

The influence of delivery mode on consumer choice of university

This paper reports on an empirical investigation into the importance of study mode in the choice of university by Australian student-consumers, using conjoint methods. Traditional approaches to investigating student choice have overlooked study mode because they assume a norm of face-to-face attendance on-campus. Three segments were identified based on the relative importance which students placed on the university, study mode and tuition fees in making their choice, and the segments were distinguishable on some demographic and situational variables. The findings have relevance to universities across national and reputational markets in making their decisions about how to deliver educational products.

Consumer knowledge and attitudes to salt intake and labelled salt information

The objective of this study was to investigate consumers’ knowledge of health risks of high salt intake and frequency of use and understanding of labelled salt information. We conducted a cross-sectional survey in shopping centres within Metropolitan Melbourne. A sample of 493 subjects was recruited. The questionnaire assessed salt related shopping behaviours, attitudes to salt intake and health and their ability to interpret labelled sodium information. Four hundred and seventy four valid surveys were collected (65% female, 64% being the main shopper). Most participants knew of the relationship between salt intake and high blood pressure (88%). Sixty five percent of participants were unable to correctly identify the relationship between salt and sodium. Sixty nine percent reported reading the salt content of food products when shopping. Salt label usage was significantly related to shoppers concern about the amount of salt in their diet and the belief that their health could improve by lowering salt intake. Approximately half of the sample was unable to accurately use labelled sodium information to pick low salt options. Raising consumer awareness of the health risks associated with high salt consumption may increase salt label usage and purchases of low salt foods. However, for food labels to be effective in helping consumers select low salt foods a more ‘user friendly’ labelling format is needed.

Impact of front-of-pack 'traffic-light' nutrition labelling on consumer food purchases in the UK

Front-of-pack ‘traffic-light’ nutrition labelling has been widely proposed as a tool to improve public health nutrition. This study examined changes to consumer food purchases after the introduction of traffic-light labels with the aim of assessing the impact of the labels on the ‘healthiness’ of foods purchased. The study examined sales data from a major UK retailer in 2007. We analysed products in two categories (‘ready meals’ and sandwiches), investigating the percentage change in sales 4 weeks before and after traffic-light labels were introduced, and taking into account seasonality, product promotions and product life-cycle. We investigated whether changes in sales were related to the healthiness of products. All products that were not new and not on promotion immediately before or after the introduction of traffic-light labels were selected for the analysis (n = 6 for ready meals and n = 12 for sandwiches). For the selected ready-meals, sales increased (by 2.4% of category sales) in the 4 weeks after the introduction of traffic-light labels, whereas sales of the selected sandwiches did not change significantly. Critically, there was no association between changes in product sales and the healthiness of the products. This short-term study based on a small number of ready meals and sandwiches found that the introduction of a system of four traffic-light labels had no discernable effect on the relative healthiness of consumer purchases. Further research on the influence of nutrition signposting will be needed before this labelling format can be considered a promising public health intervention.

Psychological study of consumer novelty seeking and mass media consumption

The thesis integrates theory from psychology and marketing, finding that those with an innate desire to seek out information on new products / brands are motivated to do so by aspects of regulatory focus, needs for uniqueness, and their susceptibility to interpersonal influence. In turn, these people consume more media and have higher information exposure.

Consumer concerns about food and health : examination of general and specific relationships with personal values and demographics

Purpose – Aims to investigate the relationships between consumers' food concerns and their personal values and demographic characteristics.

Design/methodology/approach – A questionnaire was administered in a cross sectional random population survey conducted among a sample of 1,000 adults in South Australia. The questionnaire elicited information about respondents' concerns about 20 food and health issues, the perceived importance of 23 values items derived from the Schwartz values inventory, and their demographic characteristics.

Findings – Principal components analyses derived four food concerns factors and six personal values factors. Respondents' safety concerns scores were positively associated with devout-tradition, order-discipline, and moderate-independent values. Their disease concerns score was positively linked to beauty-nature, devout-tradition, and order-discipline. Multiple regression and chi-square automatic interaction detection (CHAID) analyses showed that individual values items were strong predictors of consumers; specific concerns such as food and heart disease, and, genetic modification of foods.

Research limitations/implications – The research was based on a cross sectional study. More refined indices of food concerns and personal values should be used in replications of this preliminary study.

Practical implications – The findings support the use of psychographic market segmentation approaches in communication programs about food and health issues.

Originality/value – The findings suggest that personal values, may be stronger predictors of consumers' concerns about food and health issues than demographics. They also show that measurement level of values and concerns influence the observed strength of their relationships.

Supporting the online consumer decision process : electronic commerce in a small Australian retailer

The paper explores ways in which online retailers of physical products can utilise the Internet to support their consumers’ decision making processes. The approach followed by a small Australian retailer in selling boots online is examined. The case is analysed using theoretical constructs from consumer behaviour. It is concluded that it is indeed feasible even for small online retailers to successfully sell “look and feel” type goods such as footwear over the Internet. However, for this to occur, high levels of customer support is essential and online retailers need to engender consumer trust in terms of payment processing and product delivery.

"Lose 30lbs in 30 days" : assigning responsibility for deceptive advertising of weight-loss products

Purpose – The aim of this paper is to outline key social marketing issues apparent in deceptive weight-loss advertising, from the perspective of government policy-makers, manufacturers, the media, and consumers. The purpose is to examine the complexity of one aspect of the obesity battle and provide a framework for coordinated and integrated social marketing initiatives from a multiple stakeholder perspective.

Design/methodology/approach – The results of deceptive weight-loss advertising are framed using the harm chain model, and the paper offers recommended solutions based on a framework of marketing, education and policy changes across the network of stakeholders.

Findings – This paper concludes that a resolution to the harm created by deceptive weight-loss advertising can be achieved by the creation of a more holistic, system-wide solution to this important health and policy issue. This networked approach must involve all aspects of harm in a multi-stakeholder solution, including both upstream and downstream integration. Specific recommendations are made for policy-makers, manufacturers, the media, and consumers to achieve this goal.

Social implications – From a marketing perspective, analyzing the issue of deceptive weight-loss advertising using the harm chain allows for the creation of a more holistic, system-wide solution involving stakeholders in all aspects of harm for this important health and policy issue.

Originality/value – This research examines the problem of obesity and weight-loss advertising from the unique perspective of the harm chain framework. The authors make unified recommendations for various stakeholders including industry, media, government and consumers, in order to direct integrated social marketing and consumer-oriented strategies within this industry.

Health labelling can influence taste perception and use of table salt for reduced-sodium products

Objective : To investigate the effect of front-of-pack labels on taste perception and use of table salt for currently available and sodium-reduced soups.

Design : Within-subject design.

Setting : Sensory laboratory.

Subjects : Participants (n 50, mean age 34·8 (sd 13·6) years) were randomly served nine soups (250 ml each) across 3 d. Servings differed in: (i) health label (i.e. no health label, reduced-salt label or Heart Foundation Tick); and (ii) sodium reduction (no reduction – benchmark, 15 % less sodium or 30 % less sodium). Before tasting, participants rated their expected salt intensity and liking. After tasting, participants rated their perceived salt intensity and liking, after which they could add salt to the soup to make it more palatable.

Results : Reduced-salt labels generated a negative taste expectation and actual taste experience in terms of liking (P < 0·05) and perceived saltiness (P < 0·05). Perceived saltiness of sodium-reduced soups decreased more (P < 0·05), and consumers added more salt (P < 0·05), when soups carried the reduced-salt label. The tick logo and soups without health labels had no such influence on taste perception.

Conclusions : Emphasizing salt reduction by means of a front-of-pack label can have a negative effect on taste perception and salt use, especially when consumers are able to taste differences between their regular soup and the sodium-reduced soup. Overall health logos which do not emphasize the reduction in salt are less likely to affect perceived salt intensity and therefore are viable solutions to indicate the healthiness of sodium-reduced products.

Consumer acceptability and antioxidant potential of probiotic-yogurt with spices

The study focuses on developing novel probiotic yogurts containing spices with acceptable sensory properties, therapeutic levels of probiotics and with beneficial antioxidant capacity. Eight types of yogurts with added spice oleoresins (cardamom, cinnamon and nutmeg) and probiotics [Lactobacillus acidophilus strain 5(LA5), or Bifidobacterium animalisssp.Lactis (Bb12)] were produced. Two successive consumer sensory taste panels (n = 54) using a nine point hedonic scale were conducted to evaluate the acceptability of the yogurts. Viable counts of probiotics and antioxidant capacity of yogurt samples at 1, 7, 14 and 28 days of storage at 4 °C were monitored. The probiotic-yogurt products containing spices showed good sensory properties, with the best results obtained with cardamom oleoresin (with LA5 or Bb12). The presence of spice oleoresins (cardamom, nutmeg and cinnamon) did not affect the probiotic population (LA5or Bb12) in yogurt during 4 weeks of refrigerated storage. The antioxidant capacity (with LA5or Bb12) over the storage period was also maintained.

The Big Five and brand personality: investigating the impact of consumer personality on preferences towards particular brand personality

The aim of this study was to explore the relationship between consumer personality and brand personality as measured by constructs refl ecting The Big Five dimensions in the context of fashion products. The fi ndings of the study show that some dimensions of The Big Five constructs are signifi cantly related to preferences on particular dimensions of brand personality. It was found that consumers who exhibit a Conscientious personality demonstrate preferences towards ‘ Trusted ’ brands. In contrast, those who are Extrovert in nature are motivated by ‘ Sociable ’ brands. Findings related to gender reveal that male and female consumers differ in how they express their personality when it comes to brand personality. Male respondents who are dominant on the Neuroticism dimension prefer ‘ Trusted ’ brand, whereas ‘ Trusted ’ brand is preferred by females who are dominant on the Conscientiousness dimension. The results of this study will inform brand managers about how to tailor specifi c marketing strategies such that brand personalities communicated to consumers are congruent with their personalities.

Understanding culture, motivation, and ethnic consumer behavior

Understanding ethnic consumer behaviors through a case study of good practice and their innovative marketing strategies to ethnic consumers is important. Surprisingly, little has been done to discuss which practices and strategies may work best when marketing to ethnic consumers. This chapter presents a case study of the Immigration Museum (Melbourne, Australia) and how the organization uses strategies to promote their products and programs to ethnic consumers. The case study and in-depth interviewsare the methods used. In this chapter, the authors argue that a combination of Alferder’s and Schwartz’s theoretical frameworks help museum marketers understand behaviors of ethnic groups, thereby using appropriate marketing strategies in encouraging their consumption. This chapter extends current marketing literature on consumers’ motivation, drive, and needs, and non-profit marketing, and validates selected motivational theories. It also provides practical implications for marketers of non-profit organizations.