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Corporate sponsorship of events contributes significantly to marketing aims, including brand awareness as measured by recall and recognition of sponsor-event pairings. Unfortunately, resultant advantages accrue disproportionately to brands having a natural or congruent fit with the available sponsorship properties. In three cued-recall experiments, the effect of articulation of sponsorship fit on memory for sponsor-event pairings is examined. While congruent sponsors have a natural memory advantage, results demonstrate that memory improvements via articulation are possible for incongruent sponsor-event pairings. These improvements are, however, affected by the presence of competitor brands and the way in which memory is accessed.
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Prior research has demonstrated that actions are regretted more than inactions in the short term. We show that, in limited purchase opportunities—situations where the purchase decision cannot be reversed—not purchasing (inaction) is seen as a loss and is associated with greater short-term regret than purchasing, reversing the omission bias. With respect to long-term regret, we use coping and availability mechanisms to suggest that, contrary to prior findings, inaction (nonpurchase) regrets decrease over time. We also argue that action (purchase) regrets should increase over time, but only when long-term utility is low. We support our predictions with a field study and two laboratory experiments.
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Recent research has identified a positivity effect in consumers’ evaluations of agents, such as friends and professional critics, who provide word-of-mouth evaluations and recommendations. Specifically, agreement with an agent on previously loved alternatives is perceived as more diagnostic of the agent’s suitability than agreement on previously hated alternatives. This article argues that the positivity effect arises from greater ambiguity about attribute ratings of hated versus loved alternatives. Three studies support this by showing that the effect is moderated by the number of attributes, the number of alternatives, and the revelation of an agent’s attribute ratings, and is mediated by attribute ambiguity.
We contrast memory-based and stimulus-based choices, using dual-process theories such as Kahneman and Frederick’s system 1/system 2 dichotomy. Systems 1 and 2 are conceptualized as distinct modes of thought, the former automatic and affective, the latter controlled and deliberate. Cognitive load impedes system 2, yielding greater reliance on system 1. In memory-based choice, consumers must maintain relevant options in working memory. Thus, memory-based choices are associated with greater cognitive load than stimulus-based choices. Indeed, we find that memory-based choices favor mmediately compelling, affect-rich system 1 options, whereas stimulus-based choices favor affect-poor options whose attractiveness emerges from deliberative system 2 thought.
Dynamic pricing practices by sellers in response to segment and individual-level differences have been made more feasible as internet buyer behavior increases. While benefits from these pricing practices can accrue to sellers and buyers, the potential for (un)fairness perceptions to mitigate these advantages is important. In an effort to investigate these issues, this article reports the results of three studies that examine the effects of seller-, consumer-, time-, and auction-based price differences on perceived price fairness and purchase satisfaction. The findings underscore the potential negative effects associated with price differences from dynamic pricing practices.
product newness and how perceived newness affects the market success of new
product introductions. It builds on theories in psychology that identified “collative”
variables closely associated with newness perceptions on the part of the consumer.
Also, it explores the effect of newness on market success after one year and the
pattern of market success during that time period.
It is hypothesized that perceived newness is a two-dimensional (rather than unitary)
construct and that its two dimensions, (1) mere perception of newness and (2)
perceived complexity, have different effects on product liking and market success
over time. Consistent with our hypotheses, product liking linearly decreases with
perceived complexity and cross section analysis reveals the same relationship with
market success after one year.
not hold in the case of product liking as it linearly increases with perceived
incongruity (i.e. mere newness perception). In contrast, and consistent with our
hypothesis, cross section analysis reveals an inverted-U relationship between
perceived incongruity and market success after one year. Over time, the key findings
from this work emphasize that high perceived product complexity is a disadvantage to
new product success in the short run. However, market success of complex products
increases over time once initial rejection is overcome (i.e. learning to like). In
addition, the mere perception of newness does not appear to have a significant effect
on the shape of the diffusion curve. Finally, for a given product, qualitative
comparisons between countries suggest that incongruity and complexity may
differentially participate to overall newness and therefore affect liking.
Overall, the thesis reveals the importance of considering product newness as a two-
dimensional construct since each of these dimensions brings in key information to
explain consumers’ response to innovative products.
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RICHARD F. YALCH*
Polysemous brand slogans have multiple meanings that may convey several product attributes. We build on extant research by suggesting that some consumers automatically access multiple meanings of a polysemous brand slogan, whereas others access only a single, immediately available meaning. A novel measure of automatic access to secondary meaning (the Secondary Meaning Access via the Automatic Route Test, or SMAART) is developed to capture this individual difference and show its consequences for consumer responses to polysemous slogans with unfavorable secondary meanings. The automatic-access account is further validated by employing the Implicit Association Test (Greenwald, McGhee, and Schwartz), suggesting that the unconscious impact of polysemous brand slogans can be more influential than intuitively expected.
*Claudiu V. Dimofte (dimofte@msb.edu) is assistant professor of marketing, Robert Emmett McDonough School of Business, Georgetown University, Washington, DC 20057. Richard F. Yalch (ryalch@u.washington.edu) is professor of marketing, University of Washington Business School, Box
353200, Seattle, WA 98195. The article is based on the first author’s doctoral dissertation at the University of Washington under the supervision of the second author. The authors acknowledge the helpful input of the editor, as sociate editor, and reviewers. In addition, the authors thank Forentiu Damian for help with software development and Anthony Greenwald and Ronald Goodstein for their helpful comments.
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DHANANJAY NAYAKANKUPPAM*
Prior research has traced poor judgment quality to poor calibration. We suggest inconsistency to be another reason for poor judgment quality—utilizing different models on different occasions resulting in increased wandering in judgments. We demonstrate differing consistency in the utilization of models depending upon which variable is used as a cue and which is used as the criterion to be predicted. This results in differing correlations underlying judgments between the same two variables, an internally inconsistent pattern. We trace this to the utilization of lay causal models to make predictions but with the strength of the causal story moderating the consistency in use of the model.
*Arul Mishra is a doctoral candidate in marketing at the Tippie College of Business, University of Iowa, S252 PBB, Iowa City, IA 52242 (arul-mishra@uiowa.edu). Dhananjay Nayakankuppam is assistant professor of marketing at the Tippie College of Business, University of Iowa, W234 PBB, Iowa City, IA 52242 (dhananjay-nayakankuppam@uiowa.edu). Both authors contributed equally to the research, and order of authorship is alphabetical. The authors thank Joe Priester, Himanshu Mishra, and the participants of the JDM Brown Bag at the University of Iowa for their feedback at various stages of this project.
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*Agricultural Economics Research Institute (LEI), P.O. Box 29703, The Hague 2502 LS, The Netherlands, E-mail: h.j.m.hansman@lei.wag-ur.nl / j.c.dagevos@lei.wagur.nl
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XAVIER DREZE*
We examine movie sequels as brand extensions of experiential goods. Study 1 reveals a reversal of the traditional categorization model such that dissimilar extensions are rated higher than similar extensions. This reversal is moderated by the name of the sequel; numbered sequels (Daredevil 2) are influenced by similarity more than named sequels (Daredevil: Taking It to the Streets). Study 2 reveals that the reversal arises because numbered sequels invoke a greater degree of assimilation with the parent movie, thereby increasing consumers’ level of satiation of experiential attributes. The Internet Movie Database (IMDb) provides external validity for our results (study 3).
*Sanjay Sood is assistant professor of marketing, UCLA Anderson School of Management, 110 Westwood Plaza, Suite B414, Los Angeles, CA 90095-1481 (sood@ucla.edu). Xavier Dreze is assistant professor of Marketing, the Wharton School of the University of Pennsylvania, Philadelphia, PA 19104-6340 (xdreze@wharton.upenn.edu). Correspondence: Sanjay Sood. The authors acknowledge the helpful input of the editor,associate editor, and reviewers. In addition, the authors thank the Entertainment and Media Management Institute of UCLA for helping fund the research.
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GITA VENKATARAMANI JOHAR*
Our two-stage framework predicts that, during impression formation, individuals who hold ambivalent attitudes toward an issue are influenced by other sources regardless of their perceived reliability on the target issue. Less ambivalent individuals are presumed likely to check the reliability of the message’s source before accepting it. Experiment 1 finds that highly ambivalent participants do not differentiate between a more versus less reliable source when forming impressions of a political candidate, whereas less ambivalent participants do. Experiments 2 and 3 show that less ambivalent individuals’ attitudes can be influenced by less reliable sources if participants are unaware of this influence or if participants’ cognitive resources are curtailed.
*Martin R. Zemborain is assistant professor of marketing at IAE Management and Business School, Austral University, Mariano Acosta s/nro. Y Ruta Nac. 8 (1629) Pilar, Buenos Aires, Argentina (mzemborain@iae.edu.ar). Gita Venkataramani Johar is Meyer Feldberg Professor of Business at the
Graduate School of Business, Columbia University, 3022 Broadway, New York, NY 10027 (gvj1@columbia.edu). The authors contributed equally to this article and gratefully acknowledge helpful suggestions on earlier versions of the manuscript from the editor and two reviewers. This research was supported by the Columbia Business School research fund and was conducted while the first author was a doctoral student at Columbia University.
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ALEXANDER CHERNEV*
Do consumers prefer auctions that allow them to place more precise bids to auctions that accept less precise bids? Can consumers accurately estimate their need for price-elicitation precision? This research addresses these questions by applying the notion of compatibility to the relationship between consumers’ bidding price uncertainty and the precision implied by the price-elicitation task. Data from four experiments show that when consumers are uncertain about the optimal bidding price, decision tasks requiring elicitation of precise bids lead to lower decision confidence, and vice versa. It is further shown that consumers display stronger preference for high-precision auctions, even though such auctions are associated with less confident pricing decisions.
*Alexander Chernev is associate professor of marketing at Kellogg School of Management, Northwestern University, 2001 Sheridan Road, Evanston, IL 60208 (ach@northwestern.edu). The author thanks Pierre Chandon, Ryan Hamilton, Vincent Nijs, the editor, the associate editor, and the three anonymous reviewers for their advice and constructive comments.
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