E-Service Brand Extensions: The Role Of Perceived Fit And Category Usage Level On Adoption

This research examines how differences in consumer traits of self-efficacy and need for service employee interaction impacts perceived fit between core service brand and its e-service extension and adoption by current and prospective customers. Category usage level moderates the impact of self-efficacy on perceived fit and adoption of e-services among current and potential customers. We use data from a store—based service provider that introduced online services. The results of multiple regression analysis show that users with high level of efficacy have higher perceptions of fit and are more likely to adopt e-services and category usage level moderates this effect more for current users than prospective users

Customized Online Promotions: Moderating Effect Of Promotion Type On Deal Value, Perceived Fairness, And Purchase Intent

This paper investigated whether consumers differ in their perceptions of deal value, fairness and purchase intentions when presented with individually targeted (or customized) promotions versus universal promotions offered to all consumers at online retail websites. It was found that customized offers lead to significantly higher purchase intent compared to universal offers. Perceived fairness differed significantly across promotion types (free shipping, $ off and temporary reduced price) based on whether they were customized to the consumer or offered universally. Implications for designing customized online promotions are offered

Advertising Bans and the Substitutability of Online and Offline Advertising

The authors examine whether the growth of the Internet has reduced the effectiveness of government regulation of advertising. They combine nonexperimental variation in local regulation of offline alcohol advertising with data from field tests that randomized exposure to online advertising for 275 different online advertising campaigns to 61,580 people. The results show that people are 8% less likely to say that they will purchase an alcoholic beverage in states that have alcohol advertising bans compared with states that do not. For consumers exposed to online advertising, this gap narrows to 3%. There are similar effects for four changes in local offline alcohol advertising restrictions when advertising effectiveness is observed both before and after the change. The effect of online advertising is disproportionately high for new products and for products with low awareness in places that have bans. This suggests that online advertising could reduce the effectiveness of attempts to regulate offline advertising channels because online advertising substitutes for (rather than complements) offline advertising.Google (Firm)WPP (Firm

Changing banner ad executions on the web: Impact on click-through and Communication outcomes

ABSTRACT -Online advertisers change banner ad executions to overcome negative returns from repetition, improve clickrates and communication outcomes. We investigate the effect of banner ad repetition level, same and varying banner ad executions and consumer navigation orientation on behavioral response (clickrate) and memory-based outcomes (unaided recall, aided recall and recognition). We found that number of clickthroughs, aided recall and recognition scores were higher when subjects were experientially oriented. There is no significant effect of banner ad executions or repetition level on clickthroughs and unaided recall. Recognition is higher under high repetition and same ads in goal-directed condition and varying executions in experiential orientation. This work is copyrighted by The Association for Consumer Research. For permission to copy or use this work in whole or in part, please contact the Copyright Clearance Center at http://www.copyright.com/. 51 Advances in Consumer Research Volume 32, © 2005 Changing Banner Ad Executions on the Web: Impact on Clickthroughs and Communication Outcomes Patrali Chatterjee, Rutgers University ABSTRACT Online advertisers change banner ad executions to overcome negative returns from repetition, improve clickrates and communication outcomes. We investigate the effect of banner ad repetition level, same and varying banner ad executions and consumer navigation orientation on behavioral response (clickrate) and memorybased outcomes (unaided recall, aided recall and recognition). We found that number of clickthroughs, aided recall and recognition scores were higher when subjects were experientially oriented. There is no significant effect of banner ad executions or repetition level on clickthroughs and unaided recall. Recognition is higher under high repetition and same ads in goal-directed condition and varying executions in experiential orientation

The Role of Varying Information Quantity in Ads on Immediate and Enduring Cross-Media Synergies

Advertisers are increasingly incorporating online and offline media in their marketing communication plans to leverage synergies across them. However, if there are no differences in modality, it is unclear if mixed online-offline media usage can lead to cross-media synergies. The author draws from research on priming and two-factor theory of repetition to argue that varying information quantity on ads in different media leads to differences in ad processing at initial exposures, which impacts how information-processing capacity is allocated on retrieval vs. encoding activities on later exposures. This research compares the effect of combined online-offline media usage [Internet banner-print magazine-permission email (I-P-E) or email ad-print ad-Internet banner(E-P-I)] vs. single-media usage (I-I-I, E-E-E, and P-P-P) on aided and unaided brand information recall and brand attitude. Experimental data show that mixed-media use with increasing brand information (I-P-E) has a synergistic effect leading to significantly better immediate and delayed outcomes. Implications are drawn for media planning and media scheduling

Advertised Versus Unexpected Next Purchase Coupons: Consumer Satisfaction, Perceptions of Value, and Fairness

Purpose - This research aims to investigate how consumers differ in their interpretation of advertised and surprise (or unexpected) next-purchase coupons as delayed rewards or immediate losses based on promotion context and coupon start date restrictions. Design/methodology/approach - Two laboratory experiments examine how consumers respond to next-purchase coupons. In Study 1, nextpurchase coupon types (advertised; unexpected) vs competing brand promotions (yes; no) vs coupon start date restriction (unrestricted; restricted to future start date) between-subjects experimental design was used to examine the impact on purchase satisfaction, perceived promotion value, and perceived retailer fairness. In Study 2, four between-subjects factors were used to examine the impact on purchase satisfaction, perceived value, and retailer fairness: next-purchase coupon type vs coupon start date restriction vs coupon target restriction (brand-specific; non brand-specific) and the measured need-for-cognition variable (high; low). Findings - Study 1 indicates that unexpected next-purchase coupons lead to higher purchase satisfaction but lower perceptions of retailer fairness compared to advertised coupons. Study 2 indicates that consumer predisposition toward effortful thought (NFC) amplifies the impact of unrestricted start date on perceptions of retailer unfairness. Furthermore, this effect is stronger on purchase satisfaction and perceived value for unrestricted unexpected next-purchase coupons. Research limitations/implications - Results imply that advertised and unexpected next-purchase coupons differ in their impact on post-purchase outcomes of consumers. Differences in competing brand promotions and coupon start date restrictions lead to interpretations of next-purchase coupons as immediate loss vs delayed gains. Practical implications - Managerial implications for the design and use of next-purchase promotions are discussed. Originality/value - This research paper is the first to study how consumers respond to checkout or next-purchase coupons

Interfirm Alliances in Online Retailing

Reports in the popular media attest to the fact that the commercial development of the Web has sparked greater interconnectedness and competition between firms. Under rapid technological and market change and opportunity, firms who have innovative ideas, technologies, and products form alliances to coordinate their resources and fully capitalize on them in a timely fashion. Drawing on interorganizational exchange behavior, we examine factors that contribute to the successful continuation of an alliance relationship. Specifically, we investigate how satisfaction with performance and resource dependency in the presence of market and technological turbulence affects alliance outcomes. We use data collected from alliance partners in the online retailing industry to test our propositions. Implications of the findings are discussed for both research and practice

Returns on e-branding investmentLinking pre-acquisition marketing activity to customer profitability

Consumer-centric organizations recognize customer relationships with brands as a source of sustainable competitive advantage that they can leverage to successfully introduce brand extensions. Marketers seeking to leverage brand equity associated with core off-line products to introduce e-brand extensions recognize that success depends on initiating brand relationships with prospective customers, as well as maintaining relationships with existing customers. This research proposes and empirically demonstrates that investment on e-branding relationships with current users generates higher returns for online extensions that have close fit with the core off-line product. In contrast, investments on nonusers have a higher return on adoption of online brand extensions that have low-fit with core products, compared to current customers and can increase overall profitability. Further, we show that Web site features like personalized e-mail and interactive aids have a significantly higher impact on customer profitability and motivate prospective consumers to move to higher levels of relationship with the firm, than financial incentives like sales promotions. Managerial implications for return on e-branding investments and future research directions are discussed

Multiplechannel and crosschannel shopping behaviorrole of consumer shopping orientations

Purpose The purpose of this paper is to examine the role of consumer shopping orientations on consumer\u27s channel choice, crosschannel shopping behavior, and shopping outcomes. Design/methodology/approach Using multiple sources of data including surveys of store, web, and crosschannel shoppers and their transaction information, the impact of consumer shopping orientations on comparisonshopping, likelihood of crosschannel usage, purchase outcomes including unplanned purchasing, retailer satisfaction, intent to return/abandon purchases, and share of category purchases are investigated. Findings Results suggest that highthrift customers patronizing a crosschannel retailer are less likely to search for competitive offerings online or offline than customers patronizing a multiple channel retailer. Further, retailer satisfaction is higher for crosschannel compared to multichannel retailers irrespective of the transaction channel used by consumers. Research limitations/implications The data have external validity; however, they lack the control possible in laboratory experiments. Future research should examine if the findings can be replicated in multiple retail sectors. Practical implications These results suggest that brickandclick retailers can exploit synergies between their channels through order online and pick up in store strategies for greater profitability than those who operate multiple independent channels. Originality/value This paper examines managerial implications of multiple independent channel vs crosschannel strategies by retailers using data from customers of a commercial retailer

Can Unconscious-Conscious Processing Sequences Enhance Ad Exposure Outcomes

Can the sequence in which ad exposures are generated across various ad formats enhance or inhibit communication outcomes in low-involvement situations? This study compares the effect of self-selected and forced-exposure (or intrusive) ad exposure sequences with repeated exposures of single ad formats on brand recall, brand attitude and stimulus-based inclusion in the consideration set. Analysis of experimental data shows that the sequence of self-selected ad formats that induce pre-attentive processing of ad information followed by forced-exposure ad formats that induce conscious processing, leads to superior outcomes compared with others. Prior research on priming supports the findings and implications for media planning, are addressed