Australian customer willingness to pay and wait for mass-customised products

Daronkola, Hassan Kalantari; Johnson, Lester W.

doi:10.1108/apjml-01-2017-0006

Cited by 18 publications

(11 citation statements)

References 47 publications

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“…These findings advance previous studies that reported brand attitude, electronic WOM, and customized product design as the predictors of consumers’ WTP a premium price. 97 , 98 Finally, we refer to H9 and H10, which hypothesize that self-determined needs frustration is negatively related to consumer WTP a premium and positively related to vindictive WOM. These results were supported across Pakistan (β=−0.128, p <0.05; β=0.160, p <0.05) and China (β=−0.238, p <0.05; β=0.160, p <0.05).…”

Section: Resultsmentioning

confidence: 99%

Integrating self-determined needs into the relationship among product design, willingness-to-pay a premium, and word-of-mouth: a cross-cultural gender-specific study

Gilal¹,

Zhang²,

Gilal³

et al. 2018

PRBM

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BackgroundThe present study integrates self-determined needs satisfaction into a relationship between product design (eg, aesthetic, functional, and symbolic design) and consumer behavior (eg, willingness-to-pay [WTP] a premium and negative word-of-mouth [WOM]) and to explore whether gender can differentiate the effects of aesthetic, functional, and symbolic product designs on self-determined needs satisfaction.MethodsTo this end, participants from Pakistan and China were recruited, and the hypotheses for this study were tested using structural equation modeling and SPSS-PROCESS.ResultsThe effects of three product designs on self-determined needs satisfaction were significantly positive across samples. The results further show that self-determined needs satisfaction had the strongest positive effect on WTP a premium and the strongest negative effect on vindictive WOM for Pakistanis. Self-determined needs frustration had the strongest negative effect on the WTP a premium for Chinese participants and an equivalent magnitude effect on vindictive WOM for Pakistani and Chinese participants. The cross-cultural gender-specific findings revealed that Pakistani men are more aesthetic and hedonic than women in Pakistan. Surprisingly, Chinese women resemble Pakistani men in the sense that they prefer aesthetically pleasing products. Chinese men resemble Pakistani women in terms of little interest in symbolic products, whereas Chinese women and Pakistani men respond similarly regarding their decisions to choose symbolic products.ConclusionTo the best of the authors’ knowledge, the present study is one of the initial attempts to integrate self-determined needs into the relationship between product design and consumer WTP a premium and WOM, and further explore cross-cultural gender-specific differences across Pakistan and China. The findings of the present study may help international marketers in terms of segmenting, targeting, and positioning their markets.

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Section: Resultsmentioning

confidence: 99%

Integrating self-determined needs into the relationship among product design, willingness-to-pay a premium, and word-of-mouth: a cross-cultural gender-specific study

Gilal¹,

Zhang²,

Gilal³

et al. 2018

PRBM

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show abstract

“…Marketing is essential in the development of an organisation’s competitive strategies (Storey, 2017). The intent to generate value leads to competitive advantages, along with new challenges, at both the customer and firm levels (Kalantari and Johnson, 2018). The intense competition within service industries has led organisations to adopt transformed economic value originating not only from services/goods but also from that of experiences, particularly over recent decades.…”

Section: Literature Reviewmentioning

confidence: 99%

Experiential marketing, social judgements, and customer shopping experience in emerging markets

Ihtiyar

Barut

Ihtiyar

2019

APJML

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Purpose The purpose of this paper is to examine the influence of experiential marketing modules, service quality and social judgement on experiential values of young customers. The paper also investigates the effects of experiential values on customer satisfaction (CS) and post-purchasing behaviour. In addition, the paper intends to strengthen the shift in marketing paradigm and to provide insightful enhancements to the literature. Design/methodology/approach An instrument was developed to measure how strategic experiential module (Schmitt, 1999), social judgement module (Rosenberg et al., 1968) and service quality perceptions of customers influence functional and emotional values. Primary data were gathered through surveying 402 respondents in order to diagnose young customers’ experiences in popular coffee stores in Phnom Penh, Cambodia. The constructs and their interrelationships were examined based on partial least square-structural equation modelling (PLS-SEM). Findings The results of PLS-SEM were found to be adequate in terms of validity and reliability. The results revealed that some of experiential modules and service quality have positive stimuli on experiential values. These contributions postulate an impetus for potential exploration in numerous service settings. Originality/value The study assesses the effect of shopping experiences of young customers on experiential values, social judgement, CS and post-purchase shopping attitudes. It is anticipated that by filling this gap, this study will assist in strengthening marketing strategies, which requires an alteration in the existing business atmosphere. The suggestions and results for future research are discussed in detail accordingly.

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“…It has also been reported that wait times for services adversely affect consumer behavior in hospitals (Mowen et al 1993), supermarkets (Tom and Lucey 1995), airlines (Taylor 1994), and on online shopping (Rajamma et al 2009) and other websites (Nah 2004). Further, some consumers are willing to pay more to decrease wait times (Kalantari and Johnson 2018;Nguyen et al 2019). Therefore, many services exist across various industries that result in additional charges but decrease wait times, such as Amazon's Prime membership, which expedites shipping (Amazon 2019).…”

Section: Two Effects On Purchasing Behaviormentioning

confidence: 99%

Differences in delivery times’ effects on purchase intentions by the purchase candidates’ sequencing in the Japanese automotive industry

Kato

2020

J Market Anal

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Long wait times lead to consumer dissatisfaction and adversely affect purchase intentions. Therefore, in some cases, delivery times can be shortened by exceeding a company's manufacturing and sales ability. However, the excess inventory accumulated due to the constant shortening of delivery times decreases the willingness to consume, and the brand value may decline due to consequent price reductions. Therefore, it is important to build an appropriate supply system by understanding the conditions under which the length of the delivery time adversely affects purchase intentions. The focus of this study is on the fact that, for the first candidate car, delivery time may not adversely affect the purchase intention. The impact on purchase intentions is examined under a randomized controlled trial within the Japanese automobile industry by extending the delivery time from 3 to 10 weeks. The results reveal that extending the delivery date of the first candidate car had no effect, but extending it for the second and subsequent candidates decreased purchase intentions. Thus, the consumer's psychological time changes depending on purchase intentions, even if the wait time is physically the same. Therefore, for products with the highest category share, it is not worthwhile to excessively decrease delivery times.

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Australian customer willingness to pay and wait for mass-customised products

Cited by 18 publications

References 47 publications

Integrating self-determined needs into the relationship among product design, willingness-to-pay a premium, and word-of-mouth: a cross-cultural gender-specific study

Integrating self-determined needs into the relationship among product design, willingness-to-pay a premium, and word-of-mouth: a cross-cultural gender-specific study

Experiential marketing, social judgements, and customer shopping experience in emerging markets

Differences in delivery times’ effects on purchase intentions by the purchase candidates’ sequencing in the Japanese automotive industry

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