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

Abstract

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.