Creating effective online customer experiences through well-designed product web pages is critical to success in online retailing. How such web pages should look specifically, however, remains ...unclear. Previous work has only addressed a few online design elements in isolation, without accounting for the potential need to adjust experiences to reflect the characteristics of the products or brands being sold. Across 16 experiments, this research investigates how 13 unique design elements shape four dimensions of the online customer experience (informativeness, entertainment, social presence, and sensory appeal) and thus influence purchase. Product (search vs. experience) and brand (trustworthiness) characteristics exacerbate or mitigate the uncertainty inherent in online shopping, such that they moderate the influence of each experience dimension on purchases. A field experiment that manipulates real product pages on Amazon.com affirms these findings. The results thus provide managers with clear strategic guidance on how to build effective web pages.
Review articles: purpose, process, and structure Palmatier, Robert W.; Houston, Mark B.; Hulland, John
Journal of the Academy of Marketing Science,
2018/1, Volume:
46, Issue:
1
Journal Article
Although marketers increasingly rely on customer data, firms have little insight into the ramifications of such data use and do not know how to prevent negative effects. Data management efforts may ...heighten customers' vulnerability worries or create real vulnerability. Using a conceptual framework grounded in gossip theory, the authors link customer vulnerability to negative performance effects. Three studies show that transparency and control in firms' data management practices can suppress the negative effects of customer data vulnerability. Experimental manipulations reveal that mere access to personal data inflates feelings of violation and reduces trust. An event study of data security breaches affecting 414 public companies also confirms negative effects, as well as spillover vulnerabilities from rival firms' breaches, on firm performance. Severity of the breach hurts the focal firm but helps the rival firm, which provides some insight into mixed findings in prior research. Finally, a field study with actual customers of 15 companies across three industries demonstrates consistent effects across four types of customer data vulnerability and confirms that violation and trust mediate the effects of data vulnerabilities on outcomes.
Loyalty programs are a ubiquitous marketing tactic, yet many of them perform poorly and the reasons for loyalty program failure remain unclear to both marketing managers and researchers. This article ...presents three studies—two experiments and one survey—in support of the notion that a greater understanding of loyalty program performance demands an expanded theoretical framework. Specifically, researchers and managers must account for loyalty programs’ effects on both target and bystander customers in the firm’s portfolio, the simultaneous effects of three performance-relevant mediating mechanisms (gratitude, status, unfairness), and the contingent effects of program delivery (rule clarity, reward exclusivity, reward visibility) on specific mediating linkages. The results provide insights into why and when loyalty programs fail and into the complex trade-offs managers face. Loyalty programs have opposing effects on target and bystander customers’ loyalty and sales. While rule clarity suppresses both negative bystander as well as positive target effects, reward visibility enhances both types of effects. Exclusive rewards offer a means to alleviate negative bystander effects without affecting targets. The article both conceptually and empirically establishes a comprehensive analysis framework that can help marketing managers and researchers evaluate and improve loyalty program effectiveness.
This article integrates social network and exchange theory to develop a model of customer value based on three relational drivers: relationship quality (the caliber of relational ties), contact ...density (the number of relational ties), and contact authority (the decision-making capability of relational contacts). The results suggest that the value generated from interfirm relationships derives not only from the quality of customer ties (e.g., trust, commitment, norms), as is typically modeled, but also from the number and decision-making capability of interfirm contacts and the interactions among relational drivers. Moderator analysis of customer characteristics suggests that increasing contact density benefits sellers that have customers with high employee turnover rates, whereas building relationships with key decisions makers generates the highest returns among customers that are more difficult to access. The conceptual model of the impact of interfirm relational drivers on customer value receives support from dyadic data across 446 business-to-business exchanges. PUBLICATION ABSTRACT
An Emerging Theory of Avatar Marketing Miao, Fred; Kozlenkova, Irina V.; Wang, Haizhong ...
Journal of marketing,
01/2022, Volume:
86, Issue:
1
Journal Article
Peer reviewed
Avatars are becoming increasingly popular in contemporary marketing strategies, but their effectiveness for achieving performance outcomes (e.g., purchase likelihood) varies widely in practice. ...Related academic literature is fragmented, lacking both definitional consistency and conceptual clarity. This article makes three main contributions to avatar theory and managerial practice. First, to address ambiguity with respect to its definition, this study identifies and critically evaluates key conceptual elements of the term avatar, offers a definition derived from this analysis, and provides a typology of avatars’ design elements. Second, the proposed 2 × 2 avatar taxonomy suggests that the alignment of an avatar’s form realism and behavioral realism, across different contingencies, provides a parsimonious explanation for avatar effectiveness. Third, the authors develop an emerging theory of avatar marketing by triangulating insights from fundamental elements of avatars, a synthesis of extant research, and business practices. This framework integrates key theoretical insights, research propositions, and important managerial implications for this expanding area of marketing strategy. Lastly, the authors outline a research program to test the propositions and insights as well as advance future research.
Driven by data proliferation, digital technologies have transformed the marketing landscape. In parallel, significant privacy concerns have shaken consumer–firm relationships, prompting changes in ...both regulatory interventions and people’s own privacy-protective behaviors. With a comprehensive analysis of digital technologies and data strategy informed by structuration theory and privacy literature, the authors consider privacy tensions as the product of firm–consumer interactions, facilitated by digital technologies. This perspective in turn implies distinct consumer, regulatory, and firm responses related to data protection. By consolidating various perspectives, the authors propose three tenets and seven propositions, supported by interview insights from senior managers and consumer informants, that create a foundation for understanding the digital technology implications for firm performance in contexts marked by growing privacy worries and legal ramifications. On the basis of this conceptual framework, they also propose a data strategy typology across two main strategic functions of digital technologies: data monetization and data sharing. The result is four distinct types of firms, which engage in disparate behaviors in the broader ecosystem pertaining to privacy issues. This article also provides directions for research, according to a synthesis of findings from both academic and practical perspectives.
International relationships are increasingly critical to business performance. Yet despite a recent surge in international research on relationship marketing (RM), it is unclear whether or how RM ...should be adapted across cultures. The authors adopt Hofstede's dimensions of culture to conduct a comprehensive, multivariate, metaregression analysis of 47,864 relationships across 170 studies, 36 countries, and six continents. To guide theory, they propose four tenets that parsimoniously capture the essence of culture's effects on RM. Study 1 affirms these tenets and emphasizes the importance of taking a fine-grained perspective to understand the role of culture in RM because of the high degree of heterogeneity across different cultural dimensions and RM linkages. For example, the magnitude of individualism's effect is 71% greater on RM than other cultural dimensions, whereas masculinity has almost no effect; however, accounting only for individualism ignores significant moderating effects of power distance and uncertainty avoidance dimensions. To guide managers, Study 2 adopts a country-level approach and reveals that RM is much more effective outside the United States such that relationships are 55% more effective, on average, for increasing business performance in Brazil, Russia, India, and China.
Dynamic Relationship Marketing Zhang, Jonathan Z.; Watson, George F.; Palmatier, Robert W. ...
Journal of marketing,
09/2016, Volume:
80, Issue:
5
Journal Article
Peer reviewed
Open access
Firms routinely engage in relationship marketing (RM) efforts to improve their relationships with business partners, and extant research has documented the effectiveness of various RM strategies. ...According to the perspective proposed in this article, as customers migrate through different relationship states over time, not all RM strategies are equally effective, so it is possible to identify the most effective RM strategies given customers' states. The authors apply a multivariate hidden Markov model to a six-year longitudinal data set of 552 business-to-business relationships maintained by a Fortune 500 firm. The analysis identifies four latent buyer-seller relationship states, according to each customer's level of commitment, trust, dependence, and relational norms, and it parsimoniously captures customers' migration across relationship states through three positive (exploration, endowment, recovery) and two negative (neglect, betrayal) migration mechanisms. The most effective RM strategies across migration paths can help firms promote customer migration to higher performance states and prevent deterioration to poorer ones. A counterfactual elasticity analysis compares the relative importance of different migration strategies at various relationship stages. This research thus moves beyond extant RM literature by focusing on the differential effectiveness of RM strategies across relationship states, and it provides managerial guidance regarding efficient, dynamic resource allocations.
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