Low-involvement Goods Research Articles

Users’ processing of online marketplace listings for high and low involvement goods

PurposeTo understand how users of online marketplaces process market signals in their decision making and whether this depends on if the good is of high or low involvement. Design/methodology/approachThe paper employs a mixed methods approach. Study 1 draws on an analysis of interviews with online marketplace users using hypothetical eBay purchases as stimuli, understanding how users conceptualize specific market signals and whether their importance varies depending on the type of purchase (high versus low involvement good). Study 2 tests hypotheses derived from signaling theory, using an eye tracking experiment. FindingsPrice and photographs act as “fast and frugal” signals for inclusion in consideration sets for low involvement purchases, but consumers deem them insufficient for high involvement purchases where high-cost signals that help establish seller credibility are far more salient. Users pay relatively greater attention to costly market signals, which are beyond sellers’ direct control, for high involvement goods. Practical implicationsThe paper offers insights for sellers regarding the presentation of quality cues and strategies online marketplaces can employ to reduce information asymmetry. Originality/valueDrawing on and extending signaling theory, the paper introduces and confirms hypotheses for understanding users’ attention to market signals when making purchase decisions on online marketplaces. It identifies how the degree of involvement of a product affects the processing of market signals.

Pro-environmental purchase intentions in a low-involvement context: the role of myopia and apathy

PurposeTo achieve the UN’s 2030 agenda, consumers will need to behave more responsibly and make less environmentally harmful purchases. This study aims to investigate the antecedents of consumers’ pro-environmental purchase intentions based on a range of motivating (i.e. attitudes, locus of control) and inhibiting factors (i.e. apathy and myopia) for a low-involvement product. It also tests the moderating effect of the greenness of a low-involvement product (green vs nongreen) on the consumer’s pro-environmental purchase intentions.Design/methodology/approachAn online panel survey of 679 Turkish consumers was used. Structural equation modeling was used to test the hypothesized relationships.FindingsThe results suggest that while inhibiting factors (i.e. apathy and myopia) may not directly impede such purchase intentions, they could prevent consumers from considering the environmental characteristics of low-involvement products.Practical implicationsThe insights are expected to assist marketers and policymakers to understand consumer psychological mechanisms when encouraging and promoting pro-environmental behavior in the context of low-involvement purchases, enhancing consumers contributing to the 2030 objectives.Originality/valueThis study examines the role of inhibiting factors behind the purchase of low-involvement goods. It also tests the moderating effect of the greenness of a low-involvement product on pro-environmental purchase intentions.

Selling luxury goods online: effects of online accessibility and price display

Purpose – Luxury goods manufacturers have long been hesitant to adopt the internet as a channel of distribution. A luxury brand’s concept of exclusiveness is seemingly incompatible with the ubiquitous accessibility provided by the mass medium internet. The purpose of this paper is to address the apparent contradiction by examining consumer responses to the online accessibility and price display of luxury goods. Design/methodology/approach – Three studies are presented: first, a qualitative pre-study with luxury industry experts is conducted to identify the current managerial discussion on the online distribution of luxury goods. Second, an experiment with 183 high-income individuals is conducted to test the effects of online accessibility on consumer perceived scarcity and desirability. Third, a second experiment with 142 qualified luxury insiders is conducted to test consumer responses to the online accessibility and price display of luxury goods. Findings – Results indicate that the online accessibility of luxury goods does not affect consumer perceived scarcity and, hence, does not dilute brand desirability. This “no-dilution” finding applies to both high- and low-involvement goods and persists independently of whether or not retail prices are explicitly displayed. Originality/value – Whether or not to sell luxury goods online has been controversially discussed among both marketing scholars and executives. To the authors’ knowledge, the present paper is the first to empirically examine consumer responses to the online accessibility and price display of luxury goods.

Ketepatan dan Kesalahan Persepsi Konsumen Terhadap Pionir dan Pemimpin Pasar

Pioneer and market leader positions are sources of unique differentiation and competitive advantages. Empirical studies have suggested that pioneer or leader brands tend to be evaluated more favourably than follower brands. However, consumers’ ability to recognize pioneer or market leader brands accurately is limited. In fact, their perception and misperception of market pioneership and market leadership may affect their beliefs and decision making processes.
 The present study aims to investigate consumers’ ability to identify pioneer and market leader brands across three product categories representing high-tech products, low involvement goods, and services. It also analyzes consumer evaluation, attitude, and purchase intention of brands perceived as market leaders, pioneers, and followers. Data were collected using self-administered questionnaires from a convenient sample of 225 college students in Daerah Istimewa Yogyakarta (DIY). Four hypotheses adapted from Kamins et al. (2003) were examined using F-tests, post-hoc tests with Tukey and Duncan Multiple Range Test (DMRT), and pairwise t-tests.
 The results indicate that consumers have lower ability to recognize pioneer brands than market leader brands (70.89% versus 29.95%). In general, consumers have more favourable evaluation, attitude, and purchase intention of brands perceived as pioneers or market leaders than those perceived as followers.
 Keywords: Market pioneer, market leader, pioneer advantages, misperception, follower.

The effects of contextual cues on online auction outcomes: a quasi-experimental approach

The purpose of this paper is to propose a conceptual model of the determinants of online auction interest and final selling price. Using an innovative quasi-experimental methodology, data was gathered by observing 431 real online auction site transactions, over the four product categories DVD movies, Books, Laptops and Cars, reflecting high versus low personal involvement categories. Key findings suggest that seller reputation is important for high-involvement goods and impacts on the final selling price, as does the starting price for low-involvement goods. In addition, there appears to be a direct correlation between the number of bids and the level of interest in the auction for all the product categories examined in this study. These findings provide some empirical evidence about the influence of selected auction characteristics on the auction's final outcome, using real-world transactions on a large online auction site. Finally, the study examines the contrasts between traditional in-person auction theory and the rapidly growing online auction market. Managerial implications and directions for future research are also presented.

A Study on Consumer Behavior Characteristic of Low Involvement Goods Purchasing

A Study on Consumer Behavior Characteristic of Low Involvement Goods Purchasing

Vicarious experience in retail e-commerce: An inductive taxonomy of product evaluation support features

In general, direct experience (touch, taste, use, and so on) of physical products is impossible in an online environment. Knowledge of the experience attributes of these goods must therefore be obtained via an intermediary (vicariously). Unfortunately, little has been published about how to design online retail systems that help customers evaluate physical products. This paper addresses that gap by (1) surveying a wide range of sites, and (2) evaluating the features found using a grounded, rigorous evaluation method to induce a taxonomy of vicarious experience. The taxonomy is then used as the basis for some theory-based conjectures about the types of designs most suitable for different types of product. In particular, we propose that the type of information form and community used should differ for value-expressive and utilitarian goods, and for high and low-involvement goods.

Consumers' reasons for purchasing low involvement goods by mail catalogue: Preliminary measurement guidelines

New forms and applications of technology have enabled business organisations to increasingly utilise multiple channels for the distribution of retail products. One example, mail-order catalogue buying, has now become an acceptable shopping format for larger numbers of consumers. Earlier research clearly indicated that non-shop shopping, such as buying by mail-order catalogue, is not only very different from shop shopping, but consumers also undertake non-shop shopping for distinct reasons. The primary objective of the research reported here was to identify the reasons underlying the purchasing of low involvement products by mail-order catalogue and to develop a reliable and valid instrument that could identify and measure such reasons.

Risk relievers in mail-order catalogue retailing: The case of the high-frequency purchaser of low-involvement products

This article reports on the identification of how various risk relievers, available to consumers and mail-order catalogue organisations, influence general risk perception. Consumers who have purchased low-involvement products on a number of occasions by mail-order constitute the sample. The findings are that two of the major risk relievers significantly reduce, whilst another one increases, the general risk perceptions of mail-order customers when buying low-involvement goods. These findings are important to mail-order catalogue managers because they confirm that a variety of risk relievers need to be offered to ensure that perceived risks are properly addressed.

Direct observation of search behavior in the purchase of two nondurable products

AbstractThis study examines external information search for nondurable products using a relatively unobtrusive measurement technique in an effort to minimize the demand bias inherent in many previous search studies. An attempt is made to explain differences in search behavior using five groups of predictive variables: decision task, shopping lifestyles, general shopping behavior, personality, and demographics. The findings support the notion of very limited search in the purchase of common, inexpensive, low involvement goods. Variables related to the decision task appear to be the best predictors of external information search behavior.