What makes a message persuasive? Marketing departments everywhere are constantly looking for the answer to this question and much research has been conducted on this subject; previous research has shown that messages that have content that is easier to process can be more persuasive. Similarly, message framing and sequencing can also influence how persuasive a […]
Read More… from Optimal Marketing Claims: The Power of Three
Outsourcing is no longer just an operational issue. As globalization takes hold and more companies shift more activities to suppliers in emerging economies, outsourcing is now a strategic concern. Slowly, a question began to emerge in the consciousness of major manufacturers: were suppliers learning too much? In other words, was it possible that by ‘learning […]
Read More… from When Supply Chain Partners Move Up the Value Chain
In 1995, Japanese telecommunications giant NTT agreed to distribute a new product featuring new technology, but rejected the offer of exclusivity to the Japanese market. Going against the conventional wisdom that the less competition the better, NTT actually wanted more competition. The reason: the product was unfamiliar and untested; as a result, the more customers […]
Read More… from Is New Product Exclusivity Always a Good Idea?
Researchers from New York University’s Stern School of Business and Carnegie Mellon University studied the effects of product rankings in three areas: the direct impact of rankings on consumer behaviour the relationship between rankings and product ratings the important of customized rankings. The research team of Anindya Ghose and Panagiotis G. Ipeirotis, both of Stern, […]
Read More… from Search Engine Ranking: Consumer Behaviour and Revenue
There has been a growing trend in recent years for suppliers to differentiate their products through services, rather than solely through products. Consider the case of Apple, whose market share has consistently come under assault from cheaper tablets and touch screen phones competing with their iPad and iPhone. Nevertheless, it has managed to stay ahead […]
Read More… from Servitization: Implications for Sales and Marketing
What drives customers’ attitudes and behaviours? This is the golden question for marketing executives, who often rely on data from surveys, focus groups, interviews, etc., in the hopes of trying to understand how to better influence their customers. But according to Emma Macdonald, Hugh Wilson and Umut Konu?, these types of data suffer from a […]
A team of researchers used video tracking to observe consumers in real time during the entire shopping process. Analysing the video, the researchers were able to distinguish a number of behaviours related to both unplanned and planned purchases, and as a result, increased our understanding of why and how consumers make unplanned purchases. The research […]
Read More… from How and Why Shoppers Make Unplanned Purchases
Research dating as far back as the early 20th century has shown that the first argument presented to humans on even complex topics has greater persuasive appeal and is more likely to change minds. Building on this, Dana Carney and Mahzarin Banaji from Haas School of Business and Harvard University, respectively, set out to test […]
There are two basic types of loyalty programs: frequency rewards, through which customers earn points or credits to be redeemed (a free hotel room after so many stays); and customer tier programs, in which customers receive the benefits that come from climbing to a higher status of customer (e.g. accumulating enough purchases to become a […]
Read More… from Frequency Reward Vs Customer Loyalty Programs
This is the age of multichannels. Companies today are selling their wares through the Internet, catalogues and bricks-and-mortar stores. Not all channels, however, are cost-effective, especially given the low-cost opportunities offered by moving customers to the Internet. What happens when a retailer eliminates one of its channels? Will customers comfortable with that channel migrate to […]
