Aaron R. Brough

Finding a Home for Products We Love: How Buyer Usage Intent Affects the Pricing of Used Goods

Consumers often dispose of used products by selling them in a secondary market (e.g., classified advertisements, Craigslist, eBay). When consumers must dispose of products to which they feel emotionally attached, they often expect to sell the product at a price in excess of its market value. However, the authors identify a condition in which product attachment can decrease rather than increase the minimum price sellers are willing to accept. Specifically, they propose that due to concern for how products are used following a transaction, strongly attached sellers may be more willing than weakly attached sellers to provide discounts to potential buyers whose usage intentions are deemed appropriate. Whereas prior research has focused primarily on one particular consequence of attachment, namely, the intensified reluctance of consumers to part with their possessions, this research identifies a novel consequence of attachment: a heightened sensitivity to the manner in which the product will be used following a transaction. Four empirical studies provide converging evidence that sellers’ product attachment determines the extent to which their minimum acceptable sales price is influenced by buyer usage intent.

Is Top 10 Better than Top 9? The Role of Expectations in Consumer Response to Imprecise Rank Claims

Many marketing communications are carefully designed to cast a brand in its most favorable light. For example, marketers may prefer to highlight a brands membership in the top 10 tier of a third-party list instead of disclosing the brands exact rank. The authors propose that when marketers use these types of imprecise advertising claims, subtle differences in the selection of a tier boundary (e.g., top 9 vs. top 10) can influence consumers’ evaluations and willingness to pay. Specifically, the authors find a comfort tier effect in which a weaker claim that references a less exclusive but commonly used tier boundary can actually lead to higher brand evaluations than a stronger claim that references a more exclusive but less common tier boundary. This effect is attributed to a two-stage process by which consumers evaluate imprecise rank claims. The results demonstrate that consumers have specific expectations for how messages are constructed in marketing communications and may make negative inferences about a brand when these expectations are violated, thus attenuating the positive effect such claims might otherwise have on consumer responses.