Kent Grayson

Cognitive and affective trust in service relationships

Abstract Social psychologists conceptualize trust in a manner that differs from conceptualizations used by marketing researchers to date. Building from the social psychology literature, we posit that interpersonal trust in consumer-level service relationships has cognitive and affective dimensions. We examine the relative impact of service provider expertise, product performance, firm reputation, satisfaction, and similarity in influencing customers perception of these dimensions of trust in a service provider. Using survey data from 349 customers of a firm of financial advisers in the United Kingdom, our results show that cognitive and affective dimensions of trust can be empirically distinguished and have both common and unique antecedents. The results also provide further clarification concerning the relationship between trust and sales effectiveness.

Consumer Perceptions of Iconicity and Indexicality and Their Influence on Assessments of Authentic Market Offerings

Although consumer demand for authentic market offerings has often been mentioned in consumer research, the meaning of the term “authentic” has not been sufficiently specified. Thus, some important differences among authentic market offerings have not been recognized or examined. This article uses Peirces semiotic framework to distinguish between two kinds of authenticity—indexical and iconic. We identify the cues that lead to the assessment of each kind, and, based on data collected at two tourist attractions, we show that these cues can have a different influence on the benefits of consuming authenticity. Our results also contribute to an understanding of the negotiation of reality and fantasy as a part of consumption.

The Dark Side of Long-Term Relationships in Marketing Services

In their study of marketing services relationships, Moorman, Zaltman, and Deshpande (1992) are unable to support a hypothesized link between relational factors (such as clients’ trust in their serv...

Indexicality and the Verification Function of Irreplaceable Possessions: A Semiotic Analysis

Many researchers have noted that special possessions can represent personally relevant events, people, places, and values. Semiotics provides a useful theoretical base for understanding the representation processes that support these meanings. We apply the semiotic concept of indexicality to extend our understanding of how meanings are embedded in irreplaceable special possessions. The results of two empirical studies support the proposition that these possessions establish a semiotic linkage, which enables consumers to verify self-selected moments from their personal history. Our research also reemphasizes the value of semiotic frameworks as applied to research on possession ownership and sheds additional light on the value of authenticity to consumers. Copyright 2000 by the University of Chicago.

Marketing and Seduction: Building Exchange Relationships by Managing Social Consensus

We distinguish seduction from persuasion and other ways to draw consumers into exchange relationships. A legal case involving the prosecution of a mail fraud known as Chonda-Za is used to illustrate seduction, and the concept is defined in terms of social constructionist theory. We identify five stages in the unfolding of a seduction and draw parallels and contrasts to the formation of a normal exchange relationship. We explore the enrollment stage in more detail and model it as a matter of inducing consumers to accept progressively more involving role agreements. The distinction between legitimate and illegitimate seduction is also examined. Copyright 1995 by the University of Chicago.

Friendship Versus Business in Marketing Relationships

Although combining friendship and business in the same relationship can be beneficial, it can also create conflict. A source of this conflict is incompatible relational expectations. True friends are expected to be unmotivated by benefits that can be used beyond the relationship (e.g., money, status), whereas business partners are, by definition, at least partly motivated by these more “instrumental” concerns. Using a role theory framework and data collected from a survey of 685 direct-selling agents, this article reports evidence that a conflict between friendship and instrumentality can undermine some of the business outcomes that friendship might otherwise foster. It also suggests that this conflict is more severe for friendships that become business relationships than for business relationships that become friendships. Study conclusions do not suggest that friendship is entirely “bad” for business and, instead, propose that friendships influence can be both positive and negative.

Is firm trust essential in a trusted environment? How trust in the business context influences customers

Customers are influenced not only by how much they trust a company and its representatives but also by how much they trust the broader context in which the market exchange is taking place. In this article, the authors test two rival sociological perspectives regarding the influence of customer trust in the broader context. One perspective proposes that trust in the context replaces trust in individual firms and their representatives. This view suggests that firm/representative trust is not always critical, especially for customers with high trust in the context. An alternative perspective is that trust in the context fosters and legitimates trust in firms and their representatives. This view implies that firm/representative trust is a necessary mediator of the influence of trust in the context. The authors test predictions based on both perspectives, using empirical results from two studies implemented in two countries. The results from both studies support the proposition that trust in firms and their representatives is a necessary mediator of trust in the broader context.

Network marketing organizations: Compensation plans, retail network growth, and profitability

Abstract Network marketing organizations, or NMOs, are retail selling channels that use independent distributors not only to buy and resell product at retail, but also to recruit new distributors into a growing network over time. Commissions and markups on personal sales volumes, and net commissions on the personal sales volumes of downlines, are the methods of compensation commonly used to motivate NMO distributors. In this paper, we develop, analyze, and calibrate a dynamic decision model of the growth of a retail NMO. Descriptive and prescriptive insights show how compensation and other model parameters affect distributor motivation, sales, and network growth and profitability.

Customer responses to emotional labour in discrete and relational service exchange

As part of their jobs, many service employees are required to express certain emotions, such as positive affect toward service customers. Sometimes employees do not actually feel the emotions that they are expressing, resulting in what has been called “emotional labour.” Although a number of scholars have examined how service employees respond to requirements for emotional labour, few have studied how customers respond to employees who are enacting emotional labour ‐ or its opposite, emotional effortlessness. Building from the impression management framework, this paper develops an operationalization of emotional labour and presents hypotheses about consumer responses to emotional labour and emotional effortlessness. It also proposes an adaptation of previous marketing applications of the impression management framework. The hypotheses are then tested in two laboratory experiments. Results suggest that perceptions of emotional effortlessness can have a significant and positive impact on customer evaluations, but only in relational (as opposed to discrete) service situations.

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.