Rod McColl

Uncovering the relationships between aspirations and luxury brand preference

Purpose – This paper seeks to test the effects of intrinsic and extrinsic aspirations on luxury brand preference. The objective is to help luxury marketers better understand and anticipate the psychological needs of their customers.Design/methodology/approach – Based on a thorough review of the literature, a series of hypotheses are derived and tested using confirmatory factor analysis and structural equation modeling. The final sample consists of a total of 615 participants.Findings – The main findings show that aspirations can affect luxury brand preference depending on the type of aspirations: positive for extrinsic aspirations and negative for intrinsic ones. The findings also suggest that intrinsic aspirations play a more substantial role in luxury consumer behavior than had been previously thought.Practical implications – The findings suggest that luxury marketers should take into consideration the duality of intrinsic and extrinsic aspirations when designing marketing campaigns. Particularly, focus...

Practitioners’ perceptions of advertising strategies for digital media

Digital advertising is set to become a serious challenger within the rapidly changing media landscape. Today there are concerns that advertising strategies based on models and experiences developed with traditional media may need to be reviewed in the digital market. To provide insights into how online advertising strategies might need modification, 21 in-depth interviews were conducted across organisations representing key stakeholders in the digital advertising market. findings identified five key trends relevant to advertisers including: a move towards permission-based advertising; higher levels of personalised advertisements; more three screen advertising campaigns; increased levels of interactivity and the development of performance-based metrics. In the context of these trends, nine propositions are posited concerning the effective formulation and management of digital advertising strategies.

The Effect of Verbalized Emotions on Loyalty in Written Complaints

On the basis of current literature on customer dis(satisfaction) a model is developed and tested on the influence of emotions on customer loyalty subsequent to service-related failures. Emotions are shown to be a prime motivator for customer loyalty. A study of actual complaint letters sent to one of Australia’s largest multi-channel Pay-TV companies was conducted, of which approximately half had remained loyal to the company at least three months after the complaint was resolved and half had terminated their Pay-TV subscriptions. Although negative emotions are generally proposed to have a negative influence on repurchase intentions after a service failure, results from our sample of complaint letters indicate that distinctive differences exist with respect to specific emotions. Anger showed to influence loyalty negatively, whereas customers displaying sadness tended to be more loyal. However, the display of positive emotions towards the service firm does not necessarily ensure customer loyalty.

The elaboration likelihood model: : review, critique and research agenda

– The purpose of this paper is to review, critique and develop a research agenda for the Elaboration Likelihood Model (ELM). The model was introduced by Petty and Cacioppo over three decades ago and has been modified, revised and extended. Given modern communication contexts, it is appropriate to question the model’s validity and relevance. , – The authors develop a conceptual approach, based on a fully comprehensive and extensive review and critique of ELM and its development since its inception. , – This paper focuses on major issues concerning the ELM. These include model assumptions and its descriptive nature; continuum questions, multi-channel processing and mediating variables before turning to the need to replicate the ELM and to offer recommendations for its future development. , – This paper offers a series of questions in terms of research implications. These include whether ELM could or should be replicated, its extension, a greater conceptualization of argument quality, an explanation of movement along the continuum and between central and peripheral routes to persuasion, or to use new methodologies and technologies to help better understanding consume thinking and behaviour? All these relate to the current need to explore the relevance of ELM in a more modern context. , – It is time to question the validity and relevance of the ELM. The diversity of on- and off-line media options and the variants of consumer choice raise significant issues. , – While the ELM model continues to be widely cited and taught as one of the major cornerstones of persuasion, questions are raised concerning its relevance and validity in 21st century communication contexts.

Corporate patriotism as a source of corporate reputation: a comparative multi-stakeholder approach

This paper aims to define the concept of corporate patriotism and clarify its relationship with corporate reputation in the context of multi-stakeholder engagements. It develops a scale to measure corporate patriotism. It then determines the relative importance of corporate patriotism to the perceptions of corporate reputation in four key stakeholder relationships – consumer, purchasing, employment, individual share investment and community relationships. Our research evidence shows that the stakeholder relationship context moderates the role of corporate patriotism as a dimension of corporate reputation. The results further show significant differences in the role of national identity in organisation–stakeholder relationships. Specifically, corporate patriotism is more important for the reputation of a company as an employer and local citizen than as a provider of products and services. Marketing managers should consider the reputational advantage stemming from corporate patriotism in the design of multi-stakeholder corporate communication strategies.

Testing U.S. Advertising Belief and Attitude Measures in France

ABSTRACT This article aims at testing the cross-national equivalence of advertising belief and attitude measures from the Unites States and France and an initial cross-national comparison of beliefs and attitudes toward advertising in general between samples from the United States and France. A field study among 100 U.S. and 98 French respondents was conducted using established measures of advertising belief and attitude measures. The research at hand found that U.S. respondents exhibited significantly more favorable beliefs toward the economic and social effects of advertising as well as significantly more favorable attitudes toward the institution of advertising and the instrument of advertising in general. The findings suggest that existing advertising belief and attitude measures are equally applicable and yield similar structures in the United States and France. However, the results of structural equation modeling suggest that cross-cultural advertising belief and attitudes might be better measured u...

How the Chinese really negotiate: observations from an Australian-Chinese trade negotiation

Purpose Previous research suggests that negotiation style and conflict management strategies are influenced heavily by cultural factors. In the case of the Chinese, findings have largely produced stereotypical views about their behavior, but the authors argue that this position is becoming increasingly blurred in the global economy. Design/methodology/approach Data were collected using participant observation during negotiations of a free-trade agreement between China and Australia followed by in-depth interviews with Chinese delegates. Findings Consistent with Confucianism and a Taoism-based value system, there was evidence of strong cultural influence on conflict management approaches. Two a priori Chinese strategies were evident – avoidance and accommodating, with five tactics. However, contrary to previous research, the authors found use of two conflict management strategies normally associated with a western approach – competing and compromising, with five associated tactics. Practical implications Chinese negotiators are knowledgeable and capable of adopting western negotiation strategies and tactics. The authors advise managers involved in international negotiations with Chinese managers to be cautious when relying on historical stereotypical assessments and to think differently about the emerging Chinese negotiator. Originality/value Few published negotiation studies involve real negotiations based on actual observations, particularly in an international setting. Contrary to many published studies, we demonstrate that conflict management approaches used by Chinese negotiators have evolved into a blend of traditional Chinese and western styles.

Thanks For The Memories. Towards a MODEL of Memorable Service Experiences

Although memory has been studied extensively in the fields of psychology and physiology, and to a lesser extent in advertising, this literature gives insufficient attention to the role and function of memory in the consumption of service experiences. Episodic memory includes recollections of our autobiographical experiences and events (Tulving 2002). Many researchers have suggested that memory mediates behavioural intentions (Kozak 2001; Mazursky 1989). Despite more than a decade of interest amongst practitioners, research by marketing researchers remains scant. Fundamental questions remain unanswered. What do consumers remember from their experiences and do these memories change over time? What makes an experience memorable? Is a positive experience more memorable than a negative one? If a first time experience is memorable, what is the impact of subsequent exposure to the same experience? What are the antecedents and possible consequences for consumer behaviour? And finally, how should we measure experience memories?

We promise! Customer charters expand guarantees

Purpose – This paper aims to describe the experiences of Australian general insurer AAMI, the first private company to offer a customer charter and draw a comparison between service guarantees and customer charters. The paper also proposes a decision-support framework for the design, implementation and management of an effective customer charter. Design/methodology/approach – The methodology involved in-depth personal interviews and secondary data. Findings – Many service guarantees are not well conceived, implemented, or monitored. The AAMI case, demonstrates how customer charters, originally developed in the public sector can be effectively adopted in private organizations. The customer charter appears to deliver significantly more benefits to customers and an organization than traditional service guarantees. Charters do this by publishing specific service standards based on extensive research, conducting independent audits, stating outcomes of below standard performance, providing a visible and account...