• Journal of Global Scholars of Marketing Science
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• v.17 no.4
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• pp.247-269
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• 2007

In recent years, one of the major reasons for the fierce competition amongst firms is that they strive to increase their own market shares and customer acquisition rate in the same market with similar and apparently undifferentiated products in terms of quality and perceived benefit. Because of this change in recent marketing environment, the differentiated after-sales service and diversified promotion strategies have become more important to gain competitive advantage. Price promotion is the favorite strategy that most retailers use to achieve short-term sales increase, induce consumer's brand switch, in troduce new product into market, and so forth. However, if marketers apply or copy an identical price promotion strategy without considering the characteristic differences in product and consumer preference, it will cause serious problems because discounted price itself could make people skeptical about product quality, and the changes of perceived value might appear differently depending on other factors such as consumer involvement or brand attitude. Previous studies showed that price promotion would certainly increase sales, and the discounted price compared to regular price would enhance the consumer's perceived values. On the other hand, discounted price itself could make people depreciate or skeptical about product quality, and reduce the consumers' positivity bias because consumers might be unsure whether the current price promotion is the retailer's best price offer. Moreover, we cannot say that discounted price absolutely enhances the consumer's perceived values regardless of product category and purchase situations. That is, the factors that affect consumers' value perceptions and buying behavior are so diverse in reality that the results of studies on the same dependent variable come out differently depending on what variable was used or how experiment conditions were designed. Majority of previous researches on the effect of price-comparison advertising have used consumers' buying behavior as dependent variable. In order to figure out consumers' buying behavior theoretically, analysis of value perceptions which influence buying intentions is needed. In addition, they did not combined the independent variables such as brand loyalty and price discount rate together. For this reason, this paper tried to examine the moderating effect of brand loyalty on relationship between the different levels of discounting rate and buyers' value perception. And we provided with theoretical and managerial implications that marketers need to consider such variables as product attributes, brand loyalty, and consumer involvement at the same time, and then establish a differentiated pricing strategy case by case in order to enhance consumer's perceived values properl. Three research concepts were used in our study and each concept based on past researches was defined. The perceived acquisition value in this study was defined as the perceived net gains associated with the products or services acquired. That is, the perceived acquisition value of the product will be positively influenced by the benefits buyers believe they are getting by acquiring and using the product, and negatively influenced by the money given up to acquire the product. And the perceived transaction value was defined as the perception of psychological satisfaction or pleasure obtained from taking advantage of the financial terms of the price deal. Lastly, the brand loyalty was defined as favorable attitude towards a purchased product. Thus, a consumer loyal to a brand has an emotional attachment to the brand or firm. Repeat purchasers continue to buy the same brand even though they do not have an emotional attachment to it. We assumed that if the degree of brand loyalty is high, the perceived acquisition value and the perceived transaction value will increase when higher discount rate is provided. But we found that there are no significant differences in values between two different discount rates as a result of empirical analysis. It means that price reduction did not affect consumer's brand choice significantly because the perceived sacrifice decreased only a little, and customers are satisfied with product's benefits when brand loyalty is high. From the result, we confirmed that consumers with high degree of brand loyalty to a specific product are less sensitive to price change. Thus, using price promotion strategy to merely expect sale increase is not recommendable. Instead of discounting price, marketers need to strengthen consumers' brand loyalty and maintain the skimming strategy. On the contrary, when the degree of brand loyalty is low, the perceived acquisition value and the perceived transaction value decreased significantly when higher discount rate is provided. Generally brands that are considered inferior might be able to draw attention away from the quality of the product by making consumers focus more on the sacrifice component of price. But considering the fact that consumers with low degree of brand loyalty are known to be unsatisfied with product's benefits and have relatively negative brand attitude, bigger price reduction offered in experiment condition of this paper made consumers depreciate product's quality and benefit more and more, and consumer's psychological perceived sacrifice increased while perceived values decreased accordingly. We infer that, in the case of inferior brand, a drastic price-cut or frequent price promotion may increase consumers' uncertainty about overall components of product. Therefore, it appears that reinforcing the augmented product such as after-sale service, delivery and giving credit which is one of the levels consisting of product would be more effective in reality. This will be better rather than competing with product that holds high brand loyalty by reducing sale price. Although this study tried to examine the moderating effect of brand loyalty on relationship between the different levels of discounting rate and buyers' value perception, there are several limitations. This study was conducted in controlled conditions where the high involvement product and two different levels of discount rate were applied. Given the presence of low involvement product, when both pieces of information are available, it is likely that the results we have reported here may have been different. Thus, this research results explain only the specific situation. Second, the sample selected in this study was university students in their twenties, so we cannot say that the results are firmly effective to all generations. Future research that manipulates the level of discount along with the consumer involvement might lead to a more robust understanding of the effects various discount rate. And, we used a cellular phone as a product stimulus, so it would be very interesting to analyze the result when the product stimulus is an intangible product such as service. It could be also valuable to analyze whether the change of perceived value affects consumers' final buying behavior positively or negatively.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.6 no.3
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• pp.147-175
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• 2011

The purpose of this study is to examine the effects of store choice criteria on customer satisfaction and store loyalty, and the moderating effects of customer emotions on the causal relationship between store choice criteria and customer satisfaction. In this regard, this study tries to identify the effects of store choice criteria on customer satisfaction and store loyalty in case of mass merchandisers, and to analyze the moderating effects of customer emotions on the causal relationship between store choice criteria and customer satisfaction. For this purpose, 300 customers, who have ever shopped at mass merchandisers, were surveyed and 246 valid responses were finally used for the data analysis. The results of this study are as follows. First, out of six store choice criteria, product factors, store reputation and physical environment turn out to have statistically significant effects on customer satisfaction. This result confirms those of the previous studies. On the other hand, store accessibility, subsidiary facilities and store atmosphere are not found to have statistically significant effects on customer satisfaction. This result is somewhat different from those of previous studies, and so further research on the subject needs to be carried out. Secondly, it turns out that customer satisfaction has a statistically significant effect on store loyalty, which is in line with the results of previous studies that perceived emotions affect customers' store attitudes which in turn influence their revisit intentions. Thirdly, as for the moderating effects of customer emotions on the relationship between store choice criteria and customer satisfaction, pleasure moderates the effects of store accessibility, subsidiary facilities and store atmosphere on customer satisfaction, arousal moderates the effects of product factors, subsidiary facilities and store reputation on customer satisfaction, and finally dominance moderates the effects of product factors and subsidiary facilities on customer satisfaction. These findings partially support the results of previous studies that customers' in-store emotional experiences such as feeling good or bad enhance their store loyalty.

• Journal of Digital Convergence
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• v.20 no.4
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• pp.193-202
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• 2022

The purpose of this study is to propose an effective informatization policy by categorizing consumer groups according to the level of digital divide and identifying the characteristics of each type. For this end, a total of 402 data were collected through an online and on-site surveys targeting consumers with internet experience, and the data were analyzed using the SPSS 26.0 program. As a result of conducting a K-means cluster analysis based on access to, capability, and utilization of digital devices, four consumer groups were categorized: 'device lover', 'proficient user', 'general user', and 'digital alienated'. By consumer type, significant differences were found in demographic characteristics, social capital, perception of the future information society, attitude toward technology as innovativeness, discomfort and familiarity, which are the antecedent variables of the digital divide. Significant differences in digital device satisfaction and intention to use, which are outcome variables of the digital divide, were also confirmed by consumer type. This study is academically and practically valuable in that it proposes customized informatization policies for each consumer group according to the level of digitization.

• Journal of the Korean Society of Costume
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• v.63 no.2
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• pp.110-124
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• 2013

The spread of internet media is accelerating companies to create their own on-line brand community as one of their marketing communication tools because of the advantages in terms of cost-saving and raising their brand loyalty. The purpose of this study was to examine how the consumer's activities in the customer self-driven on line fashion brand community ultimately affect building a structural relationship between brand attitude and brand loyalty. In order to conduct this study, on-line field survey was conducted including a series of filtering questions measuring respondent's level of the community participation. SPSS 18.0 and AMOS 18.0 were used for the structure equation modeling. The result of empirical analysis showed that the attachment and the loyalty of online community have significant influences on brand attitude and brand loyalty. Also, brand attitude partly played a role as a mediating variable in the path to influence brand loyalty. Lastly, the mediating effects of brand attitude may depend on participation level of these online fashion brand community relationships.

• Journal of the Korean Society of Food Culture
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• v.30 no.5
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• pp.611-620
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• 2015

This study was conducted on wine consumers to explore their behavioral characteristics concerning their drinking frequency of wine, wine selection factors, and difficulties in selecting wines. Data were collected during February 19th 2014 to April 20th 2014. Respondents were students who were taking classes about wine at a University located in the Gyeonggi-do area. Prior to the analysis, wine consumers were classified based on frequency of consumption: those who consumed wine less than once a month were classified as "Tell me consumers", whereas those who consumed wine once or more a month were classified as "Engage me consumers." The wine selection factors of the two groups were as follows: 'label aspect', 'taste and aroma', 'use purpose', and 'price and recommendation'. Regarding 'label aspect' and 'use purpose', there were significant differences between the two groups. Regarding difficulties in selecting wines, "Tell me consumers" mentioned the following: 'experience', 'price', and 'food pairing'. "Engage me consumers" mentioned the following: 'ability to identify new wines' and 'tastes of others who drink with or oneself'. Classifying domestic wine consumers and their behavioral features of drinking frequency of wine can be used for market segmentation of wine consumers.

• The Journal of the Korea Contents Association
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• v.15 no.3
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• pp.352-361
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• 2015

Tea is one of the three most consumed drinks in the world along with coffee and cocoa, and it represents culture and tradition. There are more than 1,000 tea-related smartphone applications registered in the Apple App Store and Google Play. This study examined, for the consumers of the 20's, if there are differences in consumer preferences for tea-related applications based on gender, age, tea consumption amount and tea drinking duration. Based on surveys of 169 tea consumers, this study found that there were significant differences in consumer preferences for tea-related applications based on age and tea drinking amount. The applications of 'tea places,' 'entertainment,' and 'tea timer' were preferred by the consumers of 20's and 'etiquette,' 'tea ceremony,' 'teaware,'and 'tea information recording' were favored by the consumers of 30's and older. The consumers with higher drinking amount showed higher preferences for tea etiquette related applications. There were no significant differences for tea-related applications based on gender and tea drinking duration. The result of the study is expected to contribute to the development of tea related applications with higher appeals to consumers as well as traditional Korean drinks.

• Food Science and Preservation
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• v.6 no.4
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• pp.406-410
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• 1999

Squash(Cucurbita moschata) during 7 days of storage at 2$0^{\circ}C$ were packed with functional MA film laminated in corrugated paperboard box(FC), LDPE pouches and control, and weight loss, firmness, chlorophill contents, vitamin C and marketability was erluated. Weight loss of control was 5.8% after 7 days, and 30LD, 50LD was 0.4%, and FC was 1.2%. Firmness of FC, 30LD and 50LD was higher than that of control. Chlorophill content of squash between control and FC box was 46.43 and 53.66 $\mu\textrm{g}$/ml, that of FC box was 15.6% higher than control. Total ascorbic acid cpntent(TAA) of squash packed with control and FC box were 28.11 and 35.65mg%, TAA of squash packed with FC box was 26.8% higher than that of control. Marketability of squash packed with FC box was better than that of control.

• International Area Studies Review
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• v.14 no.2
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• pp.159-180
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• 2010

The purpose of this study is to examine how perceived service quality, value congruence influences uncertainty avoidance, customer satisfaction and customer loyalty, and in turn, provides insight for Korean banks when they penetrate into the Chinese marketplace. In so doing, this study conducts a survey on participants who are using banking services in the Changchun, Jinan, Guangzhou of Jilin Province, Shandong Province and Guangdong Province. The findings are as followed. First, Uncertainty avoidance plays an important mediating role in the relationship between perceived service quality and customer satisfaction, between value congruence and customer satisfaction. Uncertainty avoidance has a direct effect on customer satisfaction, but is significantly negative. Second, value congruence has a direct effect on uncertainty avoidance, but is significantly negative. Third, customer satisfaction has a direct effect on attitudinal loyalty and behavioral loyalty.

• Journal of the Korea Safety Management & Science
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• v.12 no.2
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• pp.139-146
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• 2010

The advent of Internet has greatly increased the ability of companies to conduct their business faster, more accurately, over a wider range of time and space, at reduced cost and with the ability to customize and personalize customer offerings. However it may be difficult for companies to sustain a long-run survival in competition environment of e-business. The purpose in this study is to analyze the relationship among site loyalty characteristics, customer's repurchasing intention and switching intention of internet shopping mall. The results showed that reputation variables of internet shopping mall only affected significantly e-loyalty. And the relationship among e-brand loyalty, customer's repurchasing intention and switching intention was significantly supported.

• Journal of Global Scholars of Marketing Science
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• v.16 no.3
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• pp.61-86
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• 2006

The main purpose of this study is to conceptualize and investigate the relationships between the antecedents and outcomes of customer satisfaction and the linking variables of brand preference and repurchase intention in service industries. To achieve this objective, the study tries to validate the structural equation model and causal relationships among the model's elements involving antecedents to customer satisfaction(perceived quality, value, equity), consequences(brand preference, repurchase intention), and moderating variable/switching cost, customer loyalty). Empirical findings are as follows: First, the effect of two antecedents/perceived quality and value) on customer. satisfaction was accepted but perceived equity was rejected. Second, I found out that there were direct or indirect relationships between the mediating variables/switching cost, customer loyalty, brand preference) and repurchase intention. This means that the proper management concerned with indirect path is probably more important for the success of services industries. Third, the direct effects of customer satisfaction and switching cost on repurchase intention were not significant against the existing studies excepting brand preference. This implies that repurchase intention was mainly intensified by the indirect path, 'customer loyalty${\rightarrow}$brand preference${\rightarrow}$repurchase intention' and 'switching cost${\rightarrow}$brand preference${\rightarrow}$repurchase intention.' The service marketers make efforts not only to strengthen the direct casual linkage but also to consolidate the indirect connections leading to create repurchase intention. Finally, the proper management of these structural relationships will help clarify the role of service marketer resulting in increasing sustainable competitive advantage in service industries.