Tuesday, February 28, 2012
Six ways social media technologies can accelerate large-scale change
Download the full article from Accenture by clicking here.o
Monday, February 27, 2012
Monday, February 20, 2012
Feeling the Future: The Emotional Oracle Effect
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Feeling the Future: The Emotional Oracle Effect
Sunday, February 19, 2012
The effect of weather on consumer spending
Recent research, however states that weather conditions do have effects on customers interest in spending their money, apart from the fact that sunshine means more interest in spending time outside.
The research of Kyle B. Murray at School of Business, University of Alberta "The results of the studies reported in this paper provide evidence of how weather can impact consumer spending. We find that temperature, humidity, snow fall, and, especially sunlight, can affect retail sales."
Download the research paper by clicking here.o
The effect of weather on consumer spending
Friday, February 17, 2012
New Theory of Moral Behavior May Explain Recent Ethical Lapses in Banking Industry
New Theory of Moral Behavior May Explain Recent Ethical Lapses in Banking Industry
Think Fast! Take Risks! New Study Finds a Link Between Fast Thinking and Risk Taking
Think Fast! Take Risks! New Study Finds a Link Between Fast Thinking and Risk Taking
Tuesday, February 14, 2012
The rise of social media: the next wave of disruption to traditional media
Download this 100 p. report from Credit Suisse by clicking here.o
The rise of social media: the next wave of disruption to traditional media
Do Cold Consumers Like to Warm Up to Romance Movies?
“We often think of love as being warm. This link between love and warmth appears in everyday language, songs, and poems,” write authors Jiewen Hong (Hong Kong University of Science and Technology) and Yacheng Sun (University of Colorado, Boulder). “But is the connection between romantic love and warmth just a metaphor or is there indeed a direct link between romance and physical warmth?”
In their study, the authors examined the association between romance and warmth in the context of movie preference. The research involved four laboratory studies and an analysis of data from an online movie rental company. In their studies, the authors tested a prediction that romance movies are more desirable when people are physically cold, because coldness activates a need for psychological warmth.
In one study, the authors found that participants who drank cold tea were more likely than people who drank warm tea to choose romance movies over movies from other genres. In another study, the researchers varied the temperature in the room where participants were seated and found the same results.
Interestingly, when participants were made aware of their physical coldness before being asked to make a movie choice, the preference for romance movies disappeared.
To show that the laboratory findings also exist in the real world, the authors analyzed a set of movie rental data from an online DVD rental company. They matched customers’ rental records with historical temperature information and found that, after controlling for customers’ movie genre preferences, people were more likely to rent romance movies when the temperature outside was lower.
“This research offers implications for the movie industry,” the authors write. “Movie studios might be better off releasing their romance movies in the winter season, when the temperatures are low.”
Do Cold Consumers Like to Warm Up to Romance Movies?
What makes consumers choose certain products over others?
“Recently, more and more experiments have shown that consumers’ product evaluations and choices can be extremely unstable,” write authors Stijn van Osselaer (Erasmus University, The Netherlands) and Chris Janiszewski (University of Florida, Gainesville). “What product they choose can change a lot from situation to situation and is influenced by the slightest exposures to information in the environment.”
For example, quickly flashing the word “health” increases the attractiveness of healthy products, even when a consumer is not consciously aware of it.
The authors developed a model that helps explain the instability in consumers’ product choices and choices. “The model assumes that product evaluations and choices are motivated by consumers’ expectations about the benefits of consumer a product (for example, we expect that eating fruit instead of cheesecake will benefit our health).” These benefits serve as goals for consumers, and goals need to be activated during moments of consumer choice.
Momentary goal activation is influenced by many factors, the authors explain. Activation occurs from exposure to the goal (seeing or hearing the word “health”), cues in the environment (seeing someone work out), recent goal satisfaction (you just worked out), or exposure to goal-consistent products (like healthy snacks).
The authors’ model provides a consistent explanation for goal-based product evaluations and choices and provides a theory for the way goal activation influences product evaluation and choice. “Thus product evaluation and choice depend on the extent to which a product is expected to be a good means for achieving a consumer’s currently active goals,” the authors write.
What makes consumers choose certain products over others?
Finding It Difficult to Make a Purchase? Try Creating Some Distance from the Problem
“Except for habitual purchases, consumers do not always have an easy time deciding, for example, what cereal to buy, where to send their children to school, or where to take their family for vacation,” write authors Manoj Thomas (Cornell University) and Claire I. Tsai (University of Toronto). “Cognitive difficulty” is a common issue for consumers, and it affects their judgments, decisions, and behavior. Confused consumers are less satisfied with their choices and often defer selections and prolong searches.
The authors examined whether psychological distance reduces the difficulty and anxiety in choice situations. They conducted four experiments where they altered the psychological distance from a given task by using subtle manipulations—varying the abstractness of thinking and having participants assume different body postures.
In one study, for example, the researchers presented participants with two products. They were asked to choose one of the items or defer the choice until later. Half the participants were told to lean toward the computer screen and the other half were instructed to lean away. “This simple manipulation of psychological distance influenced participants’ choice,” the authors write. “Those who leaned toward the screen found the choice to be more difficult and were more likely to defer the choice than those who leaned away from the screen.”
The authors found similar results in an experiment where they encouraged participants to think more abstractly, creating more psychological distance.
“These findings offer a novel account explaining why a bystander, friend, or spouse might not experience the same feeling of difficulty as a perceiver,” the authors write. “The results also suggest that when task difficulty is a relevant variable in decision- making, leaning away or toward the screen can unintentionally influence perceived difficulty of online tasks.”
Finding It Difficult to Make a Purchase? Try Creating Some Distance from the Problem
Reigniting Consumer Emotions: Why Are Some Experiences Better the Second Time?
“Even though people are already familiar with the stories or the places, re- consuming brings new or renewed appreciation of both the object of consumption and their self,” write authors Cristel Antonia Russell (American University) and Sidney J. Levy (University of Arizona and Northwestern University). “By doing it again, people get more out of it.”
Through in-depth interviews with participants in the United States and New Zealand, the authors found an array of underlying reasons for re-consumption. Generally, people do it to enrich their emotional lives and increase self- knowledge. “The re-experience allows them not only to refresh their memory of the past experience but the recollection is accompanied by the discovery of new details. Therefore, the experience is different, even though it is repeated,” the authors explain.
Previous research has focused on the kinds of repeat experiences that are habitual, addictive, or ritualistic, not experiences that people actively and consciously choose to repeat. In their study, the authors found a variety of motivations for re- consumption. Some participants desired to return to a former state and wanted to affirm—or sometimes invalidate—the impression left by previous experiences. Others wanted to refresh or reconstruct the memory, and some wanted to share the experience with new people.
Although some participants worried they would be considered odd for repeating consumption, many reported that repeat experiences led to heightened awareness and pleasure. “Given the immense benefits for growth and self-reflexivity, re- consuming actually appears to offer many mental health benefits,” the authors write. “People should not hesitate to go back and re-read or re-view what they have already done. A once in a lifetime experience can easily appeal to people again.”
Reigniting Consumer Emotions: Why Are Some Experiences Better the Second Time?
Crippleware: How Do Consumers React When Companies Disable Product Features?
“Product versioning—the manufacturing strategy of deliberate subtraction of functionality from a product—is typically achieved when a firm starts with an existing product and produces a lower-quality or reduced-feature configuration,” write authors Andrew Gershoff (University of Texas at Austin), Ran Kivetz (Columbia University), and Anat Keinan (Harvard University).
Many global brands—Sony, BMW, Intel, Microsoft, Verizon, Motorola, Canon Sharp, and Apple—have employed versioning. But when information on manufacturing practices can be easily disseminated via social media, consumers can revolt—and even sue companies—if they view their practices as being unfair.
“Consumer advocates, bloggers, and journalists have been using less-than-flattering terms to describe the versioning production method, calling it „crippleware,‟ „product sabotage,‟ and „damaged goods,‟” the authors write. Consumers chastised Apple for removing iPhone features to create the iPod Touch. And Verizon eventually paid more than $10 million to settle a class action lawsuit after the company disabled Bluetooth features in the Motorola v710 phone.
In six studies, the authors found that consumers perceive versioning as unfair and may avoid purchasing those products, especially when versioned (inferior) products are similar to their superior counterparts. “Products with identical characteristics and features were perceived as more unfair and unethical, and preferred less, when their manufacture involved degrading a superior configuration compared to when it involved enhancing an inferior configuration, or when no information about the production method was provided,” the authors write.
The authors found that companies can mitigate negative consumer reactions by reducing the similarity between the products and by communicating with consumers about how common the practice is.
Crippleware: How Do Consumers React When Companies Disable Product Features?
What Does “Happiness” Mean to Consumers? Does Age Matter?
“Consumers want to be happy, and marketers are increasingly trying to appeal to consumers‟ pursuit of happiness,” write authors Cassie Mogilner (University of Pennsylvania), Jennifer Aaker (Stanford University), and Sepandar Kamvar (MIT). “Coca-Cola encourages consumers to „Open Happiness‟ in their most recent campaign; Nesquik advertises, „You can‟t buy happiness, but you can drink it.‟” The authors wanted to examine how consumers experience happiness, and whether the promise of happiness drives consumer choice.
In studies including blog-based data, surveys, and laboratory experiments, the authors found that people experience happiness in two main ways—through excitement and calmness. Consumers who associate happiness with excitement tend to be younger and more focused on the future than the “here and now.” But across the life course, people increasingly associate happiness with calmness and being present in the moment.
The experiments revealed that consumers who were more focused on the future chose “exciting” products when they were offered tea, music, or bottled water. In contrast, the more present-focused participants tended to choose calming brands and products. “The specific meaning of happiness individuals adopt determines the choices they make—such as the music they listen to, the type of tea they drink, and the brand of water they buy,” the authors write.
Although age is a good indicator of future versus present focus, the authors learned that people can be primed to enter either a future- or present-related focus with words, or through meditation.
Marketers looking to connect with consumers by promising happiness should consider that happiness doesn‟t mean the same thing to everyone. “Two people who say, „I feel happy‟ can be feeling very distinct things,” the authors write. “Whereas one‟s face might twinkle with excitement, the other‟s face could exude calm contentment. These two experiences play out in the choices each individual will make.”
What Does “Happiness” Mean to Consumers? Does Age Matter?
Thursday, February 9, 2012
What Kind of Chocolate is Best? The Last You Taste, Says a New Study
What Kind of Chocolate is Best? The Last You Taste, Says a New Study
Wednesday, February 8, 2012
Monday, February 6, 2012
Are you buying happiness? Research website helps you find out
Are you buying happiness? Research website helps you find out
People Lie More When Texting
People Lie More When Texting