nep-mkt New Economics Papers
on Marketing
Issue of 2015‒03‒27
fourteen papers chosen by
João Carlos Correia Leitão
Universidade da Beira Interior

  2. Information and Online Reviews By Oksana Loginova; Andrea Mantovani
  3. Possibilities of social networks usage in the process of brand value building and managing – results of survey focused on the customer's perceptions By Jana Majerová; Tomáš Klieštik, prof.
  4. Sustainable marketing for sustainable development By Marcel Meler; Dragan Magaš;
  5. Quality Function Deployment Approach to Evaluate Supply Chains Strategies in Turkish Automotive Industry By Zeki Ayag
  6. Comparative analysis of the engagement rate on Facebook and Google Plus social networks By Tudor Niciporuc
  7. A Model of Social Interactivity through Internet-based Technologies: Implications for Marketing Communications By Boonchai Hongcharu
  8. The Development of a Response-Function for Customer Relationship Marketing By Michael Toedt
  9. Effects of Absurdity in Advertising on Consumers’ Attitude Toward the Ad and Recall By SERDAR YILDIZ
  10. Perceived Quality of the Higher Education Institution in Relation to Building a Strong Brand from the Alumni Perspective By Petr Svoboda; Monika Harantova
  11. Contemporary Economic and Social Trends and Their Impact on Marketing By Neviana Krasteva
  12. Consumers´ Information Search Behavior on Wholesome Nutrition and their Attitudes towards Health Products; A Field Study from Eskisehir, Turkey By Nurcan Turan; Nuri Calik
  13. The relationship between Purchase Intention and Product Involvement: The role of Brand Attitude as a mediator on this relationship By Adnan Butt
  14. Understanding the factors influencing soccer team identification and its impacts on team sponsors: An evidence from Thailand Premier league By DISSATAT PRASERTSAKUL; TITIPONG Titipong Rerngrittirong RERNGRITTIRONG

    Abstract: Many businesses head for guerrilla marketing which is one of the modern marketing strategies of businesses as a result of traditional marketing strategies insufficiency in today’s competitive environment. Guerrilla is a marketing strategy which used to gain minimum cost and maximum effect in marketing companies. Both small and medium businesses enterprises and of big and global businesses enterprises use guerrilla marketing to increase the competition strength. In Guerrilla marketing being near to target market, dynamic, consumer oriented, amplified and authorised marketing method is important. Guerrilla marketing strategy is based on fantasy, freedom and flexibility. In this context, businesses try to reach the consumers with an unexpected methods, time and places and also try to make them experience with their brands. The object of the guerrilla marketing is not only sending messages to customers but also to be engraved in their subconscious and to stick in their mind.This study focuses on detecting some opinions towards the usage of applications such as internet, social networks, brand signs, seminars and free product distribution which are tools of guerrilla marketing of Businesses to their customers in national competition environment which serve in logistic sector. In our study, a survey is applied to businesses enterprises which provide logistic service in Konya city and the results are evaluated by analysing.
    Keywords: Guerrilla Marketing, Competition, Businesses Enterprises Which Provide Logistic Service
    Date: 2014–10
  2. By: Oksana Loginova (Department of Economics, University of Missouri-Columbia); Andrea Mantovani
    Abstract: Online review aggregators, such as TripAdvisor, HotelClub and OpenTable help consumers identify the products and services that best match their preferences. The goal of this study is to understand the impact of online review aggregators on firms and consumers. We adopt Salop's circular city model in which consumers initially do not know the locations of the firms in the product space. The firms decide whether or not to be listed on an online review aggregator's website and choose their prices. When a firm resorts to the aggregator, its location and price become observable to the consumers who visit the website. We consider two different scenarios, depending on the possibility for online firms to offer discounts to the consumers who book online. We show that in equilibrium not all firms will go online -- some will remain offline. Online firms attract more customers than their offline counterparts due to reduced mismatch costs, but face a tougher price competition. Comparing the equilibrium prices, profits and the number of firms that go online across the scenarios, we derive interesting conclusions from the private and the social standpoints.
    Keywords: online review aggregators, price discrimination, competition
    JEL: C72 D43 D61 L11 L13 M31
    Date: 2015–03–12
  3. By: Jana Majerová (University of Zilina in Zilina, Faculty of operation and economics of transport and communications, Department of economics); Tomáš Klieštik, prof. (University of Zilina in Zilina, Faculty of operation and economics of transport and communications, Department of economics)
    Abstract: Worldwide importance of brands has acquired a new dimension and an increasing emphasis putted on the marketing strategies of branding has become an imperative of the company’s success. One of the possible ways how to develop branding strategies is the e-marketing usage. The basic problem of the realized survey was the insufficient use of e-marketing in the context of branding. So, the aim of the survey was to obtain information about the specifics of Slovak customer's perception of branding activities, which is necessary to take into account in the process of implementation of foreign theoretical concepts formulated in the context of e-marketing implementation.Given the above, the aim of this paper is to present results of the questionnaire survey. But according to its limited extent, we focus only on the selected findings which form the basic framework for social networks usage in the context of branding in specific Slovak conditions. These are indicators of the following:•the communication policy has a significant impact on brand value perception, what implies the necessity of new trends (social networks usage also) monitoring and their application into praxis,•usage of the social networks is redeemable also by their nature, because they themselves represent the life style of user which plays a very important role in the process of customer’s identification with the brand identity,•social networks create a suitable environment for internet advertising which influences the customers mostly in the process of brand value creation,•social networks are suitable for propagation of messages concerning about brand's social responsible behavior, which has an impact on the perceived brand value.On the other hand we consider necessary to point out the findings which are able to disprove effectiveness of the social networks. These findings are as follows:•advertising is suitable tool of the marketing communication only in the first stages of the brand’s life cycle,•customer's trust into the communication activities of brands realized via social networks is still low.The whole text of the paper is focused on the justification of all mentioned findings in the context of the results of realized survey with acceptance of the specifics of Slovak customer's behavior.
    Keywords: brand, branding, brand value, e-marketing, communication policy, social networks
    JEL: M30
    Date: 2014–12
  4. By: Marcel Meler (Faculty of Ecomomics in Osijek); Dragan Magaš (Faculty of Tourism and Hospitality Management in Opatija);
    Abstract: This paper aims to highlight the mutual interrelation between sustainable marketing and sustainable development. Sustainable development is viewed as an established three-dimensional concept comprising economic sustainability and prosperity, social equity and environmental quality. In order to achieve their full synergy, it is necessary to activate sustainable marketing, which is understood not only as a sustainable and profitable relationship with the customers, natural and social environment but also as a variety of socially responsible marketing or, on a wider scope, as a variety of social marketing or ultimately, a variety of macromarketing. Sustainable marketing can contribute to sustainable development not only through everyday’s practice of minimizing the environmental impact but also by implementing new policies and strategies to bolster a wider concept of sustainable growth as a fundamental part of economic entities.
    Keywords: economic sustainability, green marketing, socially responsible marketing, sustainable marketing, sustainable development
    JEL: M31 Q56
    Date: 2014–07
  5. By: Zeki Ayag (Kadir Has University)
    Abstract: The main objective of this study is to analyze automotive industry, and to identify the important auto parts logistics requirements, and supply chain management (SCM) strategies. For product or service development, quality function deployment (QFD) is a useful approach to maximize customer satisfaction. The determination of the customer and logistics requirements, and supply chain management strategies are important issues during QFD processes for product or service design. For this reason, a QFD methodology is proposed in this study to determine these aspects and to improve the level of customer satisfaction. Qualitative information is converted firstly into quantitative parameters, and then this data is combined with other quantitative data to parameterize to determine appropriate supply chain management strategies.
    Keywords: Quality function deployments, logistics requirements, supply chain management strategies.
    JEL: C44
    Date: 2014–12
  6. By: Tudor Niciporuc (Technical University of Cluj)
    Abstract: An inexperienced online marketer or a company which is new to social media marketing may just be very happy if their business page is getting many likes. This is one of the biggest mistakes that can be made when using Facebook. The world’s biggest social media platform provides countless tools for businesses to assess their perfomances; despite this, few marketers actually use them.The best way to be successful on Facebook is to focus on the engagement rate, which is calculated as the number users that have interacted with a post (whether they liked, shared, commented or clicked on the photo or link) divided by the total number of the page’s followers.Most people like a page because they saw their friends did so or because they were interested in a particular brand at a certain point in time. Consequently, even with an impressive number of likes, many business pages do not get much interaction with fans, thus their content mostly goes unnoticed. Meanwhile, when a high number of people are interacting with a brand, even if the number of followers is small, it means they are liking it, sharing its content and recommending the page to others. This means that the potential reach of that brand is much higher. So which social media platform provides the best engaged audience? Where can companies find the best quality-driven users? The purpose of this study is to answer answer these questions, by comparing the engagement rates on Facebook and Google Plus, using the social media pages of the petition platform. The study looks to analyze three major aspects. First of all, the post level engagement – how many likes, shares or comments a posts receives, on average. Secondly, the page level engagement, which asseses the number of people engaged as a share of the total number of followers. Third of all, we will have a look at the user’s behaviour once they have accessed the website, in terms of the average duration of a visit, pageviews per visit and bounce rate (the percentage of single-page visits). With the help of these indicators, we will essentially determine which social network generates more quality to the above mentioned website.
    Keywords: social media marketing, social networks, Facebook, Google Plus, engagement rate
    JEL: M31 M37
    Date: 2014–12
  7. By: Boonchai Hongcharu (National Institute of Development Administration)
    Abstract: The emergence and the rapid adoption of social media in recent years have led to the political, economic and social changes. The recent political upheavals in several countries from the Middle East, Eastern Europe to Southeast Asia have sparked an interest for the participants to use internet-based technologies for instantaneous communications among themselves. News, rumors and various messages can spread swiftly without frontiers and obstruction from the opponents. The new communications technologies themselves cannot be censored or limited any longer. Facebook, twitters, instagrams, you tube, blogs etc. have been effective tools to link the messages among the participants. This up-to-date information can be beneficial to understand what happens in social interactivity using social media. Moreover, in an anonymous environment of the Internet, participants speak out more loudly than ever before. Instead of focusing on the interactions between the company and its customers, this study intends to explore significant factors in the society which leads to social interactivity in the Internet-based technologies. The model will help us learn more about the processes of how the Internet-based technologies function in the society and will be applied for the marketing activities using the social media. The implications for integrated marketing communications would help us understand more deeply how the social interactivity can be applied for the brand building and relationships among communications participants.
    Keywords: Social interactivity, Interactive media, Internet marketing, marketing communications, social media
    JEL: M49 M31 O39
    Date: 2014–07
  8. By: Michael Toedt (University of Riga, Latvia and University of Applied Sciences Kufstein, Austria)
    Abstract: The paper focuses on the effect of communication on the sales performance within CRM. The paper uses the hotel business as an example to evaluate if communication within Customer Relationship Management creates loyalty measured by the re-purchase behavior of existing hotel guests. The re-purchase behavior is regarded in the paper as the final outcome of loyalty. The research evaluates the reaction of message receivers who are already customers, which means the receivers know the advertised products and services. Therefore the author assumed that learning effects are not necessary within CRM which leads to the conclusion that an advertising response function for the communication with existing customers should be concave instead of s-shaped. S-shaped response functions are used in many articles to describe the effects of marketing actions.To prove the hypothesis the author conducted a quantitative research over a time period of 4.5 years where all marketing and booking transactions of four hotels in Germany were monitored. Due to the fact that hotels are characterized by moderate marketing budgets and brand awareness levels the result of the research should be applicable especially for small and medium enterprises (SME’s).The data analysis approved a direct correlation between communication and the sales performance of the hotels. For the first time it was possible to define a response function for CRM, which is a concave increasing function. This new knowledge should stimulate manager to adapt their existing communication strategy and should be used as a basis for further research.
    Keywords: Response Function, CRM, Communication, Learning Effects
    JEL: L83 M30
    Date: 2014–05
    Abstract: Absurdity is widely used in advertising, whereas the empirical studies on effects of absurdity in advertising are limited. This study is an experimental research to examine the effects of absurdity in advertising on consumers’ attitude toward the ad and recall. The presence and absence of a visual absurd stimulus was tested with print ads that were created for a fictitious outdoor clothing brand. It was hypothesized that using absurd elements in the print ad leads to more positive attitudes toward the ad than the non-absurd version of the same ad. It was also hypothesized that absurdity increases the recall of the brand name and the slogan. A student sample consisting of 160 subjects were chosen from 5 different faculties of Anadolu University. They were randomly assigned to two equivalent treatment groups according to viewing absurd or non-absurd print ads. As a result of the literature review it was noted that the product category attitude or involvement might moderate the effect of absurdity. Thus, the product category involvement was considered as a confounding variable and measured for all subjects. It was proved that both of the treatment groups were equivalent on the basis of involvement, age and gender. The results supported the hypothesis about the attitude toward the ad. The subjects who viewed the absurd ad had more positive attitudes toward the ad than the ones who viewed the non-absurd ad. On the other hand, the hypothesis on recall was partially supported. As a result of the unaided recall test it was found that absurdity increases the brand name recall. However, there was not a significant difference on slogan recall. Additionally, the results of the content analysis of the unaided recall test sheets revealed that the visual absurd element of the ad might cause misremembering of the slogan, because it was seen that a remarkable number of the subjects who viewed the absurd ad misremembered the slogan. At the end, all the findings were discussed; managerial implications were stated and further research areas were suggested to make a contribution to advertising and consumer research studies.
    Keywords: Absurdity, Advertising, Attitude toward the ad, Recall
    Date: 2014–10
  10. By: Petr Svoboda (Faculty of Management, University of Economics, Prague); Monika Harantova (Faculty of Management, University of Economics, Prague)
    Abstract: Building of good relationships between higher education institutions and their students or alumni is essential for their long-term success. After all, only satisfied students or alumni can bring the best promotion of the university via word of mouth marketing and other ways. The paper focuses on the quality of higher education institutions and its evaluation from the alumni perspective. The methodology for an alumni attitudes survey on the quality and level of education, image of the university and other similar aspects is proposed. The paper also suggests methods for evaluating alumni satisfaction and loyalty. The methodology should provide recommendations for higher education institutions’ managers. Using this methodology, universities can obtain responses to questions of how they should represent themselves to the public in the future, respectively how they should build their image and brand. Finally, the methodology also relates to building good relations with alumni and based on their recommendations, it aims to improve conditions for current students, which would lead to their greater success in the labour market.
    Keywords: Higher education, Alumni perspective, Quality, Loyalty, Satisfaction, Brand
    JEL: A00 A14 M31
    Date: 2014–12
  11. By: Neviana Krasteva (Sofia University “St. Kliment Ohridskiâ€)
    Abstract: The focus of this study is the impact that the recent economic and social tendencies have upon the marketing of firms. The ways in which the marketing policies and practices are influenced by the dynamic changes in the physical space, demographics, behavioral models and economic growth will be examined.The scarcity of resources leads not only to a search of new sources and surrogate technologies, but also to a struggle on the firm level to lower the operational costs without diminishing the value of their products to the consumers. The heightened ecological concerns and stricter regulations necessitate the presence of a “green idea†in most products not as an extra, but as an expected characteristic for which no additional money is charged. The changes in the demographic structure and the increase in percentage of older people, especially in the developed world, calls for marketing to be targeting the solvent parts of the population; these are no longer just the traditional group aged 18-34, but the generation of the baby-boomers which preceded them. The increased frequency of divorces also modifies the needs of the consumers and the general client profile. The increased presence of the digital and on-line worlds in the daily life of people also alters the consumer behavior; the presence and active marketing use of social networks and Internet resources is no longer a choice, but a must for companies. The global shifts of the centers of economic power towards the modernistic markets of China, India, Brazil and Russia present new problems about market presence and consumer satisfaction of well-known Euro-American brands and companies in those countries. The reverse trend is also present – more and more firms from emerging economies are highly successful in promoting their products in the markets of the developed world.Last but not least, the technological changes, the adjustment in the character of small retailers, the rise of powerful distributors with great sway in negotiations and the momentum that the digitalization of commerce has all have deep impact on the way marketing programs and channels are structured. The recognition and adequate addressing of all of these trends is a key challenge before businesses across the world in the 21st century.
    Keywords: Contemporary marketing, Physical environment, Resource scarcity, Behavioral models, Demographic profile, Social networks, Change in retail
    JEL: M31
    Date: 2014–07
  12. By: Nurcan Turan (Anadolu University); Nuri Calik (Anadolu University)
    Abstract: This survey intends to find out the attitudes of the consumers towards health products such as organic food, healthy foodstuffs and their information seeking behavior on wholesome nutrition. A survey is applied to 480 respondents selected via stratified sampling from EskiÅŸehir, a city of Turkey with 700.000 inhabitants where 470 of the responses are found eligible... The respondents are required to answer 50 questions of which five are related to demographic characteristics of these respondents. The rest 45 are statements which are designed to reflect the behavior of these people. The study consists of five parts. The first part is an introduction where the scope and the purpose of the study are concisely stated. The second part relates to the theoretical background of the subject matter and the prior researches carried out so far. The third part deals with research methodology, basic premises and hypotheses attached to these premises. Research model and analyses take place in this section. Theoretical framework is built and a variable name is assigned to each of the question asked or proposition forwarded to the respondents of this survey. 42 statements or propositions given to the respondents are placed on a five-point Likert scale. Three questions are on an ordinal scale reflecting the most-used information sources of the respondents. The remaining five questions about demographic traits as age, gender, occupation, educational level and monthly income are placed either on a nominal or ratio scale with respect to the nature of the trait. Ten research hypotheses are formulated in this section. The fourth part mainly deals with the results of the hypothesis tests and a factor analysis is applied to the data on hand. Here exploratory factor analysis reduces 42 variables to eight basic components as: " Nutritional knowledge, nutritional labels and health claims; care for health products; consumer positive and negative attitudes toward organic foods; fast-food involvement; prior product knowledge; e-health information search; information search behavior; and system beaters". In addition non-parametric bivariate analysis in terms of Chi-Square is applied to test the hypotheses formulated in this respect. The fifth part is the conclusion where findings of this survey is listed.
    Keywords: Nutritional knowledge, health claims, health products, organic foods, fast-food involvement, prior product knowledge, e-health and health related information , information search behavior,
    JEL: M31
    Date: 2014–10
  13. By: Adnan Butt (Iqra University)
    Abstract: This study tests the relationship between the product involvement (Pd. Inv) and purchase intention (PI) and the mediating role of Brand Attitude (BA) in the relationship between Product Involvement (Pd. Inv) and Purchase Intention (PI) by using a sample of 450 people. With reference to previous studies it has been observed that there is a strong relationship between Pd. Inv and Purchase Intention (PI), while a positive relationship is also found in Pd. Inv and Brand Attitude (BA). The researcher tries to find out the nature of the relationship between Brand Attitude (BA) and Purchase Intention (PI) and whether Brand Attitude (BA) mediates the relationship between Pd. Inv and Purchase Intention (PI) or not. A CFA test is performed to develop the model by using AMOS 18. The results of the study suggest that the relationship between the Pd. Inv and Purchase Intention (PI) is insignificant which is contrary to the results of the previous finding but it is found that Brand Attitude (BA) has a positive mediation effect on this relationship. It shows that when both the variables, Product Involvement and Brand Attitude (BA), are taken in consideration together Product Involvement would have a significant impact on the Purchase Intention (PI). It is also found that there is a significant relationship between Brand Attitude (BA) and Purchase Intention.
    Keywords: Product Involvement, Purchase Intention, Mediation and Brand Attitude
    JEL: M30
    Date: 2014–06
    Abstract: Sponsorship expenditures have increased dramatically in the past decade worldwide. The ampliï¬ed investments are associated with the effectiveness of sponsorship as a marketing communication tool. The most common form of sponsorship is in sport, which relates to sponsoring sport teams, associations events or even athletes. This study was conducted in the professional sport sponsorship setting by investigating antecedents and consequences of team identification. Even though previous studies examined a variety of factors influencing team identification and its outcomes; for example, team identification was found to influence consumers’ intention to purchase the products from sponsoring companies, there is few research combines antecedents and consequences of team identification into one study. This study proposes a model to investigate the determining factors and the outcomes of sport sponsorship. Whilst soccer is reported to be the most popular sport in the world and also in Thailand, questionnaires were collected from 400 fans of professional soccer teams in Thailand. The hypotheses in the proposed model were tested using regression analysis. The results indicated that team attractiveness, similarity, and awareness significantly influenced team identification, and team identification in turn affected sponsor identification, attitudes toward the sponsor, sponsor patronage, and satisfaction with the sponsor. From a practical perspective, both sponsors and sport team marketers should have a firm understanding of when and how sponsorship works to maximize its value
    Keywords: Sport marketing, team identification, sponsorship, soccer team
    JEL: M31
    Date: 2014–10

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