Indian Journal of Finance | Prabandhan: Indian Journal of Management | Arthshastra: Indian Journal of Economics & Research |

   Volume 45 • Number 3 • March 2015

Identification and Confirmation of Variables Influencing Manufacturer- Dealer Relationships for Steel and Allied Products
Indian Journal of Marketing, 45(3), 7 - 23
Purpose: This study aimed to identify and confirm the variables influencing manufacturer-dealer relationships for steel and allied products.

Approach and Methodology: The variables influencing manufacturer-dealer relationships were identified using exploratory factor analysis (EFA). Reliability and validity of the factors were established through confirmatory factor analysis using structural equation modeling.

Findings: Eight factors accounting for 78% of the total variance were identified . Out of these, five are antecedents, one is a mediating variable, and the other two are outcome variables.

Practical Relevance: Findings of this study would help manufacturers understand the variables that influence the channel relationships and research further into the dynamics of channel relationships for fine-tuning their strategies.

Original Contribution: New constructs, that is, Supplier Critical Support and Supplier Versatility have been added to the existing body of literature, which in conjunction with the variables already identified and established by earlier scholars provide the framework for understanding the dynamics of channel relationships. A composite construct, that is, Relationship Strength was also conceptualized and operationalized.

Research Type: Descriptive research conducted in a pre-determined geographical area.
Keywords: channel relationships, exploratory and confirmatory factor analysis, measurement model
Paper Submission Date : March 31, 2014; Paper sent back for Revision : December 2, 2014 ; Paper Acceptance Date : January 8, 2015
1 Anderson, J. C., & Narus, J. A. (1984). A model of the distributor's perspective of distributor-manufacturer working relationships. Journal of Marketing, 48 (4), 62-74.
2 Anderson, E., & Weitz, B. (1989). Determinants of continuity in conventional industrial channel dyads. Marketing Science, 8 (4), 310-323. DOI : http://dx.doi.org/10.1287/mksc.8.4.310
3 Byrne, B. M. (2010). Structural equation modeling with AMOS. New York: Routledge.
4 Cannon, J. P., & Perreault Jr., W. D. (1999). Buyer-seller relationships in business markets. Journal of Marketing Research, 36 (4), 439- 460.
5 Emmons, R.A., & McCullough, M.E. (2003). Counting blessings versus burdens: An experimental investigation of gratitude and subjective well-being in daily life. Journal of Personality and Social Psychology, 84 (2), 377- 389.
6 Fernandes, T. M., Proenca, J.F., Kanna, (2007). The relationships in marketing: Contribution of a historical perspective. Paper presented at 13th Conference on Historical Analysis & Research in Marketing (CHARM). Durham, N.C.
7 Hair Jr., J. F., Black, W. C., Babin, B. J., Anderson, R. E., & Tatham, R. L. (2006). Multivariate data analysis. New Delhi : Pearson Education.
8 Hallen, L., Johanson, J., & Seyed-Mohammed, N. (1991). Interfirm adaptation in business relationships. Journal of Marketing, 55(2), 29-37.
9 Heide, J.B., & John, G. (1992). Do norms matter in marketing relationships? Journal of Marketing , 56(2), 32-44 .
10 Jambulingam,T., Kathuria, R., & Nevin, J. (2011). Fairness - trust-loyalty relationship under varying conditions of supplier-buyer interdependence. Journal of Marketing Theory & Practice, 19 (1), 39-56.
11 Jap, S. D., & Ganesan, S. (2000). Control mechanisms and the relationship life cycle: Implications for safeguarding specific investments and developing commitment. Journal of Marketing Research, 37 (2), 227-245.
12 Johnson, J. L. (1999). Strategic integration in industrial distribution channels: Managing the inter-firm relationship as a strategic asset. Journal of the Academy of Marketing Science, 27 (1), 4-18. DOI : 10.1177/0092070399271001
13 Johnson, J. L., Lee, R. P.-W., Saini, A., & Grohmann, B. (2003). Market-focused strategic flexibility: Conceptual advances and an integrative model. Journal of the Academy of Marketing Science , 31 (1), 74 - 89. DOI : 10.1177/0092070302238603
14 Kotler, P., Agnihotri, P. Y., & Haque, E. L. (2010). Principles of marketing: A South Asian perspective (13th Edition). New Delhi: Pearson India.
15 Malhotra, N. K., & Dash, S. (2009). Marketing research : An applied orientation (5th Edition). New Delhi: Pearson India .
16 Metcalf, L. E., Frear,C. R., Krishnan, R. (1992). Buyer - seller relationships : An application of the IMP interaction model. European Journal of Marketing, 26(2), 27-46. DOI : http://dx.doi.org/10.1108/03090569210010022
17 Morales, A. C. (2005). Giving firms an 'E' for effort: Consumer responses to high-effort firms. Journal of Consumer Research, 31 (4), 806 - 812.
18 Morgan, R.M., & Hunt, S.D. (1994). The commitment- trust theory of relationship marketing. Journal of Marketing, 58 (3), 20-38 .
19 Narayandas, N., & Kalwani, M. U. (1995). Long-term manufacturer-supplier relationships: Do they pay off for supplier firms? Journal of Marketing, 59 (1), 1-16 .
20 Narayandas, D., & Rangan, V. K. (2004). Building and sustaining buyer-seller relationships in mature industrial markets. Journal of Marketing, 68 (3), 63-77. DOI : http://dx.doi.org/10.1509/jmkg.
21 Nevin, J. R. (1995). Relationship marketing and distribution channels : Exploring fundamental issues. Journal of the Academy of Marketing Science, 23 (4), 327-334. DOI :10.1177/009207039502300413
22 Nunnally, J. C. (1978). Psychometric theory (2nd ed.). New York : McGraw-Hill.
23 Palmatier, R.W., Dant. R. P., Grewal, D., & Evans, K. R. (2006). Factors influencing the effectiveness of relationship marketing : A meta-analysis. Journal of Marketing, 70 (4), 136-153. DOI : http://dx.doi.org/10.1509/jmkg.70.4.136
24 Palmatier, R.W., Dant, R. P., & Grewal, D. (2007). A comparative longitudinal analysis of theoretical perspectives of interorganizational relationship performance. Journal of Marketing, 71(4), 172-194. DOI : http://dx.doi.org/10.1509/jmkg.71.4.172
25 Palmatier, R.W., Jarvis, C. B., Bechkoff, J. R., & Kardes, F. R. (2009). The role of customer gratitude in relationship marketing. Journal of Marketing, 73 (9), 1-18.
26 Palmatier, R. W., Scheer, L. K., Evans, K. R., & Arnold, T. J. (2008). Achieving relationship marketing effectiveness in business-to-business exchanges. Journal of the Academy of Marketing Science, 36 (2), 174-190. DOI 10.1007/s11747-007-0078-5
27 Parvatiyar, N. J., & Sheth, A. (2000). The domain and conceptual foundations of relationship marketing. In J. N. Sheth & A. Parvatiyar (Eds). Handbook of relationship marketing (pp. 3- 38). Thousand Oaks, CA: Sage Publications.
28 Samaha, S. A., Palmatier, R. W., & Dant, R. P. (2011). Poisoning relationships: Perceived unfairness in channels of distribution. Journal of Marketing, 75 (3), 99-117.
29 Vázquez, R., Iglesias, V., & Álvarez-gonzález, L. I. (2005). Distribution channel relationships : The conditions and strategic outcomes of cooperation between manufacturer and distributor. International Review of Retail, Distribution and Consumer Research ,15 (2), 125 - 150. DOI:10.1080/09593960500049241
30 Weitz, B.A., & Jap, S.D., (1995). Relationship marketing and distribution channels. Journal of the Academy of Marketing Science, 23 (4), 305-320 . DOI : 10.1177/009207039502300411
Shailendra Dasari
Dean & Campus Head
IBS Business School
231, Baba Sabara Palya
Near Kengeri Check Post, Kengeri
Bangalore-560 060.

Rupa Gunaseelan
Department of School of Management
Bharathiar University
Coimbatore-641 046, Tamil Nadu.

Geetha Suresh
Associate Professor
University of Louisville, Kentucky, USA.
Measuring Advertising Effectiveness Through Inter Modulation of Affect and Cognition
Indian Journal of Marketing, 45(3), 24 - 38

Information processing models, involving affect and cognition, are replete with theories advocating prominence of cognition or affect or the hierarchies in which processing takes place. We have taken into account various literatures on information processing, along with recent advances on neuroscience to propose a model in which affect and cognition operate simultaneously and interactively in a mutually reinforcing manner. Any study to assess advertising effectiveness cannot ignore the role of involvement, cognitive resource allocation, and gender. The proposed model takes into consideration the moderating role of all these factors on various attitudes and behaviors. Looking at the recent surge in the tendency of advertisers to humanize the offer, the model developed can also determine the effectiveness of anthropomorphized advertisements as well, and explains the mediating role of affect and relatedness (generated as a consequence of category based processing on exposure to these advertisements) on purchase behavior.

Keywords: attitude, cognition, affect, schema, involvement
Paper Submission Date : May 19, 2014; Paper sent back for Revision : October 1, 2014 ; Paper Acceptance Date : December 2, 2014

1 Aaker, D. A., & Day, G. S. (1974). A dynamic model of relationships among advertising, consumer-awareness, attitudes, and behavior. Journal of Applied Psychology, 59(3), 281- 286. DOI : http://psycnet.apa.org/doi/10.1037/h0036652
2 Aaker, D., A., Stayman, D. M., & Hagerty, M. R. (1986). Warmth in advertising: Measurement, impact and sequence effect. Journal of Consumer Research, 12 (4), 365- 381.
3 Abraham, M. M., & Lodish, L. M. (1990). Getting the most out of advertising and promotion. Harvard Business Review, 68 (3), 50–63.
4 Adolphs, R., & Damasio, A. (2001). The interaction of affect and cognition: A neurobiological perspective. In J. P. Forgas (Eds.), The handbook of affect and social cognition (pp. 27- 49). Mahwah, NJ: Lawrence Erlbaum Associates, Inc.
5 Aggrawal, P., & McGill, A. L. (2007). Is that car smiling at me? Schema congruity as a basis for evaluating anthropomorphized product. Journal of Consumer Research, 34, 468-479.
6 Ahluwalia, R., & Burnkrant, R. E. (2004). Answering questions about questions: A persuasion knowledge perspective for understanding the effects of rhetorical questions. Journal of Consumer Research, 31 (1), 26–42.
7 Alwitt, L. F., & Mitchell, A. A. (Eds.) (1985). Psychological processes and advertising effects (pp. 1-10). Hillsdale, NJ: Lawrence Erlbaum Associates.
8 Bagozzi, R. P. (1981). An examination of the validity of two models of attitude. Multivariate Behavioral Research, 16 (3), 323 - 359.
9 Bagozzi, R. P., & Burnkrant, R. E. (1979). Attitude organization and the attitude – behavior relationship. Journal of Personality and Social Psychology, 37 (June), 913-929.
10 Barnard, P. J., Duke, D. J., & Byrne, R. W., & Davidson, I. (2007). Differentiation in cognitive and emotional meanings: An evolutionary analysis. Cognition and Emotion. Special Issue : How distinctive is affective processing? 21 (6), 1155 - 1183. DOI:10.1080/02699930701437477
11 Batra, R., & Ray, M. L. (1986). Affective responses mediating acceptance of advertising. Journal of Consumer Research, 13 (2), 234 - 249.
12 Bhalla, M., & Proffitt, D. R. (1999). Visual-motor recalibration in geographical slant perception. Journal of Experimental Psychology: Human Perception and Performance, 25 (4), 1076 - 1096.
13 Bierly, C., McSweeney, F. K., & Vannieuwkerk, R. (1985). Classical conditioning of preferences for stimuli. Journal of Consumer Research, 12 (3), 316 - 323.
14 Boush, D. M., Friestad, M., & Rose, G. M. (1994). Adolescent skepticism toward TV advertising and knowledge of advertiser tactics. Journal of Consumer Research, 21 (1), 165 - 175.
15 Bower, G. H. ( 1981). Mood and memory. American Psychologist, 36(2), 129 - 148.
16 Braun, K. A. (1999). Post experience advertising effects on consumer memory. Journal of Consumer Research, 25 (4), 319 - 332.
17 Brock, T. C., & Shavitt, S. (1983). Cognitive response analysis in advertising. In L. Percy & A. G. Woodside (Eds.), Advertising and consumer psychology (pp. 91-116) Lexington. MA: Lexington Books.
18 Burnkrant, R. E. (1976). A motivational model of information processing intensity. Journal of Consumer Research, 3 (1), 21-30.
19 Cacioppo, J.T., Hawkley, L. C., Rickett, E. M., & Masi, C. M. (2005). Sociality, spirituality, and meaning making: Chicago health, aging, and social relations study. Review of General Psychology, 9 (2), 143-155.
20 Campbell, M. C. (1995). When attention-getting advertising tactics elicit consumer inferences of manipulative intent: The importance of balancing benefits and investments. Journal of Consumer Psychology, 4 (3), 225 - 254.
21 Campbell, M. C., & Kirmani, A. (2000). Consumers' use of persuasion knowledge: The effects of accessibility and cognitive capacity on perceptions of an influence agent. Journal of Consumer Research, 27 (1), 69 - 83.
22 Chang, C. (2007). The relative effectiveness of comparative and noncomparative advertising : Evidence for gender differences in information-processing strategies. Journal of Advertising, 36 (1), 21–35.
23 Cotte, J., Coulter, R A., & Moore, M. (2005). Enhancing or disrupting guilt: The role of ad credibility and perceived manipulative intent. Journal of Business Research, 58 (3), 361–368. DOI : http://dx.doi.org/10.1016/S0148-2963(03)00102-4
24 Curry, D. J., & Menasco, M. B. (1979). Some effects of differing processing strategies on husband-wife joint decisions. Journal of Consumer Research, 6 (2), 192-203. DOI : http://dx.doi.org/10.1086/208761
25 Damasio, A.R. (1994). Descartes' error . New York : G.P. Putnam's Sons.
26 Davidson, R. J. (2003). Seven sins in the study of emotion: Correctives from affective neuroscience. Brain and Cognition, 52 (1), 129 - 132.
27 Davis, H. L. (1970). Dimensions of marital roles in consumer decision making. Journal of Marketing Research, 7 (2), 168-177.
28 Dewey, J. ( 1894). The ego as cause. Philosophical Review, 3, 337 - 341.
29 Duncan, S., & Barrett, L.F. (2007). Affect as a form of cognition: A neurobiological analysis. Cognition and Emotion, 21 (6), 1184 - 1211.
30 Edell, J. A., & Burke, M. C. (1987). The power of feelings in understanding advertising effects. Journal of Consumer Research, 14 (3), 421- 433.
31 Ehrenberg, A.S.C. (1974). Repetitive advertising and the consumer. Journal of Advertising Research, 14 (2), 25-34.
32 Ehrenberg, A.S.C. (1994). Justifying advertising budgets. Admap, 29 (1),11-13.
33 Epley, N., Waytz, A., & Cacioppo, J.T (2007). On seeing human: A three - factor theory of anthropomorphism. Psychological Review, 114 (4), 864-886.
34 Epstein, S. (2003). Cognitive-experiential self-theory of personality. In Millon, T., & Lerner, M. J. (Eds), Comprehensive handbook of psychology, Volume 5: Personality and social psychology ( pp. 159-184). Hoboken, NJ: Wiley & Sons.
35 Erdley, C. A. & D'Agostino, P. R. (1988). Cognitive and affective component of automatic priming effects. Journal of Personality and Social Psychology, 54 (5), 741-747.
36 Erickson, K., & Schulkin. J. (2003). Facial expressions of emotion: A cognitive neuroscience perspective. Brain and Cognition, 52 (1), 52–60.
37 Erngrund, K., Mantyle, T., & Nilsson, L.- G. (1996). Adult age difference in source recall: A population-based study. The Journal of Gerontology : Psychological Sciences, 51B (6), 335- 345.
38 Farina, A. (1982). The stigma of mental disorders. In A. G. Miller (Eds.), In the eye of the beholder: Contemporary issues in stereotyping (pp. 305-363). New York: Praeger.
39 Fazio, R. H. (1986). How do attitudes guide behavior? In R.M. Sorrentino & E. T. Higgins (Eds.), The handbook of motivation and cognition: Foundation of social behavior (pp. 204-243). New York: Gulford Press.
40 Ferber, R., & Lucy, C. L. (1974). Husband-wife influence in family purchasing behavior. Journal of Consumer Research, 1 (1), 43-62.
41 Fiske, S. T. (1982). Schema-triggered affect: Application to social perception, In M. S. Clark & S. T. Fiske (eds.), Affect and cognition: The 17th annual Carnegie symposium on cognition (pp. 55-78). Hillsdale, New Jersey: Lawrence Erlbaum.
42 Fiske, S. T., & Pavelchak, M. A. (1986). Category-based versus piecemeal-based affective responses: Developments in schema-triggered affect, In R. M. Sorrentino & E. T. Higgins (Eds.), The Handbook of motivation and cognition: Foundations of social behavior (pp. 167 - 203). New York: Guilford Press.
43 Gilligan, C. (1982). In a different voice: Psychological theory and women's development. Cambridge, MA: Harvard University Press.
44 Goodstein, R. C. (1993). Category-based applications and extensions in advertising: Motivating more extensive ad processing. Journal of Consumer Research, 20 (1), 87-99.
45 Greenwald, A. G. (1968). Cognitive learning, cognitive response to persuasion, and attitude change. In A. G. Greenwald, T. C. Brock, & T. M. Ostrom (Eds.), Psychological foundations of attitude (pp. 147- 170). New York: Academic Press.
46 Halgren, E. (1992). Emotional neurophysiology of the amygdala within the context of human cognition. In J. P. Aggleton (Ed.), The amygdala: Neurobiological aspects of emotion, memory, and mental dysfunction (pp. 191–228). New York: Wiley-Liss.
47 Harris, G. (1987). The implications of low-involvement theory for advertising effectiveness. International Journal of Advertising, 6 (July-September), 207- 221.
48 Hastie, R. (1980). Memory for behavioral information that confirms or contradicts a personality impression. In R. Hastie, T. M. Ostrom, E. B. Ebbesen, R. S. Wyer, Jr., D. L. Hamilton, & D. E. Carlston (Eds.), Person memory: The cognitive basis of social perception (pp. 155-177). Hillsdale, NJ: Erlbaum.
49 Heath, R.G., Brandt, D., & Nairn, A. (2006). Brand relationships : Strengthened by emotion, weakened by attention. Journal of Advertising Research, 46(4), 410-419.
50 Herr, P. M. (1987). The automatic activation of attitudes toward products. Paper presented at the Association for Consumer Research Conference, Toronto, Ontario, Canada.
51 Hoch, S. J., & Loewenstein, G. F. (1991). Time- inconsistent preferences and consumer self-control. Journal of Consumer Research, 17 (4), 492–507.
52 Holbrook, M. B. (1986). Emotion in the consumption experience: Towards a new model of the human consumer. In R. A. Peterson, W. D. Hoyer, & W. R. Wilson (Eds.), The role of affect in consumer behavior: Emerging theories and applications (pp. 17-52). Lexington, MA: Lexington Books.
53 Homer, P. M. (2006). Relationship among ad induced affect, belief and attitude-another look. Journal of Advertising, 35(1), 35-51.
54 Krugman, H.E. (1965). The impact of television advertising: Learning without involvement. Public Opinion Quarterly, 29 (3), 349 - 356. DOI : http://psycnet.apa.org/doi/10.1086/267335
55 Krugman, H. E. (1966). The measurement of advertising involvement. Public Opinion Quarterly, 30 (4), 583-596. DOI: 10.1086/267457
56 Kupfermann I. (1991). Hypothalamus and limbic system: peptidergic neurons, homeostasis, and emotional behavior. In E.R. Kandel, E. R. Schwartz, T. M. Jessel (Eds.), Principles of neural science (pp. 735 - 760). New York : Elsevier.
57 Lane, R.D., & Nadel, L. (2000). Cognitive neuroscience of emotion: Series in affective science. New York: Oxford University Press.
58 Laurent, G., & Kapferer, J. (1985). Measuring consumer involvement profiles. Journal of Marketing Research, 22 (1), 41-53.
59 Lavidge, R.J., & Steiner, G.A. (1961). A model for predictive measurements of advertising effectiveness. Journal of Marketing, 25 (4), 59-62.
60 LeDoux, J. E. (1987). Emotion. In F. Plum (Ed.), Handbook of physiology : Section 1, The nervous system. Higher functions of the brain (Vol. 5, pp. 419 - 460). Bethesda, MD: American Physiological Society.
61 LeDoux, J. E. (1995). Emotion: Clues from the brain. Annual Review of Psychology, 46, 209 - 305.
62 LeDoux, J. E. (1996). The emotional brain. New York: Simon & Schuster.
63 Leventhal, H. (1984). A perceptual-motor theory of emotion. In L. Berkowitz (Ed.), Advances in experimental social psychology (Vol. 17, pp. 118–182). Orlando, FL: Academic Press.
64 Lodish, L. M., Abraham, M., Kalmenson, S., Livelsberger, J., Lubetkin, B., Richardson, B., & Stevens, M. E. (1995). How T.V. advertising works: A meta-analysis of 389 real world split cable T.V. advertising experiments. Journal of Marketing Research, 32 (2), 125 - 139.
65 Lutz, R. J.(1985). Affective and cognitive antecedents of attitude toward the ad: A conceptual framework. In L. Alwitt & A. Mitchell (Eds.), Psychological processes and advertising effects (pp. 45-63). Hillsdale, NJ: Erlbaum.
66 Lutz, R. J., MacKenzie, S. B., & Belch. G. E. (1983). Attitude toward the ad as a mediator of advertising effectiveness: Determinants and consequences. In R. P. Bagozzi & A. M. Tybout (Eds.), NA - Advances in consumer research (pp. 532 - 539). Ann Abor, MI : Association for Consumer Research.
67 MacInnis, D. J., & Jaworski, B. J. (1989). Information processing from advertisements : Toward an integrative framework. Journal of Marketing, 53 (4),1-23.
68 MacKenzie, S. B., Lutz. R. J., & Belch, G. E. (1986). The role of attitude toward the ad as a mediator of advertising effectiveness: A test of competing explanations. Journal of Marketing Research, 23 (2), 130-143.
69 Mandler, G. (1982). The structure of value: Accounting for taste. In M. S. Clark & S. T. Fiske (Eds.), Affect and Cognition (pp. 3-36). The 17th Annual Carnegie Symposium, Hillsdale, NJ: Lawrence Erlbaum Associates.
70 Maner, J. K., DeWall, C. N., Baumeister, R. F., & Schaller, M. (2007). Does social exclusion motivate withdrawal or reconnection? Resolving the “porcupine problem". Journal of Personality and Social Psychology, 92 (1), 42–55. DOI: 10.1037/0022-3514.92.1.42
71 Martin, J. H. (1991). Coding and processing of sensory information. In E. R. Kandel, J. H. Schwartz & T. M. Jessel (Eds.), Principles of neural science (3rd ed., pp. 329 - 340). Norwalk, CT: Appleton and Lange.
72 McGuire, W. J. (1969). The nature of attitudes and attitude change. In G. Lindzey & E. Aronson (Eds.), The handbook of social psychology (Vol.3, pp. 136 - 314). Reading, MA: Addison-Wesley.
73 McGuire, W. (1978). An information processing model of advertising effectiveness. In H. L. Davis & A. J. Silk (Eds.), Behavioral and management science in marketing (pp. 156 - 180). New York: John Wiley & Sons.
74 Meyers-Levy, J. (1988). The influence of sex roles on judgment. Journal of Consumer Research, 14 (4), 522-530.
75 Meyers-Levy, J. & Sternthal, B. (1991). Gender differences in the use of message cues and judgments. Journal of Marketing Research, 28 (February), 84-96.
76 Miller, N., Geoffrey, M., Beaber, R. J., & Valone, K. (1976). Speed of speech and persuasion. Journal of Personality and Social Psychology, 34 (4), 615-624. DOI : http://psycnet.apa.org/doi/10.1037/0022-3514.34.4.615
77 Mitchell, A. A., & Olson, J. (1981). Are product attribute beliefs the only mediator of advertising effects on brand attitudes? Journal of Marketing Research, 18 (3), 318-322. DOI : http://psycnet.apa.org/doi/10.2307/3150973
78 Morris, J. D., Woo, C., Geason, J. A., & Kim, J. (2002). The power of affect: Predicting intention. Journal of Advertising Research, 42 (3), 7-17.
79 Nelson, P. (1974). Advertising as information. Journal of Political Economy, 82 (4), 729- 754.
80 Parrott, W. G. (1989). On the "emotional" qualities of certain types of cognition: A reply to arguments for the independence of cognition and affect. Cognitive Therapy and Research, 13 (1), 49 - 65. DOI : 10.1007/BF01178489
81 Pechmann, C., & Stewart, D. W. (1989). Advertising repetition: A critical review of wear in and wear out. In J. H. Leigh & C. R. Martin Jr. (Eds.), Current issues and research in advertising 1988 (pp. 285- 289). Ann Arbor, MI: University of Michigan.
82 Peterson, R. A., Hoyer, W. D., & Wilson, W. R. (1986). The role of affect in consumer behaviour: Emerging theories and applications (pp. 141- 159). Lexington, MA: Lexington Books.
83 Petty, R. E., & Cacioppo, J. T. (1981a). Issue involvement as a moderator of the effects on attitude of advertising content and context. In K. B. Monroe (Ed.), NA - Advances in consumer research (Vol. 8, pp. 20-24). Ann Abor, MI : Association for Consumer Research.
84 Petty, R. E., & Cacioppo, J. T. (1981b). Attitudes and persuasion: Classic and contemporary approaches. Dubuque. IA: William C. Brown.
85 Phelps E. (2004). The human amygdala and awareness: Interactions between emotion and cognition. In M. Gazzaniga (Ed.) , The cognitive neurosciences (3rd. ed., pp. 1005 - 1015). Cambridge, MA: MIT Press.
86 Proffitt, D. R., Stefanucci, J., Banton T., & Epstein W. (2003). The role of effort in perceiving distance. Psychological Science, 14 (2), 106 -112. DOI: 10.1111/1467-9280.t01-1-01427
87 Ratchford, B.T. (1987) New insights about the FCB grid. Journal of Advertising Research, 27 (4), 24 - 38.
88 Ray, M. L. (1973). Marketing communication and hierarchy of effects. In P. Clarke (Ed.), New models for mass communication research (Vol. 2, pp.146-175). Beverly Hills: Sage Publication.
89 Roediger, H.L. III, Gallo, D. A., & Geraci, L. (2002). Processing approaches to cognition: The impetus from the levels-of-processing framework. Memory, 10 (5-6), 319 - 332.
90 Rose, S. P.R. (1993). The making of memory. London: Bantam Books.
91 Schmitt, B. H., Leclerc, F., & Laurette, D. - R. (1988). Sex typing and consumer behavior: A test of gender schema theory. Journal of Consumer Research, 15 (1), 122-128.
92 Seidlitz, L., & Diener, E. (1998). Sex differences in the recall of affective experiences. Journal of Personality and Social Psychology, 74 (1), 262 - 271.
93 Shapiro, S., Macinnis D. J., & Heckler, S.E. (1997). The effects of incidental ad exposure on the formation of consideration sets. Journal of Consumer Research, 24 (1), 94-104.
94 Sherif, C. W., Sherif, M., & Nebergall, R. E. (1965). Attitude and attitude change. Philadelphia: Saunders.
95 Shimp, T. A. (1981). Attitude toward the AD as a mediator of consumer brand choice. Journal of Advertising, 10 (2), 9-48. DOI:10.1080/00913367.1981.10672756
96 Shiv, B., & Fedorikhin, A. (1999). Heart and mind in conflict: The interplay of affect and cognition in consumer decision making. Journal of Consumer Research, 26 (3), 278- 292. DOI: 10.1086/209563
97 Singh, S.N., & Churchill, G. A. Jr. (1986). Using the theory of signal detection to improve ad recognition testing. Journal of Marketing Research, 23 (4), 327-336.
98 Smith, R. E., & Swinyard ,W. R. (1978). Involvement and the hierarchy of effects: An integrated framework. In G. Hafer.(Ed.), A look back, a look ahead (pp. 86-98). Chicago: American Marketing Association.
99 Smith, R. E., & Swinyard, W. R. (1982). Information response models : An integrated approach. Journal of Marketing Research, 46 (August), 257- 267.
100 Srull, T.K. (1983). Affect and memory: The impact of affective reactions in advertising on the representation of product information in memory, In R.P. Bagozzi & A. Tybout (Eds.), Advances in consumer research (Vol. 10). Ann Arbor, MI : Association for Consumer Research.
101 Srull, T. K., Lichtenstein., M., & Rothbart, M. (1985). Associative storage and retrieval processes in person memory. Journal of Experimental Psychology: Learning, Memory, and Cognition, 11 (2), 316- 345.
102 Stoltman, J. J. (1991). Advertising effectiveness: The role of advertising schemas. In T. L. Childers (Ed.), Marketing theory and applications (Vol. 2, pp. 317 - 318). Chicago : American Marketing Association.
103 Storbeck, J., & Clore, G. L. (2007). On the interdependence of Cognition and emotion. Cognition and Emotion, 21 (6), 1212-237.
104 Sutherland, M. (1993). Advertising and the mind of the consumer. St. Leonard, Australia: Allen and Unwin.
105 Swinyard, W. R., & Coney, K. A. (1978). Promotional effects on a high-versus low-involvement electorate. Journal of Consumer Research, 5 (1), 41-48.
106 Vakratsas, D., & Ambler, T. (1999). How advertising works: What do we really know? Journal of Marketing, 63 (1), 26-43.
107 Watzlawick, P., Bavelas, J.B., & Jackson, D.D. (1967). Pragmatics of human communication. New York : Norton & Co. Inc.
108 Wilson, T. D. (2002). Strangers to ourselves. Cambridge, MS, USA: The Belknap Press of Harvard University.
109 Witt, J.K., Proffitt, D.R., & Epstein, W. (2004). Perceiving distance: A role of effort and intent. Perception, 33 (5), 577 - 590.
110 Wright, P. L. (1973). The cognitive processes mediating acceptance of advertising. Journal of Marketing Research, 10 (February), 53-62.
111 Zaichkowsky, J. (1985). Measuring the involvement constraint. Journal of Consumer Research, 12 (3), 341- 352.
112 Zajonc, R. B. (1980). Feeling and thinking: Preferences need no inferences. American Psychologist, 35 (2), 151 - 175.
Sandeep Singh
Associate Professor
Acropolis Institute of Technology and Research
Indore Bypass Road, Manglia Square
Indore - 453 771
Madhya Pradesh.
Anand Sapre
Director & Professor
International Institute of Professional Studies
DAVV, Indore, IIPS, UTD, Takshila Parisar, UTD
Bhawarkuan, Indore - 452 001
Madhya Pradesh.
Brand Loyalty and Switching : An Empirical Study on Mobile Phone Usage Among Young Indian Adults
Indian Journal of Marketing, 45(3), 39 - 53
Mobile phones are emerging like a boon quench for providing facilities, which are beyond the common man's imagination. The mobile phone industry is growing at an incredible pace with no sign of a slowdown, and the Indian mobile market is one of the fastest growing markets in the world. Cell phones are a pervasive new communication technology, especially among young people. The youth have a unique behaviour compared to the older generations, with research showing that a lot of what they purchase represents their self-expression. Mobile devices are a part of their personal selves and are a vital component which connects them with the world and the people around them. The present study focused on the brand switching tendencies of young Indians and effectively analyzed the impact of different demographic variables on brand loyalty. A total number of 600 young adults comprising of both students and working professionals from various reputed colleges and companies in Bangalore were surveyed and their responses were analyzed using SPSS 20. The study indicated that Apple has the most loyal base of customers, though Samsung is the most popular brand, and among the various demographic factors, only age had an impact on brand loyalty. Technical incompatibility and new technical and value added features are the primary reasons for switching to a new handset.
Keywords : brand loyalty & switching, young adults, consumer buying behaviour, mobile phone
Paper Submission Date : June 19, 2014; Paper sent back for Revision : August 16, 2014 ; Paper Acceptance Date : November 3, 2014
1 AIMC (Research Communication Media Association) (2004). Navegantes en la Red. VI Encuesta AIMC a Usuarios de Internet. Retrieved from http:// www.aimc.es
2 Aoki, K., & Downes, E. J. (2003). An analysis of young people's use of and attitudes toward cell phones. Telematics and Informatics, 20 (4), 349 - 364.
3 Barak, B., & Gould, S. (1985). Alternative age measures: A research agenda. In E. C. Hirschman & M. B. Holbrook (Eds.), Advances in consumer research (Vol.12, pp. 53 - 58) Provo, UT : Association for Consumer Research.
4 Bhatt, M.V. (2008). A study of mobile phone usage among the post graduate students. Indian Journal of Marketing, 38 (4), 13-21.
5 Binge, E., Ruiz, C., & Sanz, S. (2005). The impact of Internet user shopping patterns and demographics on consumer mobile buying behaviour. Journal of Electronic Commerce Research, 6 (3), 193 - 209.
6 Biswas, S. (2012). Gender specific study on relative impact of convenience and non-convenience factors on mobile users' brand switching in Kolkata. Indian Journal of Marketing, 42 (10), 31- 40.
7 Bordeau, L., Chebat, J. - C., & Couturier, C. (2002). Internet consumer value of university students: E-mail vs. web users. Journal of Retailing and Consumer Services, 9 (2), 61- 69. DOI : http://dx.doi.org/10.1016/S0969-6989(01)00025-X
8 Buckingham, D. (2002). The electronic generation? Children and new media. In L. Lievrouw & S. Livingstone (Eds.). Handbook of new media: Social shaping and social consequences (pp. 77- 89). London: Sage Publications.
9 Chakraborty, S. (2006). Mobile phone usage patterns amongst university students: A comparative study between India and USA (pp. 1-53). Master's paper for the M.S. in I.S degree, University of North Carolina. Retrieved from http://www.ils.unc.edu/MSpapers/3152.pdf
10 Goode, M. M. H., Davies, F., Moutinho, L., & Jamal, A. (2005). Determining customer satisfaction from mobile phones: A neural network approach. Journal of Marketing Management, 21 (7-8) , 755-778. DOI:10.1362/026725705774538381
11 Joines, J. L., Scherer, C. W., & Scheufele, D. A. (2003). Exploring motivations for consumer web use and their implications for ecommerce. Journal of Consumer Marketing, 20 (2), 90-108. DOI: http://dx.doi.org/10.1108/07363760310464578
12 Juyal, S.A. (2013). Effect of demographic factors on consumer buying behaviour of durables. Indian Journal of Marketing, 43 (12), 24-33 .
13 Karjaluoto, H., Karvonen, J., & Kesti, M., Koivumäki, T., Manninen, M., Pakola, J., Ristola, A., & Salo, J. (2005). Factors affecting consumer choice of mobile phones: Two studies from Finland. Journal of Euromarketing, 14 (3), 59-82.
14 Mallikarjuna, V., & Krishna Mohan, G. (2010). Customer switching behaviour- An evaluation of factors affecting mobile users. Indian Journal of Marketing, 40 (3), 42-46.
15 Modahl, M.(2000). Now or never. New York : Harper Collins.
16 Mort, G. S., & Drennan, J. (2007). Mobile communications: A study of factors influencing consumer use of M-services. Journal of Advertising Research, 47(3), 302 - 312. DOI : http://dx.doi.org/10.2501/S0021849907%20070328
17 Mulhern, F. J. (1997). Retail marketing: From distribution to integration. International Journal of Research in Marketing, 14 (2), 103-124. DOI : http://dx.doi.org/10.1016/S0167-8116(96)00031-6
18 Porter, G., Hampshire, K., Abane, A., Munthali, A., Robson, E., Mashiri, M., & Tanle, A. (2012). Youth, mobility and mobile phones in Africa: Findings from a three-country study. Information Technology for Development, 18 (2), 145 - 162. DOI:10.1080/02681102.2011.643210
19 Ritson, M., & Elliott, R. (1999). The social uses of advertising: An ethnographic study of adolescent advertising audiences. Journal of Consumer Research, 26 (3), 260-277.
20 Rohm, A. J., & F. Sultan (2005). Brand in the hand: An exploratory study of mobile marketing communications. Paper presented at the European Academy of Management, April, 2005, Munich.
21 Sabnavis, M. (2002). Getting a fix on the new middle-class consumer. Indian Management, 41 (7), 52-54.
22 Schiffman, L., & Kanuk, L. (2008). Consumer behaviour (9th Ed., pp. 48 - 50). New Delhi : Prentice Hall of India.
23 Singh, J., & Goyal, B. B. (2009). Mobile handset buying behavior of different age and gender groups. International Journal of Business and Management, 4 (5), 179-187.
Shampa Nandi
Assistant Professor of Marketing
RJS Institute of Management Studies
Koramangala, Bangalore.

J. K. Pattanayak
Head of the Department
Department of Management Studies
Indian School of Mines
Dhanbad, Jharkhand.

Variance in Factors Influencing Buyer Behaviour Across Various Product Categories in FMCGs
Indian Journal of Marketing, 45(3), 54 - 68
FMCGs are not a single product. It is an umbrella term that holds together a number of different products. It includes cosmetics and toiletries, personal care products, household fabric care products, household cleaners, food products, and so forth. They are considered to be a low involvement product category, and all theories and models in consumer behavior are applied to this sector considering it to be as one product category. But is it really like that? Does the customer show the same kind of behavior while buying a perfume and while buying a toilet cleaner? This study attempts to find answers to these questions. A sample size of 537 households was selected for the survey. Hypotheses were derived from the literature reviewed for the study and were tested. The factors identified are price perception, loyalty to local retailers, and purchase decision involvement. Reliability and validity of the instrument were also tested. ANOVA was used to find out the differences among these factors across the various sub-categories in FMCGs. This study is all the more significant in the wake of current developments in the field of retailing. The findings will help in devising appropriate strategies to sell FMCG products to customers.
Keywords: buyer behaviour, FMCGs, loyalty to local retailers, price perception, purchase decision involvement
Paper Submission Date : June 3, 2014; Paper sent back for Revision : December 2, 2014 ; Paper Acceptance Date : February 5, 2015
1 Alba, J. W., Broniarczyk, S.M., Shimp, T.A., & Urbany, J.E. (1994). The influence of prior beliefs, frequency cues, and magnitude cues on consumers' perceptions of comparative price data. Journal of Consumer Research, 21 (2), 219-235.
2 Bawa, K., & Shoemaker, R. W. (1987). The coupon prone-consumer: Some findings based on purchase behavior across product classes. Journal of Marketing, 51 (4), 99-110.
3 Campbell, M.C. (2007). Says who? How the source of price information and affect influence perceived price (un)fairness. Journal of Marketing Research (JMR), 44 (2), 261-271.
4 Chandon, P., Wansink, B., & Laurent, G. (2000). A benefit congruency framework of sales promotions effectiveness. Journal of Marketing, 64 (4), 65-81. DOI: http://dx.doi.org/10.1509/jmkg.
5 Chang, T. - Z., & Wildt, A. R. (1994). Price, product information, and purchase intention: An empirical study. Journal of the Academy of Marketing Science, 22 (1), 16-27. DOI : 10.1177/0092070394221002
6 Chatterjee, S. (2013). A study of demographic variables affecting consumer buying behavior with reference to synthetic detergents. Indian Journal of Marketing, 43 (5), 58-63.
7 Cotton, B.C., & Babb, E. M. (1978). Consumer response to promotional deals. Journal of Marketing, 42 (3),109 - 113.
8 Dalal, M., Al-Khatib, J., DaCosta, M. N., & Decker, R. (1994). Why do small towns lose retail business? An empirical investigation. The Mid-Atlantic Journal of Business, 30 (3), 241 - 252.
9 Darden, W.R. & Perreault, W.D., Jr. (1976). Identifying interurban shoppers: Multiproduct purchase patterns and segmentation profiles. Journal of Marketing Research ,8, 51-60.
10 Dodds, W. B., & Monroe, K. B. (1985). The effect of brand and price information on subjective product evaluations. In E. C. Hirschman & M. B. Holbrook, (Eds.), Advances in consumer research (pp. 85 - 90). Provo, UT: Association for Consumer Research.
11 Ehrenberg, A. S. C., Schriven, J., & Barnard, N. (1997). Advertising and price. Journal of Advertising Research, 37 (3), 27-35.
12 Estelami, H.,& Lehmann, D.R. (2001). The impact of research design on consumer price recall accuracy: An integrative review. Journal of the Academy of Marketing Science, 29 (1), 36- 49. DOI : 10.1177/0092070301291003
13 Evanschitzky, H., Kenning, P., & Vogel, V. (2004). Consumer price knowledge in the German retail market. Journal of Product & Brand Management, 13 (6), 390-405. DOI : http://dx.doi.org/10.1108/10610420410560299
14 Gabor, A., & Granger, C.W.J. (1961). On the price consciousness of consumers. Applied Statistics, 10 (3), 170-188. DOI : http://dx.doi.org/10.2307/2985208
15 Gardner, D. M. (1971). Is there a generalized price-quality relationship? Journal of Marketing Research, 8 (May), 241- 243.
16 Garga, P., Ghuman, K., & Dogra, B. (2009). Rural marketing of select fast moving consumer goods in Punjab. Indian Journal of Marketing, 39 (5), 21-27.
17 Gotlieb, J. B. (1990). Communicating price-quality relationships. Journal of Applied Social Psychology, 20 (5), 404-423. DOI: 10.1111/j.1559-1816.1990.tb00419.x
18 Grewal, D., Baker, J., Levy, M., & Voss, G. B. (2003). The effects of wait expectations and store atmosphere evaluations on patronage intentions in service-intensive retail stores. Journal of Retailing, 79 (4), 259 - 268. DOI : http://dx.doi.org/10.1016/j.jretai.2003.09.006
19 Herrmann, R.O., & Beik, L.L. (1968). Shoppers' movements outside their local retail area. Journal of Marketing, 32 (4), 45-51.
20 Hoch, S. J., Bradlow, E. T., & Wansink, B. (1999). The variety of an assortment. Marketing Science, 18 (4), 527 - 546. DOI : http://dx.doi.org/10.1287/mksc.18.4.527
21 Hozier, G. C., & Stem, D. E. (1985). General retail patronage loyalty as a determinant of consumer outshopping behavior. Journal of the Academy of Marketing Science, 13 (1- 2), 32 - 46. DOI : 10.1007/BF02729704
22 Indian Brand Equity Foundation (IBEF). (n.d.). Fast moving consumer goods industry analysis. Retrieved from www.ibef.org
23 ISI Analytics. (2010). Fast moving consumer goods industry. Issue 1H 2010. Retrieved from https://xa.yimg.com/kq/groups/22402912/1623972573/name/FMCG+1H10+Industry.pdf
24 Kaushik, N., & Gupta, D. (2009). A study of consumer's buying pattern of cosmetic products in South Haryana. Indian Journal of Marketing, 39 (9), 27-34, 55.
25 Kumar, A., S., & Madhavi, C. (2006). Rural marketing for FMCGs. Indian Journal of Marketing, 36 (4), 19-23, 38.
26 Lambert, Z. V. (1972). Price and choice behavior. Journal of Marketing Research, 9 (February), 35-40.
27 Leavitt, H. J. (1954). A note of some experimental findings about the meanings of price. Journal of Business, 27 (3), 205-210.
28 Lichtenstein, D. R., & Burton, S. (1989). The relationship between perceived and objective price-quality. Journal of Marketing Research, 26 (4), 429- 443.
29 Lichtenstein, D. R., Ridgway, N. M., & Netemeyer, R.G. (1993). Price perceptions and consumer shopping behavior : A field study. Journal of Marketing Research, 30 (2), 234-245.
30 Martı´nez, E., & Montaner, Ã T. (2006). The effect of consumer's psychographic variables upon deal-proneness. Journal of Retailing and Consumer Services, 13, 157 - 168.
31 McGowan, K. M., & Sternquist, B. J. (1998). Dimensions of price as a marketing universal: A comparison of Japanese and U.S. consumers. Journal of International Marketing, 6 (4), 49- 65.
32 Mittal, B. (1989). Measuring purchase-decision involvement. Psychology and Marketing, 6 (2), 147-162. DOI: 10.1002/mar.4220060206
33 Moon, S., Russell, G.J., & Duvvuri, S.D. (2006). Profiling the reference price consumer. Journal of Retailing, 82 (1), 1-11.
34 Niedrich, R.W., Sharma, S., & Wedell, D.H. (2001). Reference price and price perceptions: A comparison of alternative models. Journal of Consumer Research, 28 (3), 339-354. DOI : http://psycnet.apa.org/doi/10.1086/323726
35 Papadopoulos, N.G. (1986). Consumer outshopping research: Review and extension. Journal of Retailing, 56 (4), 44-58.
36 Pechmann, C., & Ratneshwar, S. (1992). Consumer covariation judgments: Theory or data driven? Journal of Consumer Research, 19 (3), 373-386.
37 Prakash, G., & Pathak, P. (2014). Understanding rural buying behavior : A study with special reference to FMCG products. Indian Journal of Marketing, 44 (8), 43-55.
38 Raju, P. S. (1977). Product familiarity, brand name, and price influences on product evaluation. In W. Perreault (Ed.), Advances in consumer research (Vol. 4, pp. 64 - 71). Ann Arbor, MI: Association for Consumer Research.
39 Raju, P.S., & Hastak, M. (1980). Consumer response to deals: A discussion of theoretical perspectives. In J. C. Olson (Ed.), Advances in consumer research (Vol. 10, pp. 296 - 301). Ann Arbor, MI: Association for Consumer Research.
40 Rao, A. R., & Monroe, K. B. (1988). The moderating effect of prior knowledge on cue utilization in product evaluations. The Journal of Consumer Research, 15 (2), 253- 264.
41 Reynolds, F. D., & Darden, W.R. (1972). Intermarket patronage: A psychographic study of consumer outshoppers. Journal of Marketing, 36 (4), 50-54.
42 Samli, A. C., & Uhr, E.B. (1974). The outshopping spectrum: Key for analyzing intermarket leakages. Journal of Retailing, 50 (2), 70-78, 105.
43 Schindler, R.M., & Rothaus, S. E. (1985). An experimental technique for exploring the psychological mechanism of the effects of price promotions. In E.C. Hirschman & M.B. Holbrook (Eds.) Advances in consumer research (Vol. 12, pp. 133 - 137). Provo, UT: Association for Consumer Research.
44 Sirohi, N., McLaughlin, E. W., & Wittink, D. R. (1998). A model of consumer perceptions and store loyalty intentions for a supermarket retailer. Journal of Retailing, 74 (2), 223–245. DOI: http://dx.doi.org/10.1016/S0022-4359(99)80094-3
45 Smith, K. H., & Chinna Natesan, N. (1999). Consumer price-quality beliefs: Schema variables predicting individual differences. In E. J. Arnould & L. M. Scott (Eds.), Advances in consumer research (Vol. 26, pp. 562 - 568). Provo, UT : Association for Consumer Research.
46 Stone, G. P. (1954). City shoppers and urban identification: Observations on the social psychology of city life. The American Journal of Sociology, 60 (1), 36 - 45.
47 Thompson, J. R. (1971). Characteristics and behavior of out-shopping consumers. Journal of Retailing, 47 (Spring), 70-80.
48 Urbany, J.E., & Dickson, P.R. (1991, June).C onsumer normal price estimation: Market versus personal standards. Journal of Consumer Research, 18 (1), 45-51.
49 Vani, G., Babu, M. G., & Panchanatham, N. (2011). Consumer buying behavioural model for toothpastes. Indian Journal of Marketing, 41(10), 57 - 67.
50 Wakefield, K. L., & Barnes, J. H. (1996). Retailing hedonic consumption: A model of sales promotion of a leisure service. Journal of Retailing, 72 (4), 409-427. DOI : http://dx.doi.org/10.1016/S0022-4359(96)90021-4
51 Wakefield, K.L., & Inman, J. J. (1993). Who are the price vigilantes? An investigation of differentiating characteristics influencing price information processing. Journal of Retailing, 69 (2), 216-233. DOI : http://dx.doi.org/10.1016/0022-4359(93)90004-3 Wasson, C. R., & Shreve, R. R. (1975). Research of consumer products and services. Marketing Manager's Handbook, UBSPD, Ch.25.
52 Zeithaml, V. A. (1988). Consumer perceptions of price, quality, and value: A means-end model and synthesis of evidence. Journal of Marketing, 52, 2-22.
Smitha Siji
Assistant Professor
Rajagiri Centre for Business Studies
Rajagiri Valley, Kakkanad, Kochi - 682 039, Kerala.