Marketing


Faculty Research: Study Shows that Decision Aids Can Hurt Consumer Decision Making

Journal of Retailing (2014)

Nicholas Lurie. Co-Author: Na Wen.

To help consumers deal with increasing amounts of information, many online retailers offer simple decision aids, such as the ability to sort products on a particular product attribute. Intuitively, such aids should help consumers but, in a recent article, Nicholas Lurie and a colleague at City University of Hong Kong show that simple decision aids can hurt consumers’ ability to make good decisions.

Whether decision aids help or hurt depends on the extent to which choices involve tradeoffs among attributes. For example, a consumer buying a laptop might want a large screen and lots of memory. If large screen laptops usually come with lots of memory then using a decision aid to sort on screen size will help the consumer choose the best laptop for her. However if, instead, the consumer wants a large screen and light weight laptop, and large screen laptops tend to be heavy, sorting on screen size will not enhance choice. The authors suggest that consumers use simple decision aids as substitutes for cognitive effort and find that the more consumers use such aids, the lower the quality of their decisions. Providing consumers with multiple decision aids, such as the ability to eliminate as well as sort products, is one way to overcome the negative aspects of such aids.


Assistant Professor Gerlinde Berger-Walliser and MBA Student Group visit EM Lyon for International Business Study

In January 2015, a contingent of part-time MBA and MSBAPM students led by Business Law Professor Gerlinde Berger-Walliser spent two weeks studying international business at EMLYON, one of the top business schools in France. The group attended lectures taught by renowned EM Lyon faculty about the European business, social, and regulatory environment. As part of the inter-cultural program the UConn students worked on projects with EM Lyon’s International MBA students and traveled to Geneva, Switzerland to visit the World Trade Organization and the United Nations. In the evenings and on the free weekend, the group sampled the great food that Lyon is known for and toured different parts of Europe. Professor Berger-Walliser is looking forward to taking another group of MBA students to Lyon in January 2016.


Faculty Research: When Harry Bet with Sally: An Empirical Analysis of Multiple Peer Effects in Casino Gambling Behavior

Journal: Marketing Science (2015)

Hee Mok Park. Co-author: Puneet Manchanda.

In many consumption settings (e.g., restaurants, casinos, theme parks), individuals consume products either alone or with their peers (e.g., friends and/or family members). In such settings, it is likely that through social influence, a consumer’s decision on what to purchase or how much to consume is influenced by the purchase or consumption decisions of their peers.

Marketing researchers have had much interest in measuring such social influence and were primarily focused in estimating how one’s behavior (e.g., how much to spend) is influenced by the behavior of the peer. However, a consumer could not only be affected by the peer’s behavior, but also by other events that influence the peer to change his/her behavior. For example, if the peer gets a promotion, but the focal consumer does not, the focal consumer might judge the differential treatment to be unfair and react negatively. Another mechanism by which social influence could operate could be when the peer is physically present, but does not engage in the behavior under question. In other words, the peer’s presence could directly affect the focal consumer’s consumption behavior as the lack of consumption by the peer may signal a subtle or transient change in preferences. In response to this, the focal consumer may modify her behavior.

The authors develop an empirical model that allows them to identify all three effects simultaneously and apply it to behavioral data from a casino setting. The data comprise detailed gambling activity for a panel of individuals at a single casino over a two-year period. The results show that all three types of peer effects exist. The results also indicate that accounting for these peer effects simultaneously and identifying them at an individual level could help marketing managers draw up better guidelines for promotion policies as well as policy makers implement a more informed regulatory regime for the casino industry.


Is it Time to Hire a Chief Legal Strategist?

MIT Sloan Management Review – Could your company use its legal environment to look for strategic opportunities? Consider bringing in a chief legal strategist, recommend Robert C. Bird, associate professor of business law and Northeast Utilities Chair in Business Ethics at the UConn School of Business and David Orozco, an associate professor of legal studies and MBA program director at the Florida State University College of Business.


Stewart Lander named 2013-14 Outstanding Alumnus

SteStewart Landerwart Lander (UConn, ‘80) has been named the 2013-14 Outstanding Alumnus by the Marketing Department. The Marketing Department has been privileged to have Stewart as a friend for many years. We are very appreciative of the Lander Family Scholarship that Stewart and his wife, Pam, established, which provides financial support to some of our best students in the professional sales leadership area. Stewart has been integral to our Program for Sales Leadership as a member of the PSL Advisory Committee, contributing valuable insights and perspectives on professional selling trends that have enhanced our ongoing experiential learning curriculum initiatives. He has given generously of his time to mentoring our students and giving guest lectures in our undergraduate sales-focused courses, and graduate marketing courses.

Stewart has more than 30 years of experience in selling and leading large sales teams in the financial services industry. Stewart was successful in the distribution marketplace as a Sr. VP/ National Sales Manager and represented firms which included GE Financial, Genworth Financial and Invest Financial. Currently with Sandler Training-TEM Associates, Stewart coaches individuals and collaborates with companies on professional and personal development programs which increase the sales performance of individuals and teams.

Stewart earned his Masters Degree from the University of Connecticut in Guidance Counseling and Personnel, and has certification in Leadership and Sales Excellence from General Electric and the Darden School of Business, and also has Six Sigma Certification.

As a Founders Council Member for the Greatest Save/KinderVision Foundation, Stewart helps provide educational programs for families, law enforcement and the community at large on how to keep kids safe.

Stewart resides in Connecticut with his wife, Pam; they have two children, Helen and Stephen.


‘Tis the Season for Shopping Online

UConn Today – Given the increasingly crucial role online retail plays in the American shopping experience, UConn Today invited Jane Gu, an assistant professor of marketing in the School of Business, to share her insights on the impact the Internet is having on the retail industry. 


Faculty Research: Consumer Reactions to Round Numbers in Brand Names

Marketing Letters (forthcoming)

Kunter Gunasti and Timucin Ozcan.

In a recent research Kunter Gunasti and his-coauthor show that consumers prefer products labeled with brand names including round numbers (e.g., Centrum 100 multivitamins) to those including non-round numbers (e.g., Centrum 103). A systematic investigation of alphanumeric brand names used in numerous product categories indicates that round numbers such as 10, 50, 100, etc. are over-represented in the marketplace. Regardless of the product category, consumers have more favorable judgments and higher preferences of brand names including round numbers.Continue Reading


Yale Professor Vineet Kumar Visits UConn

vOn the invitation of the Marketing Department, Professor Vineet Kumar from Yale School of Management gave a research seminar about “The marketing impacts of operations and technology: the case of movies by mail” on Friday, November 7th. This research examines the rental-by-mail (RBM) business model, often called the “Netflix” business model. By developing a dynamic structural framework that is applicable for a variety of RBM services that include movies, games and books, he investigates consumers’ consumption and purchase decisions. His analysis suggests that consumers are forward-looking and strategically plan their consumption to maximize inter-temporal utility under the constraints of instantaneous quota and mailing time. Based on these insights on consumer behavior, he uncovers the optimal pricing and plan menu for the firm.

Vineet Kumar is Assistant Professor of Marketing at Yale School of Management. He received a Ph.D. in Industrial Administration from Carnegie Mellon University and taught at Harvard Business School as Assistant Professor of Business Administration from 2010 to 2014. His research interests focus on digital and social strategy. He has published in Marketing Science, Marketing Letters, and Harvard Business Review.

 


A “Taylor-Made” Experience: How Social Media Marketing Brought Me Into Taylor Swift’s World

TSwift2

As a marketing major entering my senior year at UConn, I discussed the idea of doing an independent study with my advisor about how artists leverage social media marketing in the music industry. Starting off, I needed to pick a specific artist and track their use of social media to investigate its effect on music sales. Needless to say, I picked Taylor Swift, who I’ve been an active fan of for years.

Throughout September, I researched Swift’s social media evolution from creating a MySpace account up through her joining Twitter, Instagram and Tumblr. I simultaneously reviewed her music sales and chart positions to see if I could connect the link between social media and sales. I noticed that Swift develops personal relationships with her fans by using social media as a channel to communicate not only her music, but also herself, as a person.

On a Thursday afternoon in early October I received a call from Swift’s team asking me to be a part of an exclusive Taylor Swift-related opportunity in two days. The invitation sounded almost too good to be true. So Saturday afternoon I traveled to Rhode Island, and I was subsequently shuttled over to Swift’s home. The entire experience was surreal.

I spent Saturday night at her home with several other fans and essentially hung out with Taylor Swift. We listened to the new album “1989” and got to hear the personal stories behind the songs. The listening session ended with a dance party to the lead single off the album “Shake It Off” where she singled me out amongst the crowd to dance with until the end of the song. Needless to say, I felt as if I was living in a daydream. That night we learned Swift and her team selected us because they had been looking for everyday, loyal fans on social media for months. Ironically, I became a part of my own social media project!

T-Swift-2Upon getting home, I posted a Polaroid picture of Taylor and myself from the night on my social media accounts, and even my close friends were quick to dismiss it as photoshopped. The next morning, I woke up to find Taylor, herself, had Tweeted and Instagrammed our photo, validating the entire experience and essentially bringing my social media project full-circle.

A few weeks later, she posted a YouTube video that shows a behind-the-scenes look at the Secret Sessions she held at each of her four homes across the country. Fortunately, my one-on-one dancing session made the cut, which allows me to relive the entire experience.

So here I am back in the present, and all I can ask myself is this: what could the future possibly hold for me now? To be honest, I don’t have an answer, but I think Swift sums it up best with this lyric,

“It’s like I’ve got this music in my mind saying it’s gonna be alright.”

And it will be.

-Marc Castonguay


Faculty Research: A Firm-Driven Approach to Global Governance and Sustainability

American Business Law Journal (forthcoming)

Stephen Park and Gerlinde Berger-Walliser.

The multifaceted role of multinational corporations as quasi-regulators is of growing importance to international business. Corporations increasingly participate in two kinds of international rulemaking: (i) non-binding “soft” law standard setting; and (ii) self-regulation through private rules and standards. Soft law and private regulation often fill governance gaps left by incomplete and/or ineffective governmental regulation. One of the most prominent examples is sustainability rulemaking, in which corporations have become increasingly active due to their growing awareness of the directly-borne costs of environmental degradation and the potential strategic benefits of corporate social responsibility.Continue Reading