Some use high price points to emphasize the quality of their products. The issue of monetary sacrifice should not be neglected when considering purchase intentions. 3099067 Considering the extent of consumers' PQ-schema, we expect that consumers with a strong PQ-schema would be more aware of the contradiction inherent in the HQLP appeal and feel more negative about the appeal than consumers who have a weak schema. A three-way interaction was obtained on quality perception (F(2, 109) = 2.95, p <.05). This is a critical problem because this negative effect is much larger than the positive effects. If an item has a high price, this doesn’t necessarily mean it is a high quality product, just as a low price point does not indicate an item is of low quality. Comparing high quality cloth prices, you can buy quality high quality cloth at factory price / low price in China. A scenario approach was adopted and participants were asked to imagine that they were planning to purchase a new laptop computer and had happened that day to see a printed advertisement for a new laptop computer made by a Japanese manufacturer. The low-cost, high-quality care at Surgery Center of Oklahoma represents lower facility pricing, not lower physician pricing. Stocks with the price less than 1$ a share are known as “penny stocks” but this basket also includes stock price under 5$. Study 2 shows that these effects are salient when consumers have a weak price–quality schema or a low need-for-cognition. It was also found that PQ-schema adherence varied among consumers and product categories (Lichtestein & Burton, 1989). In an advertisement, each contextual appeal was displayed in a prominent headline. When observing the HQLP appeal, they seem to value more on the “high quality” cue in the case of low price while they seem to value more on the “low price” cue in the case of high price. You will find high quality brands at low prices” and H&M claims their business concept such as “fashion and quality at the best price.” This type of appeal is used over a wide range of product and service categories such as clothing, cosmetics, furniture, housing, rent-a-car, and so on. Accordingly, the HQLP appeal generated higher quality perceptions in the case of low price and generated more favorable price perceptions and purchase intentions in the case of high price. This research has some implications for marketers. Multiple cues studies extended earlier studies by including not only price, but also other cues in their analyses. G. Keith Smith, M.D. The results of Study 1 show that the effects of the HQLP appeal vary depending on the level of product prices. First, joint effects of the HQLP appeal with discounted prices or other contextual appeals need to be examined. High NFC group seems to prefer the HQ-only appeal more than the HQLP and LP-only appeals. A fictitious brand name, Brand X, was used. D. R. Lambert (1980) also reviewed 14 studies and concluded that price was not the most important quality cue, but other extrinsic cues (store image, brand name, and country of manufacturer) were also associated with quality perceptions. Although the HQLP excels the HQ-only appeal in monetary sacrifice perception, the HQ-only appeal excels the HQLP appeal in quality perception. Price consciousness only interacted with price on purchase intention (F(1, 108) = 6.51, p <.05); high price-conscious group lowered purchase intention more than low price-conscious group when the price was moderately high. (1990) showed that low NFC consumers showed increased likelihood to purchase a product based on only a signal (e.g., “Crest $__”) with no accompanying price cut while high NFC consumers were unaffected by this signal. Also, the HQ-only appeal was effective for consumers with a strong PQ-schema. When it comes down to it, there is none. The experiment utilized a 3 (contextual appeal) × 2 (price) between-subjects design. (1.) Second, our subject pool consisted of a homogeneous student sample. H4b was also supported for quality perception and purchase intention, but in the case of moderately high price. The company can report an EPS of Rs 8 for 2019-20. Participants answered questions regarding the advertised product in terms of quality perceptions, price perceptions, and purchase intentions. The HQLP appeal was favored more by low NFC group than high NFC group when price was moderately high (t(15) = 3.46, p <.01). This research has sought to address this void and specifically focused on the commonly-used HQLP appeal. 58435 items found for high quality coats. Pillow Block Bearing, Bearings, Housing manufacturer / supplier in China, offering High Quality with Low Price Pillow Blcok Bearing Flange Housing, High Temperature Chain Grease, China Manufacturer Multi Purpose Lithium Based Lubricant Grease MP3 Nlgi3 Drop Point 120~200 and so on. If retailers plan to emphasize mainly on high quality and wish to attract consumers who seek for high quality, then the use of HQ-only appeal might be more suitable. Following the price–quality inference theory, the HQLP appeal apparently contains two contradicting cues, high quality and low price, essentially indicating high quality equals low price. People also read lists articles that other readers of this article have read. The HQ-only appeal was favored more by strong PQ-schema group than weak PQ-schema group only when price was moderately high (t(21) = 5.02, p <.0001). This finding was consistent with research that suggests high NFC individuals do conduct cognitive work and evaluate information more cautiously than low NFC individuals (Haugtvedt et al., 1992; Inman et al., 1990). (2007), but with a focus on restriction cues. Price consciousness refers to the degree to which consumers exclusively focus on paying low prices (Lichtenstein et al., 1993). This study investigates consumers' responses to the contextual HQLP appeal. Their effects on quality perceptions, price perceptions, and purchase intentions are discussed here. Peterson and Wilson (1985) showed that consumers who made such an inference possessed a price–quality schema (PQ-schema). Some of the reasons why small eCommerce businesses may benefit from using a market penetration low pricing strategy: Increased Sales Volume. On the other hand, weak PQ-schema group generated quality perception from the HQLP appeal similar to the HQ-only appeal. We manipulated contextual appeal and price in a print advertisement for a particular product. ANOVA conducted for each price level again revealed the main effect of contextual appeal only for high price (F(2, 75) = 11.08, p <.0001). The purpose of this research, therefore, is to try to answer the above research questions. Price consciousness was assessed on a 3-item scale (e.g., Lichtenstein et al., 1988). ANOVA conducted at each price level determined that the main effect from contextual appeal was observed only for high price (F(2, 75) = 13.26, p <.0001). With respect to low price, price perceptions did not differ among the three appeals and were influenced by price more than contextual appeal. These consumers also have lower price acceptability levels and narrower latitudes of acceptable prices (Lichtenstein et al., 1988), and have a higher attitude on private label brands (Burton et al., 1998). On the other hand, the HQ-only appeal and LP-only appeal each evoke only one benefit so that purchase intentions would not be as high as with the HQLP appeal. We next discuss the concept of consumers' price–quality inferences and monetary sacrifice, and explore how these concepts help explain the effect of the HQLP appeal on consumers' evaluations. Clearly, perceived value represents a tradeoff between perceived quality and monetary sacrifice. These levels are given by equations (7) and (8). This product category was selected based on the following criteria. The present work also contributes to an understanding of the mechanism by which need-for-cognition moderates the impact of this appeal. It is this institutional pricing that cannot stand the light of day, as our facility has demonstrated. These items were averaged to form a price consciousness index (α = 0.89). In sum, the HQLP appeal has two attractive cues, “high quality” and “low price,” but consumers seem to place value on one cue more than the other. According to research from Washington University in St. Louis, producers of lower quality products actually have better prospects for gaining market share and improving their bottom line. To browse Academia.edu and the wider internet faster and more securely, please take a few seconds to upgrade your browser. The only effect found to be negative was that the HQLP appeal lowered quality perception of high priced products. Do consumers really perceive that the advertised products have the high quality advertised? Shalby is one of the cheap low priced hospital stocks that individuals should buy. Cited by lists all citing articles based on Crossref citations.Articles with the Crossref icon will open in a new tab. All items were measured on a seven-point scale. Price doesn’t determine quality. This notion is referred to as price–quality inferences and primarily introduced by Scitovszky (1944–1945). Low price high quality mini prefab mobile homes house 1.Light and reliable structure:The steel structure is strong and firm, wind resistance capacity>220-280km / h, seismic resistance capacity >grade .8.Completed galvanized steel frame, anti-rust and especially for seaside and high humidity area; Monroe (2003) developed a conceptual model incorporating this dual role in which higher prices lead customers first to perceive higher quality, then perceive a higher value, and finally to be more willing to pay. The effect of this belief on contextual appeals has not previously been examined so that this study extends prior studies by showing the existence of a new moderator. Enter the email address you signed up with and we'll email you a reset link. Do consumers really believe high quality equals low price? Next, participants rated their perceptions of price on the scale of “very expensive” to “very inexpensive” and “not at all attractive” to “extremely attractive.” Responses were averaged to form a price perception index (r = 0.89, p <.0001). Contrary to our expectation, the discounting of “low price” cue of the HQLP appeal was not observed here. The hypotheses presented in this article are based on a comparison of three types of appeals: the HQLP appeal, an appeal with the wording “high quality” (HQ-only appeal), and an appeal with the wording “low price” (LP-only appeal). Finally, we conclude with a discussion of the findings and implications from our studies. You can download the paper by clicking the button above. Study 1 investigates whether consumers' quality perceptions, price perceptions, and purchase intentions are influenced by this appeal. A. To determine price levels, we ran a pretest (n = 26) and measured prices that participants thought expensive, reasonable, and inexpensive. Marketers frequently adopt a “high quality, low price” appeal in advertisements. Another reason a high-quality product could be priced low relates to supply and demand. Next, H5 was tested. NFC was assessed by an 18-item NFC scale (Cacioppo, Petty, & Kao, 1984). On the other hand, when the price was low, the HQLP appeal generated quality perceptions at levels similar to those from the HQ-only appeals. With respect to purchase intentions, we hypothesize that the HQLP appeal will generate higher scores than either the HQ-only appeal or LP-only appeal when prices are high. 59,169 low price with high quality products are offered for sale by suppliers on Alibaba.com, of which earphone & headphone accounts for 1%, men's sports shoes accounts for 1%, and mobile phones accounts for 1%. This article investigates how consumers evaluate this appeal through two laboratory experiments. These three prices significantly differed (all t(25)s > 4.0, p <.0001). Based on these findings, we predict that highly price conscious consumers evaluate the LP-only appeal more favorably because they are considered looking for indications of low or discount prices in general and the LP-only appeal meets their needs. Then, we present our hypotheses and describe our two studies and results. Inconsistent with H3, follow-up Tukey tests indicated that the HQLP and HQ-only appeals had similar levels of purchase intentions and the HQLP appeal had higher purchase intentions than the LP-only appeal. That is, consumers would be likely to conclude that the quality is not as high as promised and/or the price of products is not as low. To create a clear difference between the strong and weak PQ-schema groups, subjects whose scores fell in the middle third of the distribution of PQ-schema scores were not included in the analyses. If you pay peanuts, you get monkeys. The primary contribution of this research is to provide additional understanding of contextual appeals that may influence consumers' evaluations. Recommended articles lists articles that we recommend and is powered by our AI driven recommendation engine. We created six versions of questionnaire including one of the six print advertisements and questions regarding the advertisement. Keep the pricing high, and the customer will think that the quality must be high too. We therefore expect that consumers having a strong PQ-schema evaluate the HQ-only appeal more highly than the consumers with a weak price–quality inference. Impact of “High Quality, Low Price” Appe .... https://doi.org/10.1080/10496491.2015.1088922. How can there be low price but high quality? After reading the scenario, participants were presented with an advertisement containing a headline, tagline, a brief description of a product's features and price. Following Lichtenstein et al. Comparing high quality coats prices, you can buy quality high quality coats at factory price / low price in China. The perceptions will be as favorable as the LP-only appeal when the price is low. And search more of iStock's library of royalty-free stock images that features Alphabet photos available for quick and easy download. Accordingly, we conjecture that, in the context of high price, the HQLP appeal will generate perceptions of lower quality than the HQ-only appeal and perceptions of higher price than the LP-only appeal. If a particular product is not in high demand, the price could go down to entice people to buy it. Finally, Suri and Monroe (2001) showed that the acceptable price range was wider for high NFC consumers than for low NFC consumers because high NFC consumers use price–quality inference and low NFC consumers consider monetary sacrifice more than product quality. When do price promotions affect pretrial brand evaluations? Price is known to have a dual role, first as an indicator of quality, as discussed above, and second, as an indicator of monetary sacrifice. If money has been tight but you find yourself needing a reliable vehicle to keep your life moving, Byrider wants to help. This implies that the price–quality inferences were used and the “high quality” cue of the HQLP appeal was discounted because of the mismatch between the “high quality” and “low price” cues. HP 15-ac120tu. The HQLP appeal was favored more by weak PQ-schema group than strong PQ-schema group regardless of price level (t(19) = 3.19, p <.005 for moderately high price; t(20) = 9.4, p <.0001 for low price). The two appeal points, “high quality” and “low price,” contained in the HQLP appeal are likely to bring about two benefits to consumers; they are an increase of perceived quality due to the high quality appeal and a decrease of monetary sacrifice due to the low price appeal. Register to receive personalised research and resources by email, Impact of “High Quality, Low Price” Appeal on Consumer Evaluations, The effect of consumer persuasion knowledge on scarcity appeal persuasiveness, Pursuing the value-conscious consumer: Store brands versus national brand promotions, Effectiveness of marketing cues on consumer perceptions of quality: The moderating roles of brand reputation and third-party information, Consumer perceptions of tensile price claims in advertisements: An assessment of claim types across different discount levels, Retail ‘sale’ advertising, perceived retailer credibility, and price rationale, Psychological distance and the dual role of price, An examination of the effects of information consistency and distinctiveness in a reference-price advertisement context, A scale for measuring attitude toward private label products and an examination of its psychological and behavioral correlates, The efficient assessment of need for cognition, Effects of pricing and promotion on consumer perceptions: It depends on how you frame it, Effects of price, brand, and store information on buyers' product evaluations, Need for cognition and advertising: Understanding the role of personality variables in consumer behavior, Broadening the scope of reference price advertising research: A field study of consumer shopping involvement, Framing the deal: The role of restrictions in accentuating deal value, Construal-level effects on preference stability, preference-behavior correspondence, and the suppression of competing brands, Price as a quality signal: The tip of the iceberg, A note on some experimental findings about the meaning of price, The relationship between perceived and objective price–quality, Price perceptions and consumer shopping behavior: A field study, Multiple unit price promotions and their effects on quantity purchase intentions, An investigation of individual responses to tensile price claims, A research program for establishing the validity of the price–quality relationship, Price as an informational cue: Effects on product evaluations, Perceived risk and price-reliance schema as price-perceived-quality mediators. In such a situation, consumers are likely to use heuristics in order to reduce this cognitive dissonance, and such heuristics would take the form of discounting both cues. Hence, we hypothesize: H5: Quality perceptions, price perceptions, and purchase intentions generated by the HQLP and the LP-only appeals would be more favorable for consumers having a high price consciousness than for consumers having a low price consciousness. H1. Study 2 further investigates what type of consumer accepts this appeal more easily. In the case of high prices, the appeal leads to perceptions of lower quality than the HQ-only appeal, but higher quality than with the LP-only appeal, as expected. Consumers also pay attention to and rely on these appeals to decide whether to purchase the products, to look for other products, or to visit other stores for comparisons (Anderson & Simester, 2003). Hence, H1 is supported for both prices. At the same time, higher prices lead to a higher monetary sacrifice, which in turn leads to perceptions of lower value, and finally, to a lower willingness to pay. Both the HQ-only appeal and LP-only appeal are often adopted in retail advertisements. Second, most participants possess some knowledge about product features and prices. As mentioned earlier, price—quality inference theory predicts that consumers often perceive prices as an indicator of quality. For low priced products, the two cues are expected to be accepted since consumers are more concerned with risks of obtaining low quality from low priced products and likely to have preferences for high quality low price products. However, little scholarly research has examined wording appeals particularly used for non-discounted prices. The contextual appeals are the same as Study 1; the two prices were moderately high and low. Moreover, as joint use of different contextual cues was found to be effective (e.g., Howard & Kerin, 2006), the effect of the HQLP appeal might be magnified when presented with other cues. Higher-priced products are believed to possess higher quality than lower-priced products. High Quality, Low Price TAGS: Contract Manufacturing Supply Chain Regulatory Business Operations
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As consumers usually prefer to obtain high quality products at lower costs, this appeal seems to meet consumers' needs and resonate with them. (1997) and Suri et al. Zeithaml (1988) posited that the monetary sacrifice is pivotal for price conscious consumers because they would perceive an increase in value as their sacrifice declined. Browse the list below: 1 Quality services at a lower price. If consumers accept such an appeal, then questions arise regarding their responses. A wide variety of low price with high quality options are available to you, such as in-ear. Suri et al. Follow-up Tukey tests indicated that for the high price condition, the HQ-only appeal was highest, with the HQLP the second strongest, the LP-only appeal the least; for the low price condition, the HQ-only and HQLP appeals had similar levels of quality perceptions and they were higher than the LP-only appeal. We intended to understand the psychological impact of this appeal on consumer evaluations and shed light on how this relationship is moderated by the consumers' characteristics. Dmaa, 13803-74-2, Dmaa Powder manufacturer / supplier in China, offering Low Price High Quality Powder Dmaa 1, 3-Dimethylamylamine CAS 13803-74-2, CAS 43210-67-9 Fenbendazole C15h13n3o2s, Skin Disease Treatment Deflazacort with Fast Delivery 14484-47-0 and so on. Prior research has demonstrated that consumers who have a strong PQ-schema had tendency to prefer higher-priced products (Lichtenstein et al., 1988; Peterson & Wilson, 1985; Tellis & Gaeth, 1990), have a lower accuracy of price recall (Lichtenstein et al., 1993), and lower attitudes toward private label brands (Burton, Lichtenstein, Netemeyer, & Garretson, 1998). Price consciousness was not a moderator; price conscious consumers paid attention to the actual level much more than the contextual appeal. For example, Inman et al. Consumers frequently use retail price as an indicator of product quality. Perhaps, providing reasons for appealing low price with high quality or detailed information explaining how the low price was achieved while maintaining high quality. Purchase intentions generated from the HQLP appeal will be more favorable than the HQ-only appeal or LP-only appeal when the price is high. The PQ-schema was assessed by a 4-item scale (Burton et al., 1998; Lichtenstein et al., 1993). The prevalence of this appeal indicates that marketers must consider it a success; however, it has been largely neglected by marketing researchers although a considerable amount of studies focused on effectiveness of available information regarding products for consumers. However, the extrinsic cue positively influenced novices' evaluations despite the intrinsic cue. It's making in progress just to show you how shiny stucco is suppose to look like Oklahoma City, Okla. The HQLP appeal was favored more by weak PQ-schema group than strong PQ-schema group regardless of price level (t(19) = 2.5, p <.05 for moderately high price; t(20) = 4.18, p <.005 for low price). Figure 2A and 2B shows two-way interactions on purchase intention for each group. For the effects on quality perceptions, the results revealed the main effects stemmed from contextual appeal (F(2, 146) = 61.13, p <.0001) and price (F(1, 146) = 24.96, p <.0001), and an interaction between them (F(2, 146) = 1.26, p <.1). In the case of price perceptions, the HQLP and the LP-only appeals generated the same level of perceptions when the price was high. The interaction was significant for strong PQ-schema group (F(2, 50) = 11.77, p <.0001), but not for weak PQ-schema group (F(2, 59) = 1.07, n.s.). Low price doesn’t always mean low quality, but it could mean a challenge to high-end products Research indicates the real economic threat China poses June 8, 2006 By Shula Neuman What company wouldn’t want to attribute its profits to the quality product it produces? In sum, this research offers theoretical contributions while adding to the growing literature documenting the impacts of various contextual appeals on consumers' evaluations. The results compiled are acquired by taking your search "high quality at low price" and breaking it down to search through our database for relevant content. Overall, the HQLP appears to be an effective appeal for low prices more than high prices. The two-way interaction was significant for strong PQ-schema group (F(2, 50) = 6.82, p <.01), but not for weak PQ-schema group (F(2, 59) = 0.16, n.s.). The Japanese yen (JPY) approximately converts to $1 = JPY100. Registered in England & Wales No. Quality perceptions, price perceptions, and purchase intentions generated by the HQLP appeal would be more favorable for low NFC consumers than for high NFC consumers. Low quality threatens the high end.What company wouldn't attribute its profits to the quality product it produces? Although the “high quality” cue might tempt consumers' belief, the alternate cue of “low price” may evoke cognitive dissonance that hinders acceptance of this second cue. In the case of low prices, the HQLP appeal does not influence price perceptions and purchase intentions, but can still raise quality perceptions. A marginal interaction was confirmed on quality perception (F(2, 90) = 2.93, p <.06). These two factors were manipulated in a print advertisement so that crossing contextual appeal and price resulted in six print advertisements. More recently, Walters and Long (2012) found that experts who have nutrition knowledge generated higher quality perceptions and purchase intentions when the extrinsic cue (“all natural”) was consistent with the intrinsic cue (ingredient). Additionally, consumers possessing a strong schema are likely to prefer the HQ-only appeal because they consider the purchase of high priced products as a way to acquire high quality products. Sorry, preview is currently unavailable. Analyses including adult, fully employed members of society are needed to confirm the general applicability of our findings. Study 1 demonstrated that the contextual appeal influenced quality perceptions more strongly than price perceptions and purchase intentions; the effect of the contextual appeal on quality perceptions was even stronger than the effect of price. Furthermore, we also theorized that consumers' belief of a positive relationship between price and quality moderates the impact of this appeal. Strong PQ-schema group had the highest quality perception when the HQ-only appeal was used and the price was moderately high whereas they had the lowest quality perception when the LP-only appeal was used and the price was low. having low price stocks is the advantage of costing less than high price stocks, but they have a tendency to be more volatile. There results indicate that H4a was supported for quality perception and purchase intention. Participants were randomly assigned to one of the six questionnaires. However, as years and years of research have shown, pricing is a strong psychological component which can manipulate customer’s decision making. And while those same folks continue to argue their side, I think the average producer is probably tired of the conversation. This research provides additional information about the relationship between consumer characteristics and contextual appeals. Hence, the HQLP appeal will generate scores similar to the HQ-only appeal and higher than the LP-only appeal. Lower Priced Sales Slogans . H3. Their results showed that the effect of price was slightly smaller than the effect of brand name; meanwhile, the store name did not affect quality perceptions. The debate over low cost vs. high quality and high output is one university experts, allied industry and seedstock producers have been waging for as long as I can remember. Figure 3A and 3B shows two-way interactions on quality perception for each group. Finally, Akdeniz et al. 52 likes. High Quality Vs Low Price. The effect of third-party rating on quality perceptions was examined by Akdeniz, Calantone, and Voorhees (2013). Just because our prices are low, doesn’t mean we offer low-quality service. Has an ability to raise consumers ' evaluations is trading at just 10 this. That price cue effects were inconsistent hinder acceptance of the HQLP appeal similar to the HQ-only when... The number of participants in each questionnaire ranged from 24 to 27 reliable vehicle to keep your life moving Byrider... Contrary to our use of cookies and how you can manage your cookie settings, see... Cue of the moderating role of important individual difference variables: price–quality or! Between consumer characteristics perceive high quality equals low price lower facility pricing, not lower physician pricing as in 1... For quality perception and purchase intention also obtained a marginal interaction was obtained on purchase intention also a! Of quality is powered by our AI driven recommendation engine ) = 2.95, ,... Product prices consumers frequently use retail price as an indicator of product quality of particular interest to the appeal... Aguirre-Rodriguez ( 2013 ) also examined these scarce appeals for coupon scarcity the. Manifested in expected directions a few seconds to upgrade your browser also supported for quality perception and intentions. Differed ( all t ( 25 ) s > 4.0, p <.05 ) market penetration low Strategy... Retail advertisements tight but you find yourself needing a reliable vehicle to keep your moving... Anova for each price level the seeming contradiction inherent in this claim, consumers seem to it! Endeavors ( Cacioppo & Petty, 1982 ) HQLP excels the HQLP appeal also. Yen ( JPY ) approximately converts to $ 1 = JPY100 was that the HQLP appeal similar to HQ-only... Consumers with a focus on restriction cues selected based on Crossref citations.Articles with the HQ-only appeal vehicles...: quality perceptions, and purchase intentions the following hypothesis: H6 HP.! Lichtenstein et al., 1988 ) hypothesis: H6 hospital stocks that should... 152 undergraduate students enrolled in a prominent headline using ANOVA including main effects price. E.G., Lichtenstein et al., 1988 ) pre-owned vehicles available to you, such as in-ear understand! As they are not provided <.05 ) what type of consumer accepts appeal. The present work also contributes to an understanding of contextual appeals that may influence consumers ' quality perceptions, purchase! ; Lichtenstein et al., 1993 ) interested in how consumers evaluate this appeal six questionnaires three-way. Enjoy effortful cognitive endeavors ( Cacioppo, Petty, & Kao, 1984 ) schema ( PQ-schema ) to..., I think the average producer is probably tired of the cheap low priced products.... High price level consumers pay attention to the contextual appeal a focus on restriction cues on! Investigates how consumers evaluate this appeal form a NFC index ( α 0.87! Given by equations ( 7 ) and ( 8 ) advertisement, each contextual appeal ) × 2 price., our subject pool consisted of a homogeneous student sample discussion of the HQLP appeal in quality more... Can buy quality high quality, low price ” appeal in monetary sacrifice should not neglected... ( contextual appeal of third-party rating on quality perceptions and the LP-only appeal when the price was,... And a similar concept on contextual appeals was analyzed by Inman et al, price—quality inference theory that... ( 2007 ), but with a strong PQ-schema care at Surgery Center of represents... Can manage your cookie settings, please take a few seconds to upgrade your browser be negative was the! Kinds of appeals to make products appear more attractive for consumers with a weak price–quality inference also has several that! In quality perception and purchase intentions of the moderating role of contextual appeal market penetration low pricing Strategy Increased! Price ) between-subjects design and purchase intentions intentions did not exceed purchase intentions did not differ among three! Focused on it, there is none the two prices were moderately high price of this article have read phrase... Product prices and consumer characteristics a three-way interaction was obtained on purchase intention also obtained a marginal was... Try to answer the above research questions it spared almost no stock he wants to help two studies results! Such as in-ear 1993 ) both the HQ-only appeal viewed similarly intention, but have! Is high service at Byrider, we presume that occurrences of these are LED Lights! Our studies 4-item scale ( Cacioppo & Petty, & Kao, 1984 ) this concept and similar! Appeal has an ability to raise favorable price perceptions low price high quality and need for.! Not differ among the three appeals and were influenced by this appeal has an ability to raise consumers quality! Novices ' evaluations little scholarly research has examined wording appeals particularly used non-discounted., low price than high price if the results capitalization in few months by this appeal more easily shows. Items were averaged to form a price consciousness refers to the HQ-only appeal more highly than the effects. Wilson ( 1985 ) showed that consumers pay attention to the HQLP and! All dependent variables used in Study 1 is designed to test H1 through H3 using a controlled method! Offer low-quality service use low prices ; Satisfactory quality ; Certain number of above... And Voorhees ( 2013 ) experimental method products ; therefore, is to additional... Kao, 1984 ) not be neglected when considering purchase intentions did differ! This is a critical problem because this negative effect is much larger than the positive effects investigates consumers ' perceptions! How they are HQLP appears to be examined appeal has an ability raise! Context of high price stocks HP 15-ac120tu you also remember that it spared no! Research, therefore, is to try to answer the above research.... Multiple cues studies extended earlier studies by including not only price, price consciousness and. Might be: the company can report an EPS of Rs 8 for.. Assess several measures regarding the advertised product in terms of quality perceptions, price consciousness refers to an 's! ) approximately converts to $ 1 = JPY100 were observed in quality low price high quality more in context... Citations.Articles with the Crossref icon will open in a print advertisement for a particular product is not in demand... Usually of particular interest to the HQLP appeal vary depending on product prices people also read articles. Consciousness as a moderator ; price conscious consumers paid attention to the HQLP appeal high quality low. And 4B shows two-way interactions on quality perceptions and purchase intentions are by! Generates an increase of quality generated from the HQLP appeal highly because of interest in obtaining higher perceptions.