Relationships between desired attributes, consequences and purchase frequency

Soonhong Min
Yonsei University, Seoul, South Korea

Jeffrey W . Overby
Belmont University, Nashville, Tennessee, USA, and

Kun Shin Im
Yonsei University, Seoul, South Korea
Abstract Purpose Employing means-end theory, this paper seeks to examine the inuence of specic types of product attributes upon desired consumption consequences and the mediating impact of desired consequences upon purchase frequency. Design/methodology/approach The research employed means-end interviews to generate specic attribute and consequence measures. These measures were then administered in a survey instrument within the context of a fashion product. Partial least squares was used for testing the measurement validity of the survey instrument and testing the structural model and related hypotheses. Findings Style attributes signicantly related to desired psychological and social consequences but did not signicantly relate to functional consequences. Quality signicantly related to functional consequences and social consequences but not psychological consequences. Price signicantly related to all consequences. Psychological consequences were the strongest predictor of purchase frequency followed by functional consequences. Finally, desired consequences played a mediating role between product attributes and purchase frequency, with no direct inuence of attributes upon purchase frequency. Research limitations/implications The ndings demonstrate the value of understanding the consumption consequences that consumers desire for products, especially after initial purchase. In doing so, the ndings also provide some evidence that consequences may be better predictors of behavioral outcomes than product attributes. Practical implications This study demonstrates that the consumer means-end value hierarchy can be used as a tool for understanding the meanings that consumers construct around products and services. Moreover, it indicates that marketers should consider customer value analysis as a segmentation tool. Originality/value This paper represents one of the few to test the chain of cause-and-effect relationships of the means-end hierarchy within an integrated framework. It is original in that it specically tests the relationships between major attributes (i.e. style, quality, and price) and particular consequence types (i.e. psychological, social, and functional). Keywords Consequences, Attributes, Value, Mean-end, Purchase frequency, Product attributes, Consumer behaviour Paper type Research paper

An executive summary for managers and executive readers can be found at the end of this article.

Introduction
Shopping has become a central mechanism in society today both as a driver of economic success for nations and as a leisure activity, social activity, and means of self-denition for individuals (Mick et al., 1992; Miller, 1998; Jin et al., 2007; Park and Park, 2009). Essentially, consumers shop and consume in order to fulll desired value (Kotler, 1972; Gutman, 1982). From a strategic perspective, the delivery of value to the customer has long been a central theme of
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marketing and has been shown to link positively with behavioral intentions, market share, and even corporate protability (e.g. Cronin et al., 2000; Ralston, 2003; Pynno nen et al., 2011). Although the concept of value sounds simple, many businesses have not been successful at determining what shoppers value (Johnson, 1998; Komulainen, 2010). One primary reason is that marketers have spent more time conceptualizing a focus on customer value than developing the tools needed to operationalize a focus on customer value (Woodruff, 1997; Ulaga, 2001; Kumar et al., 2006). And when marketers have operationalized customer value, it has usually been only at the product attribute level (Holbrook, 1994; Woodruff and Gardial, 1996; Woodruff, 1997). Recently, however, researchers and practitioners have turned to examining the actual determination of customer value. Several researchers (e.g. Woodruff and Gardial, 1996; Woodruff, 1997) have offered customer value analysis based upon means-end theory as a way to examine customer value. Means-end theory proposes that consumers desire product attributes for the consequences (i.e. receipt of benets and avoidance of sacrices) those attributes provide. In turn, 423

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

consequences are desired because of the end-states (i.e. personal values, goals, purposes) the consequences help the consumer to fulll (Gutman, 1982). Considering the meansend perspective, there has been considerable research in the marketing literature on the relation between the various elements (attributes, consequences, and end-states) and consumer behavior. However, there has not been as much research that tests the chain of cause-and-effect relationships of the means-end hierarchy within an integrated framework. Moreover, there has been limited research testing the relationships between major attributes (i.e. style, quality, and price) and particular consequence types (i.e. psychological, social, and functional). Given these research gaps, this research specically tests constructive relationships between attributes and desired consequences and between desired consequences and consumer purchase behavior in one integrated model. In terms of consumer behavior, value has been linked to a variety of shopping behaviors and outcomes, including intentions, loyalty, and satisfaction (Cronin et al., 2000; Sirdeshmukh et al., 2002; Olaru and Purchase, 2008). This paper will specically examine one particularly important behavior purchase frequency. More often than not in the literature, purchase frequency has been used as a predictor variable and/or moderating variable rather than a dependent variable (see Kim and Rossi, 1994; Taylor, 2001; Bhappu and Schultze, 2006). However, purchase frequency should be a signicant outcome in its own right. In fact, researchers (e.g. Anschuetz, 1997; Roy and Goswami, 2007) have argued that Paretos rule applies to purchase frequency 80 percent of the purchase of a product can be attributed to 20 percent of the population. As such, frequent purchasers represent an important target segment for marketers. Given this introduction, the two primary research questions are within the context of means-end value: whether types of different attributes affect different desired consumption consequences; and whether desired consumption consequences mediate the relationship between attributes and behavioral outcomes (i.e. purchase frequency).

what is given up. This concept is anchored in a conceptual framework utilizing a means-end type of model originally developed by Gutman (1982). Woodruff and Gardial (1996) use the means-end theory to demonstrate the essence of customer value. Essentially, when purchasing and/or using a product or service, consumers desire certain attributes based on the ability of those attributes to facilitate achieving desired consequences and the underlying value structures that are satised as a result of those consequences (Woodruff, 1997). Means-end chains (MEC) link sequentially product attributes (A) to desired consequences of product use (C), and to individuals personal end-states (ES). For example, a consumer might desire a certain brand name (A) in order to attract attention (C) ultimately to fulll a desire for status (ES) or self-esteem (ES). Attributes (A), which are directly related to products and services (Olson and Reynolds, 1983), include product or service features that can be directly perceived, such as styling and price and more abstract features that are not directly measurable or perceived, such as quality. Consequences (C) represent the benets and sacrices that result from consumption of a product or service (Verhallen and van Raaij, 1986; Sheth et al., 1991; Holbrook, 1994; Lai, 1995). End-states (ES) represent abstract goals (often referred to as values) or valued states that people strive for. Thus, the means-end chain (i.e. A-C-ES) sequentially links product attributes to consumption consequences to endstates. The theoretical model guiding this research does not specically examine a link between end-states and behavioral outcomes (such as purchase frequency). This is because it is believed that end-states do not determine outcomes directly but indirectly through their inuence on desired consequences. In fact, end-states (often equated to personal values) have been shown to be indirect and often weak predictors of consumer behavior (Gutman, 1991; Lai, 1995; Sojka and Tansuhaj, 1995). Thus, we focus on desired consequences and attributes as predictors of purchase frequency. Attributes Products are known to represent a bundle of attributes, such as packaging, labeling, brand name, and even sensory features (Muellera and Szolnokib, 2010). Keller (1999) dened attributes as the descriptive features of a product or service, dividing them into product-related attributes and nonproduct-related attributes. Product-related attributes are explicit features of a product or service, such as price, color, or brand. Non-product related attributes are implicit, lessobservable features of a product or service, such as quality and style. Attributes, whether explicit or implicit, have been used to predict outcomes such as service quality and satisfaction (Parasuraman et al., 1988; Driver and Johnston, 2001). Attributes are believed to be important to consumers because they deliver certain desired benets or consequences. Consequences A number of types of consequences have been identied in the literature, including functional consequences, social consequences, and psychological consequences (Green and Peloza, 2011). Functional consequences (FC) result from the ability of a product or service to perform its utilitarian purposes and are often evaluated based upon salient physical attributes. 424

Conceptual development
Means-end chain value analysis As far back as 1972, Kotler extolled the virtues of customer value. He offered several corollaries, one of which states that the essential activity of marketing is the creation and offering of value. He went on to add that the marketer attempts to receive value from the market by offering value to it. However, dening value can be an elusive exercise. Zeithaml (1988) denes value as the consumers overall assessment of the utility of a product based on perceptions of what is received and what is given. Holbrook (1994) denes value as a relativistic preference characterizing a subjects experience of interacting with some object. Finally, Woodruff and Gardial (1996) dene customer value as the customers perception of the extent to which use of a product allows him/her to accomplish some desired purpose or goal . . . it is the result of tradeoffs between the positive and negative consequences of product use. Value is thus based upon consumer perceptions and not managerial judgments (Vargo and Lusch, 2008). Consumer value perception judgments occur when the consumer assimilates information about both benets received and

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

Functional valuation is primarily founded on the concept of utility from the eld of economics. Sheth et al. (1991) dene utility as the satisfaction derived from using a product or service. It is implied that satisfaction is derived from the physical product performing its functions. In addition to product performance, utility can also result from the benets provided prior to, during, and after use of the product (Myers and Shocker, 1981; Woodruff, 1997). Psychological consequences (PC) result from the ability of a product to satisfy important intrinsic goals. Such consequences are similar to the idea of symbolic valuation, which is primarily founded on the concept of a products contribution to self-enhancement and self-symbolism (Auty and Elliott, 1998). Levy (1959) was one of the early proponents of symbolic valuation. He acknowledged, people buy things not only for what they can do, but also for what they mean (p. 118). McCracken (1990) similarly states consumer goods have a signicance that goes beyond their utilitarian character and commercial value (p. 71). Essentially, consumers often desire products because those products can help one to dene oneself and can actually be used to improve ones self-identity. Walker and Olson (1991) actually referred to psychosocial consequences when explaining how consumers connect products with themselves. Social consequences (SC) result from the ability of a product or service to portray an image to others. Unlike psychological consequences, which represent a form of selfsymbolism, social consequences represent a form of social symbolism (Elliott, 1995). These consequences are often associated with publicly consumed products and services. In fact, Sheth et al. (1991) state that the consumption of almost any visibly identiable product is likely to be at least partially, if not primarily, inuenced by social value. This value type is closely related to the esteem value of Holbrook (1994). Holbrook claims that esteem value results from the reactive contemplation of ones own status and prestige, as reected in the approbative opinion of others. Relationship between desired consequences and attributes Consumers place importance upon specic attributes because they expect those attributes to deliver certain desired goals or consequences (Bagozzi and Dholakia, 1999). Such goal-based relationships have been addressed through various theories, including the theory of reasoned action (Ajzen and Fishbein, 1980) and means-end theory (Reynolds and Gutman, 1988). By choosing attributes because of the consequences they deliver, consumers are able to connect products with the self (Walker and Olson, 1991). Attributes then serve as cues for the consequences they deliver and, as such, attribute importance is inuenced by the importance of desired consequences (Zeithaml, 1988). We therefore propose that product attributes will relate directly to desired consequences. In terms of more specic predictions, we believe the relationships between attributes and desired consequences will depend upon the functional or symbolic nature of the attribute. To tap both the functional and symbolic aspects of attribute, we employ price, quality, and style as attributes that potentially drive the desire for consequences in the MEC. First, style is largely a function of design and aesthetics. As argued by Holbrook (1980), such attributes pertain to pleasure derived (i.e. psychological consequence) from seeing the product rather than the utility of the product. 425

Such attributes can also enable a consumer to gain attention from others (i.e. social consequence) during consumption (Creusen and Schoormans, 2005). Therefore, one would expect style to relate both to psychological and social consequences rather than functional consequences. Second, quality is based upon a consumers judgment of excellence or superiority in a product and is generally considered to be an intrinsic cue that is multidimensional and often more difcult to evaluate (Parasuraman et al., 1988; Varki and Colgate, 2001). Given its multidimensional nature, quality exhibits both symbolic and utilitarian elements, and one would expect it to relate both to functional consequences and psychological consequences (largely for personal achievement reasons). Finally, price is generally considered to be an extrinsic cue (Varki and Colgate, 2001). Customers have been found to evaluate quality based on the price sellers charge. In this case, price as a product attribute serves a functional purpose and is related directly to desired functional consequences. At times, customers feel happy when they purchase what they want at a bargain price and in doing so are also likely to feel a sense of self-achievement. Other times, customers are willing to pay premium price because high price tag represents aspiration among peers. In summary, price as a product attribute relates to all three types of desired consequences: functional, psychological, and social consequences: Perceived attributes relate directly to desired consequences. H1a. Style attributes relate directly to desired psychological and social consequences but not desired functional consequences. H1b. Quality attributes relate directly to desired functional and psychological consequences but not desired social consequences. H1c. Price attributes relate directly to desired functional, psychological, and social consequences. Consumption consequences and purchase frequency Desired consumption consequences represent one of the central mechanisms in means-end theory. Gutman (1982) actually asserts that there is no direct relationship between end-states and consumer choice behavior (i.e. product attributes); instead, the two are connected through consequences. The concept of consumption consequences is not new, though the terminology may be somewhat new. For example, benets have been viewed as a key construct within the marketing literature since Haley introduced benet segmentation in 1968 (see Wilkie and Pessemier, 1973; Monroe, 1991; Kim et al., 2008; Boksberger and Melsen, 2011). The term consequences is broader than benets in that consequences include both benets and sacrices. A means-end approach to examining consumption consequences is a more recent development. Although there have been a number of means-end studies conducted in the marketing literature, few have derived survey instruments for attributes and consequences from means-end studies. Desired consumption consequences are expected to directly determine a number of consumers behavioral outcomes, including information search (Michell and Prince, 1993), customer loyalty (Park and Park, 2009), and postpurchase evaluations (Weinstein, 2002). H1.

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

Because Batra and Homer (2004) demonstrated that desired benets (i.e. consequences) have a greater impact on actual behavioral outcomes than on attitudes, we decided to focus on behavioral outcomes as direct effects of desired consequences. One especially important behavioral outcome is purchase frequency (Joo, 2006; Overby and Lee, 2006). From a strategic perspective, the ability to predict purchase frequency is particularly signicant, as frequent purchasers have been shown to account for a much larger volume of product and service sales than infrequent purchasers. In fact, marketers often suggest targeting towards heavy users and frequent purchasers rather than light users and infrequent purchasers (Loudon and Della Bitta, 1993; Anschuetz, 1997). McDonalds actively targets frequent users and Lands End and LL Bean segment markets by usage patterns (Weinstein, 2002). Roy and Goswami (2007) found a strong correlation between psychographics and product/service groups with similar purchase frequencies. Given this discussion, the following hypotheses are offered: H2. Desired consequences directly inuence consumer purchase frequency.

Mediating relationships Traditionally, attributes have been shown to play a mediating role between end-states and consumer behavior. For example, the attribute-mediation approach suggests that values determine the importance of product attributes which in turn inuence produce evaluation and purchase (e.g. Gutman, 1982; Lindberg et al., 1989). However, others question whether attributes and end-states are the strongest predictor of behavior (Dabholkar, 1994; Liang and Wang, 2004). More recent research has argued that the attributemediation approach may not be as strong of a predictor when symbolic meaning and intangible attributes are involved (Allen and Ng, 1999). Allen and Ng (1999) nd that when consumers focus on the symbolic meaning of a product or service, that meaning will have a direct inuence upon consumer behavior rather than product attributes. For symbolic products, consumers focus more on the Gestalt meaning (i.e. consequences) of the product rather than tangible attributes when making purchase decisions (McCracken, 1986; Keaveney and Hunt, 1992). Consumers have been shown to shift from attribute level evaluations to higher-level evaluations when recalling prepurchase and post-purchase thoughts (Gardial et al., 1994). Myers and Shocker (1981) even suggest that benet-based models of preference and choice are preferable to attributebased modes because benets are closer to preference and choice. Woodruff and Gardial (1996) argue that consumers often use consequence-level factors when making decisions, and that a consequence-level view of the customer offers opportunities for competitive advantage for business practitioners. Although there is signicant evidence to support the inuence of desired consequences versus attributes, none of these studies have examined the mediating relationship between attributes and consequences on purchase frequency. Given the more symbolic nature of consumption ` -vis attributes, one would expect desired consequences vis-a consequences to mediate the relationship between product attributes and consumer purchase behavior for symbolic products (such as fashion products). For example, Auty and 426

Elliott (1998) assert that it is often more important to fulll abstract symbolic needs (i.e. consequences) of consumers because functional needs (and attributes) are dependent upon the symbolic ones. Similarly, Liang and Wang (2004) argue that benets are more powerful purchase motivators. Asserting that attributes are not sufcient for improving customer satisfaction, they found that perceptions of functional and symbolic benets were positively and signicantly related to customer satisfaction judgments. Corfman (1991) determined that many consumers nd it easier to focus on consumption consequences rather than product attributes when making consumption decisions. When comparing products, subjects tended to use higher levels of comparison (value and utility) rather than product features and function in order to make a choice. Similarly, one would expect consequences to mediate between attributes and purchase frequency after the initial purchase. Parasuraman (1997) asserts that the value dimensions used by customers actually change in abstraction, magnitude, and importance as experience grows (e.g. purchase frequency). Similarly, Mathwick (1999) found that as consumers gain experience, they often shift from attribute-based value judgments to abstract consequencebased judgments. Given that this research examines purchase during the consumer feedback process (i.e. frequency of purchase), the following hypothesis is offered: H3. Desired consequences mediate the relationship between product attributes and consumer purchase frequency.

Methods
Empirical development of questionnaire Although some studies have developed value dimension measures from theory (e.g. Lapierre, 2000; Liang and Wang, 2004), we believe it is important to begin with qualitative means-end chains in order to develop value measures grounded in a consumer perspective. Thus, the measures employed for this study were developed from qualitative grand-tour laddering interviews with twelve women. Woodruff and Gardial (1996) adapted the grand-tour laddering format for customer value research. Strengths of this format include: it allows consumers to recall purchase and consumption experiences in their own words while at the same time avoiding many of the distractions associated with concurrent verbalizations; and memory has been shown to be predictive of future behaviors. Gardial et al. (1994) provide a more detailed discussion of the strengths and weaknesses of this method. Laddering was conducted within the interviews when specic attributes or consequences were elicited. Laddering allows the interviewer to measure the means-end association between attributes, consequences and end-states that consumer hold towards products and services (Peter and Olson, 2008). The interviews were recorded and transcribed. The interviews addressed the purchase of a handbag because such a product was expected to produce multiple types of desired consumption consequences, as fashion items are often used to both fulll functional and social needs and shape self and identity (Woodruffe-Burton, 1998). The resulting interview transcripts were initially coded by two judges according to means-end theory: attributes, desired consumption consequences, and desired end-states. The

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

judges then coded for specic types of attributes (e.g. quality, style, price) and consequences (e.g. functional, social, psychological). Based upon these codes, we developed a survey questionnaire to specically measure consumers desired attributes and consequences. The attributes and desired consequences were developed into items utilizing the respondents exact words and using a ve-point agree/disagree response scale. Each attribute and consequence began with When trying to decide on a purse or handbag to purchase, I want one that . . . The questionnaire concluded with demographic items, including age, marital status, education, income, and occupation. Respondents were also given three possible categories to report how often they purchase a handbag: every 1-6 months, once a year, every 2 or more years. Sample and data collection The questionnaire was administered to a convenience sample of 122 female members of a service organization in a midsized US city. Of 122 completed questionnaires, 120 were usable. The 120 women ranged in age from 19 to 49 with a mean of 22 (standard deviation 4.7). The distribution of education was: less than four years of high school (2 percent), high school graduate (3 percent), technical or trade school (1 percent), college (93 percent), and graduate school (1 percent). The distribution for total income was: less than $15,000 (9 percent), $15,001-30,000 (62 percent), $30,00150,000 (6 percent), $ 50,001-75,000 (11 percent), 75,001100,000 (6 percent), and more than $100,000 (6 percent). Finally, the distribution for handbag purchases was: every 1-6 months (26 percent), once a year (32 percent), every 2 or more years (43 percent). Data analysis and results PLS method was used for testing the measurement validity of the survey instrument and testing the structural model. PLS was chosen because of its ability to perform both principal component and path analysis simultaneously (Barclay et al., 1995). Test of measurement models The validity and reliability of measurement items were tested prior to the structural model test. The adequacy of the measurement model was determined by examining individual item reliability, composite reliability (i.e. internal consistency), and convergent and discriminate validity of constructs (Barclay et al., 1995). Each measurement item used in the questionnaire reected its corresponding construct and had a high correlation among them. Therefore, all the measurement items were analyzed with reective indicators. The item loadings for the consequences measures are listed in Table I. The items used to measure the three attribute types styling, quality, and price were two items for each attribute type: . Styling (m 4.38, item correlation 0.486, p 0.000): 1) looks pretty; 2) is a classic style. . Price (m 4.15, item correlation 0.548, p 0.000): 1) good value for the money; 2) reasonably priced. . Quality (m 3.89, item correlation 0.204, p 0.026): 1) is well made; 2) is of high quality. Measurement validation Individual item reliability was assessed by examining the factor loading of each item on its construct. The normal 427

guideline of individual item reliability suggests that the factor loading should be at least greater than 0.6. Accordingly, the items with a factor loading value lower than 0.6 were dropped. Table I shows that all of the retained items have a factor loading value greater than 0.6, indicating adequate individual item reliability. Composite reliability is internal consistency as dened by Fornell and Larcker (1981) and was examined using the composite scale reliability index (similar to Cronbachs alpha), which should exceed 0.7. As shown in Table II, all measures met this criterion; thus they could be considered reliable. In Table II, the diagonal values represent the square root of the average variance extracted (AVE) which is a measure of convergent validity. All diagonal values exceed 0.5, suggesting that convergent validity was established. Convergent validity was also demonstrated by items loaded highly (factor loading . 0.6) on their associated constructs. To assess discriminant validity of constructs, two criteria were adopted: the square root of the AVE for each construct should be greater than the off-diagonal correlations between constructs; and each item within the construct should load highly on the construct that it is intended to measure and the cross-loadings must be lower than the intra-construct item loadings (Barclay et al., 1995). As shown in Tables I and II, all constructs exhibited sufcient discriminant validity. As a result, the reliability and validity of the measurement items were all found to be acceptable. Hypothesis testing Based on the adequate measurement model, the proposed hypotheses were tested by assessing the structural model. Assessment of the structural model involves estimating the path coefcients (i.e. path analysis) and assessing the R2 value of endogenous constructs. We used the bootstrap resampling method of PLS to determine the signicance of path coefcients. Table III shows the result of the structural model assessment. Over 14 percent of the variance in purchase frequency was explained by the three consequence types and control variables, indicating that our research model was acceptable. We found partial support for H1. Seven of the nine paths were statistically signicant. As expected, three attribute types signicantly inuenced each of three desired consequences, except for two paths which were from quality (attribute) to psychological consequences and from style (attribute) to functional consequences. Specically, we found full support for H1a (the statistically signicant paths from style to psychological and social consequences) and H1c (the signicant paths from price to psychological, social, and functional consequences). However, we found only partial support for H1b as the path from quality to psychological consequence was insignicant while the paths from quality to social and functional consequences were signicant. We found partial support for H2. Only two paths from desired consequences to purchase frequency were statistically signicant: psychological consequences and functional consequences were signicant in their effect upon purchase frequency. Interestingly, psychological consequences had a positive effect upon purchase frequency and functional consequences had a negative effect. the path from social consequences to purchase frequency was not signicant (Figure 1).

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

Table I Loadings and cross loadings of consequence measures

Scale item Makes me feel good as a person Makes me feel young Makes me feel exciting Makes me happy Makes me feel like I am not like everybody else Makes me fell unique Makes me feel different Gives me a sense of accomplishment Makes me feel like I have succeeded Others will like People important to me will like Is appealing to others around me Is attering to me Allows me to keep my hands free for carrying other things Makes it easier to carry packages Is comfortable on my shoulder(s) Allows me to move around easily Can be used for a variety of occasions Can be used everyday Is convenient to use Is easy to carry Will last for a long time Can handle a lot of wear Makes it easy for me to quickly get to my car keys Does not hurt my back Does not strain or bother my neck Psychological consequences 0.673 0.627 0.760 0.755 0.728 0.729 0.718 0.790 0.782 0.317 0.311 0.359 0.362 0.083 0.082 0.204 0.061 0.110 0.067 0.182 0.204 0.183 0.207 0.097 0.185 0.174 Social consequences 0.403 0.384 0.384 0.471 0.189 0.211 0.221 0.272 0.277 0.806 0.779 0.853 0.721 0.071 0.015 0.125 0.269 0.226 0.149 0.229 0.282 0.258 0.279 0.160 0.161 0.158 Functional consequences 0.215 0.129 0.128 0.138 0.004 0.102 0.143 0.221 0.148 0.044 0.085 0.139 0.404 0.657 0.712 0.784 0.838 0.771 0.721 0.777 0.817 0.853 0.785 0.724 0.716 0.719

Table II Reliability and validity

Constructs Psychological consequences Social consequences Functional consequences Styling attribute Quality attribute Price attribute Purchase frequency Education Income Age Marital status No. of items Composite reliability 9 4 13 2 2 2 1 1 1 1 1 0.91 0.87 0.95 0.81 0.89 0.87 1.00 1.00 1.00 1.00 1.00 1 2 3 Correlation and AVE of constructs 4 5 6 7 8 9 10 11

0.731 0.437 0.791 0.194 0.259 0.762 0.407 0.480 0.392 0.828 0.305 0.445 0.558 0.511 0.891 0.395 0.259 0.340 0.293 0.215 0.876 2 0.304 2 0.102 0.143 2 0.084 2 0.073 0.101 1.000 2 0.117 2 0.086 2 0.024 0.014 0.069 0.061 0.020 1.000 0.027 0.000 0.127 0.158 0.167 2 0.062 2 0.054 0.026 1.000 2 0.160 2 0.144 0.142 0.005 0.119 0.015 0.139 0.056 2 0.018 1.000 2 0.171 2 0.110 0.062 2 0.082 2 0.135 0.080 0.100 0.041 0.079 0.366 1.000

We found support for H3. As expected in the means-end chains feedback mechanism, desired consequences functioned as a mediator between attributes and purchase frequency. There was no direct link between product attributes and purchase frequency.

Discussion
In this paper, we tested a chain of causal relationships between product attributes and desired consequences and between desired consequences and the behavioral outcome of purchase frequency. The overall ndings are in accordance 428

with our hypotheses. First, there is support for H1: specic product attributes relate to particular desired consequences. Not all attributes signicantly linked to all desired consequences. In particular, style attributes signicantly related to desired psychological and social consequences but did not signicantly relate to functional consequences. Therefore, H1a was supported. This is to be expected given that functional consequences are primarily utilitarian rather than symbolic. H1b was partially supported: perceived quality signicantly related to functional consequences and social consequences but not psychological consequences. This nding is a bit

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

Table III Test of hypothesized relationships

Hypothesis From Style attribute Quality attribute Price attribute To PC PC PC R2 0.257 SC SC SC R2 0.295 FC FC FC R2 0.369 Purchase frequency Purchase frequency Purchase frequency Purchase frequency Purchase frequency Purchase frequency Purchase frequency R2 0.144 Path coefcient 0.267 0.105 0.294

t-value
2.477 0.908 3.775

p-value
0.007 * * * 0.183 0.000 * * *

H1

H1

Style attribute Quality attribute Price attribute

0.314 0.261 0.111

3.444 2.341 1.338

0.000 * * * 0.010 * * 0.092 *

H1

Style attribute Quality attribute Price attribute

0.092 0.466 0.213

0.893 3.818 2.373

0.187 0.000 * * * 0.010 * *

H2

Control Control Control Control

PC SS FC Education Income Age Martial

0.333 0.003 2 0.209 0.106 0.071 2 0.048 2 0.018

3.420 0.029 1.900 0.147 0.720 0.511 0.190

0.000 * * * 0.488 0.030 * * 0.442 0.236 0.305 0.425

Notes: *p , 0.1; * *p , 0.05; * * *p , 0.01

Figure 1 Results of path analysis

429

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

surprising. One would expect quality to relate to psychological consequences because one would anticipate a consumer to have an internal feeling of achievement or success when purchasing a product that is well-made. Perhaps this feeling is subsumed within functional consequences or perhaps functional consequences are lower level consequences mediating the relationship between some attributes and upper level consequences such as psychological ones. In addition, quality was found to relate to desired social consequences. We speculate that purchasing a good quality handbag makes one feel that one is meeting certain social norms (such as tting in or even conserving resources). This argument is in line with Taguchis (1987) social loss function that posits that quality is the loss a defective product causes to society in various forms such as repairs, returns, and disposition. Finally, H1c was fully supported: price was signicantly related to all desired consequences rather than only functional consequences as hypothesized. Apparently, price has the ability to communicate psychological, social, and functional meaning for consumers. One would expect that getting a good economic deal (or buying a desired product/service at a good price) gives a consumer an internal feeling of achievement or success. Price also carries a utilitarian connotation in that price is determined by cost/benet analysis. Finally, price results in social consequences when the price conveys social messages such as exclusivity or status. Second, the test results appear to offer partial support for H2. Desired consequences (functional and psychological) seemed to directly inuence purchase frequency for a consumer product. Psychological consequences were the strongest predictor of purchase frequency followed by functional consequences. Though social consequences were also hypothesized to directly inuence purchase frequency, they only had a positive but insignicant effect. What is more intriguing from the ndings are the strength and direction of the coefcients. As one might expect for a fashion item, desired psychological consequences are likely to have a positive inuence on purchase frequency. If one desires to feel good about oneself through consumption, one would expect that person to purchase more frequently. Conversely, if one is more motivated by functional aspects of a shopping item such as quality and durability, one would expect that person to purchase less frequently. As such, it appears that psychological consequences capture most of the experiential and sensory aspects of product consumption whereas functional consequences capture aspects inherent in the product itself. What is most surprising by the ndings is the apparent insignicance of desired social consequences upon purchase frequency. One would expect that a shopper who cares about what others think would be more likely to purchase frequently in order to stay in fashion. However, that was not the case. It might be possible that the psychological consequences subsume similar motivations as social consequences. If so, then there may be support for using only the hedonic and utilitarian distinctions found in other shopping literature (e.g. Babin et al., 1994; Childers et al., 2001; Cottet et al., 2006). Finally, the test results appear to offer support for H3. While desired consequences directly inuenced purchase frequency for a consumer product, product attributes did so only indirectly. This provides additional empirical support to the means-end hierarchy, as proposed by Gutman (1982). 430

Such ndings are signicant given that most satisfaction and product/service quality measures employed today incorporate product and service attributes but rarely include desired consequences (Spreng et al., 1996). Perhaps this nding explains the disconnect between satisfaction and postpurchase behaviors often identied in the literature (Churchill and Surprenant, 1982; Oliver, 1999). These ndings also suggest that the incorporation of consumption consequence measures into satisfaction and product/service quality studies might improve their predictive capabilities. There is no doubt that attributes are important to consumers. However, it is ultimately the desired consequences that are expected to result from these attributes that motivate consumers to purchase. Given the fact that most marketers are interested in attracting and keeping frequent purchasers, these ndings indicate that marketers should be focusing on more abstract measures of value rather than simple price/quality tradeoff measures. In this research, not a single demographic variable had a signicant effect on consumer purchase behavior. This nding reveals that demographic variables alone are not sufcient predictors of consumer behavior, in this case purchase frequency for a fashion product. This is not exactly a surprise and may explain the increasing usage of psychographics and behavioral segmentation variables by marketers. However, this is not to say that demographic variables are unimportant. In fact, Branca (2008) recently found that demographic characteristics contribute to consumer usage frequency of bank delivery channels indirectly via cognitive and affective mediators.

Conclusions
Not only does this study reveal that the customer value hierarchy allows marketers to better understand the meanings that consumers construct around products and services (Auty and Elliott, 1998; Woodruffe-Burton, 1998), but it also demonstrates that an understanding of consumers desired consequences can help marketers understand and possibly predict consumer purchase behavior. Marketers have traditionally focused more of their efforts on consumer desires for and evaluations of product attributes. In fact, most customer satisfaction surveys measure satisfaction with product attributes or features and not consequences (Woodruff and Gardial, 1996). Woodruff and Gardial (1996) assert that consequences provide a relatively more stable strategic focus than product attributes. This study also indicates that marketers should consider customer value analysis as a segmentation tool. For example, marketers may segment the market based on desired consequences: psychological, social, and functional. For those consumers who are motivated by desired functional consequences, marketers may manipulate not only price but also quality. Similarly, marketers may manipulate not only style but also quality and price for those consumers who are motivated by social desired consequences. Obviously, this nding holds implications not only for product development, but also for other elements of the marketing mix, especially pricing and promotion. A number of limitations should be acknowledged. First, the sample is not necessarily representative of all women in the US the women in the study were younger and better educated than average. Second, the product used in the study,

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

a handbag, is a fashion item. Although this fact may have inated the importance of fashion-oriented value dimensions, the ndings do provide evidence that value dimensions serve as a good predictor of behavior. Future research should examine more functional goods along with fashion items. This research also raises additional research questions. One new question is whether purchase frequency affects the number of consequences and attributes desired. One would expect all desired consequences and attributes to be signicant for infrequent purchasers whereas frequent purchasers may be more likely to rely on fewer consequences and attributes. For example, researchers (Ou et al., 2006) have found that frequent purchasers exhibit less cognitive effort because they rely more on memory and recall from previous purchases such as prior pricing information. Similarly, Parasuraman (1997) found that rst-time customers were more likely to focus on attributes when evaluating products and services whereas short-term and long-term customers were more likely to focus on consequences and end-states. Future research should also address what other variables, such as the consumption situation, might moderate the relationship between desired consumption consequences and purchase frequency. For example, Foxall and Greenley (2000) provide tentative evidence that the setting or situation can inuence the type of consequences invoked. However, more evidence is needed. Finally, future research should examine how desired consumption consequences relate to other consumer behaviors, such as product choice, usage, and postpurchase evaluations. It is likely that the type of consequence desired will signicantly inuence customer satisfaction (Woodruff, 1997). These ndings, conclusions, and future research issues demonstrate the value of understanding the consumption consequences that consumers desire for products and services. It is hoped that this research will spark additional investigation into the subject, both among academics and practitioners.

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About the authors

Dr Soonhong Min is an Associate Professor at Yonsei University in Seoul, Korea. He has published in numerous marketing journals, including Journal of Retailing, Journal of the Academy of Marketing Science, Journal of Business Research, Industrial Marketing Management, and Journal of Business and Industrial Marketing, among others. Dr Jeffrey W. Overby is Associate Professor of Marketing and Director of the Center for International Business at Belmont University in Nashville, USA. His academic research interests are in the areas of international marketing, international business strategy, and cross-cultural consumer behavior. He has published in a number of leading journals, including Journal of the Academy of Marketing Science, Journal of Business Research, The CASE Journal, International Marketing Review, Industrial Marketing Management, The Service Industries Journal , The Journal of Consumer Satisfaction, Dissatisfaction and Complaining Behavior, International Journal of Service Industry Management, and International Journal of Management. Jeffrey W. Overby is the corresponding author and can be contacted at: jeff.overby@belmont.edu Kun Shin Im is Associate Professor of Information Systems at Yonsei University. His research interests include IT impacts on consumer behavior and organizational structure, IT investments evaluation, IT adoption, and IT training effectiveness. He has published several studies in these areas in MIS Quarterly, Information Systems Research, Journal of the AIS, Journal of Information Technology Management, Journal of Organizational and End User Computing, and other journals.

Executive summary and implications for managers and executives

This summary has been provided to allow managers and executives a rapid appreciation of the content of this article. Those with a particular interest in the topic covered may then read the article in toto to take advantage of the more comprehensive description of the research undertaken and its results to get the full benets of the material present. As various scholars have noted, shopping makes a signicant contribution to todays world. The activity drives economic performance, while individual consumers participate for leisure, social engagement and self-identity purposes. Obtaining a desired level of value is thought to motivate much shopping and consumption behavior. Providing value to consumers has been the focus of much research attention. It is evident that rms able to deliver on this promise can positive inuence consumer purchase intentions and increase both market share and protability. Conclusive understanding of what determines customer value has so far remained elusive. The only aspect that is widely accepted is that value is derived from consumer

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

perceptions rather than managerial judgment. Different studies have acknowledged the relevance of product attributes in value creation. This had led to some consideration of means-end theory which posits that consumers seek product attributes that lead to desired consequences. Attributes can be divided into tangible and intangible categories. Those which can be directly perceived are labeled as product-related and include aspects like packaging, price, color and brand. In contrast, quality and style are examples of more abstract features that do not directly relate to the product or service in question. Analysts have found that consumers rely on both attribute types in their anticipation of desired outcomes like quality and satisfaction. Extant literature indicates that consequences of purchase and consumption behavior typically fall into different types, the key ones being: . Functional consequences (FC). This essentially refers to the physical performance of the product. Satisfaction will result if the product or service carries out the functions for which it is designed. Some authors claim that product utility can occur before and after performance, as well as during. . Psychological consequences (PC). Objectives linked with self-enhancement and self-identity are examples of this type. Products can take on symbolic value and people often select things because of what they might signify as well as what functional purpose they serve. . Social consequences (SC). How a product or service can convey an image to others is the issue here. Products or services which are consumed publically are especially relevant. Some theorists argue that most products that are visibly identiable will be chosen at least in part for the social value offered. This value is considered similar to esteem, which results from the opinion of relevant others. It is proposed that desired consequences or outcomes will prompt consumers to prioritize certain attributes over others. The importance of attributes is therefore governed by their ability to connect products to the self. To some extent, the degree to which attributes are functional or symbolic will shape relations between attributes and desired consequences. A consideration of style, quality and price illustrates how different attributes are likely to be associated with different outcome types: . Style is based on design and aesthetics and reects visual rather than functional qualities of a product. Because style creates pleasure and can secure attention from others, it arguably relates to psychological and social consequences. . Quality is determined by consumer judgment and can refer to both symbolic and utilitarian product dimensions. An association with both psychological and functional consequences is therefore assumed. . Price often serves as a quality indicator. In addition, a high price can indicate status and prestige. Another proposal is that people might experience a sense of self-achievement if they purchase an item at a bargain price. There are thus sound reasons for believing that price relates to all three consequence forms. Although studies are limited, it is likely that desired consumption outcomes directly shape various consumer behaviors such as information search, post purchase assessments, and customer loyalty. Evidence indicates that 434

actual behaviors rather than attitudes may be more inuenced by desired outcomes. Given this possibility, desired consequences could directly determine subsequent purchase frequency. Being able to predict buying frequency would hugely assist marketers as a considerable percentage of product and services sales are made by regular purchasers. Contrasting evidence exists with regard to the relationship between product attributes, consequences and behavioral outcomes. Previous assumptions that attributes play a mediating role have been challenged recently, especially when intangible attributes are present. The argument here is that symbolic meaning inuences consumer behavior more in these circumstances. Other researchers have argued that consequences mediate the relationship between attributes and purchase behavior. They posit that consumption decisions are likelier to be driven by consequences than by product attributes. Studies offer some support, suggesting that this tendency increases as they gain more purchasing experience. In the current study, Min et al. aim to gain additional insight of the key factors. Female workers aged between 19 and 49 in a US service organization participated in the study and a nal sample of 120 was obtained. Subjects were interviewed about the purchase of a handbag. This product was chosen as it able to meet both functional and hedonic needs, and therefore could be expected to generate different forms of consumption consequences. Hypothesis testing revealed: . a direct link between style attributes and desired psychological and social consequences but not direct functional consequences; . price attributes directly relate to all three desired consumption consequences; and . the association between product attributes and consumer purchase frequency is mediated by desired consequences. Other predictions were only partially upheld. For instance, it was deemed surprising that perceived quality did not signicantly relate to psychological consequences. The authors thus speculate that the expected sense of selfachievement at purchasing a well-made product could be incorporated with the functional consequences. The relationship between quality and social consequences was not anticipated either. A feasible explanation is that consumers who buy a good quality handbag could believe they are complying with certain social norms. That the positive association between social consequences and purchase frequency was insignicant was likewise unexpected. It is suggested by Min et al. that frequent purchasing might be the norm for people who feel a need to impress socially. Given this nding, they purport that such motivations could merge into the psychological consequences category. The impact on purchase frequency by desired consequences was found to be direct. Product attributes, on the other hand, have only limited and indirect inuence. Since desired consequences of attributes seem to drive purchase behavior, the authors recommend that marketers should place a greater emphasis on more abstract measures of value. Another notable nding was the negligible impact on purchase behavior of all demographic variables. Although other research has indicated the continuing importance of such variables, it would appear unwise to regard them as sole predictors of consumer purchase behavior.

Desired attributes, consequences and purchase frequency Soonhong Min, Jeffrey W . Overby and Kun Shin Im

Journal of Consumer Marketing Volume 29 Number 6 2012 423 435

On this evidence, marketers should segment customers on the basis of desired consequences rather than attributes. They should accordingly focus on the attributes which most directly relate to each specic consequence. For instance, an emphasis on price and quality would be appropriate when functional consequences are prioritized. Additional studies using more representative samples and functional goods are advised. Another option is to investigate shopping experience. Earlier evidence reveals that individuals

may rely on fewer attributes and consequences as their shopping experience and frequency rises. Other variables like the consumption situation and consumer behaviors could also determine which consequence type is preferred. cis of the article Relationships between desired attributes, (A pre consequences and purchase frequency. Supplied by Marketing Consultants for Emerald.)

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