The Role of Category Labeling in Categorization and Evaluation of New Products
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Tarih
2020
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info:eu-repo/semantics/openAccess
Özet
Purpose – The purpose of this study is to analyze how consumers react to new products that do notfit into any existing product categories in their minds and how the category label provided for thenew product helps them understand and categorize it. It intends to discover how consumers'attitudes, purchase intentions, and expected benefits from a new product are shaped when they cancategorize the product versus when they cannot. The drink "cider" is chosen as the new productsubject to the study. Although the imaginary cider brand in the study contains three percent alcohol,it is labeled either as a soft drink or an alcoholic drink. Another aim of the study is to test whetherconsumers' categorization decisions are affected by the labels and cues provided in theadvertisements although more suitable categorizations are possible.Design/methodology/approach – (2 x 2) ANOVA is run on 350 participants. Category label ismanipulated with a 2 (soft drink schema ad with no label indicated- alcoholic drink schema ad withno label indicated) x 2 (soft drink schema ad with soft drink label indicated- alcoholic drink schemaad with alcoholic drink label indicated) between-groups design.Findings – When faced with a new product, consumers categorize the product in the direction ofthe label provided in the advertisement and away from other more likely categorizations. Althoughthe cider brand contains three percent alcohol, when it is labeled as a soft drink, it is categorized asa soft drink. Consumers who are uncertain about cider's product category showed lower attitudetowards the product and purchase intention scores than consumers who are more confident abouttheir category decisions.Discussion – When a new product is introduced into the market, the product's marketingcommunications should clearly define the product, its product category, its benefits, and usagesituations. The label and cues given in the advertisements will help consumers to place the productinto a category indicated by advertisements. Providing a label also helps consumers to have apositive attitude towards the product and increases its chance of trial.
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