Benchmarking consumer perceptions of product quality with price: An exploration

✍ Scribed by Noel Mark Noël; Nessim Hanna

• Publisher: John Wiley and Sons
• Year: 1996
• Tongue: English
• Weight: 901 KB
• Volume: 13
• Category: Article
• ISSN: 0742-6046
• DOI: 10.1002/(sici)1520-6793(199609)13:6<591::aid-mar4>3.0.co;2-3

✦ Synopsis

This empirical study illustrates an extension of the magnitude estimation measurement procedure, coupled with a repeatedmeasures design, to assess a consumer's perceptual link between product quality and price. Respondents rated 14 competitive chocolate candy bars, with a given average price of 506, on two separate sensory measures to evaluate quality and price. The results indicate that consumer judgments about product quality influence the price they are willing to pay. These findings support the validity of the magnitude estimation procedure for product quality and price assessments, providing marketing management with a standardized benchmark to compare competitive products. Extending this . experimental methodology to small groups provides an inexpensive approach for marketers to quantify otherwise qualitative focusgroup investigations.