Price cue utilization in product evaluations: The moderating role of motivation and attribute information

• Published in: Journal of business research 1995-07, Vol.33 (3), p.187-195
• Main Author: Mitra, Anusree
• Format: Article
• Language: English
• Subjects: Consumer behavior; Heuristic; Motivation; Statistical analysis; Studies; Variables
• ISSN: 0148-2963; 1873-7978
• DOI: 10.1016/0148-2963(95)94737-S

To date, relatively little research has focused on the psychological processes underlying the use of price information in product quality evaluations when attribute information is also available and varies in strength. In this article, the heuristic-systematic model of persuasion provides the framework for examining how consumers' level of motivation and the congruency of their price-based expectations of quality with attribute-based perceptions would moderate price cue utilization in product evaluations. Consistent with predictions based on the heuristic-systematic model, the study found that price was utilized as a heuristic cue when motivation was low and subjects engaged in heuristic processing. However, when motivation was high, use of the price cue depended on the extent to which subjects' initial price-based expectations were confirmed by subsequent systematic processing of attribute information. Specifically, under congruent conditions, both price and attribute information influenced product evaluations. In contrast, under incongruent conditions, the price cue did not affect product evaluations, and attribute information alone was utilized. Conceptual and managerial implications of the results are discussed.