Skip to main content
Log in

More or Less? Consumer Goal Orientation and Product Choice

  • Research Article
  • Published:
Customer Needs and Solutions Aims and scope Submit manuscript

Abstract

We study the impact of consumers’ goal orientation on their preference between high-quality and low-priced products. Consistent with our theorizing, we find that US (Korean) consumers, who are more promotion (prevention) oriented, prefer high-quality (vs. low-priced) products because they assign more weight to quality in their choice. In addition, we identify a boundary condition of the effect by showing that it is mitigated for products for which safety is a salient feature. We also rule out price/quality perceptions, regret, and price-quality association as rival explanations of our results. We conclude by discussing the theoretical and managerial implications of the current research.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Fig. 1

Similar content being viewed by others

Notes

  1. We aimed for 80 participants in each country, but many more were recruited in South Korea due to a clerical error. The resultant imbalance in the study design may reduce the statistical power of detecting the proposed effect, thus providing a conservative test of our predictions.

References

  1. Aaker JL, Lee AY (2001) I seek pleasures and we avoid pains: The role of self regulatory goals in information processing and persuasion. J Consum Res 28:33–49

    Article  Google Scholar 

  2. Ahtola OT (1984) Price as a give component in an exchange theoretic multicomponent model, vol 11. Association for Consumer Research, Ann Arbor

  3. Arnold MJ, Reynolds KE (2009) Affect and retail shopping behavior: understanding the role of mood regulation and regulatory focus. J Retail 85(3):308–320

    Article  Google Scholar 

  4. Avnet T, Tory Higgins E (2006) How regulatory fit affects value in consumer choices and opinions. J Mark Res 43:1–10

    Article  Google Scholar 

  5. Bell DR, Lattin JM (2000) Looking for loss aversion in scanner panel data: the confounding effect of price-response heterogeneity. Mark Sci 19(2):185–200

    Article  Google Scholar 

  6. Bettman J, Luce MF, Payne J (1998) Constructive consumer choice processes. J Consum Res 25(December):187–217

    Article  Google Scholar 

  7. Bornemann T, Homburg C (2011) Psychological distance and the dual role of price. J Consum Res 38:490–504

    Article  Google Scholar 

  8. Bronnenberg BJ, Dhar SK, Dube J-P (2007) Consumer packaged goods in the united states: national brands, local branding. J Mark Res 44(1):4–13

    Article  Google Scholar 

  9. Chartrand T, Huber J, Shiv B, Tanner R (2008) Nonconscious goals and consumer choice. J Consum Res 35:189–201

    Article  Google Scholar 

  10. Chernev A (2004) Goal orientation and consumer preference for the status quo. J Consum Res 31(December):557–65

    Article  Google Scholar 

  11. Choi W, Sun H, (lucy) liu Y, (allan) chen H (2020) Guess who buys cheap? the effect of consumers, goal orientation on product preference. J Consum Psychol 30(3):506–514

    Article  Google Scholar 

  12. Fong N, Simester D, Anderson E (2011) Private label vs. national brand price sensitivity: evaluating non-experimental identification strategies. MIT Working Paper

  13. Forster J, Tory Higgins E, Bianco AT (2003) Speed/accuracy decisions in task performance: built in trade off or separate strategic concerns? Organ Behav Hum Decis Process 90:148–64

  14. Hardie BGS, Johnson EJ, Fader PS (1993) Modeling loss aversion and reference dependence effects on brand choice. Mark Sci 12(4):378–94

    Article  Google Scholar 

  15. Hayes AF (2018) PROCESS: A versatile computational tool for observed variable mediation, moderation, and conditional process Modeling. Guilford Press

  16. Heath Chip, Larrick Richard, George W u (1999) Goals as reference points. Cogn Psychol 38:79–109

    Article  Google Scholar 

  17. Heath T, Chatterjee S (1995) Asymmetric decoy effects on lower quality versus higher quality brands: meta analytic and experimental evidence. J Consum Res 22:268–84

    Article  Google Scholar 

  18. Higgins E (1998) Advances in experimental psychology, vol 30. Academic Press, San Diego

  19. Higgins E (2002) How self regulation creates distinct values: the case of promotion and prevention decision making. J Consum Psychol 12(3):177–91

    Article  Google Scholar 

  20. Higgins E, Idson L, Freitas AL, Spiegel S, Molden DC (2003) Transfer of value from fit. J Pers Soc Psychol 84:1140–53

    Article  Google Scholar 

  21. Higgins E (1997) Tory beyond pleasure and pain. Am Psychol 52:1280–200

    Article  Google Scholar 

  22. Higgins T, Friedman R, Harlow R, Idson LC, Ayduk O, Taylor A (2001) Achievement orientations from subjective histories of success: promotion pride versus prevention pride. Eur J Soc Psychol 31 (1):3–23

    Article  Google Scholar 

  23. Hoch S, Banerji S (1993) When do private labels succeed? Sloan Manag Rev 34:57–67

    Google Scholar 

  24. Hwang M, Thomadsen R (2016) How point-of-sale marketing mix impacts national-brand purchase shares. Manag Sci 62(2):571–590

    Article  Google Scholar 

  25. Idson L, Liberman N, Tory Higgins E (2000) Distinguishing gains from nonlosses and losses from nongains: a regulatory focus perspective on hedonic intensity. J Exp Soc Psychol 36:252–74

    Article  Google Scholar 

  26. Lalwani A, Shavitt S (2013) You get what you pay for? self-construal influences price-quality judgments. J Consum Res 40:255–267

    Article  Google Scholar 

  27. Leder S, Florack A, Keller J (2013) Thoughts about possible failure: regulatory focus and the anticipation of regret. Soc Cogn 31(3):349–373

    Article  Google Scholar 

  28. Lee A, Aaker J, Gardner W (2000) The pleasures and pains of distinct self construals: the role of interdependence in regulatory focus. J Pers Soc Psychol 78(June):1122–34

    Article  Google Scholar 

  29. Lee A, Keller P, Sternthal B (2010) Value from regulatory construal fit: the persuasive impact of fit between consumer goals and message concreteness. J Consum Res 36:735–47

    Article  Google Scholar 

  30. Lee L, Ariely D (2006) Shopping goals, goal concreteness and conditional promotions. J Consum Res 33(1):60–70

    Article  Google Scholar 

  31. Luce MF (1998) Choosing to avoid: coping with negatively emotion-laden consumer decisions. J Consum Res 24(March):409–33

    Article  Google Scholar 

  32. Maimaran M, Simonson I (2011) Multiple routes to self versus other expression in consumer choice. J Mark Res 48(4):755–66

    Article  Google Scholar 

  33. Mogilner C, Aaker JL, Pennington GL (2008) Time will tell: the distant appeal of promotion and imminent appeal of prevention. J Consum Res 34(February):670–81

    Article  Google Scholar 

  34. Nowlis SM, Simonson I (1997) Attribute task compatibility as a determinant of consumer preference reversals. J Mark Res 34(2):205–18

    Google Scholar 

  35. Rao A, Monroe KB (1988) The moderating effect of prior knowledge on cue utilization in product evaluations. J Consum Res 15(September):253–64

    Article  Google Scholar 

  36. Richardson P, Dick A, Jain A (1994) Extrinsic and intrinsic cue effects on perceptions of store brand quality. J Mark 58(4):28–36

    Article  Google Scholar 

  37. Sethuraman R, Cole C (1999) Factors influencing the price premiums that consumers pay for national brands over store brands. J Prod Brand Manag 8(4):340–51

    Article  Google Scholar 

  38. Sethuraman R, Cole C (2007) Understanding impulsive eaters’ choice behaviors: The motivational influences of regulatory focus. J Mark Res 44(2):297–308

    Article  Google Scholar 

  39. Shiv B, Carmon Z, Ariely D (2005) Placebo effects of marketing actions: consumers get what they pay for. J Mark Res 42:383–93

    Article  Google Scholar 

  40. Simonson I, Kramer T, Young M (2003) Effect propensity. Organ Behav Hum Decis Process 95(2):158–74

  41. Simonson I, Nowlis S, Lemon K (1993) The effect of local consideration sets on global choice between lower price and higher quality. Mark Sci 12(4):357–377

    Article  Google Scholar 

  42. Simonson I, Tversky A (1992) Choice in context: tradeoff contrast and extremeness aversion. J Mark Res 29:281–95

    Article  Google Scholar 

  43. Steenkamp J-B, Van Heerde H, Geyskens I (2010) What makes consumers willing to pay a price premium for national brands over private labels? J Mark Res 47(6):1011–24

    Article  Google Scholar 

  44. Van H, Harald EG, Pauwels K (2008) Winners and losers in a major pricewar. J Mark Res 45(October):499–518

  45. Wakefield K, Inman J (2003) Situational price sensitivity: the role of consumption occasion, social context and income. J Retail 79(4):199–212

    Article  Google Scholar 

  46. Wan EW, Hong J, Sternthal B (2009) The effect of regulatory orientation and decision strategy on brand judgments. J Consum Res 35(6):1026–1038

    Article  Google Scholar 

  47. Wang J, Torelli CJ, Lalwani AK (2020) The interactive effect of power distance belief and consumers status on preference for national (vs. private-label) brands. J Bus Res 107:1–12

    Article  Google Scholar 

  48. Yan D, Sengupta J (2011) Effects of construal level on the price quality relationship. J Consum Res 38:376–89

    Article  Google Scholar 

  49. Zeithaml V (1988) Consumer perceptions of price, quality, and value: a means end model and synthesis of evidence. J Mark 52:2–22

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Haipeng (Allan) Chen.

Ethics declarations

Conflict of Interest

On behalf of all authors, the corresponding author states that there is no conflict of interest

Additional information

Publisher’s Note

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

Appendices

Appendix A: Stimuli and Measures for Study 1

(The stimuli and measures below were presented to the participants in the USA. They were translated into Korean for participants in South Korea. Prices were converted at an exchange rate of $1= 1,199).

Product Choice

Which tablet would you purchase? _ Product A _ Product B

Weight on Price and Quality

How much attention did you pay to price and quality, respectively, in determining your product preference on the previous page?

Price (1 = very little; 7 = a lot)

Quality (1 = very little; 7 = a lot)

Price and Quality Perceptions (1 = low; 7 = high)

Please answer the following questions.

The quality of Product A is

The price of Product A is

The quality of Product B is

The price of Product B is

Regret (1 = not at all; 7 = very much)

Please answer the following questions.

I should have chosen differently.

I regret the product choice I made.

I now realize how much better the other choice is.

If I were to go back in time, I would choose something different to buy.

Price-Quality Association (1 = not at all; 7 = very much)

Please answer the following questions.

Generally speaking, the higher the price of a tablet, the higher the quality.

Fig. 2
figure 2

Stimuli for Study 1

The old saying “you get what you pay for” is generally true for a tablet.

The price of a tablet is a good indicator of its quality.

You always have to pay a bit more for the best tablet.

Perceived Differences in Price and Quality (1 = strongly disagree; 4 = neutral; 7 = strongly agree)

Please indicate the extent to which you agree or disagree with the following statements.

The prices of two tablets are different.

The quality of two tablets are different.

Goal Orientation Measures (from [22]) (1 = never or seldom; 7 = very often)

Please answer the following questions.

  1. 1.

    Compared to most people, are you typically unable to get what you want out of life? (r)

  2. 2.

    Growing up, would you ever “cross the line” by doing things that your parents would not tolerate? (r)

  3. 3.

    How often have you accomplished things that got you “psyched” to work even harder?

  4. 4.

    Did you get on your parents’ nerves often when you were growing up? (r)

  5. 5.

    How often did you obey rules and regulations that were established by your parents?

  6. 6.

    Growing up, did you ever act in ways that your parents thought were objectionable? (r)

  7. 7.

    Do you often do well at different things that you try?

  8. 8.

    Not being careful enough has gotten me into trouble at times. (r)

  9. 9.

    . When it comes to achieving things that are important to me, I find that I don’t perform as well as I ideally would like to do. (r)

  10. 10.

    I feel like I have made progress toward being successful in my life.

  11. 11.

    I have found very few hobbies or activities in my life that capture my interest or motivate me to put effort into. (r)

(r – reversed coded; items 1, 3, 7, 9, 10 and 11 measure promotion orientation; items 2, 4, 5, 6, 8 measure prevention orientation)

Appendix B: Stimuli and Measures in Study 2

Manipulation check of safety in the pretest

For this product, safety is really important (1 = strongly disagree; 7 = strongly agree)

The goal orientation manipulation

Promotion orientation condition

Among the courses offered this semester, one course is especially important to you. What academic strategies or methods are you using in studying for this course in order to get positive outcomes (e.g., getting a good grade)?

Prevention orientation condition

Among the courses offered this semester, one course is especially important to you. What academic strategies or methods are you using in studying for this course in order to avoid negative outcomes (e.g., failing the course)?

Control condition

As the semester is near its end, please carefully recall the courses you’ve taken. Among those courses, there may some that you really liked and some that you really hated. Please list the courses from the liked to hated (list at least 4 courses).

Fig. 3
figure 3

Products in Study 2 (with product name, price, and quality underneath each picture)

Goal Orientation Manipulation Check

When you were writing down your academic strategies, to what extent were you focused on getting positive outcomes? (1 = Not at all; 7 = a lot)When you were writing down your academic strategies, to what extent were you focused on avoiding negative outcomes? (1 = Not at all; 7 = a lot)

Purchase intention

1 = I’m more willing to buy product A; 7 = I’m more willing to buy Product B

Weights on product quality and price

When purchasing the above product, I’m focused more on product quality (1 = strongly disagree; 7 = strongly agree)When purchasing the above product, I’m focused more on product price (1 = strongly disagree; 7 = strongly agree)

Price and quality perceptions

Product A’s price is very high (1 = strongly disagree; 7 = strongly agree)Product A’s quality is very high (1 = strongly disagree; 7 = strongly agree)Product B’s price is very high (1 = strongly disagree; 7 = strongly agree)Product B’s quality is very high (1 = strongly disagree; 7 = strongly agree)

Regret

I may regret it after I make this purchase (1 = strongly disagree; 7 = strongly agree)

Price-quality association

High price means high quality (1 = strongly disagree; 7 = strongly agree)(Original stimuli in Chinese. English translation provided for illustration.)

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Chen, H.(., Choi, W., Liu, Y.(. et al. More or Less? Consumer Goal Orientation and Product Choice. Cust. Need. and Solut. 8, 16–26 (2021). https://doi.org/10.1007/s40547-021-00114-z

Download citation

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s40547-021-00114-z

Keywords

Navigation