6. Okada (2005): Justification effects on consumer choice of hedonic and utilitarian goods

Question 1

Goal gradient effect:

Answer 1

Classic finding from behaviorism that animals expend more effort as they
approach a reward: rats did speed up as the goal approached(Hull 1932).
*Humans also increase efforts as they get closer to their goal!

Question 2

Hypothesis 1:

Answer 2

the presence of the utilitarian alternative makes it more difficult to justify the choice of hedonic option compared to when we only face the hedonic option

Question 3

Hypothesis 2

Answer 3

: Consumers have a higher WTP in time for a hedonic product and a higher WTP in money for a comparable utilitarian product

Question 4

Study 1
explain + resutl

Answer 4

a field study in a restaurant, two dessert options:
The Bailey’s Irish Cream (hedonic)
Cheesecake deLite (utilitarian)
day 1: only an hedonic option
30% decided to order
day 2: only a utilitarian
28% decided to order
day 3: both healthy and unhealthy
35% chose healthy/utilitarian and 20% chose unhealthy/hedonic
results: total number of desserts ordered was higher when there were two options: when presented together, the utilitarian dessert was preferred over the hedonic

Question 5

Study 2 explain + resutl

Answer 5

rating a $50 grocery certificate or a $50 dinner certificate, choosing between them, or stating what they hope a friend would pick for them > all in different order
results: a relative preference for the hedonic option, but in a choice, people pick the utilitarian and when other people choose, people hope for the hedonic option
a demonstration of preference reversal

Question 6

Study 3 & 4 explain and results

Answer 6

data collected from customers of a Nikon camera
first rated the camera on hedonic/utilitarian scale
then, asked how much time they would spend to travel to another store where the camera was $50 cheaper
results: hypothesis 2 supported: for hedonic products, people were willing to spend more time over money, because that is the currency that is easier to justify spending

Question 7

a hedonic alternative tends to be rated more highly than a comparable utilitarian alternative when

Answer 7

presented singly,

Question 8

the utilitarian alternative tends to be chosen over the hedonic alternative when

Answer 8

the two are presented jointly

Question 9

for what are people willin to pay more and for what are people willing to spend time more

Answer 9

They are willing to pay more in time for hedonic goods and more in money for utilitarian goods

Question 10

the presence of the utilitarian alternative makes it more difficult to

Answer 10

justify the choice of hedonic option compared to when we only face the hedonic option