Formation of Consumer Price Expectation Based on Package Design: Attractive and Quality Routes

Abstract

Drawing from dual-process theories, this paper examines how generic design factors influence consumer price expectation with judgments of attractiveness and quality as mediators. In addition, it determines how centrality of visual product aesthetics (CVPA), an individual difference variable that captures a consumer's interest and involvement in aesthetics, affects these processes. Results indicate that the influence of natural designs on consumer price expectation is mediated through judgments of quality and attractiveness, harmonious designs exert a direct effect on price expectation and an indirect effect through quality judgments, and elaborate designs exert both direct and indirect effects via quality and via attractiveness. Compared to low-CVPA consumers, high-CVPA individuals base both quality and attractiveness judgments to a greater extent on design, and base their price expectation more strongly on the package's attractiveness. However, high-CVPA individuals do not infer higher quality from attractive packages than do individuals low in CVPA. Implications focus on assisting managers in pricing decisions and on advancing research on design effects.