When Opposites Detract: The Impact of Categorization on Consumers’ Willingness to Pay for Product Combinations
نویسندگان
چکیده
How do consumers determine the value of combinations that include both highand lowpriced products? Prior findings suggest that value judgments are typically additive, such that when each bundled item has positive utility, the overall value of the bundle is at least as great as the value of any individual item it contains. In contrast, this research documents that combining items in different price tiers can lead not only to additive, but also to subtractive judgments in which consumers are willing to pay less for a bundle than for one of the items it contains. This subtraction effect is attributed to the interplay between categorical and numeric representations of value when items classified into opposing categories are combined. Four empirical studies lend converging support to the proposition that categorization can lead to subtractive judgments.
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