Short answer
Designers and marketers should prioritize competitive pricing and impactful promotional strategies, while also investing in building a strong brand image that enhances the perceived value of product offerings.
- Field
- Innovation & Markets
- Source
- International Journal of Process Management and Benchmarking (2020)
- Method
- Quantitative research using a survey and statistical analysis.
- Sample
- 304 participants
- Evidence
- Strong effect
Strategic adjustments to pricing and promotional activities significantly influence consumer decisions to switch smartphone brands. This innovation & markets research insight is drawn from a 2020 study published in International Journal of Process Management and Benchmarking. Using Quantitative research using a survey and statistical analysis. with 304 participants, researchers explored how this design variable affects real-world outcomes. The key design takeaway: Designers and marketers should prioritize competitive pricing and impactful promotional strategies, while also investing in building a strong brand image that enhances the perceived value of product offerings.
Price and Promotion Drive Smartphone Brand Switching
Strategic adjustments to pricing and promotional activities significantly influence consumer decisions to switch smartphone brands.
International Journal of Process Management and Benchmarking · 2020
Key Findings
- 01Price has a direct effect on brand switching.
- 02Promotion has a direct effect on brand switching.
- 03Brand effect partially mediates the relationship between product, price, and brand switching.
Application
Design takeaway
Designers and marketers should prioritize competitive pricing and impactful promotional strategies, while also investing in building a strong brand image that enhances the perceived value of product offerings.
How to apply
When developing a new product or marketing campaign, conduct market research to understand current pricing sensitivities and promotional effectiveness within the target segment. Design product features and marketing communications to align with these findings.
Project actions
- 01Clearly define your target market and their price sensitivity.
- 02Consider how brand perception can be influenced through design and communication.
Method & Evidence
Variables
Strengths & Limitations
Strengths
- +Uses statistical analysis to provide empirical evidence.
- +Investigates the mediating role of brand effect, adding nuance to the findings.
Limitations
The study relies on self-reported data, which may be subject to biases. The specific context of the Malaysian smartphone market might not be directly transferable.
Reliability & validity
The study's reliability could be assessed by the consistency of results if replicated. Validity is supported by the use of established statistical methods (SmartPLS) to measure theoretical constructs.
Think critically
To what extent do cultural factors, beyond price and promotion, influence brand switching in different markets?
Design Principles
"The perceived value of a product is a function of its tangible attributes (price, features) and intangible attributes (brand perception), both of which can be leveraged to influence consumer behaviour."
Understanding the direct impact of price and promotion on brand switching is crucial for developing effective marketing strategies. This insight helps design teams and marketers allocate resources more efficiently to campaigns that are most likely to attract new customers and retain existing ones in competitive markets.
What This Means for Your Design
If you want people to switch to your smartphone, make it cheaper and offer good deals. How people feel about your brand also matters a lot.
How to use in your project
- 1.Use this study to justify focusing on pricing and promotional strategies in your design project's marketing plan.
- 2.Cite this research when discussing how brand perception can influence user adoption of a new product.
Add to My Project
Quick Cite
Paragraph starter
Research indicates that price and promotional activities are significant drivers of brand switching in the smartphone market, with brand perception acting as a mediating factor. This suggests that for a successful product launch or redesign, careful consideration must be given to competitive pricing strategies and impactful promotional campaigns, alongside efforts to cultivate a strong and positive brand image.
Source
International Journal of Process Management and Benchmarking
Brand switching through marketing mix: the role of brand effect on smartphone users
journal · 2020
View sourceQuestions About This Research
- What does the research say about price and promotion drive smartphone brand switching?
- Designers and marketers should prioritize competitive pricing and impactful promotional strategies, while also investing in building a strong brand image that enhances the perceived value of product offerings. Evidence: International Journal of Process Management and Benchmarking (2020).
- Why does "Price and Promotion Drive Smartphone Brand Switching" matter for design?
- Understanding the direct impact of price and promotion on brand switching is crucial for developing effective marketing strategies. This insight helps design teams and marketers allocate resources more efficiently to campaigns that are most likely to attract new customers and retain existing ones in competitive markets.
- How can designers apply this research?
- Designers and marketers should prioritize competitive pricing and impactful promotional strategies, while also investing in building a strong brand image that enhances the perceived value of product offerings.
- What were the main findings?
- Price has a direct effect on brand switching.. Promotion has a direct effect on brand switching.. Brand effect partially mediates the relationship between product, price, and brand switching.
- What research method was used?
- Quantitative research using a survey and statistical analysis. with 304 participants.
- How strong is the evidence?
- Evidence strength is rated Strong effect, based on a 2020 journal from International Journal of Process Management and Benchmarking.
- What should I do differently in my next project?
- When developing a new product or marketing campaign, conduct market research to understand current pricing sensitivities and promotional effectiveness within the target segment. Design product features and marketing communications to align with these findings.
- What are the limitations?
- The findings may be specific to the Malaysian market and the current smartphone landscape, potentially limiting generalizability to other regions or product categories.