Tangibility consequences for ethnic marketing strategy
by Guilherme Pires, John Stanton, Patricia Stanton
Global Business and Economics Review (GBER), Vol. 6, No. 1, 2004

Abstract: The influence of intangibility on ethnic minority consumers' choice of service providers is reflected in their use of information sources, choice criteria, motivation for switching and valuation of provider attributes. This is examined by drawing from survey responses given by members of a minority ethnic group (the Portuguese community in Sydney) concerning their choice of providers of 16 different service-products. These are classified into search, experience and credence classes based on their varying tangibility and evaluation qualities. Information search behaviour and valued attributes differ between all three classes, but in particular between the search class and the others. Tangibility matters, indicating that each class should be treated separately for strategy purposes. Ethnic minority consumers' value continuing relationships with providers in all three classes but particularly in the provision of credence based service-products, where habituation to the provider is the most valued attribute.

Online publication date: Mon, 07-Feb-2005

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