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Gilt and Guilt: Should Luxury and Charity Partner at the Point of Sale?

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  • Hagtvedt, Henrik
  • Patrick, Vanessa M.

Abstract

If luxury retail strategy aims to generate awe rather than community, while charities convey community rather than awe, should luxury and charity partner at the point of sale? This research suggests that an association with charity at the point of sale can increase choice of (Study 1) and purchase intent toward (Study 2) a luxury brand and can facilitate upselling to a luxury (vs. value) store brand (Study 3). Further, it implicates guilt reduction as the underlying process mechanism (Studies 2 and 3). Managerial and retailing implications for cause-related marketing of luxury (vs. value) brands are discussed.

Suggested Citation

  • Hagtvedt, Henrik & Patrick, Vanessa M., 2016. "Gilt and Guilt: Should Luxury and Charity Partner at the Point of Sale?," Journal of Retailing, Elsevier, vol. 92(1), pages 56-64.
    • Handle: RePEc:eee:jouret:v:92:y:2016:i:1:p:56-64
    DOI: 10.1016/j.jretai.2015.07.004
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    3. Grinstein, Amir & Hagtvedt, Henrik & Kronrod, Ann, 2019. "Aesthetically (dis)pleasing visuals: A dual pathway to empathy and prosocial behavior," International Journal of Research in Marketing, Elsevier, vol. 36(1), pages 83-99.
    4. de Kerviler, Gwarlann & Rodriguez, Carlos M., 2019. "Luxury brand experiences and relationship quality for Millennials: The role of self-expansion," Journal of Business Research, Elsevier, vol. 102(C), pages 250-262.
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    6. Dongho Yoo & Jung-Ae Kim & Sun-Jae Doh, 2018. "The Dual Processing of Donation Size in Cause-Related Marketing (CRM): The Moderating Roles of Construal Level and Emoticons," Sustainability, MDPI, vol. 10(11), pages 1-21, November.
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    9. Laura Broccardo & Francesca Culasso & Amandeep Dhir & Elisa Truant, 2023. "Corporate social responsibility: Does it really matter in the luxury context?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(1), pages 105-118, January.
    10. Michel, Géraldine & Stathopoulou, Anastasia & Valette-Florence, Pierre, 2022. "Luxury is still alive and well: A spotlight on its multifaceted components," Journal of Business Research, Elsevier, vol. 153(C), pages 276-284.
    11. Desmichel, Perrine & Kocher, Bruno, 2020. "Luxury Single- versus Multi-Brand Stores: The Effect of Consumers’ Hedonic Goals on Brand Comparisons," Journal of Retailing, Elsevier, vol. 96(2), pages 203-219.
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    15. Fernanda Muniz & Francisco Guzmán, 2021. "Overcoming the conflicting values of luxury branding and CSR by leveraging celebrity endorsements to build brand equity," Journal of Brand Management, Palgrave Macmillan, vol. 28(3), pages 347-358, May.
    16. Gwarlann de Kerviler & Carlos Rodriguez, 2019. "Luxury brand experiences and relationship quality for Millennials: The role of self-expansion," Post-Print hal-02114441, HAL.
    17. Jenni Sipilä & Sascha Alavi & Laura Marie Edinger-Schons & Sabrina Dörfer & Christian Schmitz, 2021. "Corporate social responsibility in luxury contexts: potential pitfalls and how to overcome them," Journal of the Academy of Marketing Science, Springer, vol. 49(2), pages 280-303, March.
    18. De Vries, Eline L.E. & Duque, Lola C., 2018. "Small but Sincere: How Firm Size and Gratitude Determine the Effectiveness of Cause Marketing Campaigns," Journal of Retailing, Elsevier, vol. 94(4), pages 352-363.
    19. Tejaswi Patil & Zillur Rahman, 2023. "A bibliometric analysis of scientific literature on guilt in marketing," Management Review Quarterly, Springer, vol. 73(3), pages 1385-1415, September.
    20. Tejaswi Patil & Zillur Rahman, 2023. "Mapping the Cause-Related Marketing (CRM) field: document co-citation and bibliographic coupling approach," International Review on Public and Nonprofit Marketing, Springer;International Association of Public and Non-Profit Marketing, vol. 20(2), pages 491-520, June.
    21. Marlene Vock, 2022. "Luxurious and responsible? Consumer perceptions of corporate social responsibility efforts by luxury versus mass-market brands," Journal of Brand Management, Palgrave Macmillan, vol. 29(6), pages 569-583, November.
    22. Ko, Eunju & Costello, John P. & Taylor, Charles R., 2019. "What is a luxury brand? A new definition and review of the literature," Journal of Business Research, Elsevier, vol. 99(C), pages 405-413.
    23. Arslanagic-Kalajdzic, Maja & Kadic-Maglajlic, Selma & Dlacic, Jasmina & Zabkar, Vesna, 2022. "“We Go Together”: Understanding social cause-related purchase intentions of young adults," Journal of Business Research, Elsevier, vol. 140(C), pages 130-142.
    24. Roggeveen, Anne L. & Grewal, Dhruv & Karsberg, John & Noble, Stephanie M. & Nordfält, Jens & Patrick, Vanessa M. & Schweiger, Elisa & Soysal, Gonca & Dillard, Annemarie & Cooper, Nora & Olson, Richard, 2021. "Forging meaningful consumer-brand relationships through creative merchandise offerings and innovative merchandising strategies," Journal of Retailing, Elsevier, vol. 97(1), pages 81-98.
    25. Amatulli, Cesare & De Angelis, Matteo & Pino, Giovanni & Guido, Gianluigi, 2020. "An investigation of unsustainable luxury: How guilt drives negative word-of-mouth," International Journal of Research in Marketing, Elsevier, vol. 37(4), pages 821-836.

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