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- December 2020
- Article
Consumer Reactance to Promotional Favors
By: Marco Bertini and Aylin Aydinli
Promotional favors are an increasingly popular but seldom researched form of price promotion where the receipt of the saving by consumers depends on an action on their part that is nonmonetary in nature, such as completing a questionnaire, posting a review, or making a...
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Keywords:
Promotional Favors;
Conditional Discounts;
Psychological Reactance;
Price Promotions;
Pricing;
Marketing;
Price;
consumer Behavior
Bertini, Marco, and Aylin Aydinli. "Consumer Reactance to Promotional Favors." Journal of Retailing 96, no. 4 (December 2020): 578–589.
- November 2020
- Teaching Note
DayTwo: Going to Market with Gut Microbiome
By: Ayelet Israeli
Teaching Note for HBS Case No. 519-010. DayTwo is a young Israeli startup that applies research on the gut microbiome and machine learning algorithms to deliver personalized nutritional recommendations to its users in order to minimize blood sugar spikes after meals....
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Keywords:
Start-up Growth;
Startup;
Positioning;
Targeting;
Go To Market Strategy;
B2b Vs. B2c;
B2b2c;
Health & Wellness;
Ai;
Machine Learning;
Female Ceo;
Female Protagonist;
Science-based;
Science And Technology Studies;
Ecommerce;
Applications;
Dtc;
Direct To Consumer Marketing;
Us Health Care;
"usa,";
Innovation;
Pricing;
Business Growth;
Segmentation;
Distribution Channels;
Growth And Development Strategy;
Business Startups;
Science-based Business;
Health;
Innovation And Invention;
Marketing;
Technology;
Business Growth And Maturation;
Health Industry;
Technology Industry;
Insurance Industry;
Information Technology Industry;
Food And Beverage Industry;
Israel;
United States
- 2020
- Working Paper
'Repayment-by-Purchase' Helps Consumers to Reduce Credit Card Debt
By: Grant E. Donnelly, Cait Lamberton, Stephen Bush, Zoe Chance and Michael I. Norton
Many consumers struggle to repay their credit card debt, in part because paying small portions of large bills often feels fruitless. We introduce a novel credit card payment option—repayment-by-purchase—and examine its influence on both the amount consumers’ repay and...
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Keywords:
Consumer Debt;
Goal Pursuit;
Goal Progress;
Financial Decison-making;
Personal Finance;
Credit Cards;
Borrowing And Debt;
Goals And Objectives;
Motivation And Incentives;
Decision Making
Donnelly, Grant E., Cait Lamberton, Stephen Bush, Zoe Chance, and Michael I. Norton. "'Repayment-by-Purchase' Helps Consumers to Reduce Credit Card Debt." Harvard Business School Working Paper, No. 21-060, November 2020.
- Article
Nudging: Progress to Date and Future Directions
By: John Beshears and Harry Kosowsky
Nudges influence behavior by changing the environment in which decisions are made, without restricting the menu of options and without altering financial incentives. This paper assesses past empirical research on nudging and provides recommendations for future work in...
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Keywords:
Nudge;
Choice Architecture;
Behavioral Economics;
Behavioral Science;
Behavior;
Change;
Situation Or Environment;
Decision Choices And Conditions;
Decision Making
Beshears, John, and Harry Kosowsky. "Nudging: Progress to Date and Future Directions." Organizational Behavior and Human Decision Processes 161, Supplement (November 2020): 3–19.
- October 2020
- Article
Overcoming Resource Scarcity: Consumers' Response to Gifts Intending to Save Time and Money
By: Alice Lee-Yoon, Grant Donnelly and A.V. Whillans
Consumers feel increasingly pressed for time and money. Gifts have the potential to reduce scarcity in recipients’ lives, yet little is known about how recipients perceive gifts given with the intention of saving them time or money. Across four studies (N=1,403), we...
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Lee-Yoon, Alice, Grant Donnelly, and A.V. Whillans. "Overcoming Resource Scarcity: Consumers' Response to Gifts Intending to Save Time and Money." Special Issue on Scarcity and Consumer Decision Making. Journal of the Association for Consumer Research 5, no. 4 (October 2020): 391–403.
- September 22, 2020
- Article
Amazon's AI Is Learning New Rules to Win for the Holidays: With Stressed Supply Chains and Changing Consumer Behaviors, the Holidays Are Likely to Accelerate Amazon's Advantage
By: Jeffrey F. Rayport and Niall Murphy
Rayport, Jeffrey F., and Niall Murphy. "Amazon's AI Is Learning New Rules to Win for the Holidays: With Stressed Supply Chains and Changing Consumer Behaviors, the Holidays Are Likely to Accelerate Amazon's Advantage." Forbes.com (September 22, 2020).
- September 2020 (Revised December 2020)
- Case
Hot Wheels at Mattel: Reinventing the Wheel
By: Elie Ofek, Andres Terech and Nicole Tempest Keller
In 2017, Chris Down, Global Brand General Manager for Hot Wheels, and his team from the Advanced Play Group within Mattel, Inc., were considering which innovation path to pursue in order to "future proof" the Hot Wheels franchise going forward. Hot Wheels was the...
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Keywords:
Toys;
Industry Evolution;
Digital Transformation;
Innovation Strategy;
Product Development;
Growth And Development Strategy;
Technological Innovation;
Organizational Change And Adaptation;
Decision Making
Ofek, Elie, Andres Terech, and Nicole Tempest Keller. "Hot Wheels at Mattel: Reinventing the Wheel." Harvard Business School Case 521-015, September 2020. (Revised December 2020.)
- 2020
- Working Paper
Consumers Punish Firms that Cut Employee Pay in Response to COVID-19
By: Bhavya Mohan, Serena Hagerty and Michael Norton
Two experiments, including one incentive compatible study, examine the impact of cutting pay for executives versus employees in response to COVID-19 on consumer behavior. Study 1 explores the effect of announcing cuts or no cuts to CEO and employee pay, and shows that...
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Keywords:
Employee Furloughs;
Ceo Pay Cuts;
Pay Ratios;
Purchase Intention;
Health Pandemics;
Employees;
Wages;
Executive Compensation;
consumer Behavior
Mohan, Bhavya, Serena Hagerty, and Michael Norton. "Consumers Punish Firms that Cut Employee Pay in Response to COVID-19." Harvard Business School Working Paper, No. 21-020, August 2020.
- August 2020 (Revised September 2020)
- Case
Facelift at Olay (A)
By: Sunil Gupta, Rajiv Lal and Olivia Hull
By October 2017, Procter & Gamble’s skincare brand Olay has been struggling with declining sales for several years. The team has tried many remedies, but none has returned the brand to growth. As pressure grows from Olay’s competitors, including hundreds of new...
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Keywords:
Advertising;
Advertising Campaigns;
Demographics;
Age;
Brands And Branding;
Marketing Channels;
Competitive Advantage;
Competitive Strategy;
Online Advertising;
Transformation;
Marketing Strategy;
Social Marketing;
Beauty And Cosmetics Industry;
United States;
Ohio
Gupta, Sunil, Rajiv Lal, and Olivia Hull. "Facelift at Olay (A)." Harvard Business School Case 521-011, August 2020. (Revised September 2020.)
- July 2020
- Case
Kathy Fish at Procter & Gamble: Navigating Industry Disruption by Disrupting from Within
By: Emily Truelove, Linda A. Hill and Emily Tedards
When Kathy Fish, Procter & Gamble’s Chief Research, Development & Innovation Officer, and a 40-year company veteran, stepped into her role in 2014, she was concerned that the world’s leading consumer packaged goods company had lost its capability to produce a steady...
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Keywords:
Female Protagonist;
Organizational Change;
Organizational Behavior;
Culture Change;
Digital;
Digital Transformation;
Innovation;
Lean Startup;
Experimentation;
Metrics;
Consumer Packaged Goods (cpg);
Leadership;
Leading Change;
Change Management;
Organizational Culture;
Organizational Change And Adaptation;
Disruption;
Innovation And Invention
Truelove, Emily, Linda A. Hill, and Emily Tedards. "Kathy Fish at Procter & Gamble: Navigating Industry Disruption by Disrupting from Within." Harvard Business School Case 421-012, July 2020.
- 2020
- Article
Service Provider Salience: When Guilt Undermines Consumer Willingness to Buy Time
By: Ashley V. Whillans, Alice Lee-Yoon and Elizabeth W. Dunn
Spending money on time-saving services can improve happiness and reduce stress. Yet many people do not spend money to save time even when they can afford to do so, potentially because they feel guilty about paying other people to complete disliked tasks on their...
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Keywords:
Time;
Identifiable Victim Effect;
Social Support;
Happiness;
Money;
Spending;
Attitudes;
consumer Behavior
Whillans, Ashley V., Alice Lee-Yoon, and Elizabeth W. Dunn. "Service Provider Salience: When Guilt Undermines Consumer Willingness to Buy Time." Art. 28. Collabra: Psychology 6 (2020).
- May 2020
- Teaching Note
Direct to Consumer Brands
By: Sunil Gupta
In recent years, we have seen a dramatic rise of direct-to-consumer (DTC) brands. Many of these brands, such as Dollar Shave Club, Harry’s, Glossier, and Allbirds, entered mature markets dominated by established companies, and yet they grew rapidly to attain valuations...
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- April 2020
- Teaching Note
Glossier: Co-Creating a Cult Brand with a Digital Community
By: Jill Avery
Teaching Note for HBS No. 519-022. Flush with cash from its Series C fundraise, cult beauty brand Glossier considers its next phase of growth, facing critical decisions on how to allocate its capital to support various marketing communications and distribution...
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Keywords:
Digital Marketing;
Crowdsourcing;
Social Media;
Crm;
Startup;
Direct-to-consumer;
Dtc;
Marketing;
Marketing Strategy;
Brands And Branding;
consumer Behavior;
Customer Relationship Management;
Venture Capital;
Business Startups;
Entrepreneurship;
Beauty And Cosmetics Industry;
United States
- March 31, 2020
- Article
Reinventing the Direct-to-Consumer Business Model
By: Len Schlesinger, Matt Higgins and Shaye Roseman
Over the past decade, a new breed of “direct-to-consumer” (DTC) startups, including Warby Parker and Casper, helped forge a new business model. But lately that business model is faltering as the advantages that early entrants enjoyed have evaporated. To retool, DTC...
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Schlesinger, Len, Matt Higgins, and Shaye Roseman. "Reinventing the Direct-to-Consumer Business Model." H05HI1. Harvard Business Review Digital Articles (March 31, 2020).
- March 2020 (Revised February 2021)
- Case
Levi Strauss (A): A Pioneer Lost in the Wilderness
By: Joshua Margolis, Ashish Nanda, Margaret Cross, Imran Manji and Bismah Rahmat
In 2011, newly appointed CEO Chip Bergh needed to urgently turn around the iconic but floundering denim apparel firm, Levi Strauss & Co. (LS&Co.) Famous for its blue jeans, LS&Co. had suffered a decline in revenue of 29% from $6.8 billion in 1997 to $4.8 billion in...
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- March 2020
- Case
Thingtesting: Launching a Brand Discovery and Testing Digital Community
By: Ayelet Israeli and Jill Avery
Thingtesting, a brand discovery and testing digital community devoted to uncovering and exploring direct-to-consumer brands, had just received seed funding and was contemplating a second year of growth. The new year brought many challenges, as founder Jenny Gyllander...
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Keywords:
Influencer Marketing;
Monetization;
Female Ceo;
Female Entrepreneur;
Female Protagonist;
Marketing;
Brands And Branding;
Marketing Strategy;
Venture Capital;
Entrepreneurship;
Marketing Communications;
consumer Products Industry;
Financial Services Industry;
Advertising Industry;
London;
United Kingdom;
United States;
Europe;
North America
Israeli, Ayelet, and Jill Avery. "Thingtesting: Launching a Brand Discovery and Testing Digital Community." Harvard Business School Case 520-086, March 2020.
- March 2020
- Case
Maven Clinic: Women's Health in the Digital Age
By: Ariel D. Stern and Sarah Mehta
In late 2017, Kate Ryder, the founder and CEO of digital women’s health telemedicine company Maven Clinic, faced an important decision. Maven offered both a direct to consumer (D2C) product that anyone could use to book virtual appointments with health practitioners...
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Keywords:
Business Growth And Maturation;
Business Model;
Business Startups;
Entrepreneurship;
Health;
Health Care And Treatment;
Strategy;
Technology;
Software;
Health Industry;
Technology Industry;
United States
Stern, Ariel D., and Sarah Mehta. "Maven Clinic: Women's Health in the Digital Age." Harvard Business School Case 620-035, March 2020.
- February 2020 (Revised January 2021)
- Case
Anomalie
By: Jeffrey F. Rayport and Thomas O. Jones
In early 2019, the founders of Anomalie, an online direct-to-consumer provider of bridal gowns, have just agreed to an $13.6 million Series A investment from a Silicon Valley VC. They are considering three major initiatives as they move forward. (1) To scale their...
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- 2020
- Working Paper
From Sweetheart to Scapegoat: Brand Selfie-Taking Shapes Consumer Behavior
By: Reto Hofstetter, Gabriela Kunath and Leslie K. John
Increasingly, consumers are taking self-photos and marketers, eager to capitalize on this trend, have been asking consumers to take self-photos with brands (i.e., brand selfies). We suggest that consumer compliance with such requests sparks a self-inferential process...
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Keywords:
Brand Selfie;
Photo-taking;
Self-perception;
Self-inferences;
Self-brand Connection;
Brands And Branding;
consumer Behavior;
Perception
Hofstetter, Reto, Gabriela Kunath, and Leslie K. John. "From Sweetheart to Scapegoat: Brand Selfie-Taking Shapes Consumer Behavior." Harvard Business School Working Paper, No. 20-085, February 2020.
- January–February 2020
- Article
Consumer Reactions to Drip Pricing
By: Shelle Santana, Steven Dallas and Vicki Morwitz
This research examines how drip pricing—a strategy whereby a firm advertises only part of a product’s price upfront and then reveals additional mandatory or optional fees/surcharges as the consumer proceeds through the buying process—affects consumer choice and...
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Keywords:
Drip Pricing;
Pricing;
Consumer Protection;
Hidden Fees;
Price;
consumer Behavior;
Perception
Santana, Shelle, Steven Dallas, and Vicki Morwitz. "Consumer Reactions to Drip Pricing." Marketing Science 39, no. 1 (January–February 2020): 188–210.