KOREASCHOLAR

The present work aims to extend Meyer, Shankar, & Berry (2017)’s work on antecedents of consumer willingness to pay (WTP). This research paper investigates the role of antecedents such as autonomy, quality variability, complementarity, overall quality and bundle quality, for the traditional bundles (i.e., bundles consisting of either goods or services). The paper uses the choice-based conjoint methodology to measure consumer’s WTP for the traditional bundles in an experimental vignette set-up. The study uses four different types of traditional bundles as consumer stimuli to analyze the factors mentioned above. The results indicate that autonomy, overall bundle quality, and quality variability were significant in influencing the consumer’s WTP. Consumer WTP has been widely used as a factor to derive the optimal prices of the bundles in the literature. For a retailer selling a traditional bundle, it is imperative to have an understanding of consumer WTP and also make an attempt to increase it by offering high customer value. By knowing the factors determining the antecedents of consumer WTP, one can reap higher benefits monetarily as well as in the form of increased customer satisfaction. The paper also challenges the view that it is difficult to influence the consumer’s WTP. It advances the understanding of the factors which influence the consumer WTP for the widely used traditional bundles.

• Shivan Sanjay Patel(Indian Institute of Management Rohtak, India)
• Shivendra Kumar Pandey(Indian Institute of Management Rohtak, India)
• Dheeraj Sharma(Indian Institute of Management Rohtak, India)
• Rama Shankar Yadav(Indian Institute of Management Rohtak, India)