Abstract

Previous research has demonstrated visuals of products and prices can impact consumer perceptions. The current research examines how product-price left-right placement (price left, product right vs. price right, product left) in an ad affects consumers' perceived value. We propose that construal level (high vs. low) can moderate the relationship between product-price left-right placement and perceived value. This research further explores three dimensions of construal level (i.e., mindset, time window and product utilitarian/hedonic value). We also conduct four experiments using different ad formats (i.e., billboard, direct mails, and print ads) to enhance the generalizability of this research. Dependent measures include perceived product value, purchase intention, and willingness to pay. The results indicate that when using low construal level to process the information, experiment subjects s exposed to an ad in which price is placing on the right and product on the left show higher product evaluation of the promoted product than those exposed to the same ad but with price on the left and product on the right. On the other hand, when people receive high construal level to process information, they would show higher product evaluation of the promoted product when viewing an ad with "price on the left, product on the right." Perceived product quality serves as the underlying mechanism behind the above phenomenon. The findings provide marketers with insights regarding advertising design, that is, appropriate price-product left-right placement should be used for the target audience to enhance their advertising effects.  

Keywords

price product left-right placementconstrual leveltime windowproduct utilitarian/hedonic valueperceived quality