Article2010

Effects of social responsibility labelling and brand on willingness to pay for apparel

106 citations0/0 files storedInternational Journal of Consumer Studies

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Environmental Sustainability in Business Consumer Market Behavior and Pricing Consumer Behavior in Brand Consumption and Identification

Abstract

Abstract This study examined changes in consumer willingness to pay (WTP) for apparel products as labour‐related information and brand were added. Tobit analysis of auction bids from 121 university students for t‐shirts showed men, Hispanics and consumers who believe in social responsibility and fair trade had significantly higher WTP once labour‐related labelling was added. The amount and complexity of information did not matter, leaving substantial leeway to companies in crafting their message. Adding brand significantly increased WTP for two better‐known brands while not changing WTP for the social responsibility messages. Results suggested brands can benefit from stressing social responsibility‐related attributes of products.

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References

1961COUNTERSPECULATION, AUCTIONS, AND COMPETITIVE SEALED TENDERS 2004Why We Boycott: Consumer Motivations for Boycott Participation 2003What Will Consumers Pay for Social Product Features?1999Effects of Information About Firms’ Ethical and Unethical Actions on Consumers’ Attitudes 1999Going shopping: key determinants of shopping behaviors and motivations 2001Utility of No Sweat Labels for Apparel Consumers: Profiling Label Users and Predicting Their Purchases 2008Can Consumers Buy Responsibly? Analysis and Solutions for Market Failures

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2011Research on Fair Trade Consumption—A Review 2012Socially Responsible Labeling 2021Customers’ risk perception and dine-out motivation during a pandemic: Insight for the restaurant industry 2023Consumers' willingness to pay for corporate social responsibility: Theory and evidence 2013Consciousness for fair consumption: conceptualization, scale development and empirical validation 2015Consumer attitudes towards luxury fashion apparel made in sweatshops

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