Does a higher perceived product quality need less advertisement to be sold?

Scientific Study , 2009 , 20 Pages

Business economics - Trade and Distribution

In this scientific paper, it is about to prove that higher perceived product quality needs
less advertisement to be sold.
The reader will find theoretical sources as well as an own empirical finding. In this the
effect of "Stiftung Warentest" on the customers purchase decision will be proved. At
the end, it comes out that customer's decision for or against a product is also depends on
seals of quality even if they never heard about this product before.
That means if a product reaches good test results (e.g. in a product test about sun lotions
by Stiftung Warentest), sales should increase while displaying that seal of quality on the
package true to the motto: good products sell themselves.

Inhaltsverzeichnis (Table of Contents)

• Introduction
• Quality
  • Definition
  • Importance
  • Cost of producing quality
• Seal of quality
  • Origin
  • Function
  • "Stiftung Warentest"
    • History
    • Facts, Figures and Financing
    • Example “Sun lotions”
  • ICRT (International Consumer Research and Testing Ltd.)
• Brands, Quality & Advertisement
• Own empirical finding - Experiment
  • Presentation of products
  • Data interpretation
• Conclusion

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This scientific paper aims to prove that products perceived as having higher quality require less advertisement to be sold. The paper draws upon theoretical sources and presents an empirical finding. It examines the effect of "Stiftung Warentest" on customer purchase decisions and demonstrates how seals of quality can influence consumer choices, even for unfamiliar products. The paper argues that products achieving good test results, such as in a sun lotion test conducted by Stiftung Warentest, should experience increased sales when displaying the quality seal on their packaging, echoing the motto: "good products sell themselves."

• The influence of perceived product quality on advertising needs
• The role of seals of quality in consumer decision-making
• The impact of "Stiftung Warentest" on product sales
• The significance of independent quality indicators in a competitive market
• The relationship between quality, advertising, and consumer trust

Zusammenfassung der Kapitel (Chapter Summaries)

The paper begins by exploring the concept of "quality" and its various definitions. It highlights the importance of quality in consumer decision-making and discusses the costs associated with producing high-quality products. The paper then delves into the concept of "seals of quality," focusing on the prominent example of "Stiftung Warentest" in Germany. It provides a historical overview of the organization, its operational structure, and its role in evaluating products. The paper also examines the impact of "Stiftung Warentest" on product sales, using the example of sun lotions. The paper further explores the relationship between brands, quality, and advertising, and concludes with the presentation of an empirical finding and a summary of the key arguments.

Schlüsselwörter (Keywords)

The paper focuses on the concepts of perceived product quality, seals of quality, consumer decision-making, "Stiftung Warentest," advertising effectiveness, and empirical research. It explores the influence of independent quality indicators on consumer trust and purchasing behavior, highlighting the importance of objective assessments in a competitive market.

• Author: Lisa Hamann (Author)
• Publication Year: 2009
• Pages: 20
• Catalog Number: V144980
• ISBN (eBook): 9783640730766
• ISBN (Book): 9783640731046
• Language: English
• Tags: Does