Cost-Benefit Associations and Their Influence on Loan Experience

We assessed whether the degree to which consumers mentally associate costs and benefits of a loan transaction has an impact on consumer experiences. Three studies show that differences in strength and direction (from costs to benefits or vice versa) of associations are related to the perceived aversiveness of payments. Payments are the more painful, the more benefits evoke thoughts of costs. Conversely, the degree to which costs evoke benefits has no influence on consumer experiences. These results contrast with previously established theories. An alternative theoretical account is discussed and future research directions are suggested.



Citation:

Bernadette Kamleitner, Erik Hoelzl, and Erich Kirchler (2009) ,"Cost-Benefit Associations and Their Influence on Loan Experience", in NA - Advances in Consumer Research Volume 36, eds. Ann L. McGill and Sharon Shavitt, Duluth, MN : Association for Consumer Research, Pages: 607-608.

Authors

Bernadette Kamleitner, University of London, UK
Erik Hoelzl, Universitaet Wien, Austria
Erich Kirchler, Universitaet Wien, Austria



Volume

NA - Advances in Consumer Research Volume 36 | 2009



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