Environmental-friendly Eco-labeling Matters: Evidences From an ERPs Study

A systematic review of the prediction of consumer preference using EEG measures and machine-learning in neuromarketing research

Introduction

The present paper discusses the findings of a systematic review of EEG measures in neuromarketing, identifying which EEG measures are the most robust predictor of customer preference in neuromarketing. The review investigated which TF effect (e.g., theta-band power), and ERP component (e.g., N400) was most consistently reflective of self-reported preference. Machine-learning prediction also investigated, along with the use of EEG when combined with physiological measures such as eye-tracking.

Methods

Search terms ‘neuromarketing’ and ‘consumer neuroscience’ identified papers that used EEG measures. Publications were excluded if they were primarily written in a language other than English or were not published as journal articles (e.g., book chapters). 174 papers were included in the present review.

Results

Frontal alpha asymmetry (FAA) was the most reliable TF signal of preference and was able to differentiate positive from negative consumer responses. Similarly, the late positive potential (LPP) was the most reliable ERP component, reflecting conscious emotional evaluation of products and advertising. However, there was limited consistency across papers, with each measure showing mixed results when related to preference and purchase behaviour.

Conclusions and implications

FAA and the LPP were the most consistent markers of emotional responses to marketing stimuli, consumer preference and purchase intention. Predictive accuracy of FAA and the LPP was greatly improved through the use of machine-learning prediction, especially when combined with eye-tracking or facial expression analyses.

How do extrinsic cues influence consumers’ online hotel booking decisions? An event-related potential experiment

Booking decision is a typical decision-making behavior in hospitality, while the neural processing of it is still unclear. To address this issue, with the help of event-related potential (ERP), this work uncovered the neural mechanism of the influence of two extrinsic cues, namely, brand familiarity (familiar vs. unfamiliar) and online reviews (positive vs. negative) on online hotel booking decisions. Behavioral results indicated that the booking rate under the condition of positive reviews was higher than that of negative reviews. In addition, the response time in the case of familiar brands was longer than that of unfamiliar brands. ERP results showed that the P200 amplitude of familiar brands was smaller than that of unfamiliar brands, while for the late positive potential amplitude, the opposite was the case. It is suggested that in the early stage of cognitive processing, unfamiliar brands evoke more automatic and unconscious attention while in the later stage, familiar brands attract more conscious attention. This study also found that the N400 amplitude of negative online reviews was larger than that of positive online reviews, indicating that negative stimuli can result in a larger emotional conflicts than that of positive stimuli. This study provides new insights into the neural mechanism of online booking decisions in the hospitality.

A framework for application of consumer neuroscience in pro-environmental behavior change interventions

Most consumers are aware that climate change is a growing problem and admit that action is needed. However, research shows that consumers' behavior often does not conform to their value and orientations. This value-behavior gap is due to contextual factors such as price, product design, and social norms as well as individual factors such as personal and hedonic values, environmental beliefs, and the workload capacity an individual can handle. Because of this conflict of interest, consumers have a hard time identifying the true drivers of their behavior, as they are either unaware of or unwilling to acknowledge the processes at play. Therefore, consumer neuroscience methods might provide a valuable tool to uncover the implicit measurements of pro-environmental behavior (PEB). Several studies have already defined neurophysiological differences between green and non-green individuals; however, a behavior change intervention must be developed to motivate PEB among consumers. Motivating behavior with reward or punishment will most likely get users engaged in climate change action via brain structures related to the reward system, such as the amygdala, nucleus accumbens, and (pre)frontal cortex, where the reward information and subsequent affective responses are encoded. The intensity of the reward experience can be increased when the consumer is consciously considering the action to achieve it. This makes goal-directed behavior the potential aim of behavior change interventions. This article provides an extensive review of the neuroscientific evidence for consumer attitude, behavior, and decision-making processes in the light of sustainability incentives for behavior change interventions. Based on this review, we aim to unite the current theories and provide future research directions to exploit the power of affective conditioning and neuroscience methods for promoting PEB engagement.

The impact of empathy with nature on green purchase behavior: An ERP study

Due to the attitude-behavior gap in green consumption, it is necessary to conduct more research on consumers' actual purchase behavior. At present, few studies have been conducted on the impact of empathy with nature on green purchase behavior. This research explored the underlying neural mechanism of empathy with nature on consumers' green purchase decisions by applying the event-related potentials (ERPs) approach. Behaviorally, compared with the control group, the experimental group had a higher purchase rate of green products and spent less time when buying green products. For the experimental group, buying green products required less time than buying traditional products. At the neural level, when buying green products, the N2 and N400 amplitudes of the experimental group were smaller than those of the control group. For the experimental group, buying green products elicited a smaller N2 amplitude than buying traditional products. These findings suggested that empathy with nature could reduce consumers' decision conflict when buying green products, thereby promoting consumers' green purchase behavior.

Is Distant Extension Always Upset? Neural Evidence of Empathy and Brand Association Affect Distant Extension Evaluation

Distant brand extension as an essential strategy of obtaining benefits was highly focused on the normal marketing practice and academic research. In the current study, we aim to recognize that how individuals with different levels of empathy respond to distant extensions under corporate social responsibility (CSR) and corporate competence (CC) associations to explore the corresponding neural mechanisms using event-related potentials (ERPs). We divided subjects into two groups involving a high empathy (HE) group and a low empathy (LE) group according to an empathy measure questionnaire. The subjects first faced a brand name following the CSR or CC association descriptions, and then, they were asked to evaluate the new product of brand by a five-point scale. Current results revealed that the participants of the HE group were more apt to accept the distant extension products than those of the LE group. Additionally, in the HE group, products from a brand with CSR associations were more acceptable than CC associations. Moreover, a larger N2 amplitude was elicited in the LE group than in the HE group. For the LE group, an augment N2 was found under CSR than CC associations, reflecting that LE consumers might perceive conflict when evaluating distant extensions and allocate more cognitive resources to deal with CSR information. At the later stage, the HE group showed a greater P3 than the LE group. For the HE group, an increased P3 was elicited under CSR than CC associations, suggesting that empathic individuals might show motivational salience and helping willingness toward distant extension products, especially under the CSR scenario. These results provide potential electrophysiological evidence for the positive impact of brand associations on the evaluation of distant brand extension in the case of subdividing different empathic individuals.

Neural Responses to Mandatory and Voluntary Donation Impact Charitable Giving Decisions: An Event-Related Potentials Study

The present study aimed to explore the influence of donation amounts on donation decisions in different donation contexts and to reveal the psychological mechanisms. Furthermore, we focused on how to enhance individuals' intention to donate voluntarily. We designed an experiment on donation decisions, employing event-related potentials (ERPs) to probe the effect of psychological mechanisms on donation decisions by detecting the neural basis of donation decision-making. Based on S-O-R (stimulus-organism-response) theory, we used donation contexts and donation amounts (stimuli) to induce psychological activity in the participants (organism) and then influence individual donation decision behaviors (response). Moreover, we applied psychological reactance (PR) theory to discuss the effect of donation context on decisions and the corresponding psychological process. The behavioral results showed that donation contexts (mandatory vs. voluntary) were significantly related to the donation amounts (i.e., less vs. more money that the charity received than money that the participants donated). At the ERP level, compared with mandatory donation, voluntary donation evoked a larger P2 amplitude when the charity received less money. In addition, a larger mean amplitude of LPP was elicited by voluntary donation compared to mandatory donation. This study provides practical implications for charity organizers to guide people to donate voluntarily.

The Effect of Product Image Dynamism on Purchase Intention for Online Aquatic Product Shopping: An EEG Study

Purpose

The normalization of epidemic prevention and control triggered a fierce scuffle in the e-commerce of fresh food, as well as for aquatic products online shopping. The main difficulty for consumers to buy fresh food online has always been information asymmetry. Previous study reported that the image is still the primary information source to address information asymmetry. Yet, few studies have focused on the image presentation of aquatic products in e-commerce. The current study aims to probe the effect of perceived movement of e-commerce pictures on purchase intention of aquatic products. Further, we examine how consumers’ cognitive conflict and emotion occur when purchasing specific aquatic products with different image dynamism.

Methods

Twenty-eight subjects participated in an experiment with a 2-level product category (fresh vs frozen) × 2-level image dynamism (static vs dynamic) design. During the experiment, participants were asked to rate their purchase intention after they browse the experimental stimulus. We recorded subjects’ electroencephalograms (EEGs) throughout the experiment.

Results

Behaviorally, participants’ purchase intention for the dynamic image was significantly greater than that for the static image, regardless of aquatic product categories. At the neural level, we found that dynamic image produced less cognitive conflict and aroused consumers’ positive feelings, which were reflected in decreased N2 amplitudes and latency as well as increased LPP (late positive potential) amplitude, respectively. This effect was enhanced for fresh aquatic products.

Conclusion

Although picture dynamism only increases perceived movement, it can still induce positive emotions toward the product and lead to a greater purchase intention. The current study emphasized the value of the neuroscience method in revealing consumer cognition and emotion duration product evaluation.

A Preliminary Investigation of the Effect of Ethical Labeling and Moral Self-Image on the Expected and Perceived Flavor and Aroma of Beer

Ethical labelling has been shown to influence taste/flavour perception. Across two experiments, the present study examined how ethical labelling and moral self-image influenced both the expected (Experiment One) and perceived (Experiment Two) taste/flavour characteristics of beer. In Experiment One, 170 participants read either a ‘moral’ or ‘control’ label describing a brewery, after which they were presented with an image of a beer. Participants then completed a Beer Taste Perception Questionnaire and the Moral Self-Image Scale. In Experiment Two, 59 participants were exposed to either the moral or control label before tasting a beer and completing the same questionnaires from Experiment One. The results of Experiment One indicated that label type moderated the relationship between moral self-image and the intensity ratings of the beer. Specifically, in the presence of a control label, the expected intensity of the beer’s flavour increased as moral self-image increased. Experiment Two found no evidence that the moral label influenced the perceived taste of the beer. However, the results showed that as moral self-image became more positive the perceived refreshingness of the beer increased. This study provides novel evidence of the potential relationship between an individual’s moral self-image and the expected and perceived taste/flavour characteristics of beer.

Why Do You Trust News? The Event-Related Potential Evidence of Media Channel and News Type

Media is the principal source of public information, and people's trust in news has been a critical mechanism in social cohesion. In recent years, the vast growth of new media (e.g., internet news portals) has brought huge change to the way information is conveyed, cannibalizing much of the space of traditional media (e.g., traditional newspapers). This has led to renewed attention on media credibility. The study aims to explore the impact of media channel on trust in news and examine the role of news type. Twenty-six participants were asked to make trust–distrust decisions after reading a variety of news headlines from different media channels while undergoing electroencephalography (EEG) monitoring. The electrophysiological results showed that, for hard news (e.g., important news related to public life), the new media condition elicited smaller N100 and larger P200 amplitudes than the traditional media condition. However, for soft news (e.g., entertainment, and non-related to vital interest), there was no significant difference. The study suggests that the fitness of media channel and news type may influence the evaluation of news, impacting participants' affective arousal and attention allocation in the early stage and influencing trust in news. These results provide neurocognitive evidence of individuals' trust toward hard and soft news consumed via different media channels, yielding new insights into trust in media and contributing to media trust theory.

A Literature Review of EEG-Based Affective Computing in Marketing

Affect plays an important role in the consumer decision-making process and there is growing interest in the development of new technologies and computational approaches that can interpret and recognize the affects of consumers, with benefits for marketing described in relation to both academia and industry. From an interdisciplinary perspective, this paper aims to review past studies focused on electroencephalography (EEG)-based affective computing (AC) in marketing, which provides a promising avenue for studying the mechanisms underlying affective states and developing recognition computational models to predict the psychological responses of customers. This review offers an introduction to EEG technology and an overview of EEG-based AC; provides a snapshot of the current state of the literature. It briefly presents the themes, challenges, and trends in studies of affect evaluation, recognition, and classification; and further proposes potential guidelines for researchers and marketers.

The Neural Basis of Herding Decisions in Enterprise Clustering: An Event-Related Potential Study

Herding behavior refers to the social phenomenon in which people are intensely influenced by the decisions and behaviors of others in the same group. Although several recent studies have explored the neural basis of herding decisions in people’s daily lives (e.g., consumption decisions), the neural processing of herding decisions underlying enterprise behavior is still unclear. To address this issue, this study extracted event-related potentials (ERPs) from electroencephalographic data when participants (i.e., top executives in real enterprises) performed a choice task in which they judged whether to let their enterprises settle in an industrial zone when the occupancy rate of the industrial zone was either low or high. The behavioral results showed that participants had a higher acceptance rate in the high occupancy rate condition than in the low one, suggesting the existence of herding tendency in top executives’ business decisions. The ERP results indicated that anticonformity choices induced a larger N2 amplitude than herding choices, demonstrating that participants might experience larger perceived risk and more decision conflict when they processed anticonformity choices. In contrast, we observed that herding choices induced a larger LPP amplitude than anticonformity choices, hinting that participants might experience better evaluation categorization and higher decision confidence when they processed herding choices. Based on these results, this study provides new insights into the neural basis of herding decisions made by top executives in business.

How Do Price and Quantity Promotions Affect Hedonic Purchases? An ERPs Study

Due to consuming hedonic products unnecessary to basic well-being, consumers need justifications for pleasure. However, different justifications have differential influences in promoting hedonic purchases, such as price and quantity promotions (PP and QP), the difference being that the latter requires purchasing additional units to get the same discount as the former. In the present study, even-related potentials (ERPs) was applied to reveal the timing of brain activities to further understand how promotion information consisting of promotion type (PP and QP) and discount depth, deep and shallow discounts (DD and SD) on hedonic products was processed. Behaviorally, consumers were more willing to purchase items in PP and DD conditions than QP and SD conditions, respectively, and spent more time making final purchase decisions in QP and DD condition or PP and SD condition compared to PP and DD condition. Neurophysiologically, DD automatically recruited more attentional resources than SD and led to a higher P2 amplitude. QP and DD condition or PP and SD condition evoked a larger N2 amplitude and enhanced perceptual conflict compared to PP and DD condition. During late stage, PP and DD elicited a more positive LPP amplitude in contrast to QP and SD, respectively, indicating that people have stronger purchase intention and positive affect in PP and DD contexts. These findings provided evidence for the differential influences between PP and QP and what ultimately made consumers buy hedonic products or not.