1 Department of Management, Aarhus BSS, Aarhus University2 Department of Management - MAPP - Centre for Research on Value Creation in the Food Sector, Department of Management, Aarhus BSS, Aarhus University3 Department of Economics and Business Economics, Aarhus BSS, Aarhus University4 Tromsø Business School5 Department of Economics and Business Economics, Aarhus BSS, Aarhus University
This study addresses the kinds of relationship that link satisfaction (S), loyalty intention (LI) and willingness-to-pay (WTP) within the context of three new food products. The article presents a comparative evaluation of the linear and nonlinear specifications using structural equation modelling with higher-order constructs. The data consists of 1153 consumers randomly selected to participate in three new producttesting surveys. The results how evidence in favour of a nonlinear function with increasing marginal returns between S and LI and the linear functional form of the relationship between S and WTP. This study discusses implications for sales forecasting and for the decision to allocate resources in order to reach moderately or completely satisfied consumers.
Proceedings of the 41st Emac Annual Conference, 2012