Effort Begets Business: On the Effectiveness of Appreciation Letters in Inducing Repeat Purchase

Marketing Seminar (2023-30 )      

Topic:  Effort Begets Business: On the Effectiveness of Appreciation Letters in Inducing Repeat Purchase

Speaker: Zheshuai Yang, Zhejiang University

Time: Monday, November 20, 2:00 – 3:30 p.m. Beijing Time

Location: Room 216, Guanghua Building 2

Abstract

Consumers tend to switch frequently between online retailers. To boost repeat purchases, retailers employ a variety of strategies. One readily implementable approach involves enclosing an appreciation letter in the shipping package. This research investigates the effectiveness of this practice. A two-wave laboratory experiment found that handwritten letters significantly increased the likelihood of repeat purchases compared to printed letters or no letters, as they signalled to consumers a higher level of effort from seller. Another experiment further demonstrated the role of perceived seller effort by showing that letters with less-refined calligraphy exerted a stronger influence than aesthetically pleasing ones, because consumers inferred that the former conveyed sellers’ personal effort, while the later appeared to be a professional persuasion tactic and crafted by external hires. The results of a randomized field experiment that tracked the actual purchases of 2000 consumers over six months mirrored the laboratory findings. Handwritten letters, particularly those signalling the seller’s personal effort, effectively boosted repeat purchases.  

Biography

杨浙帅，新加坡国立大学博士，现任浙江大学管理学院市场营销系“百人计划”研究员、博士生导师。他的主要研究领域包括个体创造力、顾客忠诚以及高科技在市场营销中的运用。他的文章发表在《Journal of Personality and Social Psychology》，目前正在主持国家自然科学基金青年项目《移动支付对消费者社交互动、购买决策的影响及其机制研究》，担任《Journal of Personality and Social Psychology》编委（Editorial Board Member）