Marketing Monthly - September 2012

September 2012: Vol. 7, Issue 6

Marketing Monthly Charles Futrell Receives AMA Teaching Award Charles Futrell [MKTG] is the recipient of the 2012 American Marketing Association Sales Special Interest Group (AMA Sales SIG) Excellence in Teaching Award. He was chosen from among the nominees by a committee of officers of the AMA Sales SIG and previous winners of the Excellence in Teaching Award. The award is given to an individual associated with an AACSB accredited university whose primary teaching responsibilities and interests are in the field of sales.

Over an academic career spanning almost four decades, Charles has made several important and seminal contributions to scholarly research, teaching and practice in the fields of personal selling and sales management. Since 1976, he has been teaching personal selling (MKTG 335) and sales management (MKTG 436) at Texas A&M University with distinction at the undergraduate level. It is conceivable that over the past 35 years, at least 10,000 students have taken these courses.

All these years, Charles has been tireless in his efforts to ensure that students who enroll in his classes at Texas A&M University (as well as students at other institutions that use his books on personal selling and sales management) get the very best education. He is a believer in providing opportunities for students to put to practice concepts and principles they are exposed to in the classroom. Two initiatives stand out in this regard.

Students enrolled in his classes are required to participate in role playing exercises as buyers and sellers. These assignments are videotaped in a state-of-art facility and critiqued. The second initiative is Charles’ involvement in the creation of the Collegiate Sales Competition, a joint initiative

Charles Futrell and his Excellence in Teaching Award

of three departments (marketing, agribusiness and industrial distribution) from three different colleges (business, agriculture and engineering) at Texas A&M University. (See Marketing Monthly Vol. 7 Issue 3 for a report on this year’s Sales Competition.)

The award was formally presented during a special awards session at the 2012 AMA Summer Educator’s Conference in Chicago.

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Congratulations Congratulations to Suresh Ramanathan on the acceptance of his paper for publication in The Journal of Marketing Research.

Title: The Best of Both Worlds? Effects of Attribute-Induced Goal Conflict on Consumption of Healthy Indulgences Authors: Nina Belei (Maastricht University), Kelly Geyskens (Maastricht University), Caroline Goukens (Maastricht University), Suresh Ramanathan (Texas A&M University), and Jos Lemmink (Maastricht University) Abstract: Marketers commonly assume that health claims attached to otherwise unhealthy food stimulate consumption because such claims offer justification for the indulgence and reduce guilt. This article proposes a generalized theory of healthy indulgences, identifying when and why people over-consume versus regulate food intake

in response to health claims.

Four studies demonstrate that not all health claims are created equal. The authors suggest that the nature of the food attributes the claims emphasize, namely, functional versus hedonic, determines the extent of consumption of the indulgence. Health claims featuring functional attributes (e.g., “extra antioxidants”) trigger high levels of health-goal accessibility, which, together with simultaneously accessible indulgence goals attached to the indulgence, result in goal conflict.

This conflict leads to reduced consumption of the food. In contrast, health claims featuring hedonic attributes (e.g., “low-fat”) render health goals less accessible while accentuating the pleasure dimension of the food, resulting in lower goal conflict and increased consumption of the food.

Implications for the food industry and public policy makers are discussed.

Ram Janakiraman's 2011 Paper: Finalist for the ISA-INFORMS Best Paper Award Ram Janakiraman’s article titled, “The Impact of Automation of Systems on Medical Errors: Evidence from Field Research,” co-authored with Ravi Aron (Johns Hopkins Univ.), Shantanu Dutta (Univ. of Southern California) and Praveen Pathak (Univ. of Florida), published in Information Systems Research in 2011 was selected as one of the five finalists for the Industry Studies Association (ISA) – INFORMS best paper award.

The five papers selected for the prestigious award were chosen following a multi-stage selection process from over 800 articles published in 11 INFORMS journals during 2011 based on field research which explores and provides insights into issues of significance at the industry level.

The communication received by Ram from

the Best Paper Award Selection Committee said of Ram’s paper: “As this is the first time we are giving the award, we were very aware of the importance of choosing articles that would exemplify the best of industry studies research. In all of the “final five” articles, we were impressed by the importance of the problem, the strong conceptualization, the great care taken in collecting original data, the extensive fieldwork done to understand the data and the underlying processes generating the data, the creative analyses and use of contextual information to rule out competing explanations, and the skillful interpretation of findings to draw implications for practice as well as theory/future academic research.”

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Faculty Focus — on Len B erry This article, by Lane Stephenson, appeared as a featured link, on the TAMU homepage in August. research at Mayo Clinic, learning what healthcare delivery should look like. The experience inspired his best-selling book, “Management Lessons from Mayo Clinic,” and scores of articles in top-tier journals. His research is now providing practical ideas for transforming the inefficiencies of healthcare in the U.S. into healthier patients and businesses.

More recently, he spent four months examining healthcare systems in Wisconsin that are renowned for their patient success. “That’s the kind of research I do,” says Berry. “I go in the field. I go to the source of what I want to study. I don’t stay in my office, I follow the data.”

Berry is able to focus on his field research thanks to the support of a dedicated administrative assistant — financed primarily by the faculty chair funds. “It’s a great investment for me,” says Berry. “I wouldn’t be nearly as productive if I didn’t have that kind of support.

Dr. Leonard Berry In that way, all of the field research that I do is supported by my endowment…it’s tremendously helpful.”

Berry, an educator for more than 40 years, says that he’s not close to hanging up his lab coat, but he is training his successors. He describes his graduate students interested in healthcare as “a growing army.”

“A number of my MBA students who never considered healthcare before get excited about this work when they hear about it in my class,” he says.

“Many have determined they want to pursue careers in healthcare, and that’s very exciting for me.”

Photo credit: Gabriel Chmielewski

Improving Healthcare Through Services Research You may call him “doctor,” but the man in the clinic wearing a white lab coat and asking you questions can’t write you a prescription. He can, however, diagnose what’s wrong with healthcare in America, and his prescription for change could save millions of lives—and dollars.

For the last 12 years, improving healthcare has been Dr. Leonard Berry’s driving passion. He holds dual appointments as distinguished professor of marketing and the M.B. Zale chair in retailing and marketing leadership at Texas A&M’s Mays Business School, and as a professor of humanities in medicine at the Texas A&M University System Health Science Center College of Medicine.

Dr. Leonard Berry, the M.B. Zale chair in retailing and marketing leadership at Texas A&M’s Mays Business School, has a prescription for change to the American healthcare system that could save millions of lives.

Funds from Berry’s faculty chair, established with a $1 million endowment in 1997 by the M.B. and Edna Zale Foundation, have played a vital role in his research.

“We are very proud of the association with A&M and Dr. Berry,” says Leonard Krasnow, president of the M.B. and Edna Zale Foundation.

“His work is extraordinary,” adds Donald Zale, former chairman and CEO of Zale Corporation and former chairman of the foundation. “We wish we could take credit for it. We are pleased to have been a part of bringing him to campus.”

Krasnow says the Zales also support a teaching hospital in Dallas, and that they are interested in furthering the conversation about improving healthcare and retail.

To Berry, these subjects are intrinsically linked.

“Retail is the marketing of goods or services to individual consumers, so when you go to your primary care doctor, that’s a retail experience,” he says.

As one of the pioneers of service quality research, healthcare was a natural fit for Berry’s expertise. His interest in the subject began with

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Woo Jin Choi at The University of Seoul Woo Jin Choi ‘12, will join the faculty of the University of Seoul in Seoul, South Korea, beginning this fall semester. The University of Seoul is a prestigious school – one of the top 10 universities in the capital city. Seoul is the largest metropolis of South Korea, with over twenty-five million people in the greater metropolitan area. The university is also where Joon Ho Lim, a current Ph.D. student, completed his undergraduate program.

Interestingly, there is one marketing Aggie on the faculty already! Dong Woo Shin ‘06 is an Associate Professor in Marketing. In addition,

there is another Aggie professor, Chung Young Kim ‘92, INFO, at the school. Counting Woo Jin, the University of Seoul will have three Aggie faculty members in the business school!

Woo Jin is very happy to accept this position because she will be able to stay much closer to her family and friends. Woo Jin notes, “Seoul is a very dynamic city! I have lived my entire life there, except for my five-year stay in Texas for my Ph.D. degree. If any of the Mays Marketing faculty members are planning to visit Seoul, please feel free to contact me .” Her new email address is: wjchoi@uos.ac.kr Haws appointed to board Kelly Haws has been appointed to serve on the editorial review board of the Journal of Consumer Research (JCR). Earlier this year, Kelly was appointed to serve on the editorial review board of the Journal of Consumer Psychology (JCP).

Being invited to serve on the editorial review boards of two leading scholarly journals for dissemination of research on marketing and consumer behavior in quick succession attests to Kelly’s scholarship and standing in the field.

Congratulations to Kelly on this creditable accomplishment.

Len Berry presents research results to health care facilities Department Head Rajan Varadarajan with Zixia (Summer) Cao and her mom

Zixia Cao graduates

Zixia (Summer) Cao received her Ph.D. from Texas A&M University on August 9, 2012. She is starting her teaching career as an assistant professor at West Texas A&M University in Canyon, TX. You can contact her at czixia@gmail.com.

Len Berry spent the first week of August in Wisconsin presenting the research that he did in 2011, to the three health care systems which were the subjects of his study. On August 8th there was a front page story in the LaCrosse Tribune. On the 11th, there was a feature article in the business section of the Appleton Post Crescent. Mays Business School is mentioned in both articles.

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Congratulations!

Chen receives Teaching Award At the August 24th Mays Business School Faculty and Staff meeting, Allan Chen was presented the TAMU AFS College Level Faculty Distinguished Achievement Award for Excellence in Teaching. Allan has a history of outstanding teaching. In 2011, he received the Nancy and William Gardiner ‘76 Teaching Excellence Award.

From 2009-2011, he received the TAMU System Level SLATE (Student Lead Award for Teaching Excellence -- every one of the three years the SLATE Award was presented). In 2008, he received the Center for Teaching Excellence (CTE) Montague CTE Scholar Award. Prior to that, he was honored for excellence in teaching while on the faculty of the University of Miami.

Here are quotes from some of his many satisfied students: • A great ending for all graduating Mays with a MKTG degree, integrated all that we learned.

So great! I wish I could take another course from Dr. Chen. More professors should be as passionate as he is. A&M is a better place because of him.

• So positive it was motivating.

• BEST instructor I have ever had. So enthusiastic about the material and really wants students to learn.

• Never have I taken a course where the professor has cared so much about the students. His enthusiasm and genuine appreciation of the students’ comments is unmatched.

Congratulations to Allan for his many outstanding contributions to the teaching mission of the Mays Business School.

Advisors’ Corner Leslie Seipp attended the August commencement to congratulate 20 marketing majors as they received their diplomas.

With the beginning of the fall semester, Andrew Loring has been helping students with class schedules and life decisions along with calming their nerves about post-college plans.

When not busy with students, he has been working to update flyers, brochures, and posters as well as coming up with some new tag lines and innovative ways to promote our department and recruit students.

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Center for Retailing Studies Cheryl Bridges Delivers Keynote at Integer Leadership Summit Cheryl Bridges will deliver a keynote address in California on August 31st for CRS sponsor partner company Integer Group. The meeting gathers Integer’s international leadership team for an annual exploration of its key business alliances, including the three year relationship with Texas A&M University.

Integer positions itself as thought leader on shopper marketing, retail trends, digital, and promotional marketing . It regularly publishes white papers on loyalty programs, shopping habits, consumer preferences, and promotional effectiveness, making the agency a natural research partner for Department of Marketing faculty.

Cheryl will provide the executive audience with an overview of Texas A&M University, CRS’s major

Retailing Summit Press Release, August 20, 2012: More than a dozen leading retailers and industry experts have been confirmed for the 2012 Retailing Summit, which is taking place in Dallas, a hub for many retail company headquarters.

The Retailing Summit organizers are predicting record attendance across the two-day conference, which includes not only the keynote presentations, but also breakout sessions, strategic networking events and student participants who are eager to meet the executive attendees. Cheryl Bridges, Director of the Center for Retailing Studies at Texas A&M University that hosts the Retailing Summit, notes that “The conference will maintain its ‘boutique’ feel. With an expected audience of 300, this event offers exclusivity. As an educator, I feel this is a major strength of the conference. Guests can genuinely interact with the speakers to

external outreach program, and plans for future research endeavors. In particular, she will highlight current faculty research by Allan Chen, Ram Janakiraman, Kelly Haws, Rishika Rishika, Alina Sorenscu, Venky Shankar and Rajan Varadarajan.

For the past month, Bridges has met with these colleagues to compile an overview of their research interests and recent findings including sound-bites such as “Freebies Preferred over Discounts” and “Customers Can’t do Math.”

With the appointment of Venky Shankar as CRS Research Director, CRS is quickly expanding its efforts to create new knowledge. Bridges says, “I am optimistic that the time at this conference will produce new resources and business contacts for research projects.”

maximize their learning experience. The size also ensures attendees can effectively meet and network together.” ***** All speakers will be focused on the most important topics affecting the retail industry today including: • The effects of the global economic crisis on retail • Technology power players in the retail landscape • Building brands through organization culture • Understanding the future of the store and the evolution of the shopping experience • Managing Big Data to grow customer loyalty • Leveraging employee branding through HR and attracting top talent to the retail industry

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News & Updates 2012 Retailing Summit Agenda: Thursday, October 11 7:30 7:30 8:30 9:15 10:00 10:30 11:15 12:00 1:15 2:00 2:45 3:00

4:15 5:00

Registration, sponsored by Brierley + Partners Breakfast, sponsored by SAS H-E-B - Retail in a Changing Economy Craig Boyan, President and Chief Operating Officer AT&T - Our Passion for Retail Kelly King, President, South Central Region, AT&T Mobility & Consumer Markets Break Toys R Us -Employment Branding and the Role of HR in Brand Development, an interview Kelly O'Neil & Harold Mulet, EVP and VP of HR with Dr. Michael Wesson Southwest Airlines - Building a Brand from the Inside Out Ginger Hardage, SVP Communication & Culture Lunch, sponsored by BDO GSD&M & author It's Not What you Sell - The Purpose Driven Business Roy Spence, CEO Genesco/Journeys - Building a Retail Business from One Store to a Billion Jim Estepa, Senior Vice President, President and CEO Genesco Retail Break, sponsored by KRS King Retail Solutions Breakout Sessions -Dr. Paul Busch, Texas A&M University & Joe Stallard, Sewell Automotive - Strength Finder -KRS King Retail Solutions-Survey Says! Comfort Leads to Sales, Innovative Retail Design Maritz Institute - Understanding Neuroscience to Increase Customer Loyalty Mary Beth McEuen, Executive Director Reception, sponsored by Gardere Wynne Sewell

Friday, October 12 7:30 Breakfast, sponsored by Credera; student breakfast sponsored by Zale Corp.

8:30 Gilt Groupe - Changing the Way People Shop, an interview Alexandra Wilkis Wilson, Founder; author of By Invitation Only with Cheryl Bridges 9:15 Galley Furniture - Eliminating Customer Pain Points Jim McIngvale, CEO 10:00 Break 10:15 GameStop - More Growth, More Knowledge, More Power to the Players Jenn McMillen, Division Vice President, Loyalty & CRM 11:00 When the Customer Takes Charge: Vendor Relationship Management, Big Data, and a Better Future Doc Searls, author The Intention Economy and Director of Project VRM at the Berkman Center for Internet and Society at Harvard University 12:00 End

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News & Updates Retailing Summit (cont.)

The Retailing Summit will take place at the elegant Ritz-Carlton Hotel in uptown Dallas.

Guests will experience the exclusivity and convenience of this premier property.

Conference attendees can book room accommodations at a group rate of $219 per night.

“American retailers are quickly moving into a post-recession world characterized by changed customer purchase patterns and higher

Retailing Career Fair The Center for Retailing Studies is hosting The Retailing Career Fair on Wednesday, September 12, 2012 from 9:30 am -3:00 pm in the Wehner

expectations,” said Cheryl Bridges. “Retailers are actively seeking new knowledge to understand the future of this industry. We are confident that everyone visiting the Retailing Summit and Dallas will find it inspiring and of great value to their businesses.”

Retailing Summit reminder to faculty: Please let Regina Gomez know ASAP if you plan to attend the conference or stay at the hotel.

She will confirm your registration for both.

Lobby. Faculty members can make a significant impact on the success of this event by encouraging students to attend.

Students of all majors are encouraged to participate in the Retailing Career Fair.

Companies attending the Fall 2012 Retailing Career Fair: Academy

Altria

AT&T

Autonation

Bridgestone

Buckle

Carter's

David Gardner's Jewelers

Dillard's

Enterprise

Gallery Furniture

H-E-B

Jason's Deli

Kohl's

Kroger

Macy's

Neiman Marcus

Penncro Associates

PetSmart

Ross

Sherwin Williams

Stage Stores

Target

The Container Store

Reynolds & Reynolds

Tommy Hilfiger and Calvin Klein

Toys R Us

Walgreens

Zale Corporation

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