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Spotlight on Research 2016

Page 33

Peter Darke Professor of Marketing

Tell us about some of the research projects you are currently engaged in. My research examines the emotional, motivational and cognitive aspects of consumer judgment and decision making, as well as other aspects of consumer behaviour. Much of my research has to do with trust and suspicion, as it relates to psychological distance and the perceptions of distance, both social distance and physical distance.

local store, such retailers also enjoy the benefit of psychological proximity. This makes consumers feel closer to local retailers even if they are not directly familiar with them.

Much of my research has to do with trust and suspicion, as it relates to psychological distance and the perceptions of distance, both social

Describe how you were motivated or inspired to engage in these research projects. Distrust by consumers in marketers is an ongoing interest of mine. A lot of consumers just don’t really trust marketers. Consumers can become irrationally suspicious because of one bad experience that creates defensive distrust that is then generalized to other marketers. The thing that we find that is interesting and disturbing is this effect applies equally to well-known brands and retailers. We were trying to understand how we can help relatively unknown retailers to better compete online. We noted the market has become dominated by large retail brands, in contrast to the original suggestion that the Internet would be a huge boon for smaller localized sellers, or those who lack the resources for a physical store, as it gives them access to a much larger market. The problem is that consumers don’t trust retailers at the best of times, especially when they are unfamiliar, at great physical distance, or lack a physical store. We show that besides the practical benefits of dealing with a retailer with a

distance and physical distance. In contrast, physically distant retailers feel far away and are trusted less as a result. We show that it is the perceived psychological distance, rather than the actual physical distance, that really matters when it comes to trusting and purchasing online. We do this by showing that other factors that make retailers feel closer can generate increased trust and encourage purchase even when the retailer is at a great distance. This is because trust is determined not only by physical distance, but also social distance, and the tangibility of the retailer, through a physical location rather than purely virtual. For instance, seeing a picture of a building, knowing the owner’s name, or recognizing the name of the town the physical store is located in, can all make consumers feel a lot closer, despite great physical distances, and lead consumers to trust enough to consider a purchase. Essentially consumers mix up the different sources of psychological distance (physical distance, concreteness vs. abstractness, temporal distance, and social distance), and this means that

one can compensate for the other when it comes to determining trust and purchase intentions.

How does your research approach differ from other scholars in your field? I like to do research that has both theoretical and practical interest. This is really what drew me to the business school from my past life as a social psychologist. I’m also willing to pursue the questions that I find interesting, even if they are unlikely to be published in a top journal, and I like to study things that I cannot relate to in terms of my personal experience. Behaviour is full of intriguing surprises if you look closely.

You are on an elevator with Prime Minister Justin Trudeau. Describe the significance of your research from the perspective of the business community. Trust is a central concern in human exchange, including economic exchange. Consumers often have to decide if they trust sellers on the basis of minimal direct experience or contact. Canada is a big country geographically and it also depends on economic exchange with other countries. By better understanding what legitimate businesses can do to foster trust with consumers and the problems that arise when such trust is broken, our research helps to foster better and more successful marketing practices.

Spotlight on Research 2016 31


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