Here, researchers take a close look at the strategy. While high variety strategies help retailers differentiate themselves, they can backfire if customers become overwhelmed by the complexity and number of choices. One key to customer satisfaction with mass customization, say researchers Cynthia Huffman and Barbara Kahn, is how retailers help customers make purchase decisions. Their study suggests that salespeople should ask customers for their preferences on various features one at a time, rather than ask them to compare different alternatives. Salespeople should also engage customers in a discussion of different options, but shouldn't push them too far.
Managers allocate more of their budgets to advertising for well-differentiated brands.
In addition, as managers have more seniority, they tend to target more resources to advertising. While this may be a useful guide in stable environments, the researchers caution, during times of rapid change, managers would do well to disregard precedent and implement zero-based budget allocations. Researchers Alexa Bezjian-Avery, Bobby Calder, and Dawn Iacobucci found that the linear format of conventional ads may actually be better than interactive advertising for certain consumers and certain ads. Specifically, while some consumers are engaged by the rich visual format of many interactive methods, other attend more carefully to information presented in a verbal format. Until we know more, they conclude, the jury's not in on whether the results of the new advertising media will live up to the hype.