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Conspicuous Consumption Makes the Sale IF SALESPEOPLE WANT to impress potential custom- KLAWITTE R PRODUCTIONS/G LOW I MAG ES ers, they'll need to stop trying to convey a sense of warmth and instead display the appearance of wealth, according to researchers Lisa Bolton, an associate professor of marketing in the Penn State Smeal College of Business in University Park, and Maura Scott and Martin Mende, assistant professors of marketing at Florida State University's College of Business in Tallahassee. For their recent study, the three examined how buyers reacted to sellers' conspicuous consumption—their obvious displays of wealth in their personal appearances and environments. They found that although buyers felt less warmth toward sellers that displayed tive. "Perhaps they want to say, 'Yes, I'm not the greatest person, but everyone in my group is just like me.' That may excuse the negativity, or give it an acceptable context," says lead author Jennifer Overbeck of the Eccles School. Self-anchoring may help powerful people make decisions more quickly, but it also can lead them to believe that they represent those clear signals of wealth, they also perceived these sellers as more competent. However, the researchers emphasize that such perceptions are most helpful in "exchange-based" buyer-seller relationships that emphasize efficiency and value, such as those between consumers and financial advisors. In "communal" buyer-seller relationships built on nurturing and caring, such as those between doctors and patients, a display of wealth could Lisa Bolton imply a sense of self-promotion and undermine the relationship. "Both warmth and competence matter," the researchers write, "but their relative importance varies with the norm guiding the buyer-seller Maura Scott relationship." "Judging the Book By Its Cover? How Consumers Decode Conspicuous Consumption Cues in Buyer-Seller Relationships" appeared in the June 2013 issue of the Journal of Marketing Research. Martin Mende they lead more than they actually do, the authors write. Rather than think of themselves as self-centered or autocratic in their actions, they would rather believe that what they want to do is already aligned with the desires of the group. When involved in group decisions, managers should question whether consensus exists or whether they only believe it exists, the authors note. They recommend that companies train managers to use a "systematic process for gathering input and feedback" to gauge the group's true perspective, especially for sensitive issues. "One for All: Social Power Increases Self-Anchoring of Traits, Attitudes, and Emotions" appeared in the August 2013 issue of Psychological Science. BizEd November/December 2013 57