The differential value of information in industrial purchasing decisions: Applying an economics of information framework

Abstract

Purpose

This research integrates recent work on customer information acquisition in services marketing and economics of information research with literature on industrial buying behavior for the purpose of proposing and empirically testing a model that explores information acquisition in industrial purchasing.

Design/methodology/approach

To test the proposed model, an online survey was prepared using WebSurveyor and an introductory e‐mail with a link to the survey was sent to a sample of members of a professional organization of industrial purchasing managers.

Findings

Results indicated a differential use of information sources across differing purchase situations. When purchasing situations were perceived to be easy to evaluate, there was a significantly greater use of impersonal information sources. In addition, we offer evidence that the use of both personal and impersonal information sources does, in fact, increase the perception of goal clarity with respect to the purchasing task among industrial purchasers.

Originality/value

If marketers can help provide key information – both personal and impersonal – to their customers, they are helping to clarify the purchasing task. These communication efforts can then contribute to that satisfying outcome which might ultimately enhance the relationship between the two parties.

Citation

Bienstock, C.C. and Royne, M.B. (2007), "The differential value of information in industrial purchasing decisions: Applying an economics of information framework", International Journal of Physical Distribution & Logistics Management, Vol. 37 No. 5, pp. 389-408. https://doi.org/10.1108/09600030710758446