The effects of brand popularity as an advertising cue on perceived quality in the context of internet shopping

Brand popularity as a descriptive norm has been used as an advertising cue by internet malls. It is based on the assumption that consumers prefer brands with popularity claims because they perceive the popularity claim results from superior quality. However, little research has been done on how popularity cues affect perceived quality in internet shopping contexts. Particularly, the interaction effect between brand popularity and price on the quality perception has never been investigated. This research presents the results of two experiments showing that brand popularity and price have an interaction effect on the estimation of sales, which in turn influences perceived quality. Only when consumers believe that the sales volume is high would the perceived quality increase. This research also analyzes the manner in which brand popularity reduces consumers' perceived risk in purchase decision‐making.