Impact of ethical certifications and product involvement on consumers decision to purchase ethical products at price premiums in an emerging market context

Abstract

In emerging markets, instances of increasing consumers focus on ethical aspects of the product are observed. To this end, we aim to examine the influence of two ethical certifications and two product involvement types on consumers willingness to purchase ethical products at price premiums in the Indian market. No animal cruelty certification and no child labor certification are chosen as the ethical certifications, and a shirt and a bar of soap are chosen as high and low involvement product categories. Data is collected from 206 respondents for the experiment, in which consumers willingness to purchase a product is evaluated for different product scenarios. The results of the study indicate that individuals show highest willingness to purchase products (a shirt or a soap) when both certifications (no animal cruelty, no child labor) are present. However, in comparing individual certifications, individuals prefer no animal cruelty certification for a shirt and no child labor certification for a bar of soap. The study provides insights to practitioners regarding consumers present perception of ethical aspects in the product and directions to increase sales of ethical products in the Indian market.