Jaewoo teaches and writes about design thinking, behavioral economics, and field experiment for customer experience. He is professor of marketing and participating professor of experience design at Kookmin University. Jaewoo has been Visiting Scholar at Stanford University since September 2024.
Public transportation in California is not as polished as in Seoul. Buses are noisier, roads are bumpier, and fares are higher. Yet, I witnessed an impressive moment that highlights a difference: how a passenger with disabilities was treated.
On a bus in San Jose, a wheelchair user boarded. The driver stopped the bus, left his seat, and assisted the passenger in fastening the seatbelt securely. The process took over five minutes. In Seoul, such a scene would be rare.
This difference likely stems from policies and norms rather than individual kindness. In California, transportation policies seem to allow drivers to prioritize care over punctuality. Moreover, passengers appear to accept delays, fostering an environment where helping others is encouraged and expected. Similar to California’s policies and norms, I hope Korea implement measures that force drivers and citizens to empathize with and care for those in need.
They presented six different fruits (lemon, apple, tangerine, pomegranate, pear, and orange) peeled, chopped, and neatly arranged in clean containers atop a bed of ice. Each container was paired with its whole fruit counterpart, visually comparing between the raw and prepared states of each fruit.
This creative presentation not only demonstrates the freshness of the fruits but also allows shoppers to imagine these fruits as part of their meals. It was shown that neatly organized and visually clear presentations increased consumers’ willingness to buy, at least, for some products.
Transparent packages are pervasive in food consumption environments. Yet prior research has not systematically examined whether and how transparent packaging affects food consumption. The authors propose that transparent packaging has two opposing effects on food consumption: it enhances food salience, which increases consumption (salience effect), and it facilitates consumption monitoring, which decreases consumption (monitoring effect). They argue that the net effect of transparent packaging on food consumption is moderated by food characteristics (e.g., unit size, appearance). For small, visually attractive foods, the monitoring effect is low, so the salience effect dominates, and people eat more from a transparent package than from an opaque package. For large foods, the monitoring effect dominates the salience effect, decreasing consumption. For vegetables, which are primarily consumed for their health benefits, consumption monitoring is not activated, so the salience effect dominates, which ironically decreases consumption. The authors’ findings suggest that marketers should offer small foods in transparent packages and large foods and vegetables in opaque packages to increase postpurchase consumption (and sales).
At the Huntington Art Museum in Los Angeles, I was captivated by a dining room table and chairs. They were not vibrant but organized. They were meticulously crafted. I could not take my eyes off these sophisticated colorful items.
Nearby, a reclining chair caught my attention as well. When I looked closer, I discovered these pieces were designed by Frank Lloyd Wright.
Suddenly, everything made sense to me. His furniture mirrored his architecture—minimalistic, harmonious, and timeless. His work, including the famous Fallingwater, follows these principles.
Fallingwater is, according to Wikipedia, a house designed by the architect Frank Lloyd Wright in 1935. Situated in the Mill Run section of Stewart township, in the Laurel Highlands of southwest Pennsylvania, about 70 miles (110 km) southeast of Pittsburgh in the United States, it is built partly over a waterfall on the Bear Run river. The house was designed to serve as a weekend retreat for Liliane and Edgar J. Kaufmann, the owner of Pittsburgh’s Kaufmann’s Department Store.
After its completion, Time called Fallingwater Wright’s “most beautiful job” and it is listed among Smithsonian’s “Life List of 28 Places to See Before You Die”. The house was designated a National Historic Landmark on May 11, 1976. In 1991, members of the American Institute of Architects named Fallingwater the “best all-time work of American architecture” and, in 2007, ranked Fallingwater 29th on its “America’s Favorite Architecture” list.
Eight of Frank Lloyd Wright’s buildings – Fallingwater, the Guggenheim Museum, the Hollyhock House, the Jacobs House, the Robie House, Taliesin, Taliesin West, and the Unity Temple – were inscribed on the list of UNESCO World Heritage Sites under the title The 20th-century Architecture of Frank Lloyd Wright in July 2019. UNESCO stated that these buildings were “innovative solutions to the needs for housing, worship, work or leisure” and “had a strong impact on the development of modern architecture in Europe.”
During my visit to Sports Basement at Sunnyvale in California, I explored their Pre-Loved Section, where people share their used items with others.
This section is more than a collection of secondhand goods. It represents a community effort to extend the life of products.
The term “pre-loved” is appropriate. Unlike the utilitarian terms such as recycling, “pre-loved” speaks to the warmth and emotional bond we feel towards our belongings. This perspective resonates in today’s conscious consumerism. Each item in this section tells its own story.
Although Sports Basement operates as a company, it functions like a flea market, providing a platform where people can reliably pass along items. We often form emotional attachments to our possessions, which shape our decisions to resell them. Platforms that facilitate these exchanges play an important role in enabling such decisions, and Sports Basement’s Pre-Loved Section is an example of such a platform.
Our interpretive research treats meaningful possessions as vessels of public and private meanings. From this perspective, we unpack consumer disposition of meaningful possessions to strangers at garage sales and online auctions. We reveal how a range of valences of self-extension and self-references other than the ideal self shape a meaningful possession’s journey from self to other. We identify a new iconic transfer divestment ritual, deepen and reinterpret other divestment rituals, and uncover how a shared sense of self allows possessions to migrate across seller-buyer boundaries. We present and discuss the implications of a model depicting three paths to disposition.
Stan’s Donut Shop in Santa Clara, California, has been making fresh, hand-made donuts since 1959. It is a favorite place for many people who love classic donuts.
During a recent early morning visit, the shop was crowded with customers. Many were talking to their family members over Airpods which donuts to buy.
The menu offers a wide variety of donuts at affordable prices: classic glazed donuts are priced at $1.75, old-fashioned donuts at $1.25, cinnamon rolls at $3.00, and coffee at $1.50, with refills for just 50 cents.
The shop’s nostalgic ambiance, coupled with the sight of donuts being freshly prepared, evokes a sense of nostalgia that resonates with many customers. This connection to the past, along with the affordability of the offerings, exemplifies why nostalgia marketing is effective at In-N-Out in Long Beach and Cafe Strada in UC Berkeley.
Most marketing and branding activities are essentially concerned with enchantment—the rendering of the ordinary into something special. To create enchantment, companies are increasingly marketing past-themed brands and products. Yet, there is little research about why and how such nostalgia marketing creates enchantment for consumers. Building on different modalities of nostalgia identified in sociological literature (reluctant nostalgia, progressive nostalgia, and playful nostalgia), we analyze the creation of enchantment through a longitudinal, qualitative, multi-method program of inquiry. We find three routes to enchantment grounded in different nostalgia modes: (1) re-instantiation (symbolic retrojection into a past), (2) re-enactment (reflexively informing the present with past-themed brands and practices), and (3) re-appropriation (ludic re-interpretation of the past). By unfolding the different ways in which marketers can press rewind to create enchantment, we discern important implications for theorizing and managing past-themed brands in terms of marketing strategy, targeting and positioning, brand experience design, and marketing communications.
Despite the popularity and high quality of machine-made products, handmade products have not disappeared, even in product categories in which machinal production is common. The authors present the first systematic set of studies exploring whether and how stated production mode (handmade vs. machine-made) affects product attractiveness. Four studies provide evidence for the existence of a positive handmade effect on product attractiveness. This effect is, to an important extent, driven by perceptions that handmade products symbolically “contain love.” The authors validate this love account by controlling for alternative value drivers of handmade production (effort, product quality, uniqueness, authenticity, and pride). The handmade effect is moderated by two factors that affect the value of love. Specifically, consumers indicate stronger purchase intentions for handmade than machine-made products when buying gifts for their loved ones but not for more distant gift recipients, and they pay more for handmade gifts when purchased to convey love than simply to acquire the best-performing product.
When I visited Eataly at Santana Row in San Jose to shop interesting Italian food items, I had a special experience. First, I was greeted by a big circular display of cured meats and cheeses (Salumi e Formaggi). The bright lights made the food look fresh.
Around this circle, I noticed more salumi and prosciutti hanging on the walls, with their origins detailed above.
As I walked further, I found sections for fresh fish (La Pescheria) and handmade bread (La Panetteria), both well-designed and full of options.
There was also a wine area where I could taste.
What impressed me most was the store’s deliberate use of design elements. Bright lighting made items look premium. Each food section had clear labels on the ceiling. The walls had different colors. Glass was used everywhere to make the store feel open and elegant. These details created a vibrant environment.
A high-arousal store environment, like Eataly, is ideal for customers seeking a recreational experience. This grocery store appeals to shoppers, like me, who enjoy exploring new products and are willing to pay more for the enhanced experience. Eataly is more than just selling fresh food; it creates a “wow” moment that encourages customers to perceive value beyond the product.
Addressing inconsistent results in the literature, the conceptual framework that the authors develop proposes that the consumer’s motivational orientation moderates the effect of the arousal produced by a store environment on the pleasantness of the environment. Two experiments support the framework. When consumers have a recreational motivational orientation, high arousal has a positive effect on pleasantness, but when consumers have a task-oriented motivational orientation, high arousal decreases pleasantness. In addition, high arousal increases consumer intentions to visit and make purchases in the store for recreationally oriented consumers, but it has a negative impact on shopping behavior for task-oriented consumers. Pleasantness mediates the effect of arousal on shopping behavior.
At San Jose International Airport, app-based ride share services like Uber and Lyft dominate the curbside scene. Travelers lining up next to the Uber signs look for their cars while taxis become rare.
Similarly, at Stanford University Hospital, designated areas show that ride share is now mainstream in California.
While many view Uber and Lyft as modern conveniences replacing taxis, I see them as cafes such as Starbucks or Tim Hortons—another space where people talk. Over the past two months, I learned a lot about California from Uber drivers.
Some drivers were quiet, but others shared their stories. One driver at San Jose said he worked as a software marketer for 20 years and remembered meeting Steve Jobs. Another driver at Mountain View worked two jobs to support his family. A driver in San Diego was a history teacher driving to make ends meet. Another in LA said he was preparing a birthday party for his son.
In the US, many people do things by themselves. But inside an Uber or Lyft, there is a chance to meet someone and talk. It might help people feel less lonely, even for a short time.
This study explores self-reports of 241 older adults (aged 63–95) regarding loneliness and social disconnectedness, and the potential for information and communication technologies (ICT) and ride-hailing services to mitigate these phenomena. The samples are drawn from four older adult living communities in Maricopa County, Arizona. Lonelier older adults and older adults desiring greater social connections with friends, family, and outsiders appear to use ICT less and might benefit from ride-hailing services more than their less lonely and more socially connected counterparts. These findings are nuanced and depend on ICT device, type of ride-hailing service, and purpose of use. While desires for ride-hailing services were generally low, these services show promise in alleviating loneliness and increasing social connectedness, especially as older adults prepare to cease driving. Advice for implementing interventions and strategies to decrease the loneliness and increase social connectedness of community-dwelling older adults is elucidated and shared.
Cafe Strada has long been a beloved spot among UC Berkeley students. Its prime location inside the campus, cozy patio, and inviting workspaces make it the perfect place for studying alone or meeting friends.
But for me, Cafe Strada is more than just a popular café. It is a personal place tied to one of the most memorable periods of my life. In 1999, as an exchange student living at the International House, I often stopped by Cafe Strada in the morning. A five-minute walk there was a comforting ritual in a new environment.
When I revisited 25 years (!) later, I was amazed that nothing had changed. The International House and Cafe Strada remained just as I remembered it. While everything around me in Korea seems to change, its steady presence in US felt like a journey back in time.
Then, I ended up buying more baked goods and coffee than I needed at the cafe, but it didn’t matter. Psychologists describe this as nostalgic consumption, where nostalgic memory weakens our desire to make or save money. For me, Cafe Strada is more than just a cafe—it is where memory transforms money into something meaningless.
Nostalgia has a strong presence in the marketing of goods and services. The current research asked whether its effectiveness is driven by its weakening of the desire for money. Six experiments demonstrated that feeling nostalgic decreased people’s desire for money. Using multiple operationalizations of desire for money, nostalgia (vs. neutral) condition participants were willing to pay more for products (experiment 1), parted with more money but not more time (experiment 2), valued money less (experiments 3 and 4), were willing to put less effort into obtaining money (experiment 5), and drew smaller coins (experiment 6). Process evidence indicated that nostalgia’s weakening of the desire for money was due to its capacity to foster social connectedness (experiments 5 and 6). Implications for price sensitivity, willingness to pay, consumer spending, and donation behavior are discussed. Nostalgia may be so commonly used in marketing because it encourages consumers to part with their money.
The class was highly interactive. Students had to prepare in advance by digesting given case studies. In class, they actively participated by sharing new ideas and debating different perspectives. Professor Teixeira encouraged these discussions and helped everyone understand the key points.
This class was unique to me because it did not rely on textbooks. Since the professor knew the background and outcomes of the cases, he guided students to think differently. This approach encouraged students to think comprehensively and rigorously, and over time, this shift in thinking style can lead to more informed business decisions.
A classical approach to collecting and elaborating information to make entrepreneurial decisions combines search heuristics, such as trial and error, effectuation, and confirmatory search. This paper develops a framework for exploring the implications of a more scientific approach to entrepreneurial decision making. The panel sample of our randomized control trial includes 116 Italian startups and 16 data points over a period of about one year. Both the treatment and control groups receive 10 sessions of general training on how to obtain feedback from the market and gauge the feasibility of their idea. We teach the treated startups to develop frameworks for predicting the performance of their idea and conduct rigorous tests of their hypotheses, very much as scientists do in their research. We let the firms in the control group instead follow their intuitions about how to assess their idea, which has typically produced fairly standard search heuristics. We find that entrepreneurs who behave like scientists perform better, are more likely to pivot to a different idea, and are not more likely to drop out than the control group in the early stages of the startup. These results are consistent with the main prediction of our theory: a scientific approach improves precision—it reduces the odds of pursuing projects with false positive returns and increases the odds of pursuing projects with false negative returns.
I realized that California is not as bike-friendly as I had hoped, so I decided to look for a used car. A few weeks ago, I found a car I liked on CarGurus.com and scheduled a test drive it. But just a day before my visit, I received a text saying the car had already been sold. It was frustrating.
Therefore, I decided to visit CarMax in Fremont, the used car dealership many people recommend. I was not expecting much, but to my surprise, the experience turned out to be refreshing.
The first thing I noticed when I walked into the place was clean, bright, and organized it looked. It felt more like an IKEA store. In particular, the lighting gave the whole place a welcoming vibe. It made me feel freshly excited, which is not something I could associate with used car shopping.
What stood out next was how the salesperson worked with me. Unlike my experience at Bank of America, where the teller kept the screen to themselves while I sat behind it, here the salesperson shared his screen with me. We went through the car’s history, the price breakdown, and all the details together. It felt like we were on the same team, not just buyer and seller. Interestingly, he was not knowledgeable about cars, but that helped me feel less intimidating and more relaxed. Sharing the screen was a simple gesture, but it made all the difference.
Finally, the cars and the prices were the same as advertised. When I arrived at the parking lot, the cars I came to test drive were there, just as promised, with no need for negotiation—like a clear price tag. It reminded me of WYSIWYG—what you see is what you get.
CarMax might be slightly pricier than other dealerships, but I am willing to pay a premium for the peace of mind it brings. The bright store design, transparent sales process, and WYSIWYG-style inventory transformed a frustrating car-buying experience into something positive.
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Reference (bright store design for visitor experience)
Store atmospherics affect consumer behavior. This message has created a revolution in sensory marketing techniques, such that across virtually every product category, retailers and manufacturers seek to influence the consumer’s “sensory experience.” The key question is how should a company design its multisensory atmospherics in store to ensure that the return on its investment is worthwhile? This paper reviews the scientific evidence related to visual, auditory, tactile, olfactory, and gustatory aspects of the store environment and their influence on the consumer’s shopping behavior. The findings emphasize the need for further research to address how the multisensory retail environment shapes customer experience and shopping behavior.
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Reference (transparent sales process for user experience)
Purpose: Even as retailers add digital features to their physical stores and equip their service teams with digital devices, no research has addressed the implications of frontline employees (FLEs) sharing a screen side-by-side with customers as a contemporary service practice. This paper aims to identify the potential customer benefits of this service practice.
Design/methodology/approach: Noting the lack of theoretical considerations of screen-sharing in marketing, this paper adopts an interdisciplinary approach and combines learning theories with computer-supported collaborative learning topics to explore how screen-sharing service practices can lead to benefits or drawbacks.
Findings: The findings specify three main domains of perceived benefits and drawbacks (instrumental, social link, individual control) associated with using a screen-sharing service. These three dimensions in turn are associated with perceptions of accepted or unaccepted expertise status and relative competence.
Research limitations/implications: The interdisciplinary perspective applied to a complex new service interaction pattern produces a comprehensive framework that can be applied by services marketing literature.
Practical implications: This paper details tactics for developing appropriate training programmes for FLEs and sales teams. In omnichannel service environments, identifying and leveraging the key perceived benefits of screen-sharing can establish enviable competitive advantages for service teams.
Originality/value: By integrating findings of a qualitative research study with knowledge stemming from education sciences, this paper identifies some novel service postures (e.g. teacher, peer, facilitator) that can help maximise customer benefits.
Roten, Y. S., & Vanheems, R. (2024). The dimensions of phygital autonomy: losing some, gaining some. Journal of Marketing Management, 40(11-12), 996-1029.
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Reference – (WYSIWYG-style inventory for customer experience)
This article examines 40 years of research conducted in the area of Out-of-Stocks (OOS). Two research streams originating from the Progressive Grocer (1968) study are reviewed. The first stream dealt with demand side issues and analysed consumer responses to OOS. The other dealt with supply side issues and analysed the extent and root causes of OOS situations as well as how to improve OOS. Four paradoxes are derived from the review and are discussed: 1) OOS rates largely seem to fall into an average level at about 7 to 8% despite 40 years of research; 2) only sparse attempts have been made to integrate the two research streams; 3) there is an emphasis on minimizing OOS rather than relying on basic trade-offs as addressed by Economic-Order-Quantity theory to optimize OOS levels; and 4) despite clear evidence of the store as the major contributor to OOS situations, the store has largely remained a ‘black-box’ in OOS research. Finally, the study suggests that OOS research can integrate the notions of the two streams by showing how the conditions for consumer responses can be translated into different degrees for costs of understocking taken from Economic-Order-Quantity theory. This will have important implications for the management of OOS.
