The repurchase riddle. How category involvement and brand personality shape repeat buying behavior across the innovation diffusion cycle

Abstract

Brand loyalty has significantly declined over the past 10 years, and all signs suggest this trend will continue in the future. In fact, over one-third of US consumers lack brand loyalty entirely. This research explores how category involvement and brand personality traits, such as sincerity or ruggedness, influence consumer repurchase intention across the different stages of innovation diffusion. A particular focus is placed on studying the diverging behaviors exhibited by early adopters and laggards, two groups that have traditionally been challenging to understand within the context of consumer behavior. In spite of the extensive body of research on this area, significant gaps persist in our comprehension of how these critical factors interact with one another across diverse consumer segments and product categories. By synthesizing theoretical frameworks drawn from innovation diffusion theory and self-congruity theory, this study reveals the heterogeneous dynamics that drives market behaviors. We analyze an extensive dataset comprising 2,014 brands spanning 87 distinct product categories using a bayesian hierarchical multivariate model. The variables in the model include repurchase intention, brand personality traits, category involvement, and product type, with data collection facilitated through expert-validated surveys complemented by AI-driven classifications. The findings of this study reveal interesting insights into the divergent behaviors of early adopters and laggards. Early adopters were found to exhibit higher baseline intentions to repurchase; however, their repurchase decisions were not significantly influenced by category involvement. In contrast, a negative correlation was observed among laggards between high levels of category involvement and intentions to repurchase. Moreover, significant discrepancies emerged in how brand personality traits impacted the repurchase intentions of these two consumer groups. These results highlight the need for brands to adapt their strategies in accordance with segment-specific preferences and product contexts, integrating principles from innovation diffusion theory with frameworks centered on brand personality. From a practical standpoint, managers should prioritize mitigating consumer resistance in categories characterized by high involvement. The results contribute meaningfully to our understanding of how consumer behaviors are shaped by interactions between category involvement, brand personality traits, and innovation adoption stages.