Avatars are lifelike characters created by technology. Research suggests that avatars can increase the persuasiveness of online sales channels. The authors investigate how the social cues inherent in avatars influence consumers' affect and shopping value. In Study 1, social cues induce perceptions of Web site socialness, leading to increased pleasure and arousal, both of which positively influence flow, hedonic and utilitarian value, and patronage intentions. Study 2 finds that social cue–induced arousal leads to increased pleasure only for consumers who are involved with the product category. Moreover, the influence of arousal on hedonic value is stronger for women, flow does not lead to pleasure for older consumers, and utilitarian value is less important for this group than for their younger counterparts. The findings suggest that there is a competitive advantage for online retailers that use social cues that provide consumers with enhanced perceptions of human connection and the formation of emotional bonds.

Research on how store environment cues influence consumers' store choice decision criteria, such as perceived merchandise value and shopping experience costs, is sparse. Especially absent is research on the simultaneous impact of multiple store environment cues. The authors propose a comprehensive store choice model that includes (1) three types of store environment cues (social, design, and ambient) as exogenous constructs, (2) various store choice criteria (including shopping experience costs that heretofore have not been included in store choice models) as mediating constructs, and (3) store patronage intentions as the endogenous construct. They then empirically examine the extent to which environmental cues influence consumers' assessments of a store on various store choice criteria and how those assessments, in turn, influence patronage intentions. The results of two different studies provide support for the model. The authors conclude by discussing the results to develop an agenda for additional research and explore managerial implications.