Purpose - While marketing and management research suggests that managers individual characteristics influence pricing decisions, the influence of personality traits in this context remains unclear. This study aims to explore the relationship between the five basic personality traits of the five-factor model (extraversion, conscientiousness, openness to experience, agreeableness and neuroticism) and three basic pricing practices (value-, competition- and cost-informed).

Design/methodology/approach - On the basis of a non-experimental decision-making scenario, the analysis examines the pricing decisions of 57 managers in relation to a new business service.

Findings - The results suggest that managers conscientiousness and openness to experience are positively related to preference for value- informed pricing. Similarly, managers agreeableness is positively related to preference for competition- informed pricing and managers openness to experience and agreeableness are positively related to preference for cost-informed pricing.

Research limitations/implications - The cross-sectional study design does not support causal inference, and the modest sample size may limit the external validity of the findings.

Practical implications - By increasing awareness of the influence of personality on pricing preferences, the findings are of relevance to managers who are directly involved in pricing decisions. Additionally, the findings are informative for managers who must assign responsibility for pricing authority within firms.

Originality/value - This empirical exploration of the relationship between certain personality traits and specific pricing practices contributes to the literature on psychological aspects of pricing theory by showing how managerial personality influences pricing preferences under uncertainty.

Purpose – Almost everything consumers buy in a store has a package. At point of purchase, the first moment of truth, the package functions as a silent salesman. Once the purchase is made, the product is consumed in the second moment of truth. The purpose of this paper is to create a better understanding of how customers evaluate different aspects of the package in the first and second moments of truth.

Design/methodology/approach – An empirical investigation is conducted on how customers experience three different packages for everyday commodities in the first and second moments of truth. Causal modeling is used to analyze the impact of different benefits of a package onto customer satisfaction and loyalty.

Findings – It was found that both benefits and attributes can have different roles in affecting customer satisfaction and loyalty in different parts of the consumption cycle. Furthermore, the results show that there are significant differences for the impacts of customer satisfaction on loyalty in the first moment of truth compared to the second moment of truth.

Practical implications – By applying a consumption system approach, it is possible for managers to design a package that can attract customers in the first moment of truth and at the same time create customer satisfaction in the second moment of truth.

Originality/value – The research shows that the role of certain benefits and attributes can be different in the purchase and use situation. Previously, this has been modeled separately but by operationalizing the first and second moment of truth in the same model the true effects of various benefits and attributes can be identified.