Do Plant Guarantees Matter? The Role of Satisfaction and Regret when Guarantees are Present

A consumer research study was conducted examining effects of plant guarantees on satisfaction and regret in the purchase of three horticultural products: hanging baskets, potted roses, and container perennials. Five hundred and seventeen respondents were divided into two groups: those who were offered a guarantee and those who were not offered a guarantee. The effects of satisfaction and regret on repurchase intentions were recorded on multi-item seven-point Likert scales. A structural equation model was used to examine simultaneous re- lationships between regret, satisfaction, and intention to repurchase. Survey results indicated guarantees would increase satisfaction and decrease regret for hanging baskets, but not for container perennials and potted roses. Five of six models showed regret and/or satisfaction directly impacted intention to repurchase. Both satisfaction and regret had a direct influence on repurchase intentions for the hanging baskets model regardless of the presence or absence of guarantees. When guarantees were absent, satisfaction and regret had direct effects on intention to repurchase for the perennial model. Regret was the only construct to directly impact intention to repurchase in the potted rose model. Guarantees appear to lower the risks of buying some products and may improve the perception of quality of the offering. Traditional horticultural retailers have lost market share as competition intensifies from nontraditional outlets such as mass-merchan- disers and do-it-yourself stores (National Gardening Association, 2002). From 1995- 1999, garden centers led other retailers as the top place from which consumers purchased lawn and gardening products. In 2000, home centers surpassed garden centers for the top spot with garden centers in second and mass merchandisers a close third (National Garden- ing Association, 2001). As of 2002, 37 million households bought lawn and gardening products from garden centers, down from 39 million in 2001, representing a decrease of 5% (National Gardening Survey, 2002). These data show that nontraditional outlets may be offering profitable products once only offered by garden centers. Pressure from the competition has challenged many traditional retail garden centers to seek creative ways to remain profitable. In what ways could horticulture customers perceive value in the products of the traditional garden center? Increasing consumer satisfaction may be one competitive component, and one aspect of sat- isfaction may be to provide guarantees. In past studies, researchers sought to im- prove profitability and consumer satisfaction of retail outlets by examining factors such as consumers' reason for choosing a particular retail outlet (Day, 1994). Garber and Bonadari (1998) identified opportunities to help retailers effectively merchandise plant material by exam- ining better tags and labeling; better packaging and delivery; increased advertising assistance; pricing on pots; and point of purchase materials. Researchers also investigated the importance of plant attributes and store features including plant labels and signs; selection of products; knowledgeable staff; and healthy plant material as a way of improving marketing efforts within the horticulture retail sector (Behe and Barton, 2000; Brand and Leonard, 2001). In an effort to aid retail outlets, other studies have investigated