Phantom Attributes : Unpacking Product Perceptions

Consumers often make decisions about products using limited information. In some cases, decision makers may infer product attributes which are not listed. Such inferences create what we call ‘phantom attributes,’ which influence choice but are latent. Phantom attributes expand the original set of attributes and so are distinct from benefit-based mediation, which consolidates attributes. In a series of studies, we demonstrate that phantom attributes can meaningfully drive decisions and that they interact with price, brand, and other complex or perceptual attributes. We provide a simple approach for measuring phantom attributes and determining their impact on choice. This holds implications for positioning and pricing, especially in contexts of limited information like digital advertising, packaging, and product listings. Phantom attributes generalize price-quality effects and can serve as the mechanism for brand-based contrast effects