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Intrinsic and extrinsic quality

attributes, loyalty and buying intention:
An analysis for a PDO product

Article in British Food Journal August 2006

DOI: 10.1108/00070700610682337

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BFJ
108,8 Intrinsic and extrinsic quality
attributes, loyalty and buying
intention: an analysis for a PDO
646
product
Carmina Fandos and Carlos Flavian
Faculty of Economics and Business Studies, University of Zaragoza,
Zaragoza, Spain

Abstract
Purpose To examine the influence of the perceived quality of a protected designation of origin
(PDO) product on consumer loyalty and buying intentions.
Design/methodology/approach The study examines the relationships between intrinsic and
extrinsic quality attributes, loyalty and buying intention. Information was obtained from an initial
qualitative approach based on a group dynamic to allow the development of scales to quantify the
different concepts. Personal interviews were then conducted with 251 consumers based on a structured
questionnaire.
Findings The study reveals the existence of a positive and significant relationship between the
extrinsic attributes of a traditional food product and loyalty expressed by consumers. It also shows
that the perceived quality associated with the intrinsic attributes of the product has a positive and
significant influence on buying intentions.
Practical implications The PDO should seek to foster the perceived quality of intrinsic attributes
in order to enhance consumer buying intentions, which may be viewed as the pragmatic side of
consumer behaviour, an expression of the behavioural side of their attitude, and a reflection of their
actions and short-term behaviour. It should also foster the perceived quality of extrinsic attributes so
as to achieve greater loyalty which, in turn, will be expressed as an increase in repeat purchases. This
loyalty may be considered from an attitudinal standpoint involving feelings and affects towards a
product or brand, and is related with ideal images held by consumers about their own actions.
Originality/value This paper shows that positive attitudes, feelings and affects towards symbolic
factors are fundamental components of attitudinal loyalty. These aspects reflect the consumer ideal,
because such attitudes are based on positive feelings and affects towards symbolic factors. This
loyalty, in turn, constitutes the ideal behaviour with which the consumer identifies, although it is not
necessarily his/her actual behaviour.
Keywords Quality, Customer loyalty, Buying behaviour
Paper type Research paper

British Food Journal
Vol. 108 No. 8, 2006
pp. 646-662
q Emerald Group Publishing Limited
0007-070X
DOI 10.1108/00070700610682337
Introduction
The growing competitiveness of markets requires firms to generate competitive
advantages. From a marketing standpoint, this can be achieved by establishing
long-term relations with customers, as argued from the position of relational marketing
(Morgan and Hunt, 1994; Garbarino and Johnson, 1999; Ganesan, 1994; Johnson, 1999).
The strategy implies attaining a series of intermediate objectives, such as higher
The authors are grateful for the financial support received from the Spanish Ministry of Science
and Technology (SEC2005-4972; PM34) and the Aragon Goverment (S-46).
perceived quality, and achieving satisfaction, greater commitment and confidence on Intrinsic and
the part of customers, as well as a final objective, which may be to enhance loyalty. extrinsic quality
Developing such relations long term means putting the relational marketing
approach into practice and, according to Berry (1983), this consists of attracting, attributes
maintaining and intensifying relations with the customer. Evans and Laskin (1994),
meanwhile, argue that relational marketing is an ongoing process, in which firms
must not only remain in constant communication with their customers to ensure 647
the organisation achieves its objectives but also integrate the relational marketing
process into their strategic plans. This approach will enable the firm to mobilise
its resources the better to satisfy the needs of consumers.
Traditional food products can achieve competitive advantages using quality,
product differentiation and branding policy as marketing strategies. EEC Regulation
1992/2081 defines protected designations of origin (PDOs) as the:
. . . geographical name of a region, district, town or locality used to designate a product from
the area thus named, which is distinguished by its differentiating qualities and
characteristics due principally to the natural environment and the method of production
and/or ageing.
The requirements for products with protected geographical indications (PGIs) and
traditional speciality guaranteed (TSGs) are less stringent. Specifically, at least one
production and processing stage of PGIs must take place in the geographic area of
origin of the involved product, while TSGs must be produced using special methods
although these need not be linked with the area of origin. The practice of using PDO as
common, generic or umbrella brands has spread ever wider in Europe, because they
allow producers to exploit natural and human factors as will as geographical origin
and local production methods. The proof of this is that the number of PDOs, IGPs and
TSGs based on the quality systems established by the European Union has increased
year by year (there are currently over 500), together with the number of firms and
products covered.
Specifically, countries such as Italy, the leading European producer with 136
recognised PDOs e IGPs (20 per cent of the total), have achieved an increase of some
20 per cent in the volume of sales, estimated to be worth around e7.6 billion per year
(Mattiacci and Vignali, 2004). The most representative products are wine, fruit and
vegetables, cheese and olive oil. Internationally, the best known products are Bordeaux
wine and Roquefort cheese for France, and Modena balsamic vinegar, prosciutto di
Parma (air-cured ham) and the mozzarella TSG for Italy. There are around 120 PDOs
and PGIs in Spain, the most widely recognised being Rioja wine, Manchego cheese and
various air-cured hams PDOs, including the Teruel PDO. Over 500,000 PDO Teruel
hams were produced in 2004, representing around 70 per cent of Spanish PDO
production, worth some e47 million.
This paper examines the relationship between the quality of an origin designated
food product and consumer loyalty and buying intentions. To this end, a clear
distinction is established between quality perceived in terms of the intrinsic and
extrinsic attributes of the product, and the impact of quality on consumer loyalty and
buying intentions. The product chosen for this analysis is air-cured ham bearing the
Jamon de Teruel PDO[1].
BFJ The concepts of quality, loyalty and buying intention in the literature
108,8 The concept of quality
The literature contains abundant studies of quality (Juster, 1975; Maynes, 1975;
Triplett, 1975; Jacoby and Olson, 1985; Parasuraman et al., 1985; Zeithaml, 1988),
reflecting the considerable complexity of the concept and the multiple dimensions into
which it can be broken down (Garvin, 1987; Brucks et al., 2000).
648 It is also worth noting that the concept of quality, or more exactly the perception of
quality, varies depending on a range of factors such as the moment at which the
consumer makes the purchase or consumes a product, and the place where it is bought
or enjoyed, to name but a few.
Quality can, then, be defined in terms of the moment at which the consumer receives
information or cues about the characteristics of the product while shopping for or
consuming it (Becker, 2000). Thus, consumers evaluate the functionality or utility of
the product on the basis of their needs. This allows us to distinguish three categories of
quality based on product attributes:
(1) Search quality (quality in the shop). This category refers to intrinsic and extrinsic
product attributes that are cued at the moment the purchase is made and are
important for quality selection.
(2) Experience quality (eating quality). These are intrinsic attributes that become
available only when the product is used or consumed and are important for the
consumers perception of organoleptic quality.
(3) Credence quality. This category represents both intrinsic and extrinsic
attributes that are of concern to the consumer but are not cued in the buying
or consuming process. The consumer must therefore rely on information
transmitted by the media, word of mouth, etc.

Consequently, when consumers form a value judgement as to their quality perceptions,

it becomes necessary to break the concept of quality down into two major groups of
factors (Zeithaml, 1988; Steemkamp, 1997):
(1) Intrinsic attributes that permit objective measurement of quality. These
qualities imbue the product with its functionality and relate to its physical
aspect. According to Olson and Jacoby (1972), intrinsic attributes are specific to
each product, disappear when it is consumed and cannot be altered without
changing the nature of the product itself.
(2) Extrinsic attributes are aspects that are related to the product but are not
physically a part of it, such as its name or the brand image. These are also
known as image variables. They differ from the product itself but are strongly
associated with it and should be considered in any evaluation of its
characteristics. Other authors, such as Erickson et al. (1984), have argued that
image variables may include the brand, the price, the support of well-known
authorities or the region of origin.

In the case of PDO Teruel ham, the attributes perceivable at the time of purchase or
consumption would include:
 .
Intrinsic attributes such as: fine, lightly salted flavour; characteristic delicate, Intrinsic and
pleasant and suggestive aroma and an appetising appearance due to the brilliant extrinsic quality
colour of the cut meat.
.
Extrinsic attributes such as: shapely, elongated and rounded form of the ham;
attributes
presence of the trotter and a band bearing the emblem of the Regulatory Council,
as well as a branded star with the Teruel name on the back of the ham.
649
Attributes common to any other agro-alimentary product that are not perceivable
during the purchasing process would include: hormones, fat/cholesterol, animal
nutrition and welfare, food safety and health aspects.
Taking this analysis of agricultural products and foodstuffs in terms of intrinsic
and extrinsic attributes further, Sanzo et al. (2001) define the concept of perceived
quality on the basis of consumer perceptions of central and peripheral attributes:
. Central attributes are those components that appear as intrinsic and define the
category to which they belong, representing both nutritive and organoleptic
properties (vitamins, minerals, texture, flavour, aroma, colour, appearance, etc.).
.
Peripheral attributes are background or extrinsic components of the product that
enable differentiation from competing goods, such as brands, labels, design,
information about uses and benefits, authenticity, environmental commitment
and social and cultural connotations.

Thus, consumer perceptions are essential to the definition of the concept of quality. It
should be taken into account that the dynamic of this concept means it will vary
depending on these perceptions, on additional information, on increasing competition
for the product type and on changes in the expectations of consumers (Zeithaml, 1988;
Bello and Gomex, 1996).
Based on the above analysis of the concept of quality, the key factor is the moment
or place at which consumers receive a range of information about the product they are
about to buy or consume. However, the most relevant aspects for the expression of
consumer value judgements about the overall quality of a traditional agricultural or
food product are structured around two major factors, which are the intrinsic or central
attributes forming the special nature of the product itself and extrinsic or peripheral
attributes referring to those cues that envelop the product but do not actually form a
part of it.

The concepts of loyalty and buying intention

As in the case of quality, the specialist marketing literature contains numerous studies
analysing the concept of loyalty (Day, 1969; Jacoby and Kyner, 1973; Oliver, 1999).
Indeed, it might be said that creating a loyal customer-base has become one of the
priorities of business in view of the higher profitability associated with loyal
consumers (Sharp and Sharp, 1997). This has resulted in detailed study of the key
factors that might explain the phenomenon both from the theoretical standpoint
(Jacoby and Chesnut, 1978; Ehrenberg, 1988; Wernerfelt, 1991; Dick and Basu, 1994;
Fournier and Yao, 1997) and from an empirical perspective (Chaudhury and Holbrook,
2001; Smith et al., 2003).
The peculiar complexity of the concept means loyalty has been linked with multiple
variables, which have been the subject of numerous studies in the specialist marketing
BFJ literature. Thus, Aaker (1991) and Keller (1993) believe that loyalty is closely
108,8 associated with various factors, one of the main ones being the experience of use.
Indeed, it seems evident that loyalty cannot exist without a prior purchase or
experience. However, it does not emerge until beliefs and attitudes become favourable
to a brand, and these become manifest in repeat buying behaviour.
One of the definitions of loyalty that has made the greatest impact in the specialist
650 literature was proposed by Oliver (1999), who proposes that loyalty reflects:
. . . a deeply held commitment to rebuy or repatronize a preferred product/service consistently
in the future, thereby causing repetitive same-brand or same brand-set purchasing, despite
situational influences and marketing efforts having the potential to cause switching
behaviour.
This definition highlights the differences between the two analytic perspectives
considered in the majority of recent papers (Varela, 1991; Dick and Basu, 1994;
Zeithaml et al., 1996; de Ruyter et al., 1998; Soderlund, 1998; Barroso and Martin, 1999;
Martnez-ribes et al., 1999; Caruana, 2002):
(1) From a behavioural standpoint, loyalty is seen as effective consumer behaviour
toward a specific product, brand or establishment over time. In this approach,
loyalty is analysed on the basis of repeat purchase or relative purchase volume
patterns for the same brands or establishments (Cunningham, 1961; Frank,
1967; Dunn and Wrigley, 1984).
(2) From the attitudinal standpoint, the behavioural approach is considered
insufficient to explain how and why true loyalty develops and is maintained
(Jacoby and Kyner, 1973; Jacoby and Chesnut, 1978; Dick and Basu, 1994).
These authors argue that loyalty can only be viewed as an attitude
when positive affects and feelings toward a product, brand or purveyor are
involved.

Similarly, the concept of buying intentions reflects consumers foreseeable behaviour

in short-term future buying decisions (e.g. what product or brand the consumer will
buy on his/her next shopping trip).
More specifically, we would point out that buying intention is a future
projection of consumer behaviour that will significantly contribute to the
configuration of attitudes. Indeed, if we examine the basic components of the
attitudes model proposed by Asael (1995), we find that attitudes in fact develop
due to a combination of three basic elements associated with beliefs, emotional
responses and the foreseeable actions of the consumer. Specifically, the cognitive
component reflects individuals knowledge of and beliefs about a given product or
service (Fishbein and Ajzen, 1975), while the affective component arises as a result
of a persons emotions or feelings toward a product or service. Finally, the
conative or behavioural component would be the expression of the consumers
buying intention (Eagly and Chaiken, 1993).
Meanwhile, attitudes develop over time via a process of learning and are affected by
family influences, the social groups to which the individual belongs or aspires to
belong, the information received, experience and personality.
Proposed model and working hypotheses Intrinsic and
Following this review of the literature concerning the concepts of perceived quality, extrinsic quality
loyalty and buying intention, let us now propose a model sets out for analysis and
ground the relationships that may be established. attributes
Specifically, the empirical study for this research focuses on the case of the
Jamon de Teruel PDO. In recent years, origin designated products have enjoyed
extraordinary growth in the food products market. This expansion can, to a great 651
extent, be explained by the guarantees associated with products of this kind, which are
supported both by the brand concerned and by the requirements associated with the
regulatory bodies responsible for certification (Mattia, 2004). Analysis of this market
reflects how concepts such as traceability have become increasingly important at the
point of origin, providing improved guarantees as to the source of raw materials and
production processes (Mousavi et al., 2002).
Taking this duality of factors as a starting point, it seems clear that PDO
certification will increase consumer quality perceptions in terms of both intrinsic and
extrinsic attributes.
Specifically, belonging to a PDO should enhance the intrinsic attributes of the
product as a result of the improvement in physical characteristics gained from stricter
quality controls, greater experience of production processes and so on. In the same
way, the perceived quality of extrinsic attributes will also improve due to the
enhancement of the brand image under the umbrella of the PDO, stronger
differentiation of the PDO product against competitors and so forth.
Focusing in the first place on the influence that intrinsic attributes may exercise on
consumer perceptions and buying behaviour, let us note that quality perception is a
complex process that begins with the discernment and classification of signals
associated with intrinsic attributes, such as the appearance, colour, flavour and
presentation of the product. The analysis shows that consumers rely more heavily on
intrinsic than extrinsic attributes to predict the quality of foodstuffs such as meat on
the basis of visual inspection. However, not all of these attributes can be adequately
perceived by the individual until the product is actually eaten (e.g. flavour, aroma).
As a consequence, it would seem reasonable to suppose that the level of perceived
quality associated with intrinsic attributes (e.g. aroma, flavour, texture, natural and
carefully prepared products, etc.) may rise in the process of consumption, thereby
increasing the consumers loyalty and possible repeat buying intention. Hence, we may
propose the following hypotheses for verification:
H1. The perceived quality of the intrinsic attributes of a PDO product has a
positive and significant impact on consumer loyalty.
H2. The perceived quality of the intrinsic attributes of a PDO product has a
positive and significant impact on consumer buying intention.
The level of perceived extrinsic attribute quality may also be expected to have an
influence in the proposed model. Thus, the perceived quality of traditional food
products is higher because the consumer recognises that the product was produced in a
given region with its own specific geography and climate, tradition and know-how
(Calvo, 2001). Such perceptions may increase the consumers desire to buy the product.
Meanwhile, the idea that firms create value for the consumer rather than offering
goods and services for sale has gained increasing acceptance in the marketing
BFJ literature. Consequently, the more distinctive a firms products, the more difficult they
108,8 will be to copy or imitate due to intangible factors. This, in turn, will raise the chances
of the firms gaining the loyalty of customers (Bigne et al., 2000). The extrinsic
attributes of a PDO food product, such as the place of origin, the traditional product
image and the know-how associated with production are unique distinguishing
features that are difficult to imitate (Mattiacci and Vignali, 2004). This represents a
652 competitive advantage in the globalised context in which the products are marketed.
Similarly, shopping involves a decision making process on the part of the consumer,
and this is influenced by a series of psychological factors such as motivation and
perceptions, situational factors such as the shop itself, its location and the reason for
the shopping trip, informational factors, and social or group factors such as culture,
social class, reference groups and family, according to Stanton et al. (1994). It is thus
likely that the perception of quality associated with symbolic factors such as the image
of the product, the region of origin and so on will have a positive influence on customer
loyalty and product buying intentions. Hence, we may formulate the following
hypotheses:
H3. The perceived quality of the extrinsic attributes of a PDO product has a
positive and significant impact on consumer loyalty.
H4. The perceived quality of the extrinsic attributes of a PDO product has a
positive and significant impact on consumer buying intention.
Finally, to study the relationship between loyalty and buying intention, we need to
consider the numerous marketing studies (Gardner, 1985; Westbrook, 1987; Westbrook
and Oliver, 1991; Allen et al., 1992) that relate consumers attitudes to their buying
behaviour. Loyalty is defined as an attitude when it involves positive affects and
feelings toward the product. It thus seems likely that consumers will attach greater
importance to the perception of quality if the role of designations of origin as collective
brands that seek to differentiate highly specialised products is underscored.
Consequently, it would seem reasonable to suppose that the commitment to repeat
the purchase of a preferred product due to the feelings and affects formed as a result of
this perception of quality will have a clearly positive influence on the consumers
predisposition to repeat the purchase. Hence, we may propose the following
hypothesis:
H5. Consumer loyalty toward a PDO product has a positive and significant effect
on the consumers buying intentions.
Having set out our working hypotheses, the proposed model is given by Figure 1,
which establishes the relationships between quality perceived via intrinsic and
extrinsic attributes, and loyalty and buying intentions.

Methodology
A series of actions were carried out to obtain the data necessary to test the hypotheses.
Firstly, a group dynamic was carried out to learn the opinions of a small number of
consumers and lay the foundations for the development of the scales used to quantify
the concepts of perceived quality of intrinsic and extrinsic attributes. In order to
achieve a better fit, the scales developed were then presented to various external
 Intrinsic and
extrinsic quality
attributes

653

Figure 1.

marketing specialists with expert knowledge of the issues associated with PDO food
products for their opinion[2].
Data was collected by a group of specifically trained interviewers using a structured
questionnaire in personal interviews. The survey was performed at the entrances of
shopping centres and shops specialising in products of this kind. The questionnaire
asked respondents about their consumption of PDO air-cured ham. The sample size,
after filtering the questionnaires, totalled 251 valid cases, representing a sample error of
^ 6.31 per cent for an infinite population with a confidence level of 95 per cent (Table I).
Data were obtained using a structured questionnaire containing closed questions.
Respondents were asked to indicate levels of agreement or disagreement with a series of
statements based on a 7-point Likert scale. Specifically, the data obtained referred to
perceptions of quality based on, concepts such as flavour, bouquet, colour and aroma for
intrinsic attributes, and place of origin, traditional product image for extrinsic attributes,
loyalty and consumer buying intentions for PDO Jamon de Teruel air-cured ham.
Finally, the questionnaire sought information on the frequency of purchase, the variety
of air-cured ham the consumer usually bought and other data to provide a more detailed
view of buying behaviour and socio-demographic characteristics.
The analytic process carried out to refine the scales was structured in stages, as
follows. In the first place, an exploratory analysis was performed to test the reliability
and unidimensionality of the sub-scales. The analysis was carried out using
Cronbachs a, providing satisfactory levels of reliability in all cases without the need to
eliminate any of the indicators with the following results: perceived quality 0.94;
loyalty 0.93; buying intention 0.89. In the perceived quality scale the scores were 0.90 in
the sub-dimension referring to organoleptic and functional factors and 0.80 in the

Universe Autonomous community of Aragon

Adults over 18 years of age who regularly buy and
Sample unit eat PDO air-cured ham
Personal interviews based on a structured
Methodology questionnaire
Sampling procedure Random sample
Sample size 251 valid interviews
Sample error ^6.31 per cent Table I.
Confidence level 95 per cent; p q 0.5 Technical details of the
Date of fieldwork April 2003 study
BFJ sub-dimension referring to symbolic factors. Similarly, the initial analyses of
108,8 unidimensionality provided satisfactory results in all cases, reflecting the existence of a
single dimension in each of the sub-scales used without the need to eliminate any
indicator[3].
The second stage consisted of a confirmatory reliability analysis, which was carried
out using EQS version 5.7b statistical software. We opted for the Maximum Robust
654 Verisimilitude method of estimation. This process required developing various
confirmatory models in line with the methodology proposed by Hair et al. (1999) based
on the three criteria established by JoreskoG and Sorbom (1993)[4].
This process resulted in the successive elimination of various indicators from the
scales used in the analysis to leave five representative items for intrinsic attributes in
the final scale. These are good colour, pleasant flavour, special texture,
appetising look and characteristic, agreeable aroma. Six items represent extrinsic
attributes: traditional image, area of origin, characteristic shape, important
industry, projection of the Teruel name and trusted vendor. Loyalty comprises
three items it is the ham I most often buy, I consider myself a loyal consumer and
I usually buy DPO Teruel ham- and buying intention two I intend to continue
buying the product and if I could not find this product in my usual shop, I would look
for it in another.
As recommended by del Barrio and Luque (2000), we also calculated the composite
reliability coefficient and the AVE coefficient, obtaining scores of 0.87 and 0.57,
respectively, for the intrinsic attributes quality scale, 0.8 and 0.62 for extrinsic
attributes, 0.87 and 0.68 for loyalty, and 0.77 and 0.62 for buying intention. All of these
scores are more than acceptable.
The third and final step in this process of refinement consisted of an analysis of
internal validity, requiring conformance with the properties of reliability, content
validity and construct validity (Flavian and Lozano, 2003). Reliability was
satisfactorily tested on the basis of this framework using various analyses, as
explained above. As for content validity, the exhaustive prior review of the
bibliography and the refinement of the scales by various experts ensured that a
satisfactory result was obtained. Finally, verification of construct validity required
testing for convergent validity and discriminant validity in the various sub-scales
making up each of the scales considered in the study.
The correlations of the scales analysed were calculated in order to establish
convergent validity. The results, shown in Table II, confirm that the various
sub-dimensions are significantly correlated, thereby proving convergent validity.

Intrinsic quality Extrinsic quality Buying

Correlations attributes attributes Loyalty intentions

Intr. Q. attrib. 1
Extr. Q. attrib. 0.817 * 1
Loyalty 0.419 * 0.512 * 1
Buying
Table II. intentions 0.565 * 0.592 * 0.741 * 1
Analysis of the
convergent validity Note: *Coefficients are significant at a level of 0.01
The discriminant validity of the sub-dimensions was confirmed on the basis of the data Intrinsic and
reflected in Table III. When the confidence intervals between each pair of extrinsic quality
sub-dimensions were calculated, a score of 1 was obtained in each case falling
outside these intervals. Consequently, all of the sub-dimensions considered in the study attributes
measure concepts that are clearly distinct from each other.
Discriminant validity can also be measured by calculating x 2 differences between
the proposed model and each of the six new models in order to establish whether they 655
are significantly different (del Barrio and Luque, 2000). As shown in Table III, the six
comparisons indicate that the proposed model is significantly different from each of the
new models. Consequently, the discriminant validity of the scales forming the
proposed overall model is guaranteed.

Results
The results obtained from the analysis of the proposed model are shown in Figure 2.
The first hypothesis analysed (H1) states that the quality of PDO Jamon de Teruel
ham perceived by the consumer in terms of intrinsic (organoleptic and functional)
attributes has a positive and significant effect on the consumers loyalty. The result
obtained from the structural equations model was nil (0.00), hence this hypothesis was
not confirmed. On the other hand, the second of the hypotheses proposed (H2), which
refers to the relationship between perceived quality of the same intrinsic factors or

Constructs Confidence interval Differences x 2 (g. l.)

Loyalty/intrinsic quality attributes (0.5423 2 0.2896) 603.9 * (1); p , 0.01)

Loyalty/Extrinsic quality attributes (0.6551 2 0.3689) 364.4 * (1); p , 0.01)
Intrinsic Q. attributes/extrinsic Q. attributes (0.8915 2 0.7425) 103.3 * (1); p , 0.01)
Buying intention/loyalty (0.8272 2 0.6547) 111.4 * (1); p , 0.01)
Buying intention/intrinsic quality attributes (0.6884 2 0.4415) 163.9 * (1); p , 0.01)
Buying intention/extrinsic quality attributes (0.7194 2 0.4646) 147.1 * (1); p , 0.01) Table III.
Discriminant validity
Note: *p , 0.001 analysis

Figure 2.
Tested model of perceived
quality, loyalty and
buying intention
BFJ attributes and the buying intention variable, produced a significant, positive result
108,8 (0.24 *), confirming that consumers perceive the quality cues of a given product, and
that their influence varies depending on the variable studied.
Similar, though inverse, results were obtained for the quality dimension referring to
symbolic factors or extraordinary attributes. According to H3, quality perceived by the
consumer of PDO Teruel ham via extrinsic attributes is positively and significantly
656 associated with loyalty, and the results obtained (0.51 *) would support this hypothesis.
In contrast, H4 proposes that the quality perceived by the consumer of PDO Teruel
ham via extrinsic attributes is positively and significantly associated with buying
intentions, but the result obtained is not significant. Hence, there is no statistical
support for this hypothesis.
Finally, the last hypothesis (H5), which postulates that the loyalty of a consumer to
PDO Jamon de Teruel ham positively and significantly influences her buying
intention was also positively confirmed on the basis of a positive result (0.59 *).
Based on these results, we may affirm that positive attitudes, feelings and affects
toward the brand are fundamental components of attitudinal loyalty. These aspects
would reflect the consumer ideal, because such positive attitudes are based on positive
feelings and affects towards the brand. This loyalty would constitute the ideal
behaviour with which the consumer identifies, although it is not necessarily his/her
actual behaviour (Table IV).

Conclusions and implications for management

In this paper, we have considered the increasing importance of protected designations
of origin as distinguishing features of quality and generators of competitive advantage
for the products they cover. At the same time, we have discussed the multidimensional
nature of quality, identifying two clearly differentiated dimensions for an origin
designated food product. The first dimension refers to the intrinsic attributes or
organoleptic and functional functions of the product, while the second is associated
with its extrinsic attributes or symbolic factors. We have also analysed the relationship
between the two dimensions of perceived quality and variables such as loyalty and
buying intention.
The results obtained from this study reveal that the perceived quality associated
with the intrinsic attributes of a traditional food product (flavour, aroma, texture,
natural product, careful production, etc.) clearly have a positive and significant
influence on consumers buying intentions. It would thus seem reasonable to suppose
that the effort made by PDO regulators to certify the quality of their products, establish
traceability processes, ensure the accuracy of the information provided to the consumer
in labels and obtain higher quality standards should have resulted in an enhancement
in the quality perception of the food product, clearly and directly influencing
consumers buying intentions.

x2 (d.f): 325.28 (98) p , 0.001 x2 Satorra: 253.269 p: 0.00000

Table IV. B-BNFI: 0.9 B-BNNFI: 0.908 CFI: 0.925 CFI ROBUST: 0.916
Goodness-of-fit measures IFI: 0.925 GFI: 0.852 NNFI: 0.908
The results of the empirical study also reveal the existence of a positive and significant Intrinsic and
relationship between the extrinsic attributes of the product and the loyalty expressed extrinsic quality
by consumers. These results suggest that the information transmitted by the PDO via
images that are associated with the product but do not form a part of it, such as the attributes
image of a traditional product, the region of origin and so forth, improve consumers
feelings and affects toward PDO products, positively and significantly improving
consumer loyalty. 657
Similarly, the derivations of the model tested would seem to show that quality
perceived through intrinsic attributes (such as flavour or aroma) that objectively reflect
quality do not have any influence on the expression of greater loyalty towards the
product.
With regard to extrinsic attributes, the idyllic image that the consumer may
conceive of the product does not have a direct effect on buying intentions, although it
does influence the mediating loyalty variable. Thus, when consumers perceive the
image of the product, the region of origin, or other such attributes, these will positively
influence their feelings and affects, generating true loyalty towards the products, as a
consequence of which they will exhibit an actual buying intention.
There are significant implications for management in this context. The PDO should
seek to foster the perceived quality of intrinsic attributes in order to enhance consumer
buying intentions, which may be viewed as the pragmatic side of consumer behaviour,
an expression of the behavioural side of their attitude, and a reflection of their actions
and short-term behaviour. The factors concerned are those that refer to the
organoleptic or functional characteristics of products, which are those perceived
through the senses, such as aroma, flavour, texture and so on.
The PDO should also foster the perceived quality of extrinsic attributes in order to
achieve greater loyalty which, in turn, will be expressed as an increase in repeat
purchases. This loyalty may be considered from an attitudinal standpoint involving
feelings and affects towards a product or brand, and it is related with ideal images held
by consumers about their own actions. Thus, extrinsic attributes or ideal images will
influence the consumers feelings and affects, raising loyalty in such a manner that
medium and long-term product buying behaviour will be affected. To achieve this
objective, it is necessary to strengthen extrinsic attributes via factors such as the image
of a traditional product, the region of origin, vendor credibility, the relevant industry in
the province and the outward projection of the areas name.
Producers and entrepreneurs involved in the marketing of PDO Jamon de Teruel
air-cured ham face a significant challenge from non origin designated brands of ham,
like the producers of many typical Italian products, which represent 20 per cent of the
total protected in Europe (e.g. Tuscan-style virgin olive oil produced in Australia and
Parma ham produced in Canada). Such products may enjoy considerable prestige as
quality but lower price goods, and above all they may be well known because they use
the same names as PDO products, thereby confusing consumers and failing to respect
the pertinent legislation.
More specifically, entrepreneurs should concentrate their efforts on improving
intrinsic attributes through enhanced quality controls in order to obtain a high quality
product with its own differentiating characteristics, backed by rigorous traceability
systems supported by the PDO regulatory councils. Similarly, producers should
actively seek to publicise the extrinsic attributes of PDO ham through communication
BFJ and promotional campaigns that clearly identify the links between product quality and
108,8 the place of origin, highlight its traditional image and underscore the associated
benefits. In this way, wider dissemination of the perceived quality of the product could
be achieved, resulting in higher levels of satisfaction and consumer loyalty, benefiting
producers by strengthening customer loyalty and raising returns.

658 Notes
1. The Jamon de Teruel PDO started to operate following the approval of the relevant
regulations by the Regional Government of Aragon Department of Agriculture in October
1984 and subsequent ratification by the Ministry of Agriculture in 1985. The designation
was the first to be created in Spain to support, control and guarantee the production of
air-cured hams. The Regulatory Council is responsible for applying the designation
regulation and ensuring compliance.
2. It is common practice, widely discussed in market research manuals, to seek the opinion of
experts (Green and Tull, 1978; Weiers, 1984). This has been done in order to confirm that the
data obtained in the pre-test performed with consumers and the information gleaned from
the review of the literature have been appropriately employed. The comments and guidance
obtained from experts can be of great help in designing the definitive survey.
3. In particular, the variance explained by the different dimensions was: perceived quality (65
per cent for the sub-dimension reflecting intrinsic and 57.4 per cent for the sub-dimension
reflecting extrinsic), loyalty 78.75 per cent and buying intention 66.32 per cent.
4. In order to ensure compliance with the weak convergence condition, Steemkamp and van
Trijp (1991) suggest analysing the significance of the factorial regression coefficients in the
indicators and their corresponding latent variables. This was done revising the value of the
student t (T-value . 1.96). In addition, those indicators that do not meet the strong
convergence conditions (Steemkamp and van Trijp, 1991) were also eliminated when the
standardised coefficients (l) were lower than 0.5 (Hildebrant, 1987). As a third criterion, we
considered the elimination of those indicators that did not reach a minimum strength in the
relevant linear relationship, measured via the observed R 2, requiring a minimum score of 0.3
(Blesa, 2000).

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BFJ About the authors
Carmina Fandos is Assistant Professor of Marketing in the Faculty of Economics and Business
108,8 Studies (University of Zaragoza; Spain). Her main research lines focus on the study of image and
strategic positioning. She is currently working on the analysis of variables such as image
positioning, perceived quality and brand equity applied to the traditional agro-alimentary sector,
specifically in protected designated origin products. Her work has been presented at national and
international conferences, and has been published in various journals and books. Carmina
662 Fandos is the corresponding author and can be contacted at: cfandos@unizar.es
Carlos Flavian is Professor of Marketing in the Faculty of Economics and Business Studies
(University of Zaragoza; Spain). His research in Strategic Marketing has been published in
various academic journals, such as the European Journal of Marketing, Journal of Consumer
Marketing, Journal of Strategic Marketing, International Journal of Bank Marketing, Information
& Management and Internet Research and books such as The Current State of Business
Disciplines, Building Society Through e-Commerce and Contemporary Problems of International
Economy. He is director of several competitive research projects on the topic of e-marketing. He is
a member of the Editorial Board of Industrial Marketing Management, Journal of Marketing
Communications, International Journal of Services and Standards and Journal of Retailing and
Consumer Services. E-mail: cflavian@unizar.es

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