I WASN’T INFORMED OF THAT!! The Immorality of Deceptive Prices and Hidden Fees in Digital Marketing

Abstract

Current study aimed at examining the ethical stands of digital marketing and organizations’’ approaches to manipulate their fees and prices when using digital marketing in terms of (psychological effect, consumer awareness, trust and credibility, purchase decision making, customer loyalty and relationship, business reputation). The study hypothesized that “ethics of hidden fees and deceptive prices in digital marketing has a negative influence on customers’ attitudes towards the organization”. Realizing study’s main hypothesis was done depending on quantitative methodology and utilizing a questionnaire which was self-administered by (431) individuals. Results of analysis accepted the main hypothesis and it appeared that hidden fees and manipulated prices may negatively influence customers’ attitudes towards the organization and impact their future engagement with it. Among the chosen sub-variables, it was seen that the most influenced factor was consumer awareness as hidden prices in digital marketing have impact on consumer awareness when for some reason the customer is not informed of these hidden costs then they are left with perceptions that are completely misplaced as to the actual cost that they are likely to incur. This lack of transparency is particularly understandable as it can inadvertently contribute to confusion and annoyance as customers may be perceived to be duped by a business. Thus, their ability to discern the reality of the cost that is associated with a particular product or service is affected considerably.

Study recommended running a digital marketing strategy that is based on transparency and continuous disclosure for the benefit of organizational reputation.