As products are constantly updated, brands launch increasingly different versions of products, and consumers face upgrade choices frequently. However, when and why consumers choose to upgrade has received limited attention. This dissertation sheds new light on consumers’ upgrade intention by distinguishing a novel antecedent, the product type (material vs. experiential).

Four studies reveal that consumers are more likely to upgrade experiential products instead of material products. This effect is mediated by a heightened sense of anticipated regret of not upgrading rather than perceived upgrading level and perceived self-product closeness. Specifically, consumers have greater anticipated regret if they do not upgrade experiential products (vs. material products), which leads to their higher upgrade intention toward experiential products. Additionally, this dissertation discovered the boundary role of self-affirmation and the moderating role of upgrade, providing businesses with a valuable tool for effectively positioning and promoting their products. In sum, our research significantly advances the current understanding of product upgrades and offers crucial insights for brands seeking to optimize their marketing strategies.