What makes deal-of-the-day promotions really effective? The interplay of discount and time constraint with product type

Eisenbeiß, Maik; Wilken, Robert L.; Skiera, Bernd; Cornelißen, Markus

doi:10.1016/j.ijresmar.2015.05.007

Cited by 66 publications

(45 citation statements)

References 44 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Hypothesis 1 extends the framework provided by Eisenbeiss et al [42], i.e., the distinction between organic and conventional products, albeit each organic (or conventional) product can be characterised further through the hedonic-utilitarian distinction-the original focus of the framework. Therefore, we can specify and further refine our predictions by merging both distinctions, resulting in interaction effects (between product type and product category).…”

Section: Research Model and Hypothesesmentioning

confidence: 64%

“…Several studies demonstrate a positive influence of monetary price promotion (via discounts) on sales and turnover [45,46], as it signals an economic advantage [47], thereby increasing consumers' purchase intentions [48]. However, discount promotions can also affect promotional effectiveness negatively [39,49], as they can reduce consumers' perceived brand image [47,50], perceived quality [51], deal attractiveness [42] and future purchase intentions [37] if the wrong type of product is promoted or excessive discount levels are offered [52,53].…”

Section: Price Promotionmentioning

confidence: 99%

“…The Eisenbeiss et al [42] framework enables us to test how consumers' information processing influences the promotional effectiveness of two different promotional formats (i.e., discounts and premiums). We expand the framework by distinguishing between organic and conventional products: Promotional effectiveness might depend not only on the relationship between the product type promoted (hedonic vs. utilitarian), the preferred mode of information processing (heuristic vs. systematic) and the promotional format (premiums with a focus on hedonic benefits, discounts with a focus on utilitarian benefits), but also on product category (organic vs. conventional).…”

Section: Research Model and Hypothesesmentioning

confidence: 99%

“…Lee and Yun [41] demonstrate that related research lacks a profound theoretical framework for investigation. We therefore adapt a framework developed by Eisenbeiss et al [42] and investigate the influence of the type of product promoted. Thereafter, we look at how product type (utilitarian vs. hedonic) influences how consumers process provided information, which can be more systematic (heuristic) when confronted with utilitarian (hedonic) products and subsequently lead to differences in promotional effectiveness.…”

Section: Introductionmentioning

confidence: 99%

“…As product category (organic vs. conventional) might influence consumers' information processing, in a similar vein to the product type being promoted, we can expand the Eisenbeiss et al [42] framework accordingly. Through an online experiment, we demonstrate that the promotional effectiveness of discounts and premiums (saving levels: 10% vs. 20%) depends on product type (hedonic vs. utilitarian) [42] and product category (organic vs. conventional). Our findings suggest that discounts offer more systematic promotional cues, which consumers value more when confronted with conventional products (compared to organic products).…”

Section: Introductionmentioning

confidence: 99%

See 4 more Smart Citations

The Effectiveness of Promotional Cues for Organic Products in the German Retail Market

2019

Self Cite

View full text Add to dashboard Cite

The market for organic products is constantly growing, but successfully promoting them remains a controversial issue. Marketing research shows that organic products such as fruits and vegetables cannot be advertised effectively via monetary promotions (e.g., discounts); however, how promotional effectiveness is affected by other promotional actions (e.g., offering premiums instead of discounts) or the product type promoted (e.g., promoting hedonic products such as organic ice cream instead of utilitarian products) has not been empirically investigated to date. Through a study conducted with 487 German participants, we demonstrate that monetary promotion is less effective for organic than for conventional products. In contrast, non-monetary promotion (via offering increased content) enhances promotional effectiveness more for organic than for conventional products. Increased heuristic processing can explain these findings, as consumers focus more on the heuristic cues offered by non-monetary promotion when confronted with organic, and in particular hedonic organic, products.

show abstract

Section: Research Model and Hypothesesmentioning

confidence: 64%

Section: Price Promotionmentioning

confidence: 99%

Section: Research Model and Hypothesesmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

See 3 more Smart Citations

The Effectiveness of Promotional Cues for Organic Products in the German Retail Market

2019

Self Cite

View full text Add to dashboard Cite

show abstract

Patterns of buyer behavior and brand metrics in a “high loyalty” category: Liquor

Dawes

2023

J of Consumer Behaviour

View full text Add to dashboard Cite

This study examines behavioral brand loyalty in a category that, based on industry evidence, is expected to exhibit high loyalty: liquor (distilled spirits). The study aims to extend knowledge of the factors that underlie behavioral loyalty, including brand characteristics of price level and promotion incidence, and buyer characteristics of age and income. Drawing on theory and evidence relating to prospect theory, the “smart shopper” concept, as well as literature pertaining to age and loyalty, we develop a series of hypotheses and test them using extensive consumer panel purchasing data for US households. The analysis confirms that liquor is indeed a high loyalty category in the context of consumer goods, evidenced via high share of category requirements (SCR). The study also identifies that liquor brands follow the double jeopardy pattern, whereby larger‐share brands enjoy somewhat higher loyalty, and that exceptions—brands with unusually high or low volume loyalty for their size—are related to high volume purchased per occasion. In turn, there is a strong negative association between brand price and high average volume purchased per occasion (i.e., cheaper brands are bought in larger quantity or volume than expensive ones). The study also finds that brands with a low price tend to be particularly attractive to low‐income households, and that, in turn, low‐income households exhibit higher brand loyalty. These new findings contribute to the literature on brand loyalty and the links between loyalty, brand characteristics, and demographics.

show abstract

Consumers Prefer Abstract Design in Digital Signage: An Application of Fuzzy-Trace Theory in NeuroIS

Nissen¹,

Obermeier²,

Gier³

et al. 2021

Information Systems and Neuroscience

View full text Add to dashboard Cite

What makes deal-of-the-day promotions really effective? The interplay of discount and time constraint with product type

Cited by 66 publications

References 44 publications

The Effectiveness of Promotional Cues for Organic Products in the German Retail Market

The Effectiveness of Promotional Cues for Organic Products in the German Retail Market

Patterns of buyer behavior and brand metrics in a “high loyalty” category: Liquor

Consumers Prefer Abstract Design in Digital Signage: An Application of Fuzzy-Trace Theory in NeuroIS

Contact Info

Product

Resources

About