Economic and utilitarian benefits of monetary versus non-monetary in-store sales promotions

Published on Feb 12, 2015in Journal of Marketing Management
· DOI :10.1080/0267257X.2014.939216
Mike Reid19
Estimated H-index: 19
(RMIT: RMIT University),
Peter Thompson4
Estimated H-index: 4
(Monash University)
+ 1 AuthorsKaren Brunsø11
Estimated H-index: 11
(AU: Aarhus University)
AbstractWhile prior research has examined the issue of sales promotion proneness, very little has examined proneness to non-monetary promotions, such as contests and premiums discovered in store. This study draws on a promotions benefits framework to examine the influence of shoppers’ desired benefits on their relative proneness to in-store monetary and non-monetary promotions. Computer-aided telephone interviewing (CATI) data gathered from 500 grocery shoppers are used. The findings show that shoppers who are prone to using non-monetary in-store promotions seek exploration, entertainment and value expression benefits, in common with shoppers who are prone to monetary promotions. Both monetary and non-monetary promotion-prone shoppers feel financially constrained. In addition, non-monetary promotion-prone shoppers enjoy gambling and other hedonic outcomes. The managerial implications of our research findings are that many monetary sales promotion-prone shoppers may be attracted by the benefits provided by...
📖 Papers frequently viewed together
39 Citations
44.7k Citations
29 Citations
#1Edoardo FornariH-Index: 4
#2Daniele Fornari (UCSC: Catholic University of the Sacred Heart)H-Index: 7
Last. Mario MenegattiH-Index: 14
view all 4 authors...
An in-depth analysis of the impact of retailing-mix levers on private label market share in the Fast Moving Consumer Goods sector in Italy is made. The direction and intensity of the impact of assortment, price and sales promotion is measured for different product categories. OLS and GMM regressions run on an IRI Group dataset indicate a strong positive effect of product range, which can be considered as a proxy of on-shelf brand visibility. Increasing private label assortment share thus appears...
17 CitationsSource
#1Paulo Duarte (UBI: University of Beira Interior)H-Index: 16
#2Mário RaposoH-Index: 40
Last. Marlene FerrazH-Index: 1
view all 3 authors...
Purpose – This article aims to examine the influence of marketing-controlled external motivators of impulse buying behaviour of snack foods in cafeterias among young students. Design/methodology/approach – A questionnaire was used to ask a sample of 200 young consumers about their impulse buying behaviour in cafeterias. The resulting data were submitted to an in-depth four-stage quantitative analysis. Findings – The results show that there is not a unique profile of impulse buying behaviour and ...
17 CitationsSource
#1Monika Koller (University of Innsbruck)H-Index: 15
#2Arne Floh (University of Surrey)H-Index: 14
Last. Thomas RuschH-Index: 9
view all 4 authors...
This article investigates unobserved heterogeneity in the relation between self-related variables and susceptibility to interpersonal influence. We test a structural model explaining susceptibility to interpersonal influence through self-concept clarity and self-esteem. As the degree of interpersonal persuasibility can vary significantly across individuals, we apply finite mixture modeling to identify unobserved heterogeneity and, hence, different customer segments, based on a database of n = 10...
6 CitationsSource
#1Per Binde (University of Gothenburg)H-Index: 15
A motivational model of gambling participation is presented. The model comprises five motivational dimensions: the dream of hitting the jackpot and transforming one's life, social rewards, intellectual challenge, mood change induced by playing, and -- the fundamental motive for all gambling -- the chance of winning. The model is primarily applicable to leisure gambling in contemporary western societies, but also helps us understand problem gambling. The model integrates the wide variety of motiv...
84 CitationsSource
#1Sergio Olavarrieta (University of Chile)H-Index: 11
#2Pedro Hidalgo (University of Chile)H-Index: 7
Last. Pablo Farías (University of Chile)H-Index: 8
view all 4 authors...
Abstract Understanding variations in shopper price knowledge is important to academics identifying their sources, and to retail managers whose pricing strategies may depend on the extent of shopper price knowledge (or lack of) within the items they manage, since price knowledge is an important driver of item choice. This paper examines the influence of product and shopper factors on shoppers' in-store price knowledge for packaged food products in a sample of 585 shoppers in a Chilean hypermarket...
25 CitationsSource
#1Ronald E. Goldsmith (FSU: Florida State University)H-Index: 81
#2Leisa Reinecke Flynn (USM: University of Southern Mississippi)H-Index: 26
Last. Ronald A. Clark (College of Business Administration)H-Index: 20
view all 3 authors...
This study examines relationships between market mavenism and five other consumer characteristics. We conceptualize three of these characteristics as broad marketplace concepts at the same (or higher) level of abstraction as mavenism. The remaining two variables are involvement with specific product categories: mobile phones and clothing. The data come from a survey of 258 US student consumers. The results show that mavenism is positively associated with brand engagement in self-concept, status ...
25 CitationsSource
#1Nina Michaelidou (University of Birmingham)H-Index: 20
Abstract Consumers' variety seeking has preoccupied many researchers over the last three decades, and many explanations and models have been produced. The concept is relevant to market segmentation, but it has not been fully explored. This study explores variety seeking in order to derive a consumer typology based on the strength of the disposition to seek for variety, and the intrinsic needs that trigger this disposition. A quantitative methodology is adopted using a sample comprising customers...
19 CitationsSource
#1Ben Lowe (UKC: University of Kent)H-Index: 17
#2Bradley R. Barnes (University of Sheffield)H-Index: 28
Abstract Little research has examined how consumers respond to sales promotions in new product categories. This article fills this gap by integrating research on reference prices with literature on sales promotions for new product categories. Existing research suggests that consumers respond more favourably to non-monetary promotions (e.g. extra free promotions) than monetary promotions (e.g. price discounts) because non-monetary promotions are framed as segregated gains rather than reduced loss...
29 CitationsSource
#1Youjae Yi (SNU: Seoul National University)H-Index: 40
#2Jaemee Yoo (SNU: Seoul National University)H-Index: 1
This study compares the influence of sales promotions on brand attitude across promotion types over time. An experiment is conducted with 154 subjects, who are exposed to test materials for 12 weeks. Evidence shows that the long-term effects of sales promotions on brand attitude vary across deal types. Non-monetary promotions seem to work better in eliciting consumers' favorable brand attitude than monetary promotions over time. However, such effects are moderated by consumers' deal proneness. A...
67 CitationsSource
#1Karen M. Stilley (University of Pittsburgh)H-Index: 5
#2J. Jeffrey Inman (University of Pittsburgh)H-Index: 43
Last. Kirk L. Wakefield (Baylor University)H-Index: 31
view all 3 authors...
Abstract Recent research has suggested that consumers have in-store slack for grocery trips—that is, they leave room in their mental budgets to make unplanned purchases. Drawing on this work, this article examines how the impact of promotions depends on whether the shopper still has in-store slack remaining in his or her mental budget. Specifically, the authors evaluate how the effect of promotional savings for both planned and unplanned items on spending varies as a function of whether the item...
92 CitationsSource
Cited By25
There is no clarity on when and why consumers prefer specific sales promotions for the green versus non-green products. This research conducts a comparative analysis through three experiments to pr...
#1Chairy ChairyH-Index: 2
Last. Mahjus Ekananda (UI: University of Indonesia)H-Index: 3
view all 4 authors...
The high volume of global food waste in recent years has brought about economic and environmental catastrophes. At the retail level, food waste occurs as a consequence of maintaining high aesthetic standards, such as tossing out imperfect foods or foods that are nearing “best before” or expiry date. This study aims to investigate factors affecting consumer intention to buy near-expired bread in Indonesia, the world’s largest importer of wheat grain and a growing market for the bread industry. Pr...
#1Stephanie Schwipper (University of Duisburg-Essen)
#2Severine Peche (University of Duisburg-Essen)
Last. Gertrud Schmitz (University of Duisburg-Essen)H-Index: 8
view all 3 authors...
Mobile location-based services (LBS) represent a promising opportunity for inner-city retailers and service providers to react to changes in customer behavior due to digitalization. To gain competitive advantages, mobile LBS must offer customers high value-in-use and help them reach their shopping goals during their inner-city visits. Shopping goals differ depending on shopping patterns; thus, these patterns may influence customers’ evaluation of mobile LBS during inner-city visits. Since value-...
#1Fernando de Oliveira Santini (Universidade do Vale do Rio dos Sinos)H-Index: 8
#2Wagner Junior Ladeira (Universidade do Vale do Rio dos Sinos)H-Index: 13
Last. Juan Pablo Boeira (Universidade do Vale do Rio dos Sinos)H-Index: 1
view all 4 authors...
AbstractThis study aims to examine the effects of consumer prudence and impulsivity on their intentions to use mobile banking in the presence of sales promotions. It also tests the moderating effec...
2 CitationsSource
#1Somesh Kumar Sinha (NIT-B: Maulana Azad National Institute of Technology)H-Index: 2
#2Priyanka Verma (NIT-B: Maulana Azad National Institute of Technology)H-Index: 4
Abstract The purpose behind the development of this research article is to assess the impact of sales promotions benefits on consumer perceived value and examine the moderating effect of product categories on the relation between sales promotions, their benefits, and consumer perceived value. The study used a sample of 400 consumers from India and ‘Structure Equation Modelling’ technique is applied to evaluate the research assumption. Finally, the moderating effect of the product category is eva...
18 CitationsSource
#1Daniele Scarpi (UNIBO: University of Bologna)H-Index: 13
This chapter provides a literature review of hedonic and utilitarian shopping orientation. It addresses their conceptualization and their dimensionality, as some studies envision them as opposite poles of one single dimension, while others as two separate dimensions. Then, this chapter shows how scholars are transitioning from a “static” to an experiential approach. In a static approach, hedonism and utilitarianism are envisioned as consequences of consumers’ personality and/or product and store...
#1Kum Fai Yuen (CAU: Chung-Ang University)H-Index: 24
#2Xueqin Wang (NTU: Nanyang Technological University)H-Index: 12
Last. Yiik Diew Wong (NTU: Nanyang Technological University)H-Index: 29
view all 4 authors...
Abstract Anchored on the resource matching, perceived value, and transaction cost economics theories, this study analyses the determinants of customers' intention to use smart lockers for last-mile deliveries. Based on stratified sampling, survey data were collected from 230 smart locker users in China and analysed using structural equation modelling. The results show that the effects of convenience, privacy security, and reliability on customers’ intention are fully mediated by perceived value ...
34 CitationsSource
#1Avinash Tripathi (Xavier Institute of Management, Bhubaneswar)H-Index: 4
#2Neeraj Pandey (National Institute of Industrial Engineering)H-Index: 8
AbstractThe impact of sales promotion in boosting short-term sales is well established in the literature. While there are ample studies on the impact of sales promotion on conventional products in ...
4 CitationsSource
#1Somesh Kumar Sinha (NIT-B: Maulana Azad National Institute of Technology)H-Index: 2
#2Priyanka Verma (NIT-B: Maulana Azad National Institute of Technology)H-Index: 4
The purpose behind the development of this research article is to assess the difference in consumers’ perception for sales promotion’s hedonic and utilitarian benefits in rural and urban areas. To ...
1 CitationsSource