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Are “buy X get X free” price promotions effective? An acquisition-transaction value perspective
Marketing Intelligence & Planning ( IF 4.338 ) Pub Date : 2023-07-20 , DOI: 10.1108/mip-03-2023-0118
Siddharth Harshkant Bhatt , Dinesh Ramdas Pai

Purpose

“Buy X Get X Free” promotions are popular across retail settings. Retailers promote a variety of products using this promotional frame. However, past research contains mixed findings about the effectiveness of this promotion compared to the straightforward discount on a single unit of a product. The goal of this research is to employ a theoretical lens to examine the effectiveness of “Buy X Get X Free” promotions.

Design/methodology/approach

The theoretical framework was tested in two experiments using different products and samples. The data collected from each experiment were analyzed using both descriptive and inferential techniques to assess support for the theoretical arguments.

Findings

Findings reveal that at identical levels of per-unit discount, the “Buy X Get X Free” promotion is perceived less favorably by consumers than a straightforward single-unit discount. Consumers perceive lower transaction value and acquisition value and, thereby, a lower purchase intention, from the “Buy X Get X Free” promotion compared to a single-unit discount.

Practical implications

This research was conducted keeping in mind the popularity of the “Buy X Get X Free” promotion in the real world. The findings caution retailers against indiscriminately using this promotional frame.

Originality/value

Using a theoretical lens, this research proposes and validates a framework to systematically examine consumers' perceptions of the two popular discount frames. The proposed theoretical framework provides a richer understanding of the underlying consumer psychology that drives the evaluation of these promotions. Further, primary data from lab experiments validates the framework. The research also helps advance the understanding of consumer evaluation of sales promotions in general.



中文翻译:

“买X送X”的价格促销有效吗?收购交易价值视角

目的

“买 X 送 X”促销活动在零售环境中很受欢迎。零售商使用此促销框架来促销各种产品。然而,与单一产品的直接折扣相比,过去的研究对这种促销的有效性的结果褒贬不一。本研究的目标是采用理论视角来检验“买 X 送 X”促销活动的有效性。

设计/方法论/途径

该理论框架通过使用不同产品和样品的两次实验进行了测试。使用描述性和推理技术对每个实验收集的数据进行分析,以评估对理论论证的支持。

发现

调查结果显示,在单位折扣水平相同的情况下,消费者对“买 X 送 X”促销的印象不如直接的单位折扣。与单件折扣相比,消费者认为“买 X 送 X”促销活动的交易价值和购买价值较低,因此购买意愿较低。

实际影响

这项研究是考虑到“买 X 送 X”促销活动在现实世界中的流行程度而进行的。调查结果警告零售商不要随意使用这种促销框架。

原创性/价值

本研究利用理论视角提出并验证了一个框架,以系统地研究消费者对两种流行折扣框架的看法。所提出的理论框架提供了对推动这些促销活动评估的潜在消费者心理的更丰富的理解。此外,实验室实验的主要数据验证了该框架。该研究还有助于增进对消费者对促销活动评价的理解。

更新日期:2023-07-20
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