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Article
Publication date: 1 February 1988

Emin Babakus, Peter Tat and William Cunningham

This study examined three attitudinal dimensions of coupon usage. A review of the literature suggested that price consciousness, time value, and satisfaction/pride are…

Abstract

This study examined three attitudinal dimensions of coupon usage. A review of the literature suggested that price consciousness, time value, and satisfaction/pride are three major motivational factors that determine coupon usage by consumers. Measurement of these three variables, using Likert‐type items, revealed acceptable levels of reliability. The three factors were found to relate to coupon usage as hypothesized. Further, significant differences were found in the predicted direction between coupon users and nonusers. Managerial implications and recommendations are provided.

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Journal of Consumer Marketing, vol. 5 no. 2
Type: Research Article
ISSN: 0736-3761

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Article
Publication date: 25 January 2008

Peter Meyers and Steve Litt

The purpose of this paper is to uncover common and outdated misconceptions about couponing and present new, updated strategies that can improve redemption statistics.

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1228

Abstract

Purpose

The purpose of this paper is to uncover common and outdated misconceptions about couponing and present new, updated strategies that can improve redemption statistics.

Design/methodology/approach

ICOM sought to understand the landscape of couponing by examining data from a 20‐year database compiled through the course of designing 6,300 targeted direct mail programs and issuing 425 million coupons to 28 million US and Canadian households that voluntarily provide information about purchasing preferences.

Findings

The paper exposes important information about current consumer behavior with regards to coupons and coupon redemption. The research identifies a “sweet spot” which, when coupon value and expiration length criteria sync, creates perfect conditions and drives coupon redemption.

Practical implications

Marketers must rethink coupon campaign strategies to accommodate the changing consumer and couponing market. This paper offers straightforward recommendations for altering approach.

Originality/value

The paper provides a fresh profile of the couponing market and variable drivers of consumer redemption, derived from an unprecedented amount of consumer data gathered over an extended period of time.

Details

Journal of Consumer Marketing, vol. 25 no. 1
Type: Research Article
ISSN: 0736-3761

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Article
Publication date: 1 January 1968

C.L. Pass

Investigates the effect of coupon trading on the overall level of cigarette consumption. Reveals that there seems to be no correlation between the expansion of coupon

Abstract

Investigates the effect of coupon trading on the overall level of cigarette consumption. Reveals that there seems to be no correlation between the expansion of coupon brands and total cigarette smoking but merely a change of pattern in brand preferences. Suggests that the government's intentions of prohibiting coupon schemes as a means of achieving a reduction in cigarette smoking can be regarded as irrelevant in the light of these findings.

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European Journal of Marketing, vol. 2 no. 1
Type: Research Article
ISSN: 0309-0566

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Article
Publication date: 1 February 1993

Arthur L. Porter

Reports the experiment conducted by a direct mail company todetermine whether a free gift offer would generate incremental sales.Finds that packet mailed with a coupon

Abstract

Reports the experiment conducted by a direct mail company to determine whether a free gift offer would generate incremental sales. Finds that packet mailed with a coupon generated more sales than the control packet (no coupon), and finds that the third packet, in which the coupon offer was coupled with a requirement that the customer complete a questionnaire, generated significantly more sales than the coup alone. Claims that further research is required to determine whether the results would be similar for coupons delivered by methods other than direct mail.

Details

Journal of Consumer Marketing, vol. 10 no. 2
Type: Research Article
ISSN: 0736-3761

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Article
Publication date: 6 September 2021

Nan Cui, Yu Xiao, Yujiao Hu, Lan Xu and Yi Hu

The aim of this research is to quantitatively synthesize empirical findings of the effect of discount level on consumer response to the coupon.

Abstract

Purpose

The aim of this research is to quantitatively synthesize empirical findings of the effect of discount level on consumer response to the coupon.

Design/methodology/approach

The authors used the meta-analysis method to synthesize coupons' discount level effects on consumer response. Meta-regression was used to examine the moderating factors that affect the relationship between discount level and consumer response.

Findings

The average effect size of the discount level is 0.331, indicating that higher discount levels lead to higher consumer responses. The effect of discount level on consumer response to the coupon is stronger when the discount is displayed in proportion format (vs amount format), when consumers are distant (vs near) to the coupon-issuing stores, and when consumers have not opted-in to receive promotional information. The discount level effect is weaker for coupons that can be redeemed online (vs offline only), for hedonic products (vs utilitarian products) and for products of real brands.

Originality/value

From information processing and cost–benefit trade-off perspectives, this research proposes a comprehensive research framework that synthesizes a variety of contextual factors. It identifies several contextual factors that may reconcile several inconsistent findings in the existing literature. It also addresses how the new-technology related factors affect coupon redemption under different discount levels.

Details

Journal of Contemporary Marketing Science, vol. 4 no. 2
Type: Research Article
ISSN: 2516-7480

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Article
Publication date: 10 August 2021

Zonghuo Li, Wensheng Yang and Yinyuan Si

This paper investigates a dual-channel supply chain in which a manufacturer offers coupons in the online channel and the retailer in the offline channel. The optimal…

Abstract

Purpose

This paper investigates a dual-channel supply chain in which a manufacturer offers coupons in the online channel and the retailer in the offline channel. The optimal pricing and coupon promotion policies are explored, and the brand image under different promotion scenarios is studied.

Design/methodology/approach

Three differential game models, namely no coupon is offered, coupons offered by the manufacturer and coupons offered by the retailer, are constructed.

Findings

The results show that the manufacturer and retailer intend to conduct coupon promotions under a large coupon redemption rate. Coupon promotion derives a higher price and profit for the issuers, and the manufacturer can free-ride on the retailer's coupon promotion. The retailer's profit in the retailer-promotion scenario may be lower than that in the manufacturer-promotion scenario in some special conditions. Besides, price, coupon face value, brand image and profit increase over time. After multiple cycles game, the operational strategy evolves to an optimal equilibrium status.

Originality/value

This paper provides guidance and advice for dual-channel supply enterprises to implement joint pricing and coupon promotion strategies under multiple sales seasons.

Details

Kybernetes, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0368-492X

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Article
Publication date: 19 August 2020

Rocío Carranza, Estrella Díaz, David Martín-Consuegra and Pilar Fernández-Ferrín

The development of Information Systems (IS) and Information and Communication Technologies (ICT) is offering new opportunities for businesses to implement promotion…

Abstract

Purpose

The development of Information Systems (IS) and Information and Communication Technologies (ICT) is offering new opportunities for businesses to implement promotion strategies focused on customer attraction and retention. In this sense, mobile coupon usage has increased as a promotion tool, especially in the fast-food sector. However, the use by consumers of these coupons is not homogeneous and it is conditioned by prior experience. Thus, this study aimed to examine variations between Fast Food Restaurant (FFR) customers based on their prior experiences with the use of mobile coupon (expert vs novice users).

Design/methodology/approach

A sample of 400 fast-food customers was collected using a structured questionnaire. In order to compare the proposed relationships between expert and novice users, a multigroup approach was applied through new, recently proposed evaluation procedures designed for PLS–SEM.

Findings

The results show that the two groups of consumers (expert vs novice users) have notable differences regarding the relationship between perceived ease of use and perceived usefulness. This relationship was the strongest in both groups. However, there are no differences found in other aspects considered as antecedents to mobile coupons usage, for instance, usage intention and attitude.

Practical implications

This work emphasises the importance of considering differences based on experience between mobile coupon users. Ease of use, perceived consumer utility and increased mobile coupons in apps can be the key to driving effective business strategies based on promotional tactics by FFRs. Likewise, this study can help other researchers in their empirical applications of PLS–SEM analysis.

Originality/value

This study is the first to provide an in-depth analysis of differences based on users' experience with mobile coupons at FFRs. It is innovative in its introduction of the consumer's coupon proneness variable.

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Article
Publication date: 24 December 2020

Ayushi Sharma and Rakesh Mohan Joshi

The focus of this study lies in understanding the extrinsic vs intrinsic motivators which drive the m-coupon sharing behaviour in social networking sites (SNSs). A…

Abstract

Purpose

The focus of this study lies in understanding the extrinsic vs intrinsic motivators which drive the m-coupon sharing behaviour in social networking sites (SNSs). A consumer can make promotional tool (in our case m-coupons) viral if the cues trigger an apt motivation. This study fills the need gap by identifying which motivations must be focused to make a promotional tool viral by the consumer especially in an emerging economy like India.

Design/methodology/approach

We designed conceptual framework based on extensive literature review and employed hierarchal regression methodology to investigate the motivation to share m-coupon.

Findings

Sense of self-worth, Socializing and Reciprocity emerge as strong reasons for a consumer to share m-coupons amongst friends and peers in SNS. Results have shown that intrinsic motivation works very effectively when a consumer shares m-coupons in SNSs.

Research limitations/implications

This study has certain limitations. First, the impact of age, gender and education can also influence the results as perception evolves with age and education. Second, in our study, we have not classified m-coupons in different categories. Different types of m-coupons may have a different impact on consumers.

Practical implications

The paper presents findings, which are useful for marketers to develop a customer-centric viral promotional strategy.

Originality/value

This study is one of the few studies in integrating types of motivation with coupon proneness and coupon sharing in social media. This study has specifically targeted the emerging economy where m-coupons usage has seen a surge. Study has shown that it is the intrinsic motivation which is very crucial for encouraging consumer for participating in SNSs and share e-word of mouth amongst friends and peers.

Details

South Asian Journal of Business Studies, vol. 10 no. 3
Type: Research Article
ISSN: 2398-628X

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Article
Publication date: 12 October 2015

Fabio Cassia, Francesca Magno and Marta Ugolini

The purpose of this paper is to analyze the effectiveness of social couponing campaigns for hotels. In particular, the perceived effectiveness related to four specific…

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1274

Abstract

Purpose

The purpose of this paper is to analyze the effectiveness of social couponing campaigns for hotels. In particular, the perceived effectiveness related to four specific objectives is explored (acquiring and retaining new customers, building brand awareness, balancing seasonality and stimulating demand among existing customers).

Design/methodology/approach

A questionnaire-based survey was conducted that involved 108 hotels, each of which has run at least one social couponing campaign through Groupon in Italy. The importance-performance approach was applied to analyze the data.

Findings

Overall, the perceived effectiveness of social couponing for hotels is quite low. Social couponing is useful to increase brand awareness but does not encourage customer behavioral loyalty. Larger hotels can successfully use this marketing tool to balance demand seasonality.

Research limitations/implications

The sample size is limited but includes approximately one-fourth of all Italian hotels that have run social coupon campaigns through Groupon. Only social couponing campaigns run through one daily deal site (Groupon) in one country (Italy) were considered.

Practical implications

Social couponing is not perceived as equally effective for all hotels. This study provides hotel managers with suggestions for deciding whether to allocate a share of their marketing resources to social couponing.

Originality/value

To the authors’ knowledge, this is the first paper to present field data to complement the available theoretical knowledge on social couponing for hotels.

Details

International Journal of Contemporary Hospitality Management, vol. 27 no. 7
Type: Research Article
ISSN: 0959-6119

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Article
Publication date: 14 November 2016

Christiana Yosevina Tercia and Thorsten Teichert

The purpose of this paper is to investigate how monetary incentives foster purchase intention in WOM settings.

Abstract

Purpose

The purpose of this paper is to investigate how monetary incentives foster purchase intention in WOM settings.

Design/methodology/approach

This study investigates offering mobile coupons as an incentive and word-of-mouth (WOM) tool. An empirical study compares achievable effects on WOM behavior in an Eastern cultural context, which an Indonesian sample represents, and in a Western cultural context, which a German sample of incentivized WOM represents.

Findings

Providing senders and receivers’ with differing incentives leads to German consumers having an unfavorable attitude toward such incentives, but not for Indonesian consumers. Furthermore, Indonesian consumers base their decision to redeem mobile coupons more on their personal judgment and their overall deal proneness, while German consumers rely on their personal judgment and on others’ opinion.

Research limitations/implications

There is a need to explore more countries to enrich the Western and Eastern cultural perspectives.

Practical implications

Western firms should consider providing senders and receivers with the same incentives. Alternatively, a non-transparent strategy might be a solution. For firms located in Indonesia, or in other Eastern societies, the transparency of the provided incentives is not a main concern, because inequality is not a big issue in an Eastern society, while senders’ or receivers’ deal proneness character strongly influences their intention to redeem a coupon.

Originality/value

The use of a mobile coupon as a novel incentive and WOM tool.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 28 no. 5
Type: Research Article
ISSN: 1355-5855

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