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Article

Simon Kwok and Mark Uncles

Aims to examine the proposition that consumer sales promotions are more effective when they provide benefits that are congruent with those of the promoted product. This…

Abstract

Purpose

Aims to examine the proposition that consumer sales promotions are more effective when they provide benefits that are congruent with those of the promoted product. This proposition is considered at the ethnic‐group level (i.e. do differences in cultural values at this level have an impact on sales promotion effectiveness?).

Design/methodology/approach

A quasi‐experimental design is used to test a series of hypotheses based on a sample of Anglo‐Australians and Chinese‐Australians. The main experiment is informed by the results of two pretests.

Findings

First, there are significant differences in consumer cultural values at an ethnic‐group level. Second, despite these differences, ethnicity does not have a significant impact on responses to sales promotions. Third, the expected congruency effects between products and promotion types are not found.

Research limitations/implications

Some of the detailed results match those reported in previous studies, but there are important differences too.

Practical implications

There is a need to be aware of differing cultural values at an ethnic‐group level. Notwithstanding this inference, the second finding suggests that there continues to be scope for using standardised strategies when promoting to different ethnic groups. Finally, considerable caution should be exercised when planning promotion strategies around hoped‐for congruency effects.

Originality/value

New light is cast on the relationship between consumer differences at an ethnic‐group level and the effectiveness of various types of sales promotion for utilitarian and hedonic products.

Details

Journal of Product & Brand Management, vol. 14 no. 3
Type: Research Article
ISSN: 1061-0421

Keywords

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Article

Changbao Lu, Hang Li and Taoran Xu

Almost every consumer has many experiences of sales promotion and different stereotypes of it. The purpose of this paper is to investigate the model of sales promotion

Abstract

Purpose

Almost every consumer has many experiences of sales promotion and different stereotypes of it. The purpose of this paper is to investigate the model of sales promotion stereotype content (model of SPSC) and its perception differences among groups.

Design/methodology/approach

Drawing on the methods testifying stereotype content model and mixed stereotype proposed by Fiske et al. (2002), the authors decomposed the SPSC model into two dimensions, namely, the profitability and authenticity of sales promotion, and developed a multidimensional scale for profitability and authenticity. Then a survey that examined 765 participants was conducted to test the reliability of profitability and authenticity as the two primary dimensions of the model of SPSC and perception differences among consumer groups.

Findings

The model which consists of two dimensions, authenticity and profitability, was shown to be reliable and valid. Furthermore, the authors find that the profitability and the authenticity reflect consumers' evaluation (perception) of an enterprise's intention and its ability to enact the intention of sales promotion. In addition, mixed stereotypes of promotion can also explain consumers' entanglement when making promotion decisions.

Originality/value

This paper fills the gap in the existing literature of which the single dimension stereotype of sales promotion by the model of SPSC. In addition, the results show that consumers' stereotype of promotion varied in demographics and psychographic characteristics. Furthermore, this paper provides a basis for exploring the social stereotypes of specific things and related marketing activities.

Details

Journal of Contemporary Marketing Science, vol. 3 no. 3
Type: Research Article
ISSN: 2516-7480

Keywords

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Article

Jee Teck Weng and Ernest Cyril de Run

The purpose of this paper is to explore the effects of Malaysian consumers' personal values and sales promotion preferences on their overall behavioural intention and…

Abstract

Purpose

The purpose of this paper is to explore the effects of Malaysian consumers' personal values and sales promotion preferences on their overall behavioural intention and purchase satisfaction.

Design/methodology/approach

In total, 1,300 questionnaires were distributed and collected by hand through hired enumerators in 13 different states in Malaysia (Johor, Kedah, Kelantan, Melaka, Negeri Sembilan, Pahang, Perak, Perlis, Pulau Pinang, Sabah, Sarawak, Selangor and Terengganu). This research was carried out for four different type of consumer product (convenience, shopping, specialty/luxury and unsought product). Data were analysed using General Linear Model-Multivariate Analysis of Variance (MANOVA) and General Linear Model-Univariate Analysis of Variance (ANOVA) to test for difference between independent and dependent variables.

Findings

The findings suggest that sales promotion technique preferences will have an impact on consumers' behavioural intention and purchase satisfaction for all the product types studied. On the other hand, there is no significant impact in consumers' purchases satisfaction and behavioural intention by personal value for all the product type studied.

Practical implications

The findings from this research have expanded current knowledge and academic studies done on similar areas of research where this research detail the association of personal value and sales promotion techniques preferences on consumers' purchase satisfaction (attitude) and behavioural intention (behaviour) for different types of consumer products. The research suggests to managers in Malaysia that it is crucial to understand the characteristics of their products when selecting appropriate strategies and sales promotion techniques for better market segmentation and targeting.

Originality/value

This research is the first of its type where only a minimal number of studies have looked into these issues (personal values and sales promotion techniques preferences) from a business perspective.

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Article

Min-Seong Kim and Jihye Kim

This study aims to investigate the relationships among perceptions of advertising, sales promotions, brand prestige and brand love, as well as the development of

Abstract

Purpose

This study aims to investigate the relationships among perceptions of advertising, sales promotions, brand prestige and brand love, as well as the development of passion-driven behavior among family restaurant customers. Based on the well-established framework of marketing mix elements and brand, this study proposes and tests a research model that attempts to understand the inter-relationships between the two dimensions of advertising (i.e. advertising spending and attitudes toward advertisement), two dimensions of sales promotions (i.e. monetary promotion and non-monetary promotion), brand prestige, brand love and passion-driven behavior, as well as compares local and global family restaurant brands.

Design/methodology/approach

The research model of this study was tested based on responses from 265 family restaurant customers in Korea (i.e. 105 from Outback Steak House, 78 from T.G.I. Fridays, 45 from VIPS and 37 from Ashley). Data were analyzed using frequency, reliability, confirmatory factor and correlation analyses, the structural equation modeling and multi-sample methods.

Findings

The verified model confirmed that brand prestige was significantly influenced by attitudes toward advertisement, monetary promotion and non-monetary promotion. Also, brand love was significantly affected by the amount spent on advertising, attitudes toward the advertisement and monetary promotion. Passion-driven behavior was significantly impacted by brand prestige and brand love. Lastly, the results identified that the brand origin (i.e. local and global family restaurant brands) moderated one of the hypothesized relationships (i.e. the impact of brand prestige on brand love).

Practical implications

The study suggests that a family restaurant brand manager may want to emphasize planning and developing marketing mix elements focusing on advertising and sales promotions.

Originality/value

This research illustrates the influences of the two dimensions of advertising and two types of sales promotions on brand prestige and brand love, which in turn led to passion-driven behavior from family restaurant customers.

Details

International Journal of Contemporary Hospitality Management, vol. 30 no. 10
Type: Research Article
ISSN: 0959-6119

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Article

Fazal ur Rehman, Rosman Bin Md Yusoff, Shafie Bin Mohamed Zabri and Fadillah Binti Ismail

This study aims to investigate the influence of personal factors on the buying behavior of consumers with the intentions of sales promotion in the fashion industry…

Abstract

Purpose

This study aims to investigate the influence of personal factors on the buying behavior of consumers with the intentions of sales promotion in the fashion industry. Precisely, it focuses on the marketing techniques and practices in sales promotion activities to influence the buying intentions of consumers in personal ways.

Design/methodology/approach

Based on a comprehensive literature review of personal factors, sales promotion and buying behavior, this study has applied a positivist approach to collect data in quantitative way through questionnaires-based survey. The study has analyzed the collected data using structural equation modeling through smart partial least square.

Findings

Personal factors and its sub-dimensions such as market maven, stability and open minded have demonstrated a positive relationship in the conceptual construct. In the same manner, sales promotion and its sub-dimensions like social factors and physical layout have also positive effects.

Research limitations/implications

This study is only limited to the fashion industry of Pakistan and future research may be conducted in other services and manufacturing industries. Future research may assess the role of moderating variables like gender.

Practical implications

This study clarifies the influence of personal characteristics on consumers buying behavior in sales promotion activities in the fashion industry to achieve business objectives.

Originality/value

By integrating personal factors and sales promotion literature, the main contribution of this paper is the analysis of personal characteristics and promotional practices in the fashion industry of Pakistan, during Eid-ul-Fitter holidays to enhance the consumers buying behavior. Precisely, this study has assessed the effect some unique characteristics of consumers like market maven, stable, open minded and agreeable on their buying behavior in sales promotion activities. This study has apprised marketing professionals to apply the conception of personal characteristics in sales promotion activities to boost up the buying behavior of consumers in enthusiastic way.

Details

Young Consumers, vol. 18 no. 4
Type: Research Article
ISSN: 1747-3616

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Article

Eric Yeboah-Asiamah, Daniel M. Quaye and Simon Gyasi Nimako

The purpose of this paper is to empirically examine the relationship between lucky draw sales promotion (LDSP) and the four phases of brand loyalty in the…

Abstract

Purpose

The purpose of this paper is to empirically examine the relationship between lucky draw sales promotion (LDSP) and the four phases of brand loyalty in the telecommunication industry.

Design/methodology/approach

A self-administered structure questionnaire was used to collect primary data from conveniently sampled 338 lucky draw winners in the Ghanaian telecommunication industry. A response rate of 67.1 percent was obtained for data analysis using structural equation modeling approach.

Findings

It was found that LDSP positively relate to cognitive brand loyalty, and to behavioral brand loyalty through affective and conative brand loyalty. All hypothesized relationships among the sequential four-stage loyalty were confirmed, except the direct relationship between LDSP and behavioral brand loyalty.

Research limitations/implications

The findings are limited to lucky draw winners in the telecommunication industry.

Practical implications

Marketers can increase brand loyalty and profit more from their customers through targeted programs with hedonic benefits to build strong commitment level (conative brand loyalty), strong favoritism (affective brand loyalty) and strong beliefs about the superiority (cognitive brand loyalty) of a brand.

Originality/value

Theoretically, this study fills the void of empirical studies on non-price sales promotion techniques of lucky draw and customer brand loyalty in the telecommunication sector in developing economy context, and contributes to the body of knowledge in the area of customer brand loyalty and LDSP.

Details

African Journal of Economic and Management Studies, vol. 7 no. 1
Type: Research Article
ISSN: 2040-0705

Keywords

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Article

Mariola Palazón and Elena Delgado

This study aims to integrate price consciousness into the promotional effectiveness framework. Specifically, it aims to analyse whether price consciousness affects the…

Abstract

Purpose

This study aims to integrate price consciousness into the promotional effectiveness framework. Specifically, it aims to analyse whether price consciousness affects the evaluation of price discounts and premiums at two different benefit levels (moderate vs high).

Design/methodology/approach

An experiment was conducted with two promotional benefit level (moderate, high) × two promotion type (price discount, premium) between subjects design. A sample of 229 undergraduate students was randomly assigned to a specific product‐promotion combination.

Findings

The results obtained indicate that at moderate benefit level, price discounts and premiums are equally effective for high price conscious consumers. However, price discounts are more effective than premiums for low price conscious consumers. At high benefit level price discounts are more effective than premiums, but this effect is more apparent for high price conscious consumers.

Research limitations/implications

The limitations of the study are those typically applied to the experimental methodology. Specifically, only two product categories and two types of sales promotions were used which limits the generalization of the results. Another potential limitation is the use of students' respondents.

Practical implications

It is recommended that managers should know how price conscious their consumer segment is before taking any decisions regarding the promotional strategy. To be more effective, it is recommended to offer premiums instead of moderate price discounts if the target segment is high price conscious. However, such a recommendation should only be followed when the target is not low price conscious, because for this consumer segment a moderate discount is preferred.

Originality/value

To analyze the effectiveness of a promotion, most of the present research has focused on the benefit provided, and the promotional framework used. However, lacking in this research are insights into how consumer personal characteristics may affect that effectiveness. The current research is to fill this gap in knowledge about consumer responses to sales promotions incorporating price consciousness in the analysis.

Details

Journal of Product & Brand Management, vol. 18 no. 4
Type: Research Article
ISSN: 1061-0421

Keywords

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Article

Isabel Buil, Leslie de Chernatony and Teresa Montaner

The aim of this paper is to shed light on the determinants of consumers' evaluations and purchase intentions of gift promotions. Factors analysed relate to the promoted…

Abstract

Purpose

The aim of this paper is to shed light on the determinants of consumers' evaluations and purchase intentions of gift promotions. Factors analysed relate to the promoted product, the gift, the relationship between the product and the gift, and consumer traits and perceptions.

Design/methodology/approach

A 2 (product type: utilitarian vs hedonic) × 2 (gift type: utilitarian vs hedonic) × 2 (brand type: high equity vs medium equity) between‐subjects factorial design was undertaken. Structural equation modelling was used to test the hypotheses on a sample of 247 respondents in the UK.

Findings

Gift attractiveness is the most important driver of consumers' overall evaluation of gift promotions, followed by the attitude toward the promoted brand, the perceived fit between the promoted product and the gift, the hedonic nature of the gift, plus value expression and entertainment benefits perceived by consumers. Results also reveal that deal proneness is positively associated with the hedonic benefits of value expression benefit and entertainment benefit. Finally, the overall evaluation of gift promotions with both brand attitudes and deal proneness positively influences consumers' purchase intentions.

Research limitations/implications

To generalise these findings, future research should use a wider sample.

Practical implications

The findings of this study provide guidelines for marketers designing their gift promotional strategies.

Originality/value

The increased popularity of gift promotions necessitates a better understanding of the factors influencing consumers' evaluations. This study addresses the lack of research in this area by simultaneously investigating the effect of different key factors.

Details

European Journal of Marketing, vol. 47 no. 3/4
Type: Research Article
ISSN: 0309-0566

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Article

Ying-Chan Tang, Yu-Mei Wang and Jiun-Yan Huang

The aim of this paper is to investigate an optimal promotional strategy of intra-category cross-selling on culinary products for the fiercely competitive, fast-moving…

Abstract

Purpose

The aim of this paper is to investigate an optimal promotional strategy of intra-category cross-selling on culinary products for the fiercely competitive, fast-moving consumer goods (FMCG) industry.

Design/methodology/approach

A linear regression model and a Markov switching autoregressive model is used, that incorporates a retailing demand process to capture a nonlinear structure among promotional budget allocation, and evaluate promotional performance, and optimal promotional frequency within a given time span. Three product categories are applied with 39 months of time-series data from a multinational packaged food company in Taiwan.

Findings

The result shows that most previous decisions on promotional budget allocation are non-optimal – most promotional investments were either extended too long or allocated too low in stimulating sales.

Research limitations/implications

This study suggests implications for the brand or category manager in removing such non-optimal promotional policies.

Originality/value

Previous promotional investment is evaluated by comparing the changes in promotional budget allocation. Markov's switching feedback rules are then applied to determine the proper length of equilibrium state with and/or without promotion. Finally, effective decision rules on magnitude, duration, and frequency of intra-category promotional strategy are induced.

Details

British Food Journal, vol. 116 no. 1
Type: Research Article
ISSN: 0007-070X

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Article

Ricardo Sellers-Rubio and Juan-Luis Nicolau-Gonzalbez

The purpose of this paper is to test decoy effect in the framework of sales promotion, by conducting several experiments to figure out how this decoy effect is influenced…

Abstract

Purpose

The purpose of this paper is to test decoy effect in the framework of sales promotion, by conducting several experiments to figure out how this decoy effect is influenced by the presence or absence of a store brand.

Design/methodology/approach

Several experiments have been conducted to test the validity of the decoy effect and rule out some explanations for the changes in demand that take place. The experiments consider three brands (two national brands and one store brand). All the brand names and prices employed in the experiment are real.

Findings

The results indicate that, as expected, the inclusion of a decoy in the choice set significantly increases the consumer’s relative preference for the promoted product; however, more importantly, the results also show that store brand consumers are more influenced by a decoy than national brand consumers.

Originality/value

This paper presents the first evidence of the decoy effect in the presence of store brands.

Details

International Journal of Retail & Distribution Management, vol. 43 no. 2
Type: Research Article
ISSN: 0959-0552

Keywords

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