Consideration of an expected future deal in assessing the value of a present deal: Forward-looking bargain shopping
Hunting for bargains has long been an important aspect of shopping behavior. One of the distinctive characteristics of bargain shopping is forward-looking price expectation, where one discount offer is evaluated in relation to another deeper discount anticipated in the future. Two experimental studies examined potentially competing effects of the two discounts over different timing points. Transaction value and purchase intention for the present discount may be affected not only by its discount depth but also by the awareness of the future discount. The negative effect of the future discount could substantially offset the positive perception toward the present deal. On the other hand, the future discount expectation does not appear to lower the perception of acquisition for the present discount. Effects of the future discount were investigated in terms of discount depth, product availability, and discount timing.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Alford, Bruce L. & Engelland, Brian T., 2000. "Advertised Reference Price Effects on Consumer Price Estimates, Value Perception, and Search Intention," Journal of Business Research, Elsevier, vol. 48(2), pages 93-100, May.
- Richard H. Thaler, 2008.
"Mental Accounting and Consumer Choice,"
INFORMS, vol. 27(1), pages 15-25, 01-02.
- Alba, Joseph W, et al, 1999. " The Effect of Discount Frequency and Depth on Consumer Price Judgments," Journal of Consumer Research, Oxford University Press, vol. 26(2), pages 99-114, September.
- Harald J. van Heerde & Peter S. H. Leeflang & Dick R. Wittink, 2004. "Decomposing the Sales Promotion Bump with Store Data," Marketing Science, INFORMS, vol. 23(3), pages 317-334, December.
- Bearden, William O. & Carlson, Jay P. & Hardesty, David M., 2003. "Using invoice price information to frame advertised offers," Journal of Business Research, Elsevier, vol. 56(5), pages 355-366, May.
- Jacobson, Robert & Obermiller, Carl, 1990. " The Formation of Expected Future Price: A Reference Price for Forward-Looking Consumers," Journal of Consumer Research, Oxford University Press, vol. 16(4), pages 420-432, March.
- Honea, Heather & Dahl, Darren W., 2005. "The Promotion Affect Scale: Defining the Affective Dimensions of Promotion," Journal of Business Research, Elsevier, vol. 58(4), pages 543-551, April.
- Kaicker, Ajit & Bearden, William O. & Manning, Kenneth C., 1995. "Component versus bundle pricing : The role of selling price deviations from price expectations," Journal of Business Research, Elsevier, vol. 33(3), pages 231-239, July.
- Raghubir, Priya, 2006. "An information processing review of the subjective value of money and prices," Journal of Business Research, Elsevier, vol. 59(10-11), pages 1053-1062, October.
- Cox, Anthony D. & Cox, Dena & Anderson, Ronald D., 2005. "Reassessing the pleasures of store shopping," Journal of Business Research, Elsevier, vol. 58(3), pages 250-259, March.
- Moon, Sangkil & Voss, Glenn, 2009. "How do price range shoppers differ from reference price point shoppers?," Journal of Business Research, Elsevier, vol. 62(1), pages 31-38, January.
- Mitra, Anusree, 1995. "Price cue utilization in product evaluations : The moderating role of motivation and attribute information," Journal of Business Research, Elsevier, vol. 33(3), pages 187-195, July.
- Amos Tversky & Daniel Kahneman, 1979.
"Prospect Theory: An Analysis of Decision under Risk,"
Levine's Working Paper Archive
7656, David K. Levine.
- Kahneman, Daniel & Tversky, Amos, 1979. "Prospect Theory: An Analysis of Decision under Risk," Econometrica, Econometric Society, vol. 47(2), pages 263-291, March.
- Faber, Ronald J & O'Guinn, Thomas C, 1992. " A Clinical Screener for Compulsive Buying," Journal of Consumer Research, Oxford University Press, vol. 19(3), pages 459-469, December.
- Bakewell, Cathy & Mitchell, Vincent-Wayne, 2006. "Male versus female consumer decision making styles," Journal of Business Research, Elsevier, vol. 59(12), pages 1297-1300, November.
- James C. Anderson, 1987. "An Approach for Confirmatory Measurement and Structural Equation Modeling of Organizational Properties," Management Science, INFORMS, vol. 33(4), pages 525-541, April.
- Winer, Russell S, 1986. " A Reference Price Model of Brand Choice for Frequently Purchased Products," Journal of Consumer Research, Oxford University Press, vol. 13(2), pages 250-256, September.
- Lichtenstein, Donald R. & Bearden, William O., 1988. "An investigation of consumer evaluations of reference price discount claims," Journal of Business Research, Elsevier, vol. 17(2), pages 189-200, September.
- Inman, J Jeffrey & Peter, Anil C & Raghubir, Priya, 1997. " Framing the Deal: The Role of Restrictions in Accentuating Deal Value," Journal of Consumer Research, Oxford University Press, vol. 24(1), pages 68-79, June.
When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:63:y:2010:i:1:p:84-90. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Shamier, Wendy)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.