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Mix or Match? Consumer Spending Decisions in Conditional Promotions
Author(s) -
Sokolova Tatiana,
Li Yi
Publication year - 2021
Publication title -
journal of consumer psychology
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 4.433
H-Index - 110
eISSN - 1532-7663
pISSN - 1057-7408
DOI - 10.1002/jcpy.1166
Subject(s) - framing (construction) , marketing , clothing , framing effect , advertising , product category , business , economics , product (mathematics) , psychology , social psychology , mathematics , geometry , structural engineering , archaeology , persuasion , engineering , history
Conditional multi‐item promotions are a prevalent marketing tactic whereby consumers have to buy a certain number of products to get a discount. This paper examines how framing a multi‐item promotion in terms of savings on multiple items versus a single item (e.g., “buy two, get X% off on both” vs. “buy two, get 2X% off on the cheaper item”) affects consumers’ decision‐making and product choices. Two laboratory studies and a field study at a boutique clothing store demonstrate that the “2X% on cheaper” framing makes consumers more likely to select similarly priced primary and secondary items. This strategy is driven by increased focus on promotional savings under the “2X% on cheaper” framing, which leads consumers to spend more on their secondary items. Overall, this research shows how a subtle change in the framing of multi‐item promotions changes consumers’ product selection strategies and shopping basket composition.