Researches on sales promotions have been concentrated on the influence of sales promotions (mostly price promotions) on short-term sales revenue, profits; on purchasing behavior during and post promotional period. However, few research pays attention to the long-term effect of promotions on brand loyalty, especially the potential effect of non- price promotions on brand equity. Therefore, this study deliberates and contribute to the current literature in the field of promotion marketing; particularly, it extends the knowledge on how various categories of sales promotions affect the way consumers choose one brand over the others, and take the product involvement level into account. It was suggested that sales promotions will behave differently regarding their long-term influence on reference price which is the internal price that consumers perceive based on how beneficial the product is to them. Consumers perceive a gain when what they have to pay is lower than the internal price; and vice versa, a loss is perceived when the internal price is lower than the observed price1. These beliefs were firmly reinforced by the studies of behavioral shaping by Rothschild and Gaidis, Peter and Nord. Findings of this study also indicate that consumers respond to sales promotions with different motives which help explain the underlying reasons why consumers sometimes are willing to spend an extra amount of money using the promotion “premium offers” rather than save some money by using “discounts”; and why price promotions do not always lead to positive results as expected. Marketing professionals could better actively forecast the way consumers respond to sales promotions programs by differentiating the offered benefits of promoted products, and optimizing the benefit congruency. Additionally, this study proposes that the proneness to sales promotions should be segmented based on hidden benefits that consumers seek for instead of their inclination to deal or their perception towards values. The benefit approach in segmenting would help drive promotions to targeted consumers who are most responsive to them. Likewise, grouping sales promotions based on offered benefits (utilitarian or hedonic) rather than forms of promotions will be more effective.
The Best Critical Essays
- Ever since before I entered junior high, given
- (no title)
- Introduction attack can be uniform, localised, or selective.
- According of the resources we have around us.Xenotransplantation
- Agribusiness manufacturing the food products also part of
- According lose track of the good and the
- Michael where he instructed government officials to take
- The 737 jetliner flying passengers, luggage and even