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Active and upcoming deals: effect on purchase intention

Garima Chaklader (Department of Economics and Social Sciences, Indian Institute of Management Bangalore, Bangalore, India)

Marketing Intelligence & Planning

ISSN: 0263-4503

Article publication date: 11 October 2019

Issue publication date: 17 January 2020

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Abstract

Purpose

The purpose of this paper is to study the interaction of timing cues (active deals vs upcoming deals) and brand familiarity on consumers’ purchase intention.

Design/methodology/approach

The research design of this paper is based on one experiment conducted in a behavioural experimental laboratory and two experiments in Mechanical Turk. The data received from these experiments were analysed using one-way ANOVA technique and PROCESS models.

Findings

Results across three experiments show that consumers prefer upcoming deals over active deals when brands are of low familiarity. However, the effect is attenuated for brands with high familiarity. Further, the paper proposes and shows that the effects of timing cues and brand familiarity interactions on purchase intention are explained by temporal distance. Finally, results show that need for cognition moderates the effects.

Research limitations/implications

The research results may vary when size of discounts is mentioned. There is a need to study various other moderators such as product type, self-other overlap and regulatory focus.

Practical implications

The paper offers managerial strategies and insights that can be adopted by the online retailing industry. Paper offers practical implications for brands, especially for ones with low familiarity.

Originality/value

This paper adds to the literature by studying new timing cues to understand the behaviour of consumers in retailing industries.

Keywords

Citation

Chaklader, G. (2020), "Active and upcoming deals: effect on purchase intention", Marketing Intelligence & Planning, Vol. 38 No. 1, pp. 32-45. https://doi.org/10.1108/MIP-01-2019-0004

Publisher

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Emerald Publishing Limited

Copyright © 2019, Emerald Publishing Limited

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