TITLE

NOT ALL DEALS ARE CREATED EQUAL: TWO DIFFERENT ROLES OF SALES PROMOTION

AUTHOR(S)
Shin, Dongwoo; Leigh, James H.
PUB. DATE
January 2005
SOURCE
AMA Winter Educators' Conference Proceedings;2005, Vol. 16, p256
SOURCE TYPE
Conference Proceeding
DOC. TYPE
Proceeding
ABSTRACT
Shopping behavior is goal-directed and often planned. Shoppers seek desired outcomes (e.g., obtaining a desired product) or positive experience (e.g., having a relaxing vacation experience). A consumer often sacrifices other alternatives to achieve his/her chosen goal and implements various self-regulatory strategies to prevent him/ her from giving in to the alternatives. Many sales-promotion strategies are designed to affect such self-regulatory strategies by providing economic and psychological incentives. The action-oriented framework proposed in this paper emphasizes the influence of sales promotions in a consumer's goal-striving process and regulatory functions of implementation intention. The main premise of the suggested framework is that sales promotion influences not only the process of formulating goal intentions but also the process of creating and executing implementation intentions (Gollwitzer 1999), the building blocks of an action plan, which play the key-mediating variable between goal intention and buying behavior. The model hypothesizes that a sales promotion stimulus influences a consumer's goal striving process via two routes: formation and disturbance processes. Formation refers to a process which a sales promotion motivates a consumer to form a new set of implementation intentions. The process of formation starts with creating a purchase intention. When a consumer encounters a sales promotion stimulus before developing a purchase intention, he/she includes the additional benefits (i.e., informational, economic, and affective, Raghubir et al. 2004) from the promotion to their decision process. After considering the alternatives, the consumer makes up his/her mind and creates an intention to purchase a certain product. The purchase intention summarizes the strength of motivation that provides the consumer energy to develop, pursue, and realize his/her action plan. After the consumer created a purchase intention, he/she seeks information concerning when, where, and how to formulate implementation intentions. The information from sales promotion provides not only value-related but also planrelated content (i.e., the information about the store location, the period of the promotion, etc.). Such plan-related information is connected with appropriate purchase behaviors, creating new implementation intentions leading to a higher chance of realizing the purchase behavior. Disturbance refers to a process whereby a sales promotion influences a consumer's buying behavior by breaking his/her current implementation intentions. When a consumer encounters a promotion stimulus, it often breaks his/her original implementation intentions and induces him/her to switch to purchase the promoted product since it provides an alternative with additional benefits. In this disturbance process, the values (i.e., motivations) from the sales promotions should provide sufficient force to break the current action plan. When the incentive is sufficient, the shopper halts the execution of his/her current implementation intention (i.e., it breaks the cognitive link between the environmental cues and the desired behavior), and activates a disturbance feedback loop to reevaluate the current and new options. We introduce Kuhl's (1994) action orientation tendency as a moderating variable that influences the formation and disturbance processes. An action-oriented person can maintain and execute goal intentions more efficiently than a state-oriented person because he/she focuses more on a realistic action plan. In contrast, a state-oriented person focuses more on the evaluation of the present state, a past state, or a future state and lacks the flexibility of his/ her action plan.…
ACCESSION #
19926424

 

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