Can I choose my offer? How choice of a promotional offer impacts consumer evaluations and decisions

Free gifts play a role in consumer sales promotions, and some retailers have begun to provide consumers with a choice of free gifts. However, there is scant empirical research that explores the effects of this novel sales promotion on consumption variables. This research investigates the interactive...

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Bibliographic Details
Published in:Journal of retailing 2024-12, Vol.100 (4), p.549-564
Main Authors: Mukherjee, Atmadeep, Burton, Scot, Smith, Ronn J., Iyer, Pramod
Format: Article
Language:English
Subjects:
Free gift promotions
Product-gift congruency
Sales promotion
Value maximization
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Summary:Free gifts play a role in consumer sales promotions, and some retailers have begun to provide consumers with a choice of free gifts. However, there is scant empirical research that explores the effects of this novel sales promotion on consumption variables. This research investigates the interactive effects of attributes and gift choice (versus a fixed free gift) on value perceptions and purchase intentions. Findings show that by offering a choice set, marketers can increase the perceived value and attenuate the negative effects of lower monetary levels of the gift offer. Our conceptualization and predictions are supported by one field and four controlled experiments in a variety of contexts. Additionally, this research identifies boundary conditions and eliminates potential alternative explanations. Results advance our understanding of the moderating and mediating relationships between value perceptions and purchase intentions, and how managers can use free gift choices in designing effective sales promotions.
ISSN:0022-4359
DOI:10.1016/j.jretai.2024.09.001