Price presentation effects on green purchase intentions

Abstract

Purpose – This paper aims to examine the effect of price promotion presentation formats on consumers’ green purchase intentions across various levels of greenness. Despite the increasing awareness of environmental issues and green products among consumers, there is a gap between their green attitude and purchase intentions. Previous studies show that consumers’ degree of greenness varies and that price plays an important role in their green consumption decision-making. Design/methodology/approach – Two between-subject experiments with 236 participants were used to examine our hypotheses and conceptual model. Findings – The results show that different formats of price promotion presentations influence consumers’ purchase perceptions differently. Consumers with a high degree of greenness are attracted to promotions emphasizing gain, while those with a low degree of greenness prefer promotions underlining reduced loss. In addition, medium-greenness consumers show similar reactions to both formats. Our studies further demonstrate that consumers’ perceived value mediates the moderated effects of perceived quality and perceived savings on green purchase intentions. Practical implications – This research helps marketers better design price promotions, taking into account the various levels of consumers’ greenness. The focus of reduced loss or gain of the promotional programs should be targeted at consumers with different levels of greenness. Originality/value – This is the first paper to examine the role of price promotion presentation formats in consumer decision-making regarding green consumption. The study provides new insights concerning how to design price promotions to enhance the green purchase intentions of consumers.