Deal Proneness Research Articles

Electronics Utilization by Consumers: Antecedents and Impact on Consumer Positivity

A sample of consumers, ranging in age from late teens to 65, is used to examine the impact of demographic antecedents on consumer electronic utilization variables (age, household income, undergraduate major, and ethnicity).Then, the impact of these electronic utilization variables on positive consumer characteristics is examined (cultural openness, deal proneness, value judgment, self-esteem, and shopping enjoyment).Strong support indicates the various impacts the antecedents have on consumer electronic utilization. Findings also suggest the influence of these electronic utilization variables on positive consumer characteristics. The non-findings are discussed, and future research is suggested to further examine the relationships included in this study’s research model.

Unveiling promotion-induced variety-seeking: the roles of various types of promotional rewards and shopping motivations

PurposeThe study aimed to explore the differential impact of various types of sales promotion on consumers' variety-seeking behaviour and the roles of utilitarian and hedonic shopping motivations in promotion-induced variety-seeking. The study further assessed the moderation impact of risk-taking tendencies and deal proneness in the promotion-induced variety-seeking buying episodes.Design/methodology/approachBased on the temporality of gratification of promotional rewards (immediate/delayed) and the type of promotional rewards (monetary/non-monetary), we classified consumer sales promotions into four types (MI: Monetary/Immediate; NMI: Non-monetary/Immediate; MD: Monetary/Delayed and NMD: Non-monetary/Delayed). We conducted survey research across four major metro cities in India. We collected data from the buyers of two supermarket chains in four major metro cities of India and analyzed the data using SEM techniques.FindingsThe study’s findings revealed that only MI and NMI sales promotions lead to variety-seeking buying, whereas MD and NMD do not influence variety-seeking. The study further revealed that MI, NMI and NMD influence hedonic shopping motivations and play a role in variety-seeking buying episodes. NMD does not influence utilitarian shopping motivation or play a role in inducing variety-seeking buying behaviour.Originality/valueThe study is one of the very few studies that explored the differential impact of various types of sales promotions on variety-seeking buying behaviour. The study’s findings enable the retailer to devise promotional strategies to induce variety-seeking among the shoppers. Further, the findings of the instrumentality of CSP in inducing HSM may help the retailer create a promotional environment and induce the shopper (in a good mood) to buy more, thus improving store performance.

Consumer’s Re-Participation in Online Flash Sale after Service Failure: A Moderated-Mediation Study

Online flash sales (OFS) have gained significant popularity in recent times. Interestingly, despite encountering service failures such as server errors, stockouts, and website crashes due to heavy online traffic, many consumers opt to re-participate in future OFSs offered by the same provider. Our study delves into the underlying reasons for such behavior. We formulated and tested our model based on scarcity theory and consumer deal proneness literature. We employed a 2 (deal type: planned vs. incidental) × 2 (consumer motivation: utilitarian vs. hedonic) between-subjects design. We used SPSS PROCESS Macro to test the moderation and moderated mediation effects. Findings indicate that deal-prone consumers tend to overlook service failures and choose to re-participate in online flash sales. Consumer competition mediates the relationship between deal proneness (DP) and re-participation intention (RPI). The effect of deal proneness on re-participation intention is decreased in incidental OFS compared to planned OFS, with the indirect effect moderated by the deal type. Additionally, consumption motivation moderates the main effect, with hedonic motivation significantly attenuating the effect compared to utilitarian motivation. Our research makes a significant contribution to the literature by highlighting the boundary conditions—namely deal type and consumer motivation—that influence the impact of deal proneness on re-participation intention in the context of OFS. This study offers a process-oriented view, highlighting the mediating role of consumer competition in the OFS landscape. We also illuminate new avenues by examining the impact of consumer motivation on the link between deal proneness and re-participation intention. Specifically, our findings related to the moderating effect of deal type present a fresh perspective to the existing body of knowledge. This study provides valuable insights for practitioners, particularly concerning segment targeting and the strategic incorporation of competition to bolster overall OFS participation. Moreover, our research underscores the importance for online retailers to pay heightened attention to service failures during incidental OFS, as these can significantly undermine their profitability.

Modeling social coupon redemption decisions of consumers in food industry: A machine learning perspective

Social couponing is a growing promotional phenomenon in the service industry. However, since the conversion rate of distributed coupons into coupons redeemed for purchase is relatively low, there is a need to understand the redemption decisions of consumers. Lower conversion rates lead businesses to lose both customers and profits. Previous studies have typically focused on social couponing from a business perspective, without exploring factors from the customer's end. The current study explores the factors influencing customers' decision to redeem coupons and highlights the interrelationships between the factors. Data were collected from 353 online customers on their redemption experiences during their food purchases. Structural equation modeling was performed to examine the significance of the factors and establish the predictability of customers' redemption decisions. We then explored different machine learners to identify the best-fitting models for customers' redemption decisions. Results showed that the prediction accuracy of the decision-tree-based models was the highest. These models delineate the role of influencers in various redemption aspects and validate the mediation effects of perceived risk, deal proneness, referral, and consumption frequency. The study also highlights future research areas in the social couponing domain.

The Effects of Trust, Perceived Risk, Innovativeness, and Deal Proneness on Consumers’ Purchasing Behavior in the Livestreaming Social Commerce Context

Livestreaming shopping platforms have emerged as dynamic and innovative channels for e-commerce, mobile commerce, and social commerce, revolutionizing the way consumers engage with online retail. Drawing upon the Technology Acceptance Model 3 framework, this research seeks to provide a comprehensive understanding of the interplay between perceived risk, trust, innovativeness and deal proneness in shaping consumers’ purchasing behavior in the livestreaming social commerce context. A snowball sampling method was applied to collect data from 675 Chinese livestreaming customers in December 2022. A PLS-SEM analysis was used to measure the proposed model. The results confirm that the present model has weak explanatory power except for medium predictive accuracy in explaining consumers’ purchasing behavior in the livestreaming social commerce context (R2 = 0.35; Q2 = 0.31). This research contributes to the social commerce literature by extending the Technology Acceptance Model 3 (TAM 3) to the novel domain of the livestreaming social commerce context, offering insights into the unique drivers of consumers’ purchasing behavior. It also provides practical implications for platform developers and marketers aiming to enhance consumer experiences and increase sales performance, thereby increasing economic growth.

Boosting customers’ impulsive buying tendency in live-streaming commerce: The role of customer engagement and deal proneness

With the ever-growing popularity of live-streaming commerce, it is crucial for marketers to understand how live-streaming contributes to sales. While prior studies mainly focused on customer motivations for using live-streaming commerce, few studies, to date, elucidate consumers' decision-making process in this context. Addressing this gap, we adopt the Elaboration Likelihood Model (ELM) of persuasion to examine how live-streaming influences customers’ engagement and impulse buying behavior, as moderated by their deal proneness. To explore these issues, we analyzed data collected from 735 Millennials in China using partial least squares structural equation modeling (PLS-SEM). The findings show that factors characterizing the ELM-informed central (i.e., product information quality, streamer interaction quality, and streamer credibility) and peripheral (i.e., review consistency) routes exert positive effects on customer engagement and impulse buying. Moreover, deal proneness was found to moderate the relationship between engagement and impulse buying. The findings offer valuable insight for e-tailers seeking to encourage impulsive buying among millennial shoppers. Specifically, they highlight the role of central- and peripheral route factors in promoting customer engagement and impulsive buying, with the effect of customer engagement on impulsive buying being contingent on deal proneness-based differences among millennial shoppers.

Consumer Intention to Switch from Cash to Mobile Payment in Restaurants During and After Pandemic

ABSTRACT During the Covid-19, more and more consumers complete transactions on mobile devices and enjoy their orders at home. However, it is unknown whether mobile payment will become normal when they return to restaurants. Results show that the perceived inconvenience of cash, the perceived convenience of mobile payment and deal proneness facilitate the intention of consumers to switch to mobile payments. The perceived security and privacy, perceived health risk, consumer innovativeness, and social influence have a direct bearing on consumer intent to switch to mobile payment and moderate switching intention. This study also provides theoretical and managerial implications.

The role of trust in tourists’ motivation to participate in co-creation

Diseño/metodología/enfoqueSe aplica una metodología cuantitativa para analizar las percepciones de un nuevo concepto, intención de volver a participar en la co-creación (Intention to Re-participate in Co-Creation, IRCC). Se recogieron un total de 305 cuestionarios válidos, en el período comprendido entre el 10 y 30 de octubre de 2020 en Estambul, y se analizaron con un modelo de ecuaciones estructurales basado en la covarianza (CB-SEM) utilizando el software LISREL.ObjetivoLa intención de volver a participar en la cocreación (IRCC) es un indicador esencial de los clientes para su propensión al trato. Por tanto, la finalidad de este estudio es centrarse en el papel de la confianza en la relación entre la motivación de los turistas para las actividades de IRCC y los resultados percibidos del servicio en la investigación en turismoConclusionesLos resultados del estudio mostraron que el IRCC de los turistas se agrupa en cuatro factores: (i) beneficio del aprendizaje, (ii) beneficio de la interacción social, (iii) beneficio hedónico y (iv) beneficio financiero. En el contexto del IRCC, la confianza organizativa media parcialmente en la relación entre la intención del turista y la motivación de propensión al trato para el IRCC.Limitaciones/implicaciones de la investigaciónEl alcance de la investigación se limitó a los turistas nacionales que visitan Estambul. Es necesario investigar a los turistas que visitan otros destinos y que difieren en cuanto a sus características culturales para realizar evaluaciones a mayor escala. Además, al considerar que la cocreación es la consecuencia de la colaboración entre la empresa y los clientes, el análisis de las iniciativas de las empresas basadas en la promoción de la participación en la co-creación supondrá una contribución tanto para los gestores como para la literatura para formalizar el proceso de co-creación. Además, las redes sociales son una de las principales plataformas en las que los turistas están motivados para participar en co-creación de valor (MPCC), pero los turistas pueden tanto crear como destruir valor en los medios sociales en relación con las empresas y la experiencia turística. En este sentido, futuras investigaciones, deberían analizar los elementos de motivación de los turistas que les impulsan a co-crear y co-destruir valor en las redes sociales, contribuyendo a la comprensión y evaluación del proceso de co-creación en todos sus aspectos.Implicaciones prácticasA diferencia de las investigaciones anteriores, el estudio ofrece un modelo que integra los antecedentes y las consecuencias del proceso del IRCC. En esta percepción, el conocimiento de los factores de motivación de los turistas hacia las actividades de IRCC proporciona una vía para que las empresas turísticas gestionen estratégicamente sus actividades. Este estudio se centra en el papel de la confianza organizativa en el efecto de la re-participación.Originalidad/valorEl IRCC es un tema que debe ser evaluado con sus antecedentes y resultados. En la literatura, varios estudios evalúan los resultados de la cocreación, pero la investigación sobre los antecedentes que promueven el IRCC es limitada. En este estudio se evalúan conjuntamente los antecedentes (motivación para volver a participar) y los resultados de la cocreación (confianza y beneficio percibido).

F-commerce and Impulsive Buying: A Mediated-Moderated Study from a Social Commerce Perspective

Purpose: Utilizing Social Impact Theory, this study explores browsing via F-commerce as a source of social interactions and enjoyment while stimulating consumer impulse buying behavior. Moreover, a mediating role of perceived trust and perceived usefulness to enrich the relationship between browsing and impulse buying is studied in two cross national cultures. Finally, a moderating role of serendipitous information and deal proneness is aimed to study the relationships. Method: Using a cross-lagged temporal approach, survey based data is collected from F-commerce users in developing context i.e. Pakistan (N=684). The data is analyzed by means of Structural Equation Modeling (SEM). Findings: The results demonstrate that browsing has positive impact on F-impulse buying as well as on perceived trust and perceived usefulness which in turn influences F-impulse purchase. Moreover, findings confirm the moderating role of deal proneness and serendipitous information in the hypothesized relationships. Implications: Managers in such markets should focus on e-tracking where consumers share and gather information related to their products and services. Placing serendipitous information on Facebook brand pages via brand evangelist might offer additional advantages to F-commerce marketers. By providing different online deals and discounts on products managers may motivate consumers to buy impulsively. Originality: Present study is of equal importance to academia and practitioners within emerging context as this study enriches the F-commerce literature by uncovering new areas, scrutinizes factors that influence F-impulsive purchase and the variations in the impact of these processes across serendipity and deal proneness.

Vaping among youth: reasons, realization and intention to quit

PurposeVaping has become a prominent public health problem that has impacted young adults. The purpose of this study is to empirically examine the effects of different intrinsic and extrinsic motivations on young adults’ realization of excessive vaping and their intention to quit vaping.Design/methodology/approachA survey was used to collect data from 232 young vapers (primarily Generation Z and Millennials) to test the hypothesized relationships using a covariance-based structural equation model.FindingsThe findings of this study suggest that “realization of excessive vaping” is negatively associated with “sensation seeking” and positively associated with “deal proneness,” “environmental cues” and “negative repercussion.” The “intention to quit vaping” is negatively associated with “marketing cues” and positively associated with “alternative to smoking” and “environmental cues.” Finally, the “realization of excessive vaping” is positively associated with “intention to quit vaping.”Originality/valueThis study takes a two-dimensional approach to understand the complex motivations behind a relatively new addictive behavior – vaping. It contributes to the literature of addictive behavior, social cognitive theory and theory of planned behavior. Further, it has important implications for public policy and the marketing of addictive products to youths.

Decoding price promotions: a moderated mediation model of fairness, trust, and deal proneness

Decoding price promotions: a moderated mediation model of fairness, trust, and deal proneness

The relationship between retailer app use, perceived shopping value and loyalty: the moderating role of deal proneness

PurposeThis paper studies the effects of retailer app use on perceived shopping value and loyalty toward the retailer. It also investigates whether deal proneness moderates the relationship between app use and perceived shopping value.Design/methodology/approachA sample of 427 French consumers took part in an online survey inquiring about a recent shopping experience. The authors compared customers who used a retailer app during their shopping experience with those who did not. Mediation and moderated mediation using PROCESS were performed to identify whether retailer app use improves loyalty intentions through perceived shopping value, with deal proneness used as a moderator.FindingsThe results show a positive and direct effect of retailer app use on loyalty. The effect is also mediated by utilitarian and hedonic shopping values. The authors also highlight the fact that deal proneness moderates the mediation effect of both utilitarian and hedonic shopping values between retailer app use and loyalty. More specifically, retail app use significantly increases shopping value for deal-prone customers.Originality/valueIn the age of omnichannel retailing, this study offers potential contributions to improve the theoretical knowledge of the impact of retailer apps on retailer–customer relations, helping businesses to develop and implement appropriate app-related strategies.

How need for closure and deal proneness shape consumers’ freemium versus premium price choices

Internet-based firms extensively use freemium pricing strategies to thrive in the hyper-competitive e-marketplace (e.g., Spotify, Tinder). Yet many firms using this pricing strategy operate at a loss. Few studies have theorized whether consumers’ decision to pay for the premium subscription is contingent on their individual traits. In response, this study posits that need for closure and deal proneness explain consumers’ decisions to choose free versus premium pricing options. We test our predictions using one survey and one experiment. Study 1 shows that need for closure prompts consumers to pay for the premium subscription. Moreover, deal proneness negatively moderates this relationship. Study 2 finds that uncertainty reduction mediates the effect of need for closure on the decision to pay for a premium subscription. These findings have important implications for managers aiming to increase conversion rates from free to premium subscriptions.

Decoding Price Promotions: A Moderated Mediation Model of Fairness, Trust, and Deal Proneness

Store pricing policy helps consumers form perceptions about the products as well as the store. This paper studies two commonly used pricing policies, EDLP and HiLo from the customers point of view. We contribute by breaking down these policies based the amount of variability and the degree of predictability. Consumers form perceptions of price fairness and store trust based on these pricing policies and consequently decide their purchase intentions. We observe that price fairness mediates between price variability and purchase intention. Different pricing policies are likely to attract different types of consumers. Some customers are likely to be driven by deals and discounts while others aren't. We show that trust mediates between variability and predictability of pricing and purchase intention for customers who are low on deal-proneness. We find that deal-proneness moderates the relationship between variability in pricing and trust. We use conditional process analysis to arrive at our results.

Immediate or delayed! Whether various types of consumer sales promotions drive impulse buying?: An empirical investigation

In the present study we investigate whether various types of sales promotions together with hedonic shopping motivation (value shopping) and positive affect drive impulse buying. The study further explores the moderation impact of trait constructs viz deal proneness and impulsive buying tendency in impulse buying. In our research, sales promotion tools are classified into four categories namely, (a) monetary-immediate (MI), (b) non-monetary-immediate (NMI), (c) monetary-delayed (MD) and (d) non-monetary delayed (NMD) types of sales promotions. Data were analysed using SEM. Results revealed that out of the four categories of promotional tools only MI and NMI drive impulse buying. Each of MI, NMI, MD and NMD is found to be related to positive affect whereas MI, NMI and NMD impact value shopping but MD does not. The role of IBT and DP as moderators has been evident. The study has significant theoretical as well as managerial implications. Test of mediation confirmed the role of urge to buy as mediator.

Understanding proximity mobile payment continuance usage in Indonesia from a habit perspective

Purpose This study aims to propose a theoretical model to explain mobile payment (MP) continuance usage in a physical store in Indonesia from a habit perspective. In detail, continuance usage was argued to be a consequence of habitual behavior which is related to specific actions conducted automatically, repeatedly and frequently. Therefore, the theoretical model was constructed on the theory of habit establishment. Design/methodology/approach In total, 220 Indonesian respondents were used to examine the theoretical model. Furthermore, a cross-sectional study was used through the use of a descriptive statistical approach to preparing data and descriptive analyses and structural equation modeling method for analysis. Findings Satisfaction was found to have the most substantial direct influence on the establishment of habit to use MP followed by perceived usefulness and perceived compatibility. Meanwhile, deal proneness and social ties were discovered to have a significant indirect effect on habit through the mediation of usefulness. Originality/value This study used the theory of habit formation to understand how user develops repeated behavior in MP usage which leads to continuance usage of the platform. There is limited explicit exploration and development of a theory based on this concept, therefore, this study is a contribution to the body of knowledge with respect to habit formation and its impacts on MP continuance usage.

The Effect of Cosmetics Selection Attributes Focusing on Consumer's Deal Proneness on Consumer's Purchase Propensity and Recommend Intention: Multi-Group Analysis of Information Sources

The Effect of Cosmetics Selection Attributes Focusing on Consumer's Deal Proneness on Consumer's Purchase Propensity and Recommend Intention: Multi-Group Analysis of Information Sources

Born to Shop? A Genetic Component of Deal Proneness

AbstractPast research indicating that deal-prone consumers are likely to have one or more deal-prone parents has suggested that there may be genetic factors involved in the appeal of retail sales p...

Personalized coupons for lower-calorie fast-food choices among young German adults and the influence of consumers' nutritional attitudes on promotion effectiveness

PurposePersonalized price promotion (PPP) is a marketing instrument that addresses the limitations of untargeted promotions by tailoring the offers to individual customers based on their purchase histories. Current evidence on PPP is limited to its immediate effects on buying behaviors at grocery stores and food companies' economic benefits. Moreover, little is known about the role of consumer characteristics in determining how effectively this promotional tool works. Hence, we aim to assess the effectiveness of PPP in promoting healthy fast food and which consumer-specific factors affect its performance.Design/methodology/approachThe authors conduct a laboratory experiment to examine the effects of personalized and non-personalized coupons for lower-calorie fast food menus on food and calorie selection. The coupon personalization is based on participants' menu choices, calorie needs and deal proneness. The authors additionally investigate how post-intervention changes are influenced by consumers' estimation of their selected calories, and their attitudes toward nutrition.FindingsRecipients of personalized incentives are more likely than participants in the control group to redeem the offered coupons, select more healthy items and reduce their selected calories. Such changes are less likely among participants underestimating the calorie content of their menu choices and perceiving higher barriers to healthy eating. Personalized coupons perform better even among subjects receiving lower discounting levels than the control treatment.Originality/valueAs the first to evaluate the effectiveness of PPP in encouraging healthy food choices, this study highlights the potential of this cutting-edge price intervention and provides valuable implications for future research.

Content analysis of fake consumer reviews by survey-based text categorization

As the influence of online consumer reviews grows, deceptive reviews are a worsening problem, betraying consumers' trust in reviews by pretending to be authentic and informative. This research identifies factors that can separate deceptive reviews from genuine ones. First, we create a novel means of detection by contrasting authentic versus fake word patterns specific to a given domain (e.g., hotel services). We use a survey on a crowdsourcing platform to obtain both genuine and deceptive reviews of hotels. We learned the word patterns from each category to discriminate genuine reviews from fake ones for positively and negatively evaluated reviews, respectively. We show that our All Terms procedure outperforms current benchmark methods in computational linguistics and marketing. Our extended analysis reveals the factors that determine fake reviews (e.g., a lack of details, present- and future-time orientation, and emotional exaggeration) and the factors influencing people's willingness to write fake reviews (including social media trust, product quality consciousness, deal proneness, hedonic and utilitarian consumption, prosocial behavior, and individualism). We also use our procedure to analyze more than 250,000 real-world hotel reviews to detect fake reviews and identify the hotel and review characteristics influencing review fakery in the industry (e.g., star rating, franchise hotel, hotel size, room price, review timing, and review rating).