|Author:||Chan, Ka Wai|
|Title:||Arousal and consumer reaction to monetary sales promotions|
Hong Kong Polytechnic University -- Dissertations
|Department:||Faculty of Business|
|Pages:||viii, 98 pages : color illustrations|
|Abstract:||Monetary sales promotion is the most popular approach used by marketers and retailers to generate sales revenue in the short run. To improve its efficiency and effectiveness, a significant amount of previous work in the marketing literature has investigated the factors that yield positive consequences from monetary sales promotion. In this thesis, I have examined the influence of a novel psychological factor, namely arousal, on consumer response toward monetary sales promotions. A lab experiment and a field experiment have been designed and carried out to investigate the causal relationship between arousal and the sensitivity of consumers within the parameters of the monetary discount rate. The results show that compared with their less aroused counterparts, more aroused customers are less sensitive to the parameters of the monetary discount rates. This research has important contributions from both theoretical and managerial perspectives. The findings will contribute to the marketing literature because they add a novel causal linkage between monetary sales promotion and arousal. On the managerial side, the results also provide practical insights in terms of the ways to manage a store environment so as to strategically offer effective sales promotions.|
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