Understanding consumer reactions to premium‐based promotional offers

Abstract

Reports the results of a three‐study research program whose purpose is to gain a better understanding of consumer reactions to premium‐based promotional offers. In the first study, elaborates and evaluates a comprehensive typology of premium‐based promotional offers with respect to its content and predictive validity. In the next study, explores the semantics that are used by consumers when they are presented with premium promotions and develops a series of research hypotheses from qualitative interviews with 12 consumers. In the final study, conducts a survey of 182 adult consumers to test these research hypotheses. The results reveal that consumer appreciation of premium‐based promotional offers is more positive when the premium is direct than when it is delayed, when there is a relatively lower quantity of product to purchase, when the value of the premium is mentioned, when brand attitude is positive, when interest in the premium is great, and when consumers are characterized by deal‐proneness and compulsive buying tendencies. Consumers’ perception of manipulation intent is affected mainly by directness of the premium, mention of the value of the premium, interest in the premium, and deal‐proneness.