How sales promotion display affects customer shopping intentions in retails

Abstract

PurposeThe purpose of this paper is to examine the impact of sales promotion display on customer intentions to purchase and repurchase, focusing on the moderating roles of perceived product quality and price fairness.Design/methodology/approachThis study employs a descriptive, quantitative, non-experimental research method using a cross-sectional design with a self-administered questionnaire. In total, 415 department store customers responded to the survey through an online research panel provider in Australia.FindingsThe results indicated that sales promotion display significantly affects the purchase and repurchase intentions. The findings also highlight the moderating role of perceived product quality and price fairness on customer shopping intentions. Lastly, it is confirmed that the joint moderating effects of perceived product quality and price fairness in the relationship between sales promotion display, purchase and repurchase intentions are significant.Practical implicationsBased on the study findings, managers could drive customer purchase and repurchase intentions using suitable visual objects in sales promotion and their appropriate in-store placement.Originality/valueThe present study introduced sales promotion display as a new dimension of store physical environment. This is the first study to investigate the relationship between sales promotion display and customer shopping intentions and incorporates customers' cognitive perceptions of price and quality in the conditioned effect of sales promotion display on shopping intentions. Moreover, this study brings up new insight into retailing literature by applying the classical conditioning theory in examining the links between sales promotion display and customer shopping intentions.