The Effect of Payment Delay on Consumer Purchase Intention

Minkyung Choy ()
Additional contact information
Minkyung Choy: College of Business Administration, Kangwon National University, Chuncheon-si 24341, Republic of Korea

Administrative Sciences, 2024, vol. 14, issue 9, 1-19

Abstract: While previous studies have focused on the form of payment methods as a criterion, this study proposes payment delay as a new criterion and examines the relationship between consumers’ need for closure (NFC) and temporal construal in payment situations. Three empirical studies were conducted with participants who had experience with plastic card payments to ensure they understood the concept of payment delay. Participants with a low NFC tended to construe payment situations more abstractly, leading to increased purchase intentions for hedonic products when payment was delayed and for utilitarian products when it was not. In contrast, participants with a high NFC exhibited higher purchase intentions for hedonic products when payment was delayed but no significant difference for utilitarian products based on payment delay. The findings provide implications for strategies to mitigate excessive hedonic consumption through credit card payments and address reluctance toward credit card use stemming from consumers’ aversion to debt or uncertainty.

Keywords: payment delay; payment method; temporal construal theory; need for closure; product type (search for similar items in EconPapers)
JEL-codes: L M M0 M1 M10 M11 M12 M14 M15 M16 (search for similar items in EconPapers)
Date: 2024
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/2076-3387/14/9/226/pdf (application/pdf)
https://www.mdpi.com/2076-3387/14/9/226/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jadmsc:v:14:y:2024:i:9:p:226-:d:1479107

Access Statistics for this article

Administrative Sciences is currently edited by Ms. Nancy Ma

More articles in Administrative Sciences from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().