Price Promotion Effect on Purchase Behavior Under the Time Limit/Pressure

Uğur Ercan, Naci Büyükdağ, Murad Alpaslan Kasalak and Halil Ozekicioglu

SAGE Open, 2025, vol. 15, issue 1, 21582440251327270

Abstract: This study aims to investigates how consumers react to price promotions applied by service businesses and whether this reaction differs under time limit/pressure. Four hundred questionnaires were collected, and experimental design methods consisting of statistical group design and factorial design methods were used in this study. The scenario that impacts consumers the most is “Pay for 6 Months, Get 12 Months,†which stands out distinctly from other scenarios. This particular discount pattern reveals significant differences when time pressure is considered. Without time pressure, the distinctions between scenarios were reassessed, highlighting the prominence of the “Pay for 6 Months, Get 12 Months†offer. Businesses offering membership-based services should prioritize the “Pay for 6 Months, Get 12 Months†offer over percentage or cash discounts for longer-term membership sales. Consumers tend to focus less on cash payment when purchasing memberships, preferring instead to extend their membership duration. Additionally, since consumers do not perceive discounts as beneficial under time pressure, service businesses should avoid time-limited promotions to enhance the impact of price promotions. To propose a specific price promotion scenario for service businesses and investigate how the price retention scenarios applied by businesses differ under time limit/pressure, add originality to the literature.

Keywords: experimental design; price promotion; purchase intention; service business; time limit/pressure (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:sae:sagope:v:15:y:2025:i:1:p:21582440251327270

DOI: 10.1177/21582440251327270

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