Date of Graduation

8-2017

Document Type

Dissertation

Degree Name

Doctor of Philosophy in Business Administration (PhD)

Degree Level

Graduate

Department

Marketing

Advisor

Ronn Smith

Committee Member

Thomas Jensen

Second Committee Member

Elizabeth Howlett

Third Committee Member

Scot Burton

Keywords

Affect, Deal Proneness, Intertemporal Choice, Pre-ordering, Probabilistic Pricing, Sales Promotions

Abstract

Intertemporal choice is frequently a part of the consumer decision-making process. Similarly, sales promotions are also an integral part of consumer transactions. A growing promotional strategy used by retailers involves pre-selling a product before the product is available to consumers. These pre-orders have varying wait times before the product becomes physically available. Can these wait times change the likelihood that a consumer makes a purchase? Further, pre-ordering tends to use either a monetary discount or non-monetary incentive sales promotion. Will these promotional incentives influence the purchase behavior of a consumer?

This dissertation argues that temporal delays between payment and receiving a product, and specifically the pain associated with waiting, can have an undesirable effect on consumers’ decisions to make a purchase. Across three essays, I focus on how the temporal delay will monotonically and non-linearly impact a consumers’ purchase intention. I call this the intent shrinkage effect (Essay 1). I also test the moderating effect of various sales promotions such as monetary, non-monetary, and probabilistic offers on the pain of waiting (Essay 2). Finally, I test the moderating influence of consumer heterogeneity (Essay 3), such as need for touch, deal proneness, and temporal orientation on temporal delay and the subsequent influence on a consumers’ likelihood to pre-order a product. Across, eighteen experiments, using student and national adult samples, I find convergent evidence that increasing the temporal delay will deter individuals from choosing or purchasing a pre-order product. However, non-monetary sales promotions, such as free gifts, can reduce the pain of waiting and attenuate the negative effect of temporal delay on consumers’ purchase evaluations.

Available for download on Sunday, May 19, 2019

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