Department of Management

Economic and utilitarian benefits of monetary versus non-monetary in-store sales promotions

Research output: Contribution to journal/Conference contribution in journal/Contribution to newspaperJournal articleResearchpeer-review

  • Mike Reid, RMIT University, Australia
  • Peter Thompson, Monash University, Australia
  • Felix Mavondo, Monash University, Australia
  • Karen Brunsø
While prior research has examined the issue of sales promotion proneness, very little has examined proneness to non-monetary promotions, such as contests and premiums discovered in store. This study draws on a promotions benefits framework to examine the influence of shoppers’ desired benefits on their relative proneness to in-store monetary and non-monetary promotions. Computer-aided telephone interviewing (CATI) data gathered from 500 grocery shoppers are used. The findings show that shoppers who are prone to using non-monetary in-store promotions seek exploration, entertainment and value expression benefits, in common with shoppers who are prone to monetary
promotions. Both monetary and non-monetary promotion-prone shoppers feel
financially constrained. In addition, non-monetary promotion-prone shoppers
enjoy gambling and other hedonic outcomes. The managerial implications of our
research findings are that many monetary sales promotion-prone shoppers may
be attracted by the benefits provided by non-monetary promotions. The increased use by managers of non-monetary promotions instead of monetary
promotions may result in improved category value and brand equity benefits.
Original languageEnglish
JournalJournal of Marketing Management
Pages (from-to)247-268
Publication statusPublished - 2014

    Research areas

  • sales promotion, non-monetary, benefits, proneness, CATI

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