PurposeThis paper aims to examine the effect of targeted promotions on perceptions of fairness from the perspective of consumers who are not targeted.Design/methodology/approachA scenario-based approach is used. Three studies manipulating promotion selectivity and various bases for promotion selection were conducted. A total of 403 people participated in the studies.FindingsResults showed that these consumers consider targeted promotions unfair, and the primary reason is centered more on damage to relational identity than the economics of reduced perceived value. The effect is moderated by how the targeted promotion is delivered (buyer-discovered vs seller-delivered) and different basis for selection.Practical implicationsAs companies adopting the practice of dynamic pricing such as targeted promotion, it is important to manage relationship with their consumers. Framing targeted promotions that reduce the salience of seller’s role and provide explanations that not attributed to buyer-seller relationship are important in reducing the potential damage of targeted promotion on relational identity.Originality/valueExisting research on perceptions of price fairness has focused on the role of perceived value. This research tested the relative effect of perceived value, relational identity and personal identity in the context of targeted promotion and identified relational identity as the major mechanism.
Journal of Product & Brand Management – Emerald Publishing
Published: May 15, 2017
It’s your single place to instantly
discover and read the research
that matters to you.
Enjoy affordable access to
over 18 million articles from more than
15,000 peer-reviewed journals.
All for just $49/month
Query the DeepDyve database, plus search all of PubMed and Google Scholar seamlessly
Save any article or search result from DeepDyve, PubMed, and Google Scholar... all in one place.
Get unlimited, online access to over 18 million full-text articles from more than 15,000 scientific journals.
Read from thousands of the leading scholarly journals from SpringerNature, Wiley-Blackwell, Oxford University Press and more.
All the latest content is available, no embargo periods.
“Hi guys, I cannot tell you how much I love this resource. Incredible. I really believe you've hit the nail on the head with this site in regards to solving the research-purchase issue.”Daniel C.
“Whoa! It’s like Spotify but for academic articles.”@Phil_Robichaud
“I must say, @deepdyve is a fabulous solution to the independent researcher's problem of #access to #information.”@deepthiw
“My last article couldn't be possible without the platform @deepdyve that makes journal papers cheaper.”@JoseServera