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Empirical decomposition of customer responses to discount

The effects of dollar-off vs. percentage-off coupons are examined for 3,827 customers who had redeemed both types of coupon framings in an Australian online fast-moving consumer goods (FMCG) retail context. Results from Bayesian simultaneous equation modelling confirm that compared to dollar-off coupons, percentage-off general coupons induce

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The optimal face value of a discount coupon - ScienceDirect

The paper analyzes the decision made by firms to issue one-time coupons as a means of attracting new deal-prone customers. Given the structure of the market and the share of loyal customers, we derive boundaries for the value of the coupon, as well as the optimal face value of the coupon.

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Trade deals and/or on-package coupons - ScienceDirect

The coupon-induced repeat-purchase effect contributes to enhancing the appeal of on-pack coupons. As a result, on-pack coupons are more attractive than peel-off coupons or instant rebates (Martín-Herrán et al., 2010), which only affect the first purchase and do not have any direct effect on subsequent purchases. Further numerical analysis

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The influence of coupon duration on consumers’ redemption

The face value has important implications for sellers' profitability through the number and types of consumers attracted by coupons. In selecting the optimal face value, the sellers need to trade-off the gain from attracting new consumers with the loss from coupon redemption by loyal consumers.

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Two-period discount pricing strategies for an e-commerce

The online coupons are divided into short-term coupons and long-term coupons. They are defined as a single online coupon recommended to consumers in period 1, and consumers can only redeem them within a specified period (period 1 or period 2). The platform will offer these online coupons to encourage consumers to purchase products.

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Omnichannel retailing operations with coupon promotions

The omnichannel retailer is better off dropping the price and not providing coupons when online channel is the preference for a large portion of consumers. Such pricing and coupon promotion strategies also true when the negative effect of coupon promotions is great.

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The effect of permanent product discounts and order

In China, order coupons are normally formatted as amount-off discounts. 4. The focal retailer offers both unconditional coupons (e.g., a 10 CNY-off coupon, which can be redeemed for any orders) and conditional coupons (e.g., a 10 CNY-off coupon, which can be only redeemed for orders with a certain amount).

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An investigation of coupon-prone consumers: Their

Coupons continue to be an important promotional vehicle for manufacturers and retailers. Nielsen Clearing House (1995) reports that coupon distribution in the US increased from 181 billion coupons in 1984 to 310 billion in 1994, a 71% increase in 10 years. A key factor underlying this trend is the aggressive retail price environment.

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Pricing strategy and moral hazard: Copay coupons in

Branded drug manufacturers issue copay coupons to compete with generics as their brands are coming off patent. To explore the impact of copay coupons on pricing and welfare, I estimate a model of demand and supply using data on sales, advertising, and copayment for cholesterol-lowering drugs and perform a counterfactual analysis to simulate equilibrium pricing with copay coupons used for price

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Consumers use of price promotions: a model and its

H3: Consumers’ liking of (a) coupons, (b) cents-off and (c) deals in general positively influence their purchase intention of the promoted product. H4: Consumers’ liking of (a) coupons, (b) cents-off and (c) deals in general positively influence their stockpiling intention. 2.4.

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Price discounts or coupon promotions: does it matter

1.. IntroductionBrown (2001) reports that 248 billion coupons were distributed in the year 2000 and 4.5 billion of them were redeemed for a total savings of US$3.6 billion. P&G's (1997) zero-couponing experiment in upstate New York drew fire from the state attorney general, and even P&G used 55% more free standing inserts in 1999 than in 1998 (Promo Magazine, 2000).

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Cash, food, or vouchers? Evidence from a randomized

In a randomized study in the Democratic Republic of Congo, cash and coupons are compared and found to have similar impact on total food expenditures . However, similar to the studies in Mexico and Sri Lanka, differences across cash and coupons (or food in the case of Mexico and Sri Lanka) emerge with respect to consumption of certain food items.

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Empirical decomposition of customer responses to discount

As for dollar-off coupons, customers in Cluster 1 show the highest increase in spending and a moderate increase in the inter-purchase time and hence should be on top of the retailer's list to receive dollar-off coupons. Moreover, dollar-off coupons in Cluster 2, as the largest cluster identified, seem to be causing a significant delay in

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Coupons in context: discounting prices or decreasing

These were “$ off” coupons, so as to generalize the effects of Study 3 that used BOGO coupons (note however, that many pizzerias, in fact, use BOGO coupons). Finally, to examine the generalizability of the conceptual arguments proposed in Studies 1 and 2, we manipulated both the presence of alternate price information of the company’s own

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Internal Corrosion - an overview | ScienceDirect Topics

Continually monitoring each covered segment where IC has been identified using techniques such as coupons, UT sensors, or electronic probes, periodically drawing off liquids at low points, and chemically analyzing the liquids for the presence of corrosion products. An operator must base the frequency of the monitoring and liquid analysis on

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Zero-Coupon Bond - an overview | ScienceDirect Topics

Moorad Choudhry, in The Bond & Money Markets, 2001. 14.5.2 Bond interest payment. Corporate bonds pay a fixed or floating-rate coupon. Floating-rate bonds were reviewed in Chapter 5. Zero-coupon bonds are also popular in the corporate market, indeed corporate zero-coupon bonds differ from zero-coupon bonds in government markets in that they are actually issued by the borrower, rather than

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Cathodic Protection - an overview | ScienceDirect Topics

OFF potential readings at all measuring points at least every 3 years; If OFF potential reading is not possible (for example in the presence of stray current), coupons or potential probes are required. Regarding the latter, it is important to underline that standard ISO 15589-1 reports, often confusing the reader, the terms “OFF potential

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Pricing strategy and moral hazard: Copay coupons in

Copay coupons can help to combat generic entry by lowering the costs for patients and influencing doctors’ decisions. 11 In March 2013, 62% of the 374 copay coupons found from www.internetdrugcoupons.com, a large drug coupon website, were for branded drugs with generic alternatives. 12 As many blockbuster drugs went off-patent, and few new

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Influence of coupons on online travel reservation service

By comparing two types of coupons (dollars-off and percentage-off) with high and low price levels and their effects on customers' perception after service recovery, Lii and Lee (2012) show that customers feel that they are treated more fairly when they perceive that a coupon gives them a price reduction in terms of dollars for expensive

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