This study aims to investigate how start versus end temporal landmarks influence consumer preferences for discount versus coupon promotional frameworks.
This study examines how temporal landmarks (start vs end) influence preferences for price reduction promotional frameworks (coupon vs discount) through three preregistered experiments using diverse manipulations (calendar dates, weekdays and time of day). The authors used both real and fictional brands and included food and durable goods (utilitarian/hedonic) as stimuli to reinforce the robustness of the findings.
Results show that consumers at start temporal landmarks prefer coupon frames, whereas those at end landmarks favor discount frames. This effect is mediated by mindset and moderated by product type. For hedonic products, consumers prefer coupon frames at the start and discount frames at the end. For utilitarian products, the pattern reverses.
This research highlights the significant role of temporal landmarks in shaping consumer preferences for price reduction promotional frameworks.
Marketers should align promotion types with temporal landmarks to optimize campaign effectiveness. Coupons are better suited for start temporal landmarks, particularly for hedonic products, while discounts are more effective at period endings, especially for utilitarian goods.
Research on price reduction promotions has largely focused on unstructured timeframes, with limited attention to the role of temporal landmarks within structured timeframes. By introducing the structured timeframe with temporal landmarks, distinct moments such as New Year (start) or year-end (end) (Dai et al., 2014), this research advances the literature on price promotion, temporal decision-making and strategic segmentation by product category.
