...). Coupons and rebates are argued to be effective for the very same reasons (Blattberg and Neslin, 1990). Both reward a consumer with a discount or a cash refund contingent on the performance of some effort (e.g. clipping, organizing, mailing in). Consumers who are highly price sensitive are more likely...

... The paper employs mathematical economics modeling technique. Findings The model shows that advance prices are always lower than spot prices due to the non‐consumption effect and also that providing a refund to advance buyers, as insurance against non‐consumption, may be. By modeling in the capacity...

...Monika Kukar‐Kinney Purpose The paper proposes investigating the timing of consumer requests for price‐matching refunds, the relationship between the refund timing and consumer repeat store purchase and the reasons for buying from the price‐matching store when a lower competitive price is found...