Price promotions increase sales, at least in the short term, but the effect of price promotions on consumers' product evaluations is not well understood. We focus on the market for mobile apps, a category where price variation, including discounting to a zero price is common. We ask how price...

Managers and academics often think of price promotions merely as incentives that entice consumers to accept offers that they might not have considered otherwise. Yet the prospect of paying a lower price for a product of given quality can also discourage deliberation, in a sense “dumbing...

Firms often advertise the maximum discount offered storewide, rather than a specific discount offered for a single product. However, it is unclear how such tensile discount claims of, for example, 'up to 70%' off, perform. On the one hand, promoting the maximum discount may help ads grab...