Across five studies, the authors investigate how social identification influences consumer preference for discount-based promotions (i.e., cents-off deals) versus donation-based promotions (in which purchase results in a donation to a charitable cause). In doing so, they demonstrate the...

Major retailers in the USA offer Money Back Guarantees (MBGs) under which they return money to dissatisfied customers. Some of these retailers also offer Low price Guarantees (LPGs) under which they promise to refund price differences if buyers find a lower price after purchase. Some researchers...

A common feature of low-price guarantees is that they allow consumers to postpone bargain-hunting until after the purchase. This paper addresses a number of questions concerning the adoption pattern of price-matching and price-beating guarantees with post-purchase search and their impacts on...

Consumers purchase lower quantities of new products compared to those they have purchased in the past. We explain this observation as a result of risk-averting behavior by utility-maximizing consumers. If a new product involves a higher degree of risk that quality expectations will not be met...