A study of time limited price promotions

Purpose – This paper seeks to provide a detailed study of the impact of offers incorporating a time‐limit restriction on consumers in the context of price promotions. Time limited offers are those where a pricing offer is only available for a specified, normally relatively short, period of time. Although price promotions have been the subject of much previous research, a detailed study of the effects of time limit restrictions on consumer behavior is warranted.Design/methodology/approach – The study incorporates an experimental approach whereby the impact of time‐limited and non time‐limited offers on consumers' assessments of value and search and purchase intentions are isolated.Findings – Findings show that the presence of a time limit does not impact directly on perceptions of value or search and purchase behavior. A marginally significant interaction effect between time limit and discount size is present, impacting in particular on search behavior.Research limitations/implications – The research was c...

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