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Comparison of Price Discount vs. Price Discount with Donation Strategy: Focused on Consumer’s Altruism, Product Type

Abstract

According to the interest of consumers and companies for altruistic consumption increased, the study on the comparison between the traditional discount promotion and discount with donation promotion has been done. The purpose of this study to examine the effects of the consumer’s altruism and product type, discounts promotion on product attitude and purchasing intention. To achieve this goal, the experiment was designed by 2 types of consumer’s altruism(high / low) * 2 types of products type(practical product / hedonic product) * 2 type of discounts promotion(only discount/ discount with donation) factors. The total of 165 undergraduate students were recruited and asked to answered questions. The results of this study were as follow. First, The effect of the consumer’s altruism and product type, discount promotion on purchasing intention were significant. For the high group of altruism, purchasing intention was high at discount with donation promotion than only discount promotion in practical product. And purchasing intention was high at discount with donation promotion than only discount promotion in hedonic product. For the low group of altruism, purchasing intention was high at discount promotion than discount with donation promotion in practical product. But, purchasing intention was high at discount with donation promotion than discount promotion in hedonic product. Second, The effect of the consumer’s altruism and product type, discount promotion on product attitude were not significant. The results suggest that consumer that have high altruism will high probability of purchasing product at discount with donation promotion regardless of product type. But, consumer that have low altruism will altruistic consumption behavior differently on product types.

keywords
altruistic consumption, donation, altruism, product type, discount promotion

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