Framing effects of per‐person versus aggregate prices in group meals

Hsuan‐Hsuan Ku · Ya‐Chun Hung

10 citations0/0 files storedJournal of Consumer Behaviour

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Decision-Making and Behavioral Economics Consumer Market Behavior and Pricing Behavioral Health and Interventions

Abstract

Abstract This research draws on regulatory focus theory and applies it to the context of price framing in group meals. Specifically, it examines the possibility that a per‐person framing of price (an aggregate price) may activate a promotion focus (prevention focus) in consumers. The results of five experiments show that participants (a) generated more promotion‐relevant (vs. prevention‐relevant) thoughts, (b) were more inclined to consume the group meal when a persistent focus on promotion (vs. prevention) was exhibited, (c) rated promotion‐focused (vs. prevention‐focused) messages more favorably, and (d) reported a higher intention to opt for an offer where the chance of obtaining a positive goal was enhanced, in response to a per‐person price rather than an aggregate price. Mediation analyses provide additional evidence for the notion that pursuit of promotion goals (prevention goals), which relate to obtaining value (avoiding loss) primed by a per‐person price (an aggregate price), had the effect of regulating one's choices. Managerial implications of the findings are discussed, followed by recommendations for future research.

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References

1997Beyond pleasure and pain.1991Effects of Price, Brand, and Store Information on Buyers' Product Evaluations 1998Promotion and Prevention: Regulatory Focus as A Motivational Principle 1999Is there a universal need for positive self-regard?2000Making a good decision: Value from fit.1997Regulatory Focus and Strategic Inclinations: Promotion and Prevention in Decision-Making 2002Motivation by positive or negative role models: Regulatory focus determines who will best inspire us.2004Bringing the Frame Into Focus: The Influence of Regulatory Fit on Processing Fluency and Persuasion.

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