The Influence of Price Discount versus Bonus Pack on the Preference for Virtue and Vice Foods

Journal of Marketing Research, Forthcoming

42 Pages Posted: 26 Apr 2010

See all articles by Arul Mishra

Arul Mishra

University of Utah - David Eccles School of Business

Himanshu Mishra

University of Utah - David Eccles School of Business

Date Written: April 11, 2010

Abstract

We find that consumers prefer bonus pack, as opposed to price discount, for virtue foods but prefer price discount, as opposed to bonus pack, for vice foods. Past research has shown that cēterīs paribus consumers prefer bonus pack to price discount. We propose that this preference does not hold for vice food because consumers cannot generate good justifications for buying it with a bonus pack since it would mean consuming more of the vice. However, a price discount with a vice food can be justified as it acts as a guilt-mitigating mechanism. For virtue foods, the absence of both anticipated post-consumption guilt and the resulting need to justify leads consumers to prefer bonus pack over price discount. We demonstrate the proposed effect and test its underlying process across five experiments.

Keywords: price discount, bonus pack, guilt, virtue, vice, food, sales promotion, justification

JEL Classification: M30, M31, M37, M39

Suggested Citation

Mishra, Arul and Mishra, Himanshu, The Influence of Price Discount versus Bonus Pack on the Preference for Virtue and Vice Foods (April 11, 2010). Journal of Marketing Research, Forthcoming, Available at SSRN: https://ssrn.com/abstract=1595845

Arul Mishra (Contact Author)

University of Utah - David Eccles School of Business ( email )

1645 E. Campus Center
Salt Lake City, UT 84112
United States

Himanshu Mishra

University of Utah - David Eccles School of Business ( email )

1645 E. Campus Center Drive
Salt Lake City, UT 84112-9304
United States

HOME PAGE: http://himanshumishra.com

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