A Benefit Congruency Framework of Sales Promotion Effectiveness

Journal of Marketing 64.4 (2000): 65-81

17 Pages Posted: 2 Aug 2014

Date Written: October 1, 2000

Abstract

Are monetary savings the only explanation for consumer response to a sales promotion? If not, how do the different consumer benefits of a sales promotion influence its effectiveness? To address the first question, this research builds a framework of the multiple consumer benefits of a sales promotion. Through a series of measurement studies, the authors find that monetary and nonmonetary promotions provide consumers with different levels of three hedonic benefits (opportunities for value expression, entertainment, and exploration) and three utilitarian benefits (savings, higher product quality, and improved shopping convenience). To address the second question, the authors develop a benefit congruency framework, which argues that a sales promotion’s effectiveness is determined by the utilitarian or hedonic nature of the benefits it delivers and the congruence these benefits have with the promoted product. Among other results, two choice experiments show that, as predicted for high-equity brands, monetary promotions are more effective for utilitarian products than for hedonic products. The authors then discuss the implications of the multibenefit and the benefit congruency frameworks for understanding consumer responses to sales promotions, reexamining the value of everyday-low-price policies, and designing more effective sales promotions.

Suggested Citation

Chandon, Pierre and Wansink, Brian and Laurent, Gilles, A Benefit Congruency Framework of Sales Promotion Effectiveness (October 1, 2000). Journal of Marketing 64.4 (2000): 65-81. Available at SSRN: https://ssrn.com/abstract=2474778

Pierre Chandon

INSEAD ( email )

Boulevard de Constance
77305 Fontainebleau Cedex
France

Brian Wansink (Contact Author)

Cornell University ( email )

Ithaca, NY 14853
United States

Gilles Laurent

HEC Paris (Groupe HEC) ( email )

1 rue de la Liberation
Marketing Department
78351 Jouy en Josas Cedex
France
01 39 67 74 80 (Phone)

HOME PAGE: http://www.hec.fr/hec/eng/professeur_recherche/lis

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