Regret and Non Redemption of Daily Deals: Individual Differences and Contextual Influences
Scheinbaum, Angeline Close., Shah, Pratik., Kukar‐Kinney, Monika. and Copple, Jacob., 2020. Regret and nonredemption of daily deals: Individual differences and contextual influences. Psychology & Marketing, 37, 535-555.
50 Pages Posted:
Date Written: May 13, 2020
The growth of online daily deal price promotions and the resulting consumer non-redemption of
daily deal coupons is worthy of understanding from a psychological lens of non-consumption.
Whereas there is an emerging literature on daily deals and established literature on barriers to
redemption, there exists a gap in where this scholarship intersects. This research provides a
conceptual model explaining why consumers purchase daily deal coupons and do not redeem
them. We explain consumers’ reasons for buying a daily deal upfront along with their reasons for
not using it from theoretical lenses of reasons theory and social motivations theory. On testing
the model empirically with qualitative and deepening insight via quantitative methods, the
findings reveal that reasons for purchasing daily deals are rooted in individual consumer level
factors (i.e., price-consciousness, buying impulsiveness, and susceptibility to interpersonal
normative influence). Further, reasons for non-redemption are explained by contextual elements
of the daily deal (i.e., offer distinctiveness, the total number of daily deals sold, restrictions on
using the deal, and low discount size). Our findings suggest that post-purchase regret ultimately
explains a key reason deals go unused. Marketing implications are offered in the areas of
characteristics of daily deal offers.
Keywords: Non-consumption, multi-method, regret, online consumer behavior
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