Online Flash Sales Product Pricing Strategy under Time Pressure

Xing Hong

《World Scientific Research Journal》 7卷3期 (2021/03) Pp. 376-382

https://doi.org/10.6911/WSRJ.202103_7(3).0046

摘要

Online flash sale means that online retailers provide discounted products for consumers during a limited flash sale time. This paper studies how online retailers in online flash sale can set reasonable product prices for different flash sale times and different quality products to help online Retailers achieve optimal profits. The results of the study found that 1) the impact of flash sale time and product quality on the optimal price setting in online retail is different. For product quality, as the difference in product quality increases, the optimal product price of the company also increases. As for the flash sale time, as the difference in flash sale time increases, the optimal product price of companies that produce high-quality products decreases, and the optimal price of companies that produce low-quality products increases. 2) The optimal market share of online retailers is affected by the difference in flash sale time, product quality and product cost. For high-quality products, the market demand of enterprises increases with the increase in quality difference and the difference in flash sale time Increase and increase, and decrease as the product cost and flash sale time cost increase; for low-quality products, when the product cost is small, the market demand of the company decreases as the quality difference increases, and with the flash sale time The difference increases and decreases. When the product cost is large, the market demand of the enterprise decreases with the increase of the quality difference, and increases with the increase of the flash sale time difference. Research suggests that online retailers can promote products when flash sales are short and time pressure is high, so that consumers can buy products. Through factors that may cause consumer time pressure, online retailers can place information such as promotional deadlines in a more prominent position on the shopping page, which helps to promote consumers' purchases.

關鍵字

Online flash sales ； Promotion time ； Quality differentiation ； Time pressure

參考文獻

Zhang M, Cheng T C E, Du J. Advance selling of new products to strategic consumers on flash sale platforms [J]. International Journal of Logistics Research and Applications, Vol.21(2018) No.3, p.318-331.

Zhang M, Zhang J, Cheng T C E, et al. Why and how do branders sell new products on flash sale platforms [J]. European Journal of Operational Research, Vol.270(2018) No.1, p.337-351.

Wu Yongzhong, Huang S . Optimal Pricing for Flash Sale Considering Stock Value and Amount of Unique Visitors, Proceedings of the 4th International Conference on Industrial and Business Engineering. Macau, 2018, P.75–79

Eisenbeiss M , Wilken R , Skiera B , et al. What makes deal-of-the-day promotions really effective? The interplay of discount and time constraint with product type[J]. International Journal of Research in Marketing, Vol.32 (2015) No.4,p.387-397.

Song Zhiping. Research on Pricing Strategies of Online Retailers Based on Consumers’ Time-limited Panic-buying Behavior [J]. Price Theory and Practice, VOL.413(2018) No.11, p.157-160.