Consumers' price perception is usually affected by the discounted price that marketers design. Previous research pointed out that discounting is categorized into two types: ”frequent but shallow” discount and ”infrequent but deep” discount. Three experiments in this research indicated that consumers have a lower perceived price toward the ”infrequent but deep” discounted products than the ”frequent but shallow” discounted products. Furthermore, the discount effect is moderated by brand familiarity, promotion signal, and need for cognition (NFC).
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