Buy four get 30% off: how consumers respond to missing a quantity discount

Purpose – This paper aims to examine how consumers evaluate and respond after failing to receive the promotional price for a quantity discount because the minimum purchase requirement (MinPR) is out of reach. Although quantity discounts are effective in terms of increasing sales volume, the outcome of using them is not always positive. Design/methodology/approach – Two 2 × 2 experiments are carried out to test the research hypotheses in the context of apparel shopping. Findings – The results of Experiment 1 demonstrate that offering quantity discounts with a high MinPR (e.g. “4 for 30 per cent off”) can result in greater willingness to buy (WTB) a single product at the full price than offering promotions with a low MinPR (e.g. “2 for 30 per cent off”) in the wake of a missed quantity discount. In other words, the purchase quantity has a positive effect on the consumers’ WTB even when they are not able to take advantage of the discount. However, this relationship weakens when the selection of discounted it...