Impact of customized price promotions on deal response: the roles of functional impulsivity, promotion frame, emotional arousal, and self-enhancement

Customized price promotions are often used as a strategic marketing tool by retailers/firms. This research examines the moderating roles of functional impulsivity (an individual trait) and promotion frame on the impact of customized price promotions on consumer responses. We also investigate the psychological mechanisms of emotional arousal and self-enhancement on deal response. Through four studies, our findings demonstrate preliminary evidence for the three-way interaction of customized price promotions (deal exclusivity), functional impulsivity, and promotion frame on perceived savings. Additionally, we provide evidence for the affective route (through psychological mechanisms) by which deal exclusivity can influence consumer responses.