The Impact of Threshold-based Free Shipping Method, Product Discount, Promotional Framing and Promotion Type on Consumers’ Online Purchase Behavior / 免運門檻、產品折扣、促銷框架與促銷類型對消費者線上購物之影響

碩士 / 國立中興大學 / 行銷學系所 / 103 / Online stores often employ threshold-based free shipping strategy to attract consumers. For example, the famous brand, Tokichoi offers “Buy NT$399, free shipping” and Orange Bear provides “Buy NT$800, free shipping”. Threshold-based free shipping method is when customers’ purchase quantity reaches or exceeds a minimum quantity required by retailers; consumers will be offered free shipping service. When employing threshold-based free shipping method, retailers will set different threshold levels based on their capability. Some of the stores decide to use high level of threshold-based free shipping strategy because of the shipping cost. They cannot compensate the cost when employing free shipping method or low level of threshold-based free shipping strategy. However, using high level of threshold-based free shipping strategy will reduce consumers’ purchase intention. Therefore, this paper attempts to examine how to not reduce consumers’ purchase intention under the condition of employing high level of threshold-based free shipping strategy.
This research conducts 3 studies to examine how price discount (high and low), promotional framing (buy one, get one free and buy 2, get 50% off) and promotion type (monetary and nonmonetary) influence consumers’ purchase intention toward threshold-based free shipping strategy. The results indicate that consumers have higher purchase intention when retailers offer low level of threshold-based free shipping method than high level of threshold-based free shipping method. However, this effect will disappear under certain conditions which means that consumers’ purchase intention will have no significant differences toward low and high level of threshold-based free shipping strategy. First condition is providing high product discount. Second is providing buy one, get one free rather than buy 2, get 50% off. The final one is nonmonetary condition. It means that when retailers employ these three promotional strategies, even if they provide high threshold level method, consumers’ purchase intention will not reduce. We infer that these three strategies can shift consumers’ referent and drive their attention away from shipping fees and thereby influence consumers’ purchase intention.
Threshold-based free shipping method is an important strategy for online retailers. Nevertheless, previous literatures did not provide suggestions for retailers how to maintain their order incidence when employing high level of threshold-based free shipping strategy. This research provides three moderators that will shift consumers’ attention away from shipping fees and influence their purchase intentions when facing threshold-based free shipping strategy. These findings can assist retailers who can only use high level of threshold-based free shipping strategy to maintain the order incidence through providing high product discount, buy one get one free and nonmonetary promotion.

Identiferoai:union.ndltd.org:TW/103NCHU5402036
Date January 2015
CreatorsYu-Tzu Pai, 白郁慈
ContributorsWen-Hsien Huang, 黃文仙
Source SetsNational Digital Library of Theses and Dissertations in Taiwan
Languagezh-TW
Detected LanguageEnglish
Type學位論文 ; thesis
Format99

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