This research explores the impact of discount framing (Amount off, Percentage off) on customer perception of Purchase intention, perceived saving, with a moderate effect of product price. We have conducted a two by two between subject's design to examine the main effect of two levels of discount framing (Percentage off, Amount off) economically equivalent on the dependent variables, also to explore the interaction effect with two levels of product price (High-priced, low-priced).We have demonstrated that when customer consider a high-priced product, framing expressed as an amount off, results a higher purchase intention, perceived saving than the framing expressed as a percentage off. In contrast with a low-priced product, as the framing presented in percentage off, will results a higher purchase intention, perceived saving than the framing presented as an amount off.
Discount framing, Amount off, Percentage off, Product price, Purchase intention, Perceived saving
Cite this paper
Muntasser Abd-Ali Khonsor. (2021) Absolute Amount or Percentage discount Framing The Moderate Role of Product Price. International Journal of Economics and Management Systems, 6, 32-43
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