Promoting Products Through Volume Discount: Evidence from Malaysia

ABSTRACT

This study examines the effectiveness of the determinants that influence consumers' intention to purchase products under volume discount scheme (VDS). In addition, the moderating role of age is tested. A pilot study of 259 consumers was performed to conceptualize the underlying constructs and identify questionnaire items through employing exploratory data analysis. This was followed by a comprehensive survey of 583 Malaysian consumers. Data were analysed using partial least squares technique. The results indicate that brand image, store image, message framing, product characteristics, scheme characteristics, and subjective norms are crucial factors for the successful implementation of VDS. There is a wide gap noted between young and mature consumers in terms of the factors that influence on their purchasing behavior under VDS. The results help retailers to promote products under VDS in an effective way.