The effect of deal exclusivity on consumer response to targeted price promotions: A social identification perspective

Discounts offered selectively to consumers are commonplace in the market and reflect the assumption that individuals will respond positively to targeted discounts. We consider whether exclusive deals evoke more positive responses than inclusive offers, an outcome referred to as a deal exclusivity effect. Contrary to the intuition that targeted promotions will always be evaluated more favorably than inclusive offers, we show that deal exclusivity effects (1) can be attenuated based upon factors influencing the extent to which recipients identify with other deal recipients and (2) are mediated by the offer's ability to enable the recipient to engage in self-enhancement.