| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5109860 | Journal of Business Research | 2016 | 7 Pages |
Abstract
This paper aims at investigating customers' reactions to discounts as service recovery offered in context of an online store. It argues that customers prefer dollar-off discounts to percentage-off discounts. The present research also argues that for discounts on price of one item out of several items, customers evaluate dollar-off discounts more positively (i.e., higher satisfaction and lower anger), while for discounts on the total price, customers react similarly to percentage-off and dollar-off discounts. Two online experiments confirm these arguments. This research discusses the importance of discount reference in online service recovery and represents effective service recovery regarding discount reference and discount frame as its practical implications.
Keywords
Related Topics
Social Sciences and Humanities
Business, Management and Accounting
Business and International Management
Authors
Seyed Shahin Sharifi, Hashem Aghazadeh,