Brand Combination To Adjust The Value Discounting Effect In Gift Promotion

Promotion is the most common way in our daily lives.Raghubir (2004) put forward the valuediscounting in a promotional gifts study,the value discounting hypothesis argues that by virtue ofbeing offered as a free gift, products will be valued less and lower purchase intentions thatconsumers are willing to pay for them.Two factors adjusting the value discounting:(1) presence of alternate price information tomake judgments about the value of the gift;(2)presence promotional item’s priceinformation.However, these conclusions are based on promotional items and gifts for differentbrands and even under different types of products,in real life, free gift promotion are more usepromotional items and gifts for the different products of the same brand or the same product withdifferent size.Whether brand combination is a factor to adjust the value discounting effect in giftpromotion?And, whether the value discounting will migrated to the entire gift brand?To explore these two points, this study will examine how brand combination to adjust thevalue discounting effect in gift promotion and how value discounting effect on the value of the giftbrand by two research three experiments.Experiment1:Examine the value discounting effect of thesame brand combination in gift promotion.Experiment2:Investigate how promotional item’s valueand gift price presence or not to impact value discounting effect in the same brandcombination.Experiment3: Impact how value discounting effect impact the gift brand value.The results showed that:(1) gift promotion will make people to reduce the perceived value ofthe gift, the gift promotion will adjust value discounting effect.(2) In gift promotion,i brandcombination is another important factor to adjust value discounting in addition to the value ofpromotional items and gifts price disclosure.When promotional items and gifts for the same brand,the perceived value of the gift for the participants was significantly higher.(3)Value discountingeffect will be migrated to the entire gift brand,but different factors have different effects.