International Journal For Multidisciplinary Research

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The Hidden Cost of Discounts: Do Consumers Value What They Pay Less For?

Author(s) Sanyam Vatta, Chehan
Country India
Abstract Discounts possess a major role in the consumer's perspective of worth. Consumer choices are greatly affected and loyalty to some brands change according to how the company offers discounts, the study says. With both qualitative and quantitative methods, this research comprehensively investigates the mental and behavioral effects of the discounts on consumer perception. Indian people of all ages and affiliations were asked to fill out a Google Form and 3000 members across India were chosen to join the study for a large-scale study analysis. It is evident that, albeit the fact that discounts and rebates might be effective in generating sales and purchase intentions in the short run, they can also cause a decline of customers’ trust as to product value and brand loyalty when they are used more frequently. Consumer feedback would seem to suggest that there is a threshold beyond which significant discounts are likely to diminish the perceived value of the product while at the same time strategic discounting will improve the appeal of the brand. The study proposes good discount strategies that will attract new customers while still having a good brand at the end. These findings would be a great help for the marketers, price strategists, and companies that want to use discounts in marketing strategies without harming the reputation of the brand and the trust of their customers.
Keywords Discounts, Consumer Perception, Pricing Strategy, Purchase Intent, Brand Equity, Perceived Value, Marketing ethics
Field Business Administration
Published In Volume 7, Issue 1, January-February 2025
Published On 2025-02-20
Cite This The Hidden Cost of Discounts: Do Consumers Value What They Pay Less For? - Sanyam Vatta, Chehan - IJFMR Volume 7, Issue 1, January-February 2025. DOI 10.36948/ijfmr.2025.v07i01.37267
DOI https://doi.org/10.36948/ijfmr.2025.v07i01.37267
Short DOI https://doi.org/g85stn
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