The Effects of Product Types on the Preference for Price Discount and Bonus Pack

Abstract

Prior research has presented that consumers prefer bonus pack than price discount because bonus pack is framed as gain and price discount is framed as loss. However, I propose that this preference does not hold for vice products. Consumers prefer a price discount to a bonus pack for vice products but prefer a bonus pack to a price discount for virtue products. The process underlying the proposed effect is that a price discount acts as a justifiable reason and can mitigate the guilt associated with the vice consumption. Conversely, the absent of guilt leads consumers to choose a bonus pack for virtue products. Dispositional consumption guilt and previous task (hard or easy) influence the choice of price discount versus bonus pack for vice and virtue consumption.