||As smartphones are becoming more and more popular, people’s lifestyle of receiving messages and online purchase behavior have changed to rely more on mobile devices. This creates a significant surge in mobile marketing.|
Promotion with mobile coupons is a successful mobile marketing vehicle. However, these coupons sometimes leads customers to use them during the peak time instead of the expected off-peak time, which may result in reduction in revenue and service quality. Therefore, there is a gap between mobile coupon strategy and its effect. Many previous studies have reported that time pressure, quantity limitation, and discount strategy have influences on consumer’s purchase intention. However, there is lack of study to examine the combined effect of time pressure and discount strategies. This study creates three different discount strategies and investigates which strategy is the most effective in raising customer’s purchase intention. This study also analyzes the effect of time pressure and quantity limitation on perceived value, perceived risk, and purchase intention.
The results indicate that (1) utility-neutral strategy was more effective for high involvement products, while utility-increasing strategy was more effective for low involvement products; (2) consumer’s perceived risk did not influence the perceived value in utility-increasing and utility-decreasing strategies, but the perceived risk did influence perceived value in utility-neutral strategy. The quantity limitation strategy was also found to have effect on increasing consumer’s perceived value and decreasing the perceived risk.