Examining the impact of external reference prices on seller price image dimensions and purchase intentions in pay what you want (PWYW)

Rai, Shivam; Narwal, Preeti

doi:10.1108/apjml-04-2020-0204

Cited by 7 publications

(8 citation statements)

References 96 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…Furthermore, similar results concerning the relationship between perceived price and consumers' purchase intention were also generated within the results performed by Weisstein et al, (2014), Lee and Stoel (2014), Rai andNarwal (2021), andNisar et al, (2020), in which, these studies also found the significant impact given by perceived price toward consumers' purchase intention. Therefore, based on these explanations and arguments based on several previous studies, authors would like to propose the following hypothesis:…”

Section: H1: Attitude Toward the Behavior Had A Significant Effect To...supporting

confidence: 82%

Predicting Indonesian Consumers’ Intention to Buy Green Cosmetics Using The Modified TPB Framework

Wilson

Edelyn

2022

JBAM

View full text Add to dashboard Cite

This study was conducted in order to determine some reasons or factors which could motivate or influence consumers’ intention to purchase or buy green cosmetics which were marketed in Indonesia. Using and adopting the modified version of the theory of planned behavior (TPB) framework, this study attempted to assess the role of three factors, namely attitude, perceived price and subjective norms, in affecting and influencing Indonesian consumers’ purchase intention to buy green cosmetics. Using and implementing survey method, questionnaires were chosen as the main tools for collecting and gathering all of the data needed from the respondents, in which, all of these questionnaires were distributed to all respondents in a virtual manner using google forms. Respondents who participate in this study are consumers who’ve purchased or bought any kinds of green cosmetic products from any brands which were sold in Indonesia at least twice (2x) for the past 1 year. A non-probability sampling method in the form of purposive sampling method was implemented in order to ensure the conformity of the respondents with the respondents’ criteria set in this study. A total of 786 data were collected all of the respondents, in which, after conducting thorough analysis and assessment concerning the all of these data, a total of 54 data were omitted due to incomplete or unsuitable responses, thus confirming that 732 data were usable to be assessed in this study. Using PLS-SEM method, authors concludes that all three variables, which are attitude, perceived price, and subjective norms play significant roles in affecting consumers’ intention toward buying green cosmetics in Indonesia

show abstract

Section: H1: Attitude Toward the Behavior Had A Significant Effect To...supporting

confidence: 82%

Predicting Indonesian Consumers’ Intention to Buy Green Cosmetics Using The Modified TPB Framework

Wilson

Edelyn

2022

JBAM

View full text Add to dashboard Cite

show abstract

“…This research contributes to the existing literature in several ways. Firstly, the findings demonstrate that in the operation of two-sided media platforms, formulating reasonable payment schemes is an effective measure alongside discriminatory pricing (Lin, 2020), reference prices (Rai and Narwal, 2022), and subsidies (Li and Zhang, 2020). The introduction of the first-enjoy-after-pay service can effectively attract users by influencing their willingness to pay and subscription behavior based on the order of paying membership fees and enjoying membership benefits.…”

Section: Discussionmentioning

confidence: 97%

Pricing strategy of first-enjoy-after-pay service offered by two-sided media platforms

Zhang,

Zhang

2023

APJML

View full text Add to dashboard Cite

PurposeThis study highlights the impact of mental accounts on a user's decision-making regarding payment schemes and aims to determine the pricing strategy for the first-enjoy-after-pay service offered by the two-sided media platforms.Design/methodology/approachThis study establishes a game-theoretic model and utilizes backward induction to derive the equilibrium price by maximizing the monopolist's profit.FindingsThe findings indicate that the conditions for a two-sided media platform to offer the first-enjoy-after-pay service depend on the trade-off between pleasure attenuation and pain buffering and the effect of time discounts. Moreover, the authors found that the time discount is a critical factor in determining pricing strategies under various payment schemes offered by the platform.Research limitations/implicationsThis work adopts a uniform pricing strategy for users who opt for either immediate or post-payment schemes. Nevertheless, it is important to note that this approach has limitations in terms of offering discriminatory pricing for those who choose both payment schemes.Practical implicationsThis analytical work provides valuable insights for two-sided media platforms to optimize their payment scheme strategies and pricing considering the influence of a user's mental account.Originality/valueIn a two-sided media platform, the authors provide applicable conditions for the platform to offer first-enjoy-after-pay service considering the effect of mental accounts. Further, the authors show the optimal pricing strategy under different payment schemes provided by the platform.

show abstract

“…Narwal and Nayak (2020) studied the benefits of PWYW as a novel strategy for price discrimination in multi-channel retailing environment. In sum, the literature shows that under PWYW, consumers are economically rational, care for their social image and are motivated by fairness and reciprocity concerns while paying for the product/service they received (Narwal et al, 2021;Rai and Narwal, 2022).…”

Section: Pay-what-you-want (Pwyw) Pricingmentioning

confidence: 99%

“…In sum, the literature shows that under PWYW, consumers are economically rational, care for their social image and are motivated by fairness and reciprocity concerns while paying for the product/service they received (Narwal et al. , 2021; Rai and Narwal, 2022). Table 1 lists all the factors supporting PWYW implementation.…”

Section: Literature Reviewmentioning

confidence: 99%

Fairness, profits and social welfare: the implications of pay-what-you-want in online food delivery

Shroff,

Shah,

Gajjar

2023

APJML

View full text Add to dashboard Cite

PurposePay-what-you-want (PWYW) is a pricing strategy implemented in a variety of settings like supermarkets and museums, in which consumers determine the price they are willing to pay for a product or service based on their perceived utility. The authors propose an analytical model to investigate the impact of PWYW delivery pricing on the online food delivery (OFD) platforms.Design/methodology/approachUsing a game-theoretic model, the authors characterize the equilibrium as a function of the platform's average delivery cost and the consumer's social preferences parameters like fairness and reciprocity. The authors derive the parametric conditions under which PWYW generates higher profits for the platform compared to the traditional pay-as-asked delivery pricing.FindingsFor the PWYW strategy to be profitable, the average delivery cost to the platform should be low. Therefore, OFD platform managers should focus on reducing delivery costs. The authors also identify the feasible region in which the platform managers need to maintain the consumer's social preferences.Practical implicationsUnder PWYW, the authors recommend that the platform managers impose a minimum delivery fee which consumers can use as a benchmark to minimize zero delivery fee payments and consumers' free-riding tendencies simultaneously. This allows OFD platforms to extract online orders from highly price-conscious consumers.Originality/valueThis is one of the first studies to explore the innovative application of PWYW to a particular segment of delivery pricing in OFD platforms. The authors establish that the overall consumer surplus and social welfare are higher under the PWYW strategy, forming a solid ground for its implementation in OFD platforms.

show abstract

Examining the impact of external reference prices on seller price image dimensions and purchase intentions in pay what you want (PWYW)

Cited by 7 publications

References 96 publications

Predicting Indonesian Consumers’ Intention to Buy Green Cosmetics Using The Modified TPB Framework

Predicting Indonesian Consumers’ Intention to Buy Green Cosmetics Using The Modified TPB Framework

Pricing strategy of first-enjoy-after-pay service offered by two-sided media platforms

Fairness, profits and social welfare: the implications of pay-what-you-want in online food delivery

Contact Info

Product

Resources

About