Purpose
– This paper aims to examine the impact of hotel discount strategies on consumers’ emotional and behavioral responses in the presence of differential levels of involvement in discount acquisition.
Design/methodology/approach
– Discount strategies and the high- and low-involvement variables were fully cross-examined, yielding a 2 × 2 factorial quasi experimental design. In all, 120 surveys were collected, and multivariate analysis of variance was used for data analysis.
Findings
– The results suggest that fenced discounts that require consumers to accept restrictions to receive a discount generated more positive emotion and stronger behavioral intention. Moreover, an interaction effect was found between consumer’s involvement and discounts on emotional and behavioral responses toward discount-acquiring experience. Highly involved consumers resulted in more positive emotional and stronger behavioral responses (e.g. pride, gratitude, word-of-mouth and retention) from obtaining a fenced discount that requires consumers’ efforts or sacrifices. On contrary, consumers with low involvement tend to appreciate more of a fixed discount given to anyone without restrictions.
Practical implications
– Hotels should implement a fenced discount when they design discounts targeting at high-involvement consumers. For low-involvement consumers, a fixed discount appears to generate more positive emotion and stronger behavioral intention.
Originality/value
– The study enhances the theoretical understanding of consumers’ emotional and behavioral responses toward discount-acquiring experience with different levels of involvement.