The Manufacturer-Retailer-Consumer Triad: Differing Perceptions Regarding Price Promotions

Journal of Retailing, 77 (2001) 547–569

23 Pages Posted: 21 Jan 2015

See all articles by Page Moreau

Page Moreau

University of Colorado at Boulder - Department of Marketing

Aradhna Krishna

University of Michigan, Stephen M. Ross School of Business

Bari A. Harlam

CVS/pharmacy

Date Written: 2001

Abstract

The effectiveness of any promotional strategy depends, in part, on how accurately channel members predict consumers’ perceptions of their promotional activity. However, empirical research on channel member predictions and their accuracy is virtually nonexistent. In this article we examine manufacturer and retailer beliefs about consumers’ (and each others’) perceptions of sales promotions and assess the accuracy of these predictions. Our findings indicate that manufacturers and retailers hold similar, but equally inaccurate views of consumers’ industry knowledge. When assessing consumers’ specific beliefs about different types of promotions, these channel members underestimate consumer knowledge. Their motivational knowledge, however, appears quite accurate whether predicting consumer or other channel member perceptions of motivations. The similarity of supplier and retailer knowledge bodes well for channel efficiency, yet limitations in their understanding of consumer knowledge about promotions may lead to weakness in channel marketing strategies.

Suggested Citation

Moreau, Page and Krishna, Aradhna and Harlam, Bari A., The Manufacturer-Retailer-Consumer Triad: Differing Perceptions Regarding Price Promotions (2001). Journal of Retailing, 77 (2001) 547–569, Available at SSRN: https://ssrn.com/abstract=2552239

Page Moreau

University of Colorado at Boulder - Department of Marketing ( email )

Leeds School of Business
Boulder, CO 80309-0419
United States

Aradhna Krishna (Contact Author)

University of Michigan, Stephen M. Ross School of Business ( email )

701 Tappan Street
Ann Arbor, MI MI 48109
United States

Bari A. Harlam

CVS/pharmacy ( email )

One CVS Drive
Woonsocket, RI 02895
United States
401-770-3799 (Phone)
401-769-2211 (Fax)

Do you have negative results from your research you’d like to share?

Paper statistics

Downloads
52
Abstract Views
680
Rank
687,410
PlumX Metrics