The price size comparison effect

Jun Yao, Harmen Oppewal, Yongfu He

Research output: Chapter in Book/Report/Conference proceedingConference abstractpeer-review


Prior research has identified that in the context of promotions a bonus pack (a pure gain) is preferred over an economically equivalent price discount (a reduction in loss) (Diamond and
Sanyal 1990). The present research extends this theorizing to a non-promotional setting where consumers compare and choose competing packaged goods. It argues that the value difference between two product options is perceived as a pure change when they differ in size, whereas it is perceived as an incremental change when they differ in price. Since pure changes loom larger on the value function than incremental changes, consumers perceive a larger value difference when comparing products on size than on price. The research shows that this effect, called the price size comparison effect, is not due to differences in numerical processing of the attributes but instead depends on the presence of a second attribute is the same across product options.
Original languageEnglish
Title of host publicationAustralian and New Zealand Marketing Academy Conference (ANZMAC) 2017
Subtitle of host publicationMarketing for impact: Proceedings
EditorsLinda Robinson, Linda Brennan, Mike Reid
Place of PublicationMelbourne
Number of pages1
Publication statusPublished - Dec 2017
EventAustralian and New Zealand Marketing Academy Conference (2017) - Melbourne, Australia
Duration: 4 Dec 20176 Dec 2017


ConferenceAustralian and New Zealand Marketing Academy Conference (2017)


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