Recent developments in database management have allowed organisations to finely tailor their price/product offer to individual customers. However, this may lead to the perception by customers of unfair treatment where the price that they have paid is perceived as less favourable than the best price being offered by the company. Fairness is an important antecedent of positive customer behavioural intention and an essential element of on-going buyer-seller relationships. The effect of variable pricing on subsequent customer behaviour remains under-researched and is the subject of this paper. Theoretical reasons underlying the apparent conflict between variable pricing and positive behavioural intention are discussed and the preliminary results of an experimental longitudinal study are reported.
|Title of host publication||Proceedings of the Academy of Marketing Conference|
|Place of Publication||Nottingham|
|Publication status||Published - Jul 2002|
McMahon-Beattie, U., & Palmer, A. (2002). A longitudinal study of the effects of fluctuating prices on behavioural intention. In Proceedings of the Academy of Marketing Conference (pp. 129-141). Nottingham.