Increasing Incentive Effectiveness By Linking the Incentive to a Source the Consumer Paid Into

Zoe Y. Lu, University of Wisconsin - Madison, USA
Robin Tanner, University of Wisconsin - Madison, USA
Kurt Carlson, College of William and Mary, USA
This work examines the role of psychological ownership in incentive design. Three experiments demonstrate that incentives designed to encourage purchase are more effective if consumers feel ownership over the money used to fund the incentive. Differences between incentives contingent on purchase, and windfall incentives, are discussed.
[ to cite ]:
Zoe Y. Lu, Robin Tanner, and Kurt Carlson (2017) ,"Increasing Incentive Effectiveness By Linking the Incentive to a Source the Consumer Paid Into", in NA - Advances in Consumer Research Volume 45, eds. Ayelet Gneezy, Vladas Griskevicius, and Patti Williams, Duluth, MN : Association for Consumer Research.