Analysis of Sales Promotion Effects on Household Purchase Behavior

Table 7.8: Relationship promotion response and age
AGE
H5a: Young shoppers are relatively more in-store promotion responsive whereas older
shoppers are relatively more out-<strong>of</strong>-store promotion responsive.
In-store promotions Out-<strong>of</strong>-store promotions
B S.E. Sign. Exp(B) B S.E. Sign. Exp(B)
Coefficient
linear model
in 0.1978 0.0262 0.0000 1.2187 0.0657 0.0477 0.1679 1.0679
- 20-34 -0.6945 0.0667 0.0000 0.4993 -0.3140 0.1103 0.0044 0.7305
- 35-49 0.1037 0.0556 0.0622 1.1092 -0.0710 0.1014 0.4839 0.9315
- >=50 0.5909 0.0692 0.0000 1.8055 0.2705 0.1372 0.0487 1.3107
Test results: young shoppers are not more in-store promotion responsive than older shoppers.
Empirical support for a positive relationship between age and promotion response is found
for both in-store and out-<strong>of</strong>-store promotions (although the effect is weaker for out-<strong>of</strong>-store
promotions).
Type <strong>of</strong> promotion does seem to interact with age regarding promotion response (the
coefficients change). But, older consumers use promotions significantly more in general,
in-store and out-<strong>of</strong>-store (this was checked by running the analysis using the youngest
shoppers as reference category (results are not shown)). It is concluded that age and
promotion response are positively related. Therefore, the U-shape relationship is not found
due to lack <strong>of</strong> promotion response among the young shoppers in the data set. Quite to our
surprise, we do not find empirical evidence for young shoppers using in-store promotions
more than older shoppers. They use in-store promotion (and out-<strong>of</strong>-store promotions) the
least.
7.5.2.5 Education
As mentioned in Section 7.4, education and social class are intertwined. To solve this
problem, education was logistically regressed on social class and three out <strong>of</strong> the four
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