Promotions effect aspect: cognitive or emotional. UtilitarianPromotions effect aspect: cognitive or emotional. Utilitarian

Promotions create stimuli and draw customers’ attention due to the extra value they offer beyond the product or service itself. Promotions may be tangible or intangible, presented instantaneously or after the purchase, or via a contest. Sales promotions are classified according to their effect aspect: cognitive or emotional. Utilitarian (extrinsic) and hedonic (intrinsic) benefits are distinctive of customer value and consumer benefits24. In other words, when a promotion provides utilitarian benefits, it will be categorized as price promotions, and when it provides hedonic benefits, it is non-price sales promotion. Some examples of price promotions are coupons, price discounts, rebates; they essentially offer utilitarian benefits with a functional and cognitive nature. Utilitarian benefits are instrumental; they offer customer value by being a means to an end. Hedonic benefits are non-instrumental, experience-related, and affective; they are valuable for their own sake, without further regard to their practical aims. Some examples of non-monetary promotions are premiums, free gifts, bonus pack and sweepstakes25. Following Babin, Darden, and Griffin, the distinction between utilitarian and hedonic benefits appears most clearly in shopping activities, because this kind of activity simultaneously offers utilitarian benefits (by supporting people search and buy products in an efficient way), and hedonic benefits (by entertaining them and give opportunities for enhancement of self-concept and personal values)26. If a promotion, such as monetary savings, higher quality or shopping convenience helps boost the utility of the purchase acquisition and increase the productivity of shopping experience, it can be categorized as utilitarian. On the other hand, when a promotion brings about some intrinsic values, such as entertaining, exploring benefits which are related to emotional experience, self-esteem, satisfaction, it can be tentatively categorized as hedonic. Figure 1 gives more examples of other types of promotions with their perceived benefits.