In the world of marketing, sales promotions are often seen as a win-win: a way for companies to drive sales while offering customers a deal. Nevertheless, not all consumers respond to these offers in the same way. In particular, people experiencing financial constraints—those who feel they have fewer resources than they need—may react differently than expected. A new study by Aulona Ulqinaku and Gülen Sarial-Abi, published in the Italian Journal of Marketing, sheds light on this important issue.

The paper titled “When sales promotions make consumers experiencing financial restrictions purchase more or less: the role of decisional conflict” investigates how financial hardship affects consumers’ reactions to different types of sales promotions. Drawing on four experimental studies, the research reveals that financial constraints do not always increase consumers’ desire to take advantage of deals. Depending on the structure of the promotion, constrained consumers may feel torn and ultimately choose not to make a purchase.

The key concept explored is decisional conflict, the internal struggle consumers face when weighing the appeal of a promotional offer against their limited financial resources. The findings are surprising: financially constrained consumers are less likely to respond positively to high-low pricing or limited-time offers, which can amplify this conflict. These types of promotions may signal urgency or scarcity, putting extra pressure on an already strained decision-making process.

By contrast, promotions that offer additional value (such as buy-one-get-one-free deals) are more effective in this segment. These offers are seen as opportunities to maximize value, which helps reduce the discomfort associated with spending money. In other words, when a deal offers more than just a price cut, it helps consumers feel more satisfied with the trade-off they are making.

The study has clear implications for marketers. Understanding how consumers process promotional messages under financial pressure can help brands design more inclusive and effective campaigns. Therefore, in this interview, Aulona Ulqinaku and Gülen Sarial-Abi discuss the unexpected insights from their experiments and how firms can ethically and effectively target financially constrained customers.

Your study shows that sales promotions can both increase and decrease purchase intentions among consumers with financial restrictions. What practical advice would you give to marketers when targeting this segment?

Our research shows that financially constrained consumers are susceptible to the type of promotion they encounter. Rather than responding uniformly to all discounts, these consumers may hesitate or even avoid purchases if a promotion triggers too much decisional conflict. Marketers should, therefore, design promotions that reduce cognitive load and offer clear added value.

For example, offering a free item (e.g., buy-one-get-one-free) is more compelling than percentage discounts or limited-time offers, which may increase pressure and indecision. Marketers should recognize that for this segment, clarity and simplicity matter just as much as the size of the discount.

How can brands minimize decisional conflict when designing promotional messages and offers for this target?

To reduce decisional conflict, brands should design promotional messages that simplify the choice and minimize ambiguity. Financially restricted consumers already experience heightened pressure when making purchases, so introducing urgency (e.g., “limited-time offer”) or complex pricing (e.g., high-low pricing) can backfire by increasing internal conflict.

Instead, marketers should emphasize the ease and value of the promotion, highlighting clear benefits like getting more for the same price. Transparency and straightforward framing help consumers feel more in control and less overwhelmed, ultimately encouraging them to make informed purchasing decisions. Promotional strategies that reduce decision tension are not only more effective but also more supportive of financially vulnerable consumers.

Are there specific types of promotions that work better for consumers under financial pressure? And why?

Our findings suggest that buy-one-get-one-free (BOGOF) promotions are most effective for consumers under financial pressure. Compared to percentage discounts or time-limited deals, BOGOF promotions offer both monetary value and a tangible reward, which helps reduce decisional conflict. Consumers feel they are getting more utility for their money, which justifies the purchase and eases concerns about waste or regret.

On the other hand, promotions that are ambiguous, time-constrained, or lack a clear added benefit may cause stress or avoidance. For financially restricted consumers, the sense of gaining something extra—without additional mental effort—makes a real difference in their decision-making.

How can retail and brand managers use your findings to avoid the unintended consequence of reducing purchases due to excessive or poorly designed promotional stimuli?

Managers should be aware that not all promotions work equally for all segments. Excessive or poorly targeted promotions, especially those that emphasize urgency or complex pricing structures, may unintentionally drive away financially constrained customers. To avoid this, brands should prioritize promotional formats that combine price incentives with clear added value, such as bundle offers or extra units. It is also essential to avoid overwhelming customers with too many or overly aggressive promotional cues.

A thoughtful, well-structured promotion can boost sales while helping vulnerable consumers navigate their decisions with confidence. In short, effective promotions are not just persuasive – they are psychologically considerate. However, we urge companies not to exploit financially vulnerable consumers but to use these suggestions with care in a way that does not take advantage of economically constrained people.

Copertina: Foto di Alexa da Pixabay