Experts vs. Novices

As each year sees an increase in the number of Internet users, so too the percentage of purchases made online increases. It is for this reason that firms are showing a growing interest in designing effective communication strategies that help to achieve their online business objectives. Online sales promotion is one of the most widely used communication tools on the Internet. However, there is little research into its effect on purchase intention and how this effect may vary depending on the type of incentive offered and the consumer’s level of experience in using the Internet. This chapter seeks to analyze which types of online sales promotions (utilitarian vs. hedonic) are most effective at triggering online purchasing and whether the user’s past experience of the Internet is capable of moderating the effect of the type of incentive on online purchasing.