Sales incentive decisions within an attribution theory framework

Abstract

Sales incentives are frequently used by marketers to launch new products or boost the sale of existing products. Two of the major decisions concerning the use of sales incentive are what size and what form of incentive to offer. While the objective is to influence overt purchasing behaviour, the underlying processes are of interest in explaining and predicting the magnitude of response. Attribution theory is used to provide a framework for these decisions and in understanding the process that leads to overt behaviour.