Exploring the Moderating Role of Price Consciousness in Pay-What-You-Want Pricing

Pay what you want (PWYW) is a unique participative pricing mechanism that has no minimum price set by the seller, and the buyers can pay whatever price they want (including a price of zero) that the seller has to accept without being able to withdraw the offer. Recent research on PWYW focuses only o...

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Main Authors: Roy, Rajat, Rabbanee, Fazlul, Sharma, Piyush
Other Authors: Rossi, P.
Format: Conference Paper
Published: 2017
Online Access:http://hdl.handle.net/20.500.11937/75107
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author Roy, Rajat
Rabbanee, Fazlul
Sharma, Piyush
author2 Rossi, P.
author_facet Rossi, P.
Roy, Rajat
Rabbanee, Fazlul
Sharma, Piyush
author_sort Roy, Rajat
building Curtin Institutional Repository
collection Online Access
description Pay what you want (PWYW) is a unique participative pricing mechanism that has no minimum price set by the seller, and the buyers can pay whatever price they want (including a price of zero) that the seller has to accept without being able to withdraw the offer. Recent research on PWYW focuses only on the direct effects of variables, such as altruism, price consciousness, and reference prices, and ignores their interactions with each other. We address this gap by exploring the moderating influence of price consciousness on the effects of altruism and internal reference price on PWYW pricing decision. We use a field survey with university students in Australia with an ethnic restaurant setting, to show that both altruism and internal reference price have stronger (weaker) effect on the amounts consumers are willing to pay for consumers with lower (higher) levels of price consciousness. Our findings have important implications for both academic researchers and marketing practitioners in this growing research area.
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spelling curtin-20.500.11937-751072022-05-04T05:42:04Z Exploring the Moderating Role of Price Consciousness in Pay-What-You-Want Pricing Roy, Rajat Rabbanee, Fazlul Sharma, Piyush Rossi, P. Pay what you want (PWYW) is a unique participative pricing mechanism that has no minimum price set by the seller, and the buyers can pay whatever price they want (including a price of zero) that the seller has to accept without being able to withdraw the offer. Recent research on PWYW focuses only on the direct effects of variables, such as altruism, price consciousness, and reference prices, and ignores their interactions with each other. We address this gap by exploring the moderating influence of price consciousness on the effects of altruism and internal reference price on PWYW pricing decision. We use a field survey with university students in Australia with an ethnic restaurant setting, to show that both altruism and internal reference price have stronger (weaker) effect on the amounts consumers are willing to pay for consumers with lower (higher) levels of price consciousness. Our findings have important implications for both academic researchers and marketing practitioners in this growing research area. 2017 Conference Paper http://hdl.handle.net/20.500.11937/75107 10.1007/978-3-319-47331-4_287 restricted
spellingShingle Roy, Rajat
Rabbanee, Fazlul
Sharma, Piyush
Exploring the Moderating Role of Price Consciousness in Pay-What-You-Want Pricing
title Exploring the Moderating Role of Price Consciousness in Pay-What-You-Want Pricing
title_full Exploring the Moderating Role of Price Consciousness in Pay-What-You-Want Pricing
title_fullStr Exploring the Moderating Role of Price Consciousness in Pay-What-You-Want Pricing
title_full_unstemmed Exploring the Moderating Role of Price Consciousness in Pay-What-You-Want Pricing
title_short Exploring the Moderating Role of Price Consciousness in Pay-What-You-Want Pricing
title_sort exploring the moderating role of price consciousness in pay-what-you-want pricing
url http://hdl.handle.net/20.500.11937/75107