Effects of Sales Promotional Tools on Product Quality, Brand Image, and Customer Satisfaction: The Application of Inverted U-Shaped Theory


  • Nann Ei Ei San PhD BA
  • Mayuree Aryupong


Sales promotion tools, Actual behavior, Inverted U-shaped Theory


This research examines the effect of the sales promotion tools on consumer perception in terms of product quality, brand image and customer satisfaction which may lead to purchase intention and actual purchase in the context of the cosmetic female customers in Yangon, Myanmar. This study applied inverted U-shaped theory to explain the negative relationship between price discount, Buy-One-Get-One-Free (BOGOF), and product quality and brand image. Moreover, this study tests the relationship between purchase intention and actual purchase which will expand the knowledge in the consumer behavior field. Total of 200 questionnaires were distributed to the customers who are consuming the Revlon cosmetics and collected by hand at Revlon counters in Yangon, the business city of Myanmar. This study applied the SEM for data analysis. The findings indicate the negative effect to product quality. The results of the positive effect of premium on product quality, brand image and customer satisfaction are consistent with previous studies. Among consumer perception, only product quality is related to purchase intention while brand image and customer satisfaction are not related. This study also confirms the positive relationship between purchase intention and actual purchase. It contributes a lot to the attitude-behavior literatures.


Aaker, D.A. (1991). Managing Brand Equity, Free Press: New York, NY.

Ajzen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Processes, 50(2), 179-211.

Ajzen, I., & Fishbein, M. (1980). Understanding attitudes and predicting social behavior. Englewood Cliffs NJ: Prentice Hall.

Alnazer, M. (2013). The moderating role of promotional benefit level and brand awareness on the effectiveness of price discount and premium. International Journal of Business and Management Invention, 2(9), 112-120.

Bagozzi, R. P., & Yi, Y. (1988). On the evaluation of structural equation models. Journal of the Academy of Marketing Science, 16(1), 74-94.

Bennett, R., & Rundle-Thiele, S. (2004). Customer satisfaction should not be the only goal. Journal of Services Marketing, 18(7), 514-523.

Bentler, P. M., & Chou, C. P. (1987). Practical issues in structural modeling. Sociological Methods & Research, 16(1), 78-117.

Bodur, H. O., & Grohmann, B. (2005). Consumer responses to gift receipt in business to consumer contexts. Psychology & Marketing, 22(5), 441-456.

Boomsma, A. (1985). Nonconvergence, improper solutions, and starting values in LISREL maximum likelihood estimation. Psychometrika, 50(2), 229-242.

Boulding, W., Kalra, A., Staelin, R., & Zeithaml, V. A. (1993). A dynamic process model of service quality: from expectations to behavioral intentions. Journal of Marketing Research, 30(1), 7-27.

Bowles, S. (1998). Endogenous preferences: The cultural consequences of markets and other economic institutions. Journal of Economic Literature, 36(1), 75-111.

Chang, L. (1994). A psychometric evaluation of 4-point and 6-point Likert-type scales in relation to reliability and validity. Applied Psychological Measurement, 18(3), 205-215.

Chandon, P., Wansink, B., & Laurent, G. (2000). A benefit congruency framework of sales promotion effectiveness. Journal of Marketing, 64(4), 65-81.

Chi, H. K., Yeh, H. R., & Yang, Y. T. (2009). The impact of brand awareness on consumer purchase intention: The mediating effect of perceived quality and brand loyalty. The Journal of International Management Studies, 4(1), 135-144.

D'Astous, A., & Landreville, V. (2003). An experimental investigation of factors affecting consumers' perceptions of sales promotions. European Journal of Marketing, 37(11/12), 1746-1761.

De Chernatony, L., & McWilliam, G. (1989). The strategic implications of clarifying how marketers interpret brands. Journal of Marketing Management, 5(2), 153-171.

DeKinder, J. S., & Kohli, A. K. (2008). Flow signals: How patterns over time affect the acceptance of start-up firms. Journal of Marketing, 72(5), 84-97.

Diamond, W. D. (1992). Effects of format and expertise on the decision rules used to evaluate supermarket sales promotions. Journal of Business and Psychology, 6(4), 465-481.

Familmaleki, M., Aghighi, A., & Hamidi, K. (2015). Analyzing the influence of sales promotion on customer purchasing behavior. International Journal of Economics & Management Sciences, 4(4), 1-6.

Fornell, C., and Larcker, D.F. (1981a), Structural equation models with unobservable variables and measurement errors, Journal of Marketing Research, 18(3), 382-388.

Fornell, C., & Larcker, D. F. (1981b). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39-50.

Gerbing, D. W., & Anderson, J. C. (1985). The effects of sampling error and model characteristics on parameter estimation for maximum likelihood confirmatory factor analysis. Multivariate Behavioral Research, 20(3), 255-271.

Haans, R. F., Pieters, C., & He, Z. L. (2016). Thinking about U: Theorizing and testing U and inverted U‐shaped relationships in strategy research. Strategic Management Journal, 37(7), 1177-1195.

Hair, J. F., Black, W. C., Babin, B. J., and Anderson, R. E., (2010). Multivariate Data Analysis: International version. New Jersey: Pearson.

Hoelter, J. W. (1983). The analysis of covariance structures: Goodness-of-fit indices. Sociological Methods & Research, 11(3), 325-344.

He, Y., & Lai, K. K. (2014). The effect of corporate social responsibility on brand loyalty: the mediating role of brand image. Total Quality Management & Business Excellence, 25(3-4), 249-263.

Hu, L. T., & Bentler, P. M. (1999). Cutoff criteria for fit indexes in covariance structure analysis: conventional criteria versus new alternatives. Structural Equation Modeling: A Multidisciplinary Journal, 6(1), 1-55.

Iyer, G., & Kuksov, D. (2010). Consumer feelings and equilibrium product quality. Journal of Economics & Management Strategy, 19(1), 137-168.

Kahn, B. E., & Louie, T. A. (1990). Effects of retraction of price promotions on brand choice behavior for variety-seeking and last-purchase-loyal consumers. Journal of Marketing Research, 27(3), 279-289.

Kalwani, M. U., & Yim, C. K. (1992). Consumer price and promotion expectations: An experimental study. Journal of Marketing Research, 29(1), 90-100.

Kassim, N., & Asiah Abdullah, N. (2010). The effect of perceived service quality dimensions on customer satisfaction, trust, and loyalty in e-commerce settings: A cross cultural analysis. Asia Pacific Journal of Marketing and Logistics, 22(3), 351-371.

Kotler, P., & Keller, K.L (2009). Marketing Management. New York. Pearson education.

Kuo, Y. F., Wu, C. M., & Deng, W. J. (2009). The relationships among service quality, perceived value, customer satisfaction, and post-purchase intention in mobile value-added services. Computers in Human Behavior, 25(4), 887-896.

Li, H., Daugherty, T., & Biocca, F. (2002). Impact of 3-D advertising on product knowledge, brand attitude, and purchase intention: The mediating role of presence. Journal of Advertising, 31(3), 43-57.

Lichtenstein, D. R., Netemeyer, R. G., & Burton, S. (1990). Distinguishing coupon proneness from value consciousness: An acquisition-transaction utility theory perspective. Journal of Marketing, 54(3), 54-67.

Lovelock, C., & Wirtz, J. (2011). Service marketing, people, technology, strategy. New York, NY: Pearson.

Lowe, B. (2010). Consumer perceptions of extra free product promotions and discounts: the moderating role of perceived performance risk. Journal of Product & Brand Management, 19(7), 496-503.

Mai, J. E. (2016). Looking for information: A survey of research on information seeking, needs, and behavior. Emerald Group Publishing.

Mayhew, G. E., & Winer, R. S. (1992). An empirical analysis of internal and external reference prices using scanner data. Journal of Consumer Research, 19(1), 62-70.

Meesuptong, J. (2018). Factors Affecting Purchasing Behavior of Environmental-friendly Products among Thai and Laos Consumers in Loei Province. Business Review Journal, 10(2), 177-196.

Netemeyer, R. G., Krishnan, B., Pullig, C., Wang, G., Yagci, M., Dean, D., & Wirth, F. (2004). Developing and validating measures of facets of customer-based brand equity. Journal of Business Research, 57(2), 209-224.

Rothschild, M. L., & Gaidis, W. C. (1981). Behavioral learning theory: Its relevance to marketing and promotions. Journal of Marketing, 45(2), 70-78.

Sinha, I., & Smith, M. F. (2000). Consumers' perceptions of promotional framing of price. Psychology & Marketing, 17(3), 257-275.

Yang, Z., & Peterson, R. T. (2004). Customer perceived value, satisfaction, and loyalty: The role of switching costs. Psychology & Marketing, 21(10), 799-822.

Ye, L. R., & Zhang, H. H. (2014). Sales promotion and purchasing intention: Applying the technology acceptance model in consumer-to-consumer marketplaces. International Journal of Business, Humanities and Technology, 4(3), 1-5.

Zeithaml, V. A., Berry, L. L., & Parasuraman, A. (1996). The behavioral consequences of service quality. Journal of Marketing, 60(2), 31-46.




How to Cite

San, N. E. E., & Aryupong , M. (2020). Effects of Sales Promotional Tools on Product Quality, Brand Image, and Customer Satisfaction: The Application of Inverted U-Shaped Theory. Business Administration and Management Journal Review, 12(1), 84–103. Retrieved from https://so01.tci-thaijo.org/index.php/bahcuojs/article/view/176208



Research Articles