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Super-savvy old-school coupon clippers can make an art form out of saving money. And though you may think online shopping doesn't quite allow for the same form of self-expression, you'd be wrong.
The economist Alex Tabarrok has argued, that the success of this promotion lies in the fact that consumers value the first unit significantly more than the second one. So compared to a seemingly equivalent "Half price off" promotion, they may only buy one item at half price, because the value they attach to the second unit is lower than even the discounted price.
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Amazon's secret page of coupons is available to you anytime. (Get a load of the categories list in the left-hand column!) (Get a load of the categories list in the left-hand column!) How it works
Coupons can be used to research the price sensitivity of different groups of buyers (by sending out coupons with different dollar values to different groups). Time, location and sizes (e.g. five pound vs. 20 pound bag) [12] affect prices; coupons are part of the marketing mix. [13] So is knowing about the customer. [14] [12]
Super-savvy old-school coupon clippers can make an art form out of saving money. And though you may think online shopping doesn't quite allow for the same form of self-expression, you'd be wrong.
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