The Price of "Free"-dom: Consumer Sensitivity to Promotions with Negative Contextual Influences
Sucharita Chandran and Vicki Morwitz argued that free promotions are more focal and salient than monetary promotions, because monetary discounts are processed relative to the original price. In three experiments, free promotions were less susceptible than equivalent monetary discounts to negative contextual information about quality that could lower purchase intentions. The effect reversed when respondents focused on other information that diminished the salience of the free promotion.
Sucharita Chandran and Vicki Morwitz argued that free promotions are more focal and salient than monetary promotions, because monetary discounts are processed relative to the original price. In three experiments, free promotions were less susceptible than equivalent monetary discounts to negative contextual information about quality that could lower purchase intentions. The effect reversed when respondents focused on other information that diminished the salience of the free promotion.
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Chandran, S., & Morwitz, V. G. (2006). The Price of "Free"-dom: Consumer Sensitivity to Promotions with Negative Contextual Influences. Journal of Consumer Research, 33(3), 384-392. doi:10.1086/508439