EFFECTS OF PRICING STRATEGY ON CONSUMER BUYING BEHAVIOUR

Abstract This study investigates the impact of pricing strategies price levels, discount and promotional pricing, and price fluctuations on household consumer buying behaviour in emerging markets, with a focus on the Nigerian beverage sector. Drawing on theoretical frameworks including the Theory of Consumer Behaviour, Price Sensitivity Theory, Prospect Theory, and the Theory of Planned Behaviour, the study explores how psychological, demographic, and macroeconomic factors shape purchase frequency, quantity purchased, and brand loyalty. Empirical evidence from prior studies indicates that higher price levels and frequent price volatility reduce purchase consistency and encourage brand switching, while discounts and promotional pricing temporarily stimulate consumption and trial of new brands. Socio-economic factors such as household income, size, and age moderate these effects, highlighting the importance of targeted pricing strategies. Despite extensive research in broad emerging market contexts, there is a paucity of localized studies addressing the combined influence of multiple pricing dimensions on consumer behaviour in Nigerian urban settings. This gap underscores the need for empirical research to provide actionable insights for marketers seeking to optimize pricing strategies, enhance consumer satisfaction, and maintain brand loyalty under volatile economic conditions.