EFFECTS OF PRICE PROMOTIONS ON VARIETY-SEEKING AND REINFORCEMENT BEHAVIOR

被引:74
|
作者
KAHN, BE [1 ]
RAJU, JS [1 ]
机构
[1] UNIV CALIF LOS ANGELES,LOS ANGELES,CA 90024
关键词
CHOICE MODELS; PROMOTIONS; BUYER BEHAVIOR; SEGMENTATION;
D O I
10.1287/mksc.10.4.316
中图分类号
F [经济];
学科分类号
02 ;
摘要
A stochastic model is proposed to examine how changes in frequency of price discounts affect brand choice decisions of consumers who exhibit variety-seeking and reinforcement behavior. It is shown that the effect on choice depends on whether the brand offering discounts is a major or minor brand in the product category. This model extends the existing literature on stochastic models of variety-seeking behavior by explicitly incorporating switching due to promotions along with intrinsic switching due to variety-seeking. The model yields testable hypotheses which are supported in a laboratory experiment and on analyses of the IRI cracker data.
引用
收藏
页码:316 / 337
页数:22
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