Cross-category sales promotion effects
Journal of Retailing and Consumer ServicesPublished 1 April 1999
Harald Hruschka, Martin Lukanowicz, Christian Buchta
Citations70
SJR quartileQ1
SJR score3.44
SNIP2.99
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Abstract
We introduce a multivariate binomial logit model measuring cross-category dependence and sales promotion effects of a retail assortment. This model requires as data both the market baskets of individual shoppers and the categories currently promoted in a retail outlet. A special section describes the stepwise procedure used to estimate parameters of this model. Its application is demonstrated analyzing 6147 purchases that were acquired in a medium-sized supermarket. We finally discuss the managerial relevance of this model for sales promotion decisions of retail firms.
Keywords
Economics, Econometrics and FinanceBusiness, Management and Accounting