Work

The Power of Before and After

Year: 2012

Type: article

Abstract: ABSTRACT The Dirichlet is a well-established theoretical model that describes and predicts patterns of purchasing behavior in stationary markets. This paper uses data from a highly nonstationary market to demonstrate that the Dirichlet norms also provide a baseline to interpret change in purchasing behavior—in particular, change wrought by sustained promotional activity. The empirical analysis of industrial purchasing data describes how one supplier more than doubled its share of the market. This share increase was achieved by, first, securing a higher share of the category purchases made by heavy buyers (increasing purchase frequency) before adopting a more typical growth strategy of attracting more buyers (increasing penetration).

Source: Journal of Advertising Research

DOI: 10.2501/jar-52-2-214-224

Authors: Jim McCabe, Philip Stern, Scott G. Dacko

Institutions: Air Black Box (United Kingdom), Loughborough University, University of South Australia, University of Warwick

Language: English

Topic: Consumer Market Behavior and Pricing

Subfield: Marketing

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: green

OpenAlex ID: W2077240719

FWCI: 2.139

Cites: 31

Cited by: 8

Related to: 10