Understanding Consumer Reactions to Assortment Unavailability

eduction occurs, and the type of store that reduces its assortment. Furthermore, retailers may
wonder if the short-term effects of assortment reductions differ from their long-term effects.
With these three essays, as presented in Chapters 2, 3 and 4, we hope to solve, at least partly, the
puzzle of assortment reduction effects.
5.1.1 Summary of Chapter 2
In the first study, we focus on measuring consumers’ reactions to out-of-stock events for the
consumers’ preferred brand, which can be considered a temporary assortment unavailability.
Furthermore, we test a conceptual model that may explain some of the consumer reactions
observed. We selected eight product groups for which we measured consumer reactions to stock-
outs: four utilitarian product groups (detergent, milk, margarine, and eggs) and four hedonic
product groups (beer, salty snacks, cigarettes, and cola). We used a survey to interview 749
grocery shoppers at 13 different supermarkets. The main consumer reactions observed were (1)
brand switching (34%), (2) postponement of purchase (27%), (3) store switching (19%), and (4)
item switching (e.g., switch within the brand) (18%). Whereas brand and item switching may
have neutral effects on category sales, store switching and postponement decrease the retailer’s
category sales and might even harm sales in related categories, especially in the case of store
switching
We also researched the antecedents of stock-out reactions. The brand equity of the brand
that is out of stock, the hedonic level of the product category, the ability to stockpile the product,
the number of brands within the category, and the impulse level of purchases of the product are
important antecedents for several reactions. For example, consumers tend to switch stores more
easily if a high-equity brand is out of stock than if a low-equity brand is. Note that, in many
cases, high-equity brands are also large market share brands, which might as much as double the
impact of a stock-out of a high-equity brand. Furthermore, consumers are more brand loyal (e.g.,
lower brand switching intentions) in product categories that have a high hedonic level, such as
cola, beer, or cigarettes. In these categories, retailers should be cautious about delisting even
low-equity brands.
5.1.2 Summary of Chapter 3
For the second essay, we conducted two separate studies to research the impact of a brand
delisting. A single brand delisting within a category sometimes occurs, for example, when a
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