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Analysis of Sales Promotion Effects on Household Purchase Behavior

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Thus, store loyalty and promoti<strong>on</strong> resp<strong>on</strong>se are found to be negatively related for<br />

n<strong>on</strong>-favorite brand promoti<strong>on</strong>s. <strong>Household</strong>s that shop mainly within <strong>on</strong>e store are not<br />

focused <strong>on</strong> promoti<strong>on</strong>s for n<strong>on</strong>-favorite brands. As no differences were found across all<br />

promoti<strong>on</strong>s, store loyal households are focused mainly <strong>on</strong> promoti<strong>on</strong>s for their favorite<br />

brands, even more than other households. Therefore, store loyalty is negatively related with<br />

n<strong>on</strong>-favorite brand promoti<strong>on</strong>s, but positively related with favorite brand promoti<strong>on</strong>s.<br />

7.5.2.10 Basket Size and Shopping Frequency<br />

As basket size and shopping frequency are closely negatively related (both per shopping<br />

trip and overall), this secti<strong>on</strong> treats the results at the same time (Table 7.20).<br />

Table 7.20: Relati<strong>on</strong>ship basket size and shopping frequency with promoti<strong>on</strong> resp<strong>on</strong>se<br />

BASKET SIZE and SHOPPING FREQUENCY<br />

B S.E. Sign. Exp(B)<br />

BASKETSIZE 0.0936 0.0357 0.0088 1.0981<br />

NSHOPTRIPS PRIMARY STORE -0.0460 0.0071 0.0000 0.9555<br />

Test results: Basket size and promoti<strong>on</strong> resp<strong>on</strong>se are positively related. Shopping<br />

frequency and promoti<strong>on</strong> resp<strong>on</strong>se are negatively related.<br />

Large basket size shoppers make more use <str<strong>on</strong>g>of</str<strong>on</strong>g> the available promoti<strong>on</strong>s and frequent<br />

shoppers make less use <str<strong>on</strong>g>of</str<strong>on</strong>g> the available promoti<strong>on</strong>s. Table 7.21 shows that we find the<br />

same results for both in-store and out-<str<strong>on</strong>g>of</str<strong>on</strong>g>-store promoti<strong>on</strong>s (although the relati<strong>on</strong>ship<br />

between basket size and out-<str<strong>on</strong>g>of</str<strong>on</strong>g>-store promoti<strong>on</strong>al resp<strong>on</strong>se is not significant).<br />

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