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Analysis of Sales Promotion Effects on Household Purchase Behavior

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<str<strong>on</strong>g>Promoti<strong>on</strong></str<strong>on</strong>g>al unit sales<br />

Figure 8.3: Decompositi<strong>on</strong> <str<strong>on</strong>g>of</str<strong>on</strong>g> promoti<strong>on</strong>al unit sales, assigning accelerated brand<br />

switches to this brand switch instead <str<strong>on</strong>g>of</str<strong>on</strong>g> to the change in time<br />

The results are reported in Table 8.11.<br />

Table 8.11: Unit-sales decompositi<strong>on</strong> <str<strong>on</strong>g>of</str<strong>on</strong>g> promoti<strong>on</strong>al sales where accelerated and decelerate<br />

brand switches are assigned to brand switching<br />

Product<br />

category<br />

Change in time (TA)<br />

No change in time<br />

Change in purchase<br />

time (TA)<br />

Brand switching<br />

(BS)<br />

Accelerated purchases (TA - )<br />

Decelerated purchases (TA +)<br />

Brand switch (BS)<br />

No brand switch (QP)<br />

S<str<strong>on</strong>g>of</str<strong>on</strong>g>t drinks 0.22 0.51 0.27<br />

Fruit juice 0.31 0.52 0.17<br />

C<str<strong>on</strong>g>of</str<strong>on</strong>g>fee 0.14 0.73 0.14<br />

Potato chips 0.29 0.26 0.46<br />

Candy bars 0.22 0.67 0.10<br />

Pasta 0.22 0.64 0.14<br />

Overall 0.21 0.58 0.21<br />

Change in purchase<br />

quantity (QP)<br />

The results from Table 8.11 show that regular shoppers account for about 40 percent <str<strong>on</strong>g>of</str<strong>on</strong>g> the<br />

total promoti<strong>on</strong>al unit sales. The remaining 60 percent <str<strong>on</strong>g>of</str<strong>on</strong>g> the current promoti<strong>on</strong>al unit-sales<br />

come from n<strong>on</strong>-regular c<strong>on</strong>sumers. Again, differences between product categories are found.<br />

As menti<strong>on</strong>ed before, prior sales promoti<strong>on</strong> decompositi<strong>on</strong> research looked at<br />

decomposing the increase in sales due to promoti<strong>on</strong>s. Figure 8.4 depicts the process <str<strong>on</strong>g>of</str<strong>on</strong>g><br />

decomposing incremental promoti<strong>on</strong>al sales.<br />

BS<br />

No BS<br />

BS<br />

No BS<br />

187

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