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Analysis of Sales Promotion Effects on Household Purchase Behavior

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juice products. Thus, in general, although promoti<strong>on</strong>s for the favorite brand have a<br />

large impact <strong>on</strong> the probability that a household makes use <str<strong>on</strong>g>of</str<strong>on</strong>g> the promoti<strong>on</strong>, a<br />

substantial part <str<strong>on</strong>g>of</str<strong>on</strong>g> the promoti<strong>on</strong>al sales effect comes from n<strong>on</strong>-regular c<strong>on</strong>sumers<br />

and from increased expenditures. In additi<strong>on</strong>, a small part comes from increased<br />

c<strong>on</strong>sumpti<strong>on</strong>.<br />

9.4 Limitati<strong>on</strong>s and Future Research<br />

This study takes a close look at the effects <str<strong>on</strong>g>of</str<strong>on</strong>g> sales promoti<strong>on</strong>s <strong>on</strong> households purchase<br />

behavior. These effects are studied across six product categories, for different types <str<strong>on</strong>g>of</str<strong>on</strong>g><br />

promoti<strong>on</strong>s, and for different possible effects <str<strong>on</strong>g>of</str<strong>on</strong>g> sales promoti<strong>on</strong>s <strong>on</strong> promoti<strong>on</strong>s resp<strong>on</strong>se<br />

(sales promoti<strong>on</strong> reacti<strong>on</strong> mechanisms), taking the intertemporal dynamic effects into account.<br />

This in-depth approach has led both to a number <str<strong>on</strong>g>of</str<strong>on</strong>g> new and interesting insights, as discussed<br />

previously. But, as most studies, our research also has limitati<strong>on</strong>s.<br />

First, the number <str<strong>on</strong>g>of</str<strong>on</strong>g> households and the number <str<strong>on</strong>g>of</str<strong>on</strong>g> product categories could be<br />

expanded to validate the findings <str<strong>on</strong>g>of</str<strong>on</strong>g> this research.<br />

Sec<strong>on</strong>d, this study is limited to FMCG. But c<strong>on</strong>sumers also encounter sales<br />

promoti<strong>on</strong>s outside the field <str<strong>on</strong>g>of</str<strong>on</strong>g> FMCG. It is hard to think <str<strong>on</strong>g>of</str<strong>on</strong>g> a field <str<strong>on</strong>g>of</str<strong>on</strong>g> product where<br />

promoti<strong>on</strong>s are not used. But empirically deriving different measures for different categories,<br />

promoti<strong>on</strong> types, and sales promoti<strong>on</strong> reacti<strong>on</strong> mechanisms requires the availability <str<strong>on</strong>g>of</str<strong>on</strong>g> data.<br />

This implies that a much l<strong>on</strong>ger time frame is needed for less frequently purchased products.<br />

But it would be very interesting to see whether household resp<strong>on</strong>ses towards sales promoti<strong>on</strong>s<br />

can be generalized towards other product fields.<br />

A third limitati<strong>on</strong> <str<strong>on</strong>g>of</str<strong>on</strong>g> this research is that the empirical part is c<strong>on</strong>cerned with a subset<br />

<str<strong>on</strong>g>of</str<strong>on</strong>g> the possible sales promoti<strong>on</strong> reacti<strong>on</strong> mechanisms. Store switching and repeat<br />

purchasing are not empirically incorporated. In order to get a complete insight in household<br />

sales promoti<strong>on</strong> resp<strong>on</strong>se, especially store switching should be included, as most prior<br />

research stated that the l<strong>on</strong>g-run effects <str<strong>on</strong>g>of</str<strong>on</strong>g> promoti<strong>on</strong>s <strong>on</strong> brand purchase probabilities are<br />

limited. It was found in this thesis that in-store and out-<str<strong>on</strong>g>of</str<strong>on</strong>g>-store promoti<strong>on</strong>s have a different<br />

impact <strong>on</strong> household purchase behavior. But, store switching is expected to be especially<br />

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