Experimental choice analysis of shopping strategies

Recent changes in retail structure have created additional ways for consumers to organize their shopping trips. This study examines the prevalence of different shopping strategies and the impact of managerial decisions related to pricing, promotions, service, and assortment on the choice of shopping strategy. A conjoint choice model is developed to address these questions. The model differs from most previous conjoint choice models in retailing in that it incorporates the similarity of competing strategies and allows one to test whether consumer choices of shopping strategy are dependent on contextual variables such as weekday vs. weekend vs. month-end shopping

Experimental choice analysis of shopping strategies

Recent changes in retail structure have created additional ways for consumers to organize their shopping trips. This study examines the prevalence of different shopping strategies and the impact of managerial decisions related to pricing, promotions, service, and assortment on the choice of shopping strategy. A conjoint choice model is developed to address these questions. The model differs from most previous conjoint choice models in retailing in that it incorporates the similarity of competing strategies and allows one to test whether consumer choices of shopping strategy are dependent on contextual variables such as weekday vs. weekend vs. month-end shopping

Identifying puchase-history sensitive shopper segments using scanner panel data and sequence alignment methods

Prior segmentation research has primarily focused on market behavior, lifestyle and socio-demographics rather than on purchase histories. In this article, the authors propose the use of sequence alignment methods to segment customers based on their purchase histories. The principles underlying the method are discussed, and the method is illustrated using scanner panel data. The findings suggest that, compared to the conventional methods, the proposed method results in a better segment solution that captures both the shopping-frequency and variety-seeking information. These findings have important implications for differentiation and market positioning strategies