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| Author: | Bell, D. R. Lattin, J. M. |
| Title: | Shopping behavior and consumer preference for store price format: Why "large basket" shoppers prefer EDLP |
| Journal: | Marketing Science
1998 : VOL. 17:1, p. 66-88 |
| Index terms: | CONSUMER BEHAVIOUR GROCERY TRADE SHOPPING PRICING MODELS |
| Language: | eng |
| Abstract: | In recent years, the supermarket industry has gotten increasingly competitive. This study attempts to understand the relationship btw. grocery shopping behaviour, retail price format, and store choice by posing and answering the following questions. First, after controlling for other factors (e.g., distance to the store, prior experience in the store, advertised specials), do consumer expectations about prices for a basket of grocery products ('expected basket attractiveness') influence the store choice decision ? Second, are different pricing formats (HILO or EDLP) more or less attractive to different types of shoppers ? To adequately answer the second question, one must link consumers' category purchase decisions, which collectively define the market basket, and the store choice decision. The research questions are studied using two complementary approaches. |
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