We study how multiattribute product choices are affected by peer influence. We propose a two-stage conjoint-based approach to examine three behavioral mechanisms of peer influence. We find that when faced with information on peer choices, consumers update their attribute preferences in a...

This paper presents a new friction model for describing the price changes of a product or brand over time and for forecasting both the timing and magnitude of such changes from one period to the next. After a review of the related pricing literature, we present our model and a modified...

This paper presents a recently developed unfolding methodology for analyzing preferential/dominance data that addresses the product positioning/repositioning decision problem of product (re)design and targeting by relating brand and consumer characteristics explicitly to perceptual brand...

Marketing researchers have used models of consumer demand to forecast future sales, to describe and test theories of behavior, and to measure the response to marketing interventions. The basic framework typically starts from microfoundations of expected utility theory to obtain an econometric...

Recent research has empirically characterized the buyer-seller relationship as dynamically evolving from one discrete state to another. Conventional wisdom would suggest that a customer in a higher relationship state that has a higher transaction value would also have greater lifetime value to...

Households incur transaction costs when choosing among off-line stores for grocery purchases. They may incur additional transaction costs when buying groceries online versus off-line. We integrate the various transaction costs into a channel choice framework and empirically quantify the relative...

We develop a dynamic model for determining the equilibrium marketing effort levels for a manufacturer and a retailer in a two-member marketing channel. The existence of carry-over effects of marketing effort of channel members leads to an accumulation of goodwill for them over time. This...

The multinomial probit model of brand choice is theoretically appealing for marketing applications as it is free from the “independence of irrelevant alternatives” property of the multinomial logit model. However, difficulties in estimation have restricted its widespread use in marketing....

Our objective in this paper is to measure the impact (valence, volume, and variance) of national online user reviews on designated market area (DMA)-level local geographic box office performance of movies. We account for three complications with analyses that use national-level aggregate box...

We develop a comprehensive utility maximizing framework to study the impact of marketing variables on the category purchase, brand choice and purchase quantity decisions of households for frequently purchased packaged goods. The model allows for dependence among the three decisions while...