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This paper develops a model for measuring the effects of sales promotion on purchase event feedback. The model directly assesses the extent to which promotion purchases contribute differently than non-promotion purchases to the dynamic component of Guadagni and Little's (1983) "brand loyalty"...
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We ran a field experiment in a Dutch retail chain consisting of 128 stores. In a random sample of these stores, we introduced short-term sales competitions among subsets of stores. We find that sales competitions have a large effect on sales growth, but only in stores where the store's manager...
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In a monopoly setting where consumers cannot observe the quality of the product we show that free samples which are of a lower quality than the marketed digital goods are used together with high prices as signals for a superior quality if the number of informed consumers is small and if the...
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