This paper derives a hedonic price function for a household's consumption bundle. In a panel-data analysis for households' expenditures on 182 different soft drinks we find that consumers have a preference for variety in food consumption, ceteris paribus.

Only a few studies have analysed staggering and synchronisation in pricing behaviour of multi-product firms. These studies used low-frequency data in an environment of high rates of inflation. This paper investigates staggering and synchronisation of weekly prices for ten food products in 131...