Authors
Randolph E Bucklin, Gary J Russell, V Srinivasan
Publication date
1998/2
Journal
Journal of Marketing Research
Volume
35
Issue
1
Pages
99-113
Publisher
SAGE Publications
Description
The authors derive a theoretical relationship between the aggregate market share elasticity matrix and the aggregate brand switching matrix on the basis of a logit model of heterogeneous consumers choosing among competing brands in a product class. Aggregate cross-elasticities are shown to be proportional (through a single scaling constant) to their corresponding aggregate row-conditional brand switching probabilities. Aggregate own-elasticities are shown to be proportional (through the negative of the same scaling constant) to one minus their corresponding aggregate row-conditional repeat purchase probabilities. An empirical analysis conducted on household scanner panel data in the liquid laundry detergent category shows that the theoretical correspondence holds as a very good approximation. An illustrative use of the relationship in estimating aggregate (store-level) models of market share indicates …
Total citations
1998199920002001200220032004200520062007200820092010201120122013201420152016201720182019202020212022202314388331175286723335333542
Scholar articles