IDEAS home Printed from https://ideas.repec.org/p/ebg/heccah/0830.html
   My bibliography  Save this paper

Assesing the frequency and clauses of out-of-stock events through store scanner data

Author

Listed:
  • Bayle-Tourtoulou, Anne-Sophie
  • Laurent, Gilles
  • Macé, Sandrine

Abstract

This paper aims to provide an answer to the question of out-of-stock events (OOS), their frequency, the sales losses they generate, and their causes. The authors provide two contributions. They describe a new sales-based measure of OOS computed on the basis of store-level scanner data and identify several of the main determinants of OOS. They also introduce a significant distinction between complete and partial OOS

Suggested Citation

  • Bayle-Tourtoulou, Anne-Sophie & Laurent, Gilles & Macé, Sandrine, 2006. "Assesing the frequency and clauses of out-of-stock events through store scanner data," HEC Research Papers Series 830, HEC Paris.
  • Handle: RePEc:ebg:heccah:0830
    as

    Download full text from publisher

    File URL: http://www.hec.fr/var/fre/storage/original/application/bd46eabed81de0667167a9796b46a080.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ravi Anupindi & Maqbool Dada & Sachin Gupta, 1998. "Estimation of Consumer Demand with Stock-Out Based Substitution: An Application to Vending Machine Products," Marketing Science, INFORMS, vol. 17(4), pages 406-423.
    2. Andrew B. Abel, 1985. "Inventories, Stock-Outs, and Production Smoothing," NBER Working Papers 1563, National Bureau of Economic Research, Inc.
    3. Subramanian Balachander & Peter H. Farquhar, 1994. "Gaining More by Stocking Less: A Competitive Analysis of Product Availability," Marketing Science, INFORMS, vol. 13(1), pages 3-22.
    4. James D. Hess & Eitan Gerstner, 1987. "Loss Leader Pricing and Rain Check Policy," Marketing Science, INFORMS, vol. 6(4), pages 358-374.
    5. Frechette, Darren L, 1999. "Stock-Outs and Supply Response Estimation under Rational Expectations," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 26(1), pages 59-77, March.
    6. Lau, Hon-Shiang & Hing-Ling Lau, Amy, 1996. "Estimating the demand distributions of single-period items having frequent stockouts," European Journal of Operational Research, Elsevier, vol. 92(2), pages 254-265, July.
    7. van Delft, Ch. & Vial, J. P., 1996. "Discounted costs, obsolescence and planned stockouts with the EOQ formula," International Journal of Production Economics, Elsevier, vol. 44(3), pages 255-265, July.
    8. Fitzsimons, Gavan J, 2000. "Consumer Response to Stockouts," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 27(2), pages 249-266, September.
    9. Eitan Gerstner & James D. Hess, 1990. "Can Bait and Switch Benefit Consumers?," Marketing Science, INFORMS, vol. 9(2), pages 114-124.
    10. Andrew B. Abel, 1985. "Inventories, Stock-Outs and Production Smoothing," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 52(2), pages 283-293.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Antonio Rosato, 2016. "Selling substitute goods to loss-averse consumers: limited availability, bargains, and rip-offs," RAND Journal of Economics, RAND Corporation, vol. 47(3), pages 709-733, August.
    2. Chiang, Wei-yu Kevin, 2010. "Product availability in competitive and cooperative dual-channel distribution with stock-out based substitution," European Journal of Operational Research, Elsevier, vol. 200(1), pages 111-126, January.
    3. Eitan Gerstner & Barak Libai, 2006. "—Why Does Poor Service Prevail?," Marketing Science, INFORMS, vol. 25(6), pages 601-603, 11-12.
    4. Heribert Gierl & Christina Eleftheriadou, 2005. "Asymmetrisch überlegene Stockouts als Phantomprodukte," Schmalenbach Journal of Business Research, Springer, vol. 57(6), pages 475-502, September.
    5. Derhami, Shahab & Montreuil, Benoit & Bau, Guilhem, 2021. "Assessing product availability in omnichannel retail networks in the presence of on-demand inventory transshipment and product substitution," Omega, Elsevier, vol. 102(C).
    6. Fabian Herweg & Antonio Rosato, 2020. "Bait and ditch: Consumer naïveté and salesforce incentives," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 29(1), pages 97-121, January.
    7. James D. Hess & Eitan Gerstner, 1998. "Yes, “Bait and Switch” Really Benefits Consumers," Marketing Science, INFORMS, vol. 17(3), pages 283-289.
    8. Leontiou, Anastasia & Ziros, Nicholas, 2024. "“Tacit bundling” among rivals: Limited-availability bargains for loss-averse consumers," European Economic Review, Elsevier, vol. 165(C).
    9. Huang, Yunhui & Zhang, Y. Charles, 2016. "The Out-of-Stock (OOS) Effect on Choice Shares of Available Options," Journal of Retailing, Elsevier, vol. 92(1), pages 13-24.
    10. Christopher T. Conlon & Julie Holland Mortimer, 2013. "Demand Estimation under Incomplete Product Availability," American Economic Journal: Microeconomics, American Economic Association, vol. 5(4), pages 1-30, November.
    11. Vishal Gaur & Young-Hoon Park, 2007. "Asymmetric Consumer Learning and Inventory Competition," Management Science, INFORMS, vol. 53(2), pages 227-240, February.
    12. Yi Wen, 2007. "Production and Inventory Behavior of Capital," Annals of Economics and Finance, Society for AEF, vol. 8(1), pages 95-112, May.
    13. Hau L. Lee & V. Padmanabhan & Seungjin Whang, 2004. "Information Distortion in a Supply Chain: The Bullwhip Effect," Management Science, INFORMS, vol. 50(12_supple), pages 1875-1886, December.
    14. Mehmet Sekip Altug & Tolga Aydinliyim, 2016. "Counteracting Strategic Purchase Deferrals: The Impact of Online Retailers’ Return Policy Decisions," Manufacturing & Service Operations Management, INFORMS, vol. 18(3), pages 376-392, July.
    15. Xuanming Su & Fuqiang Zhang, 2009. "On the Value of Commitment and Availability Guarantees When Selling to Strategic Consumers," Management Science, INFORMS, vol. 55(5), pages 713-726, May.
    16. Wen, Yi, 2005. "Understanding the inventory cycle," Journal of Monetary Economics, Elsevier, vol. 52(8), pages 1533-1555, November.
    17. Cavallo, Alberto & Kryvtsov, Oleksiy, 2023. "What can stockouts tell us about inflation? Evidence from online micro data," Journal of International Economics, Elsevier, vol. 146(C).
    18. Mattia Di Ubaldo, 2015. "Product Cost-Share: a Catalyst of the Trade Collapse," Working Paper Series 8015, Department of Economics, University of Sussex Business School.
    19. Christopher T. Conlon & Julie Holland Mortimer, 2010. "Effects of Product Availability: Experimental Evidence," NBER Working Papers 16506, National Bureau of Economic Research, Inc.
    20. Rabinovich, Elliot & Chenarides, Lauren & Richards, Timothy J., 2024. "Inventory Competition and the Cost of a Stockout," 2024 Annual Meeting, July 28-30, New Orleans, LA 343649, Agricultural and Applied Economics Association.

    More about this item

    Keywords

    out-of-stock events; store-level scanner data; assortment; retailing; marketing metrics;
    All these keywords.

    JEL classification:

    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • L16 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ebg:heccah:0830. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Antoine Haldemann (email available below). General contact details of provider: https://edirc.repec.org/data/hecpafr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.