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Which brands gain share from which brands? Inference from store-level scanner data

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  • van Oest, R.D.
  • Franses, Ph.H.B.F.

Abstract

Market share models for weekly store-level data are useful to understand competitive structures by delivering own and cross price elasticities. These models can however not be used to examine which brands lose share to which brands during a specific period of time. It is for this purpose that we propose a new model, which does allow for such an examination. We illustrate the model for two product categories in two markets, and we show that our model has validity in terms of both in-sample fit and out-of-sample forecasting. We also demonstrate how our model can be used to decompose own and cross price elasticities to get additional insights into the competitive structure.

Suggested Citation

  • van Oest, R.D. & Franses, Ph.H.B.F., 2003. "Which brands gain share from which brands? Inference from store-level scanner data," ERIM Report Series Research in Management ERS-2003-076-MKT, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    • Handle: RePEc:ems:eureri:1007
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    Cited by:

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    2. Marusia Ivanova, 2007. "Genesis and Evolution of Market Share Predictive Models," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 2, pages 117-148.

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    More about this item

    Keywords

    competitive structure; elasticity decomposition; market shares; share-switching; store-level scanner data;
    All these keywords.

    JEL classification:

    • M - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics
    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing

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