Quantitative Marketing and Economics
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Advertising Spending and Quality for Services: The Role of Capacity
Quantitative Marketing and Economics - Tập 1 - Trang 337-365 - 2003
In this paper we explore the relations among advertising spending, capacity and quality for services. Data from a sample of New York City restaurants show that mid-quality restaurants spend more on advertising than either high quality or low quality ones, contradicting the usual Nelson-type prediction that advertising spending increases with quality. Also, controlling for quality, restaurants with......
Consumer deliberation and quality signaling
Quantitative Marketing and Economics - Tập 14 - Trang 233-269 - 2016
Consumers are often uncertain about their product valuation before purchase. They may bear the uncertainty and purchase the product without deliberation. Alternatively, consumers can incur a deliberation cost to find out their true valuation and then make their purchase decision. This paper proposes that consumer deliberation about product valuation can be an endogenous mechanism to enable credibl......
Avoiding aggregation bias in demand estimation: A multivariate promotional disaggregation approach
Quantitative Marketing and Economics - - 2006
Selling mechanisms for perishable goods: An empirical analysis of an online resale market for event tickets
Quantitative Marketing and Economics - Tập 19 - Trang 127-178 - 2021
This paper assesses the value of the availability of menus of different selling mechanisms to agents in an online platform in the context of scarce perishable goods. By analyzing the choice between auctions and posted prices in the context of National Football League tickets offered on eBay, it estimates a structural model in which heterogeneous, forward-looking sellers optimally choose which sell......
Generalized Reverse Discrete Choice Models
Quantitative Marketing and Economics - Tập 3 - Trang 175-200 - 2005
Marketing practitioners and academics have shown a keen interest in the processes that drive consumers’ choices since the early work of Guadagni and Little (1982). Over the past decade or so, a number of alternative models have been proposed, implemented and analyzed. The common behavioral assumption that underlines these models of discrete choice is random utility maximization (RUM). The RUM assu......
Modeling CLV: A test of competing models in the insurance industry
Quantitative Marketing and Economics - Tập 5 - Trang 163-190 - 2007
Customer Lifetime Value (CLV) is one of the key metrics in marketing and is considered an important segmentation base. This paper studies the capabilities of a range of models to predict CLV in the insurance industry. The simplest models can be constructed at the customer relationship level, i.e. aggregated across all services. The more complex models focus on the individual services, paying expli......
Entry deterrence/accommodation with imperfect strategic thinking capability
Quantitative Marketing and Economics - Tập 16 - Trang 175-207 - 2017
Both through empirical research and laboratory experiments it has been shown that managers are heterogeneous in strategic thinking-i.e., not all the managers can accurately conjecture their competitors’ behavior and actions. In this paper, we examine the entry deterrence/accommodation strategy of an incumbent firm facing a potential entrant that may behave less strategically than the incumbent in ......
On manufacturers complementing the traditional retail channel with a direct online channel
Quantitative Marketing and Economics - Tập 4 - Trang 289-323 - 2006
With the explosion of the Internet and the reach that it affords, many manufacturers have complemented their existing retail channels with an online channel, which allows them to sell directly to their consumers. Interestingly, there is a significant variation within product categories in manufacturer's use of the Internet as a direct distribution channel. The main objective of this study is to ex......
Television ad-skipping, consumption complementarities and the consumer demand for advertising
Quantitative Marketing and Economics - Tập 16 - Trang 111-174 - 2017
Endogenous consumption of advertising is common. Consumers choose to change channels to avoid TV ads, click away from paid online video ads, or discard direct mail without reading advertised details. As technological advances give firms improved abilities to target individual consumers through various media, it is becoming increasingly important for models to reflect the endogenous nature of ad co......
Estimating expectations-based reference-price effects in the used-car retail market
Quantitative Marketing and Economics - Tập 19 - Trang 457-503 - 2021
This paper estimates the reference-price effects in consumers’ car purchase decisions exploiting a unique panel data-set on the non-negotiable daily list prices for used cars advertised by a large national dealership. Guided by the theory of Köszegi and Rabin (The Quarterly Journal of Economics, 1133–1165, 2006), the paper identifies the reference price for a car as the car’s list price on the pre......
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