How persistent are duplication of purchase partitions
Anesbury, Z., Bennett, D. and Kennedy, R. (2021). How persistent are duplication of purchase partitions. Journal of Consumer Behaviour: an international research review. https://doi.org/10.1002/cb.1985
|Anesbury, Z., Bennett, D. and Kennedy, R.
Brands share more of their customers with bigger competitors and fewer with smaller ones. However, there are occasional deviations to this predictable Duplication of Pur- chase (DoP) pattern. When two or more brands share excess customers because of functional or nonfunctional differences—it is called a partition. While past research using the NBD-Dirichlet model demonstrates partitions in annual or shorter data, there is no empirical evidence for partition persistency over the longer term, although some other NBD-Dirichlet deviations are known to persist over time. Examining expected partitions in 10 consumer goods categories in the United Kingdom, the authors show partitions overwhelmingly persist over 3 years. The findings contribute support to Dirichlet theory, especially on market stability, boundary conditions, and provide practical implications for portfolio management.
|Duplication of Purchase, Brands, Partitions, Portfolios
|Journal of Consumer Behaviour: an international research review
|Digital Object Identifier (DOI)
|04 Sep 2021
|Publication process dates
|10 Aug 2021
|07 Sep 2021
|Accepted author manuscript
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