Store Flyers Research Articles

Developing logistic regression models using purchase attributes and demographics to predict the probability of purchases of regular and specialty eggs

Consumers’ interest in specialty eggs appears to be growing in Europe and North America. The objective of this research was to develop logistic regression models that utilise purchaser attributes and demographics to predict the probability of a consumer purchasing a specific type of table egg including regular (white and brown), non-caged (free-run, free-range and organic) or nutrient-enhanced eggs. These purchase prediction models, together with the purchasers’ attributes, can be used to assess market opportunities of different egg types specifically in British Columbia (BC).An online survey was used to gather data for the models. A total of 702 completed questionnaires were submitted by BC residents. Selected independent variables included in the logistic regression to develop models for different egg types to predict the probability of a consumer purchasing a specific type of table egg.The variables used in the model accounted for 54% and 49% of variances in the purchase of regular and non-caged eggs, respectively. Research results indicate that consumers of different egg types exhibit a set of unique and statistically significant characteristics and/or demographics. For example, consumers of regular eggs were less educated, older, price sensitive, major chain store buyers, and store flyer users, and had lower awareness about different types of eggs and less concern regarding animal welfare issues. However, most of the non-caged egg consumers were less concerned about price, had higher awareness about different types of table eggs, purchased their eggs from local/organic grocery stores, farm gates or farmers markets, and they were more concerned about care and feeding of hens compared to consumers of other eggs types.

Retail shopper marketing: the future of promotional flyers

Purpose – The purpose of this paper is to evaluate the recent evolution of store flyers to illustrate how a tool of traditional marketing can be applied to generate insight on customer “couch-to-cart” behaviour thus supporting an innovating shopper marketing approach. The authors support this position by elaborating on three themes: first, the recent evolution of flyers, driven by incorporation of customer insight derived from loyalty data and by new features enabled by flyer digitalization; second, the evolution of the flyer planning and management process, related to opportunities and challenges in the retailer organisational structure; and third, the rise of online flyer aggregators. Design/methodology/approach – The authors used field interviews. The authors included the perspectives of different subjects involved in planning and delivering flyer-based promotions. Secondary data were also collected regarding flyer activities of a sample of 67 retail groups across 15 countries and four industries. Findings – Critical aspects of flyers as retail marketing tools emerged. The authors found that there are changes taking place in flyer-based promotion caused by “fertilisation” by loyalty data and digital that have not been captured by research so far. Retailers are experimenting with flyer aggregators. These infomediaries generate new insight on various aspects of the shopping cycle. Retailers can use these metrics to improve flyer strategy and negotiation with suppliers. The authors shed light on obstacles that prevent exploitation of shopper marketing benefits and value. Among the managerial challenges the authors found retailer organisation and management and functional integration. Research limitations/implications – The paper points to four areas for future research: promotion innovation, electronic intermediaries, marketing organisation and competition. Research questions are suggested. Practical implications – This study contributes to retail management by identifying best practices that support promotional campaign development in a shopper marketing perspective. The authors provide suggestions around the incorporation of loyalty data in the flyer planning process and the creation of inter-functional teams. Originality/value – Academic research has long addressed flyer-based promotion, but has not linked it to innovation or shopper marketing. Little or no attention has been paid to the flyer management process and its organisational dimensions, nor to digital flyers.

Profiling the flyer-prone consumer

The purpose of this paper is to predict the differences between highly prone and less prone consumers to store flyers in terms of their sensitivity to economic, shopping-related and demographic variables. The empirical findings show that the flyer-prone consumer׳s profile somehow differs from the characteristics of consumers more prone to other types of promotion and to deals in general. The managerial implications underline that including a price-discount support is not essential if manufacturers and retailers wish to increase the probability of store flyers being consulted by a consumer. Nevertheless, the credibility of flyers depends on consumers’ perception of potential savings being maintained.

The impact of store flyer promotion on Chinese consumers' purchase intentions

The impact of store flyer promotion on Chinese consumers' purchase intentions

The impact of store flyers on store performance: a format and customer related approach

Purpose – The study aims to investigate the impact of store flyer characteristics on store performance for different formats (hypermarket and supermarket) and customer segments (additional and regular shoppers). Specifically, the paper tests propositions on how flyer duration, variety of featured purchasing options, the category and brand mix on feature and the method used to communicate the deal price affect store traffic and sales. Design/methodology/approach – Data were made available for analysis by a grocery chain that utilizes a hi-lo pricing strategy. To test the hypothesis a multiple linear regression analysis was used. Findings – Results indicate that optimal store flyer configuration is related to the store format. Moreover, the response to flyer promotion programs varies across customer segments in relation to their degree of store loyalty. Research limitations/implications – Findings can assist marketers to develop more effective promotional strategies with regards to the bundle of promotions to be offered and the way they should be communicated. Future research should extend the analysis to other retailers and trading areas. Furthermore, it would be useful to replicate the analysis by separating the impact of in-store activities and store flyer effects. Originality/value – This is the first attempt to analyse flyer impact on store performance for different formats and customer segments. Prior research is confined to supermarkets, although the enhancement of store traffic is related to format size. Moreover, the traffic and sales implications of store flyer composition have so far been analysed in an aggregate manner, disregarding customers' shopping patterns.

¿Cuál es el perfil del consumidor más propenso al uso de los folletos publicitarios?

Store flyers constitute an important element in the promotional activities of retailers and manufacturers. In particular, for FMCG the inclusion of particular brands in store flyers has become a significant component of promotional budgets. The importance of store flyers is due, in part, to a higher number of consumers using such flyers. Profiling flyer-prone consumers might provide useful insights for retailers and manufacturers with regard to the better use of store flyers as a promotional tool. This paper aims to characterize the flyer-prone consumer in terms of three type of aspects: (i) economic variables; (ii) purchase behaviour-related variables, and (iii) sociodemographical aspects. In order to do so, this study shows the results of 225 questionnaires distributed to consumers older than eighteen.

Competitive advertising within store flyers: A win–win strategy?

This study investigates the effect of competitive advertising within store flyers on both manufacturers and retailers. Prior research implies that competitive advertising may be detrimental for manufacturers and beneficial for retailers. Findings from an intersubject experiment that uses various familiar and unfamiliar competing brands confirm that store flyers’ competitive advertising improves consumers’ perceptions of the variety of the retailer’s assortment, which has a positive impact on intentions to visit the store and buy. However, increasing the number of competing brands does not harm manufacturers; rather, it enhances recognition of brands, especially for well-known brands. This article concludes with a discussion of the theoretical and managerial implications of these findings for the design of store flyers.

Faut-il concevoir les prospectus en fonction de la fidélité du client à l’enseigne ?

Cette etude evalue l’influence de l’attractivite de trois caracteristiques du prospectus – le prix, l’offre et le theme – sur son efficacite pour le distributeur. Les resultats d’une enquete exploratoire menee aupres de 958 individus mettent en evidence des mecanismes d’influence differents en fonction de la fidelite du client. Pour les clients fideles, l’attractivite percue des prix au sein du prospectus a un effet positif important sur l’achat de produits promus. Pour les clients occasionnels, la visite de l’enseigne et l’achat de produits promus en prospectus sont influences directement par l’attractivite percue des prix et indirectement par l’attractivite percue du theme du prospectus. Des recommandations sont formulees pour le distributeur afin d’optimiser la conception du prospectus en fonction du profil des clients.

Characterising the deal-proneness of consumers by analysis of price sensitivity and brand loyalty: an analysis in the retail environment

This study characterises the ‘deal-proneness’ of consumers by analysis of the consumer-level characteristics of price sensitivity and brand loyalty. The study first develops a multinomial logistic (MNL) latent class model suitable for use with universal product code (UPC) point-of-sale (hypermarket) scanner data. The model is then used to assess the deal-proneness of consumers with respect to monetary promotions (price reductions) and non-monetary promotions (store flyers). The results show that almost 47% of consumers can be considered deal-prone, in that both kinds of sales promotions have a significant effect on their choice behaviour. The findings provide important insights for retail management in seeking to optimise the results obtained from promotional budgets.

Factors influencing olive oil brand choice in Spain: an empirical analysis using scanner data

AbstractOlive oil consumption is growing all around the world as a consequence of the extension of the Mediterranean diet. Because of limited production, pricing, promotions, and consumer‐related variables are essential to explain olive oil consumer behavior. As a consequence of this increasing consumption, it is fundamental to analyze the main factors influencing consumers' olive oil choices for both brands and retailers to be able to compete more efficiently and satisfy consumer needs more closely. But, few such studies are concerned with olive oil (although a great many works in the literature analyze the influence of these factors in other product categories). In a sociocultural context like the Spanish market, in which brand awareness is strong and the use of the product is very high, these factors are even more important. Thus, the main objective of this article is to determine and assess how different marketing variables, such as price, price discounts, use of store flyers and loyalty, explain olive oil brand choice. [Econlit citations: M310, Q130]. © 2009 wiley Periodicals, Inc.

Directing store flyers to the appropriate audience

Grocery shoppers were questioned about the frequency of purchasing items that were featured in the store's flyers. This measure was used as the dependent variable in a multinomial logit model with the independent variables being various aspects of shopping behaviour, usage of store flyers, age and employment status. Since only one threshold parameter was significant, the four-level dependent variable was then collapsed and a binary model was estimated. This study evidenced that less than half of the respondents looked forward to receiving unsolicited flyers. Most shoppers read the flyers only to be informed of price specials that the store has to offer. The odds ratio of responding to store flyer deals among those who look forward to sales flyers is more than double the odds ratio of those who do not await the flyers, across every category of shopping frequency. Retailers could employ direct marketing to target specific audiences who look forward to receiving store flyers.

The effect of consumer's psychographic variables upon deal-proneness

Companies are increasingly attaching more importance to sales promotion within their communication programs. The main reason for the increase in the use of promotions is their immediate effect on the consumers. However, there are some consumers that do not respond to promotions. This study analyses the psychographic traits associated with deal-proneness. A personal survey has been conducted with a sample of 425 individuals who regularly buy package food and cleaning products. In the study, three kinds of deal-proneness are differentiated: proneness towards store flyers, proneness towards coupons and proneness towards in-store promotions. The results prove that there are relationships between some psychographic characteristics of consumers and deal-proneness. In general, price-conscious consumers are deal-prone. However, savings are not the only reason to buy a product on promotion. Deal-proneness is influenced by other aspects as impulsiveness, innovativeness or shopping enjoyment.

Modeling coupon values for ready‐to‐eat breakfast cereals

AbstractThis study identifies the determinants of coupon values at the brand level within the context of a complex marketing program. A two‐equation, fixed‐effects, panel‐data model accounts for the bidirectional causality between brand prices and discount levels. The empirical model is fitted with data on household purchases of ready‐to‐eat (RTE) breakfast cereals and captures the industry's 1996 price cuts and discount reductions. Higher brand prices cause coupon values to rise, supporting the price discrimination hypothesis. Coupon values fall with in‐store displays and more intense advertising but rise when couponed products are featured in store flyers. Discount levels are positively related to brand market share and the size of discounts redeemed for rival cereals. Coupon values fall with increasing brand loyalty among RTE cereal purchasers. Cereal prices are positively affected by coupon values, advertising expenditures, input costs, and the prices of competing brands. Inventory levels are negatively correlated with brand price. [EconLit citations: Q130, D120, L130]. © 2003 Wiley Periodicals, Inc. Agribusiness 19: 223–243, 2003.*

The impact of store flyers on store traffic and store sales: a geo-marketing approach

This paper analyzes the impact of the composition of a retailers’ weekly store flyer on store performance. The paper presents and tests propositions on how a store flyer’s size, its average discount size, and the allocation of store flyer space to category and brand types, affects store traffic and sales. The moderating impact of location variables—socio-demographics of trading area inhabitants, characteristics of the store and competition—is also discussed and empirically tested. The outcomes provide key insights for retailers with regard to the financial ramifications of store flyer competition.

The Determinants of Coupon Discounts for Breakfast Cereals

This study identifies the determinants of coupon values at the brand level using a framework developed from price discrimination theory and the principles of demand. Couponing is considered within the context of a complex marketing program in which it is coordinated with other non-price promotional strategies. A simultaneous, two-equation, fixed-effects, panel-data model is specified and fitted with data on household purchases of ready-to-eat (RTE) breakfast cereals between 1992 and 1997. The empirical model accounts for the bi-directional causality between brand prices and discount levels and captures the retail effects of the major cereal maker's price cuts and discount reductions that occurred in 1996. Higher brand prices cause coupon values to rise, supporting the hypothesis that cereal makers price discriminate among consumers. Other non-price promotions, including advertising, store flyers, and in-store displays, appear to be coordinated with couponing. Specifically, coupon values fall with more intense advertising and in-store displays but rise when the couponed products are featured in store flyers. Discount levels are positively related to brand market share and the size of discounts that are redeemed for rival cereals. Moreover, coupon values fall with increasing brand loyalty among RTE cereal purchasers. Cereal prices are positively affected by coupon values, advertising expenditures, food-ingredient and packaging costs, and the prices of competing brands. Inventory levels are negatively correlated with brand price. Employee wages were not found to significantly influence cereal prices.

Habit Formation and Dynamic Demand Functions

Most economists would agree that past consumption patterns are an important determinant of present consumption patterns, and that one ought to distinguish between long-run and short-run demand functions. But although the distinction between long-run and short-run behavior is traditional in the theory of the firm, it is seldom made in the theory of consumer behavior. If we regard demand theory as a theory of how a given amount of money (expenditure, called income) is allocated among goods, then-in a world without consumer durables-there are three reasons why longand shortrun demand functions might differ. (i) The consumer may have contractually fixed commitments which prevent him from adjusting some portion of his consumption (for example, housing) in response to changes in prices or income. When these fixed commitments lapse, he is able to adjust to his long-run equilibrium. (ii) The consumer may be ignorant of consumption possibilities or of his own tastes outside the range of his past consumption experience. In this case his adjustment to a new price-income situation will involve a time-consuming learning process. (iii) Finally, goods may be "habit forming" so that an individual's current preferences depend on his past consumption patterns. In this case a change in prices or income will cause a change-in consumption which will induce a change in tastes, which will cause a further change in consumption. In this paper I formulate a model of consumer behavior based on habit formation, beginning with a specific class of demand functions derived from the "modified Bergson family" of utility functions. The properties of these utility functions and the corresponding demand functions are briefly summarized in Section 1. I then postulate that the parameters