Cross-category effects and private labels

Market power and bargaining in agrifood markets: A review of emerging topics and tools

“…This model accounts for multiple discrete purchases, as well as the continuous nature of quantity purchased. Richards, Gómez, and Pofahl () use this model to estimate the extent of strategic promotion in the apple category; Richards, Yonezawa, and Winter () use a generalized version of the MDCEV to assess the degree of cross‐category complementarity for private labels in the milk, cereal and ice cream categories. For a thorough discussion of how the MDCEV model can be used in studies of differentiated food product markets see Richards and Bonnet ().…”

Analysis of Umbrella Branding with Crowdsourced Data

“…However, structural models of the full range of these decisions are often intractable for high‐dimension problems, or at least marginally identified due to the number of parameters involved. Richards, Yonezawa, and Winter () extend the generalized multiple‐discrete continuous extreme value (GMDCEV) model of Pinjari and Bhat (2012) to identify umbrella branding effects in private label grocery products, but this model can consider only a few brands a time, whereas more realistic decision environments often involve dozens of brands from enough categories to meet a consumers' weekly food needs. We require a model that is scalable, well‐identified, and yet sufficiently flexible to capture a full range of cross‐category brand‐choice effects.…”

“…The rapid expansion of private labels, or store brands, in the United States is well documented . Although there are many explanations for the growth of private labels that are all highly plausible, and supported by the data to varying extents, there remains one explanation that has only recently been documented for store brands—umbrella branding (Erdem & Chang, ; Richards, Yonezawa, & Winter, ) . Erdem () defines umbrella branding as the use of a single brand name across products in multiple categories.…”

“…Others consider the category purchase incidence decision across multiple categories (Chib, Seetharaman, & Strijnev, ; Deepak, Ansari, & Gupta, 2004; Dippold & Hruschka, ; Duvvuri, Ansari, & Gupta, ; Manchanda, Ansari, & Gupta, ; Russell & Petersen, ), whereas only a few consider the interrelated nature of brand choice or quantity purchase, and purchase incidence across multiple categories (Mehta, ; Niraj, Padmanabhan, & Seetharaman, ; Song & Chintagunta, ) perhaps due to the considerable computational burdens involved. Richards, Yonezawa, and Winter () employ a generalized corner‐solution model of shopping‐basket utility maximization to investigate multi‐category brand choice and purchase quantity among national brands and private labels. Only one study (Bell & Lattin, 1998) considers store choice along with multi‐category purchase incidence, but their model is purely empirical as the choice structure does not follow from a single, integrated purchase decision.…”

Consumer Risk-reduction Behavior and New Product Purchases

“…2. The multiple-discrete/continuous model is becoming popular in the marketing literature (Richards et al, 2012;Luo et al, 2013;Han et al, 2015;Richards et al, 2015), but, to the best of our knowledge, it has not been used to identify consumers' risk attitudes. 3.…”