Using daily store-level data to understand price promotion effects in a semiparametric regression model

A cross-category investigation into the effects of nine-ending pricing on brand choice

“…Bray and Harris, 2006;Martínez-Ruiz et al, 2006;Schindler and Kibarian, 1996). We find that nine-ending prices do not influence SKU choice per se.…”

“…In a recent study, Bray and Harris (2006), using UK retailing data, found that the use of round prices increased sales. Martínez-Ruiz et al (2006) also found that nine-ending prices had no impact on sales. As can be seen, previous studies, using experiments for understanding the nine-ending cognitive mechanisms, have yielded mixed findings.…”

“…Similarly, studies with regard to the purchase behaviors have produced mixed results. Positive (Anderson and Simester, 2003) and non-significant (Martínez-Ruiz et al, 2006) effects of nineending prices have been reported. Similarly, both higher (Bray and Harris, 2006) and lower (Schindler and Kibarian, 1996) effects of rounded prices appear in the extant literature.…”

“…One stream of studies reports that nine-ending pricing results in greater demand (Schindler and Kibarian, 1996;Holdershaw and Gendall, 1997;Kalyanam and Shively, 1998;Anderson and Simester, 2003;Bizer and Schindler, 2005). Other studies have reported non-significant effect of nine-ending prices or even greater demand effects for rounded prices (Bray and Harris, 2006;Martínez-Ruiz et al, 2006). Furthermore, prior studies have not addressed the contextual limits of the nine-ending pricing.…”

Customer satisfaction's key factors in Spanish grocery stores: Evidence from hypermarkets and supermarkets

“…Among them it is possible to mention: increase the sales in the product category, to accelerate the purchases in the retail store or to create client traffic towards the establishment (e.g., Tigert, 1983;Walters and Rinne, 1986;Blattberg et al, 1995;Martínez-Ruiz et al, 2006). In spite of this, they have also had to take into consideration other effects of an adverse nature that are susceptible to appear.…”