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Realizing the value of extensive replication: A theoretically robust portrayal of double jeopardy

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  • Habel, Cullen
  • Lockshin, Larry

Abstract

Researchers have spent almost 50years developing, refining and applying the NBD-Dirichlet in repeat purchase markets, in particular with extensive replication of the Goodhardt, Ehrenberg, and Chatfield (1984) model. Recent research that employs a double jeopardy (DJ) line appears to have progressed with little regard for this body of theory. This paper reviews the varied applications of the NBD-Dirichlet and extends the theory to the portrayal of a double jeopardy line. This DJ line, an x–y plot of brands' penetration versus purchase frequency in a category, is tested against three alternative ways of drawing the line. A linear model for double jeopardy is adequate when used under limited conditions yet the model breaks down with a broad scope of analysis. This meta-analysis of 37 cross-sectional product categories and a 40-period (quarters) longitudinal dataset evaluates the best approximation of the DJ line to empirical data.

Suggested Citation

  • Habel, Cullen & Lockshin, Larry, 2013. "Realizing the value of extensive replication: A theoretically robust portrayal of double jeopardy," Journal of Business Research, Elsevier, vol. 66(9), pages 1448-1456.
  • Handle: RePEc:eee:jbrese:v:66:y:2013:i:9:p:1448-1456
    DOI: 10.1016/j.jbusres.2012.05.012
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    References listed on IDEAS

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    Cited by:

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    4. Trinh, Giang & Corsi, Armando & Lockshin, Larry, 2019. "How country of origins of food products compete and grow," Journal of Retailing and Consumer Services, Elsevier, vol. 49(C), pages 231-241.
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    7. Rafael Barreiros Porto & Nolah Schutte da Rocha Lima, 2015. "Nonlinear Impact of the Marketing Mix on Brand Sales Performance," Brazilian Business Review, Fucape Business School, vol. 12(5), pages 57-77, September.

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