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Print Advertisement Characteristics and Apple Variety Attraction: A Mimic Model Approach

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Author Info
Patterson, Paul M.
Richards, Timothy J.
Abstract

A structural latent variable model of apple variety demand is used to analyze the effect of variety specific newspaper advertisement characteristics on variety attraction (preferences), and in turn on variety demand. The influence of advertisement size, the use of color and the Washington apple logo were analyzed. The estimated variety attraction variable is important in explaining demand. Model specifications which exclude this variable tend to understate demand elasticities. Advertisement size has a positive impact on Granny Smith, Fuji, and Gala sales. Red Delicious sales are positively influenced by color ads, but negatively affected by ads with the Washington apple logo.

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Paper provided by Arizona State University, Morrison School of Agribusiness and Resource Management in its series Working Papers with number 28537.

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Date of creation: 1998
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Handle: RePEc:ags:asumwp:28537

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Keywords: Apple demand; newspaper advertisements; structural latent variable model; Marketing;

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  1. Ivaldi, Marc & Monier-Dilhan, Sylvette & Simioni, Michel, 1995. "Stochastic production frontiers and panel data: A latent variable framework," European Journal of Operational Research, Elsevier, vol. 80(3), pages 534-547, February. [Downloadable!] (restricted)
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This page was last updated on 2009-12-26.

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