IDEAS home Printed from https://ideas.repec.org/a/bes/jnlbes/v24y2006p487-502.html

Modeling Purchases as Repeated Events

Author

Listed:
  • Bijwaard, Govert E.
  • Franses, Philip Hans
  • Paap, Richard

Abstract

We put forward a statistical model for interpurchase times that takes into account all the current and past information available for all purchases as time continues to run along the calendar timescale. It delivers forecasts for the number of purchases in the next period and for the timing of the first and consecutive purchases. Purchase occasions are modeled in terms of a counting process, which counts the recurrent purchases for each household as they evolve over time. We show that formulating the problem as a counting process has many advantages, both theoretically and empirically. We illustrate our model for yogurt purchases and we highlight its useful managerial implications.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Bijwaard, Govert E. & Franses, Philip Hans & Paap, Richard, 2006. "Modeling Purchases as Repeated Events," Journal of Business & Economic Statistics, American Statistical Association, vol. 24, pages 487-502, October.
    • Handle: RePEc:bes:jnlbes:v:24:y:2006:p:487-502
    as

    Download full text from publisher

    File URL: http://www.ingentaconnect.com/content/asa/jbes/2006/00000024/00000004/art00009
    File Function: full text
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or

    for a different version of it.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nishio, Kazuki & Hoshino, Takahiro, 2022. "Joint modeling of effects of customer tier program on customer purchase duration and purchase amount," Journal of Retailing and Consumer Services, Elsevier, vol. 66(C).
    2. Zhuoxin Li & Jason A. Duan & Sam Ransbotham, 2020. "Coordination and Dynamic Promotion Strategies in Crowdfunding with Network Externalities," Production and Operations Management, Production and Operations Management Society, vol. 29(4), pages 1032-1049, April.
    3. Zhou, Fanyin & Fu, Lijun & Li, Zhiyong & Xu, Jiawei, 2022. "The recurrence of financial distress: A survival analysis," International Journal of Forecasting, Elsevier, vol. 38(3), pages 1100-1115.
    4. Ryosuke Igari & Takahiro Hoshino, 2018. "A Bayesian Gamma Frailty Model Using the Sum of Independent Random Variables: Application of the Estimation of an Interpurchase Timing Model," Keio-IES Discussion Paper Series 2018-021, Institute for Economics Studies, Keio University.
    5. Lizhen Xu & Jason A. Duan & Andrew Whinston, 2014. "Path to Purchase: A Mutually Exciting Point Process Model for Online Advertising and Conversion," Management Science, INFORMS, vol. 60(6), pages 1392-1412, June.
    6. Igari, Ryosuke & Hoshino, Takahiro, 2018. "A Bayesian data combination approach for repeated durations under unobserved missing indicators: Application to interpurchase-timing in marketing," Computational Statistics & Data Analysis, Elsevier, vol. 126(C), pages 150-166.
    7. Bijwaard, Govert, 2011. "Unobserved Heterogeneity in Multiple-Spell Multiple-States Duration Models," IZA Discussion Papers 5748, IZA Network @ LISER.
    8. Takahiro Hoshino & Ryosuke Igari, 2017. "Quasi-Bayesian Inference for Latent Variable Models with External Information: Application to generalized linear mixed models for biased data," Keio-IES Discussion Paper Series 2017-014, Institute for Economics Studies, Keio University.
    9. Franses, Philip Hans, 2006. "Forecasting in Marketing," Handbook of Economic Forecasting, in: G. Elliott & C. Granger & A. Timmermann (ed.), Handbook of Economic Forecasting, edition 1, volume 1, chapter 18, pages 983-1012, Elsevier.
    10. Govert Bijwaard, 2010. "Regularity in individual shopping trips: implications for duration models in marketing," Journal of Applied Statistics, Taylor & Francis Journals, vol. 37(11), pages 1931-1945.
    11. Lawrence Kryzanowski & Yanting Wu, 2023. "Signaling effects of recurrent list‐price reductions on the likelihood of house sales," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 46(1), pages 99-130, February.
    12. Zhuoxin Li & Jason A. Duan, 2014. "Dynamic Strategies for Successful Online Crowdfunding," Working Papers 14-09, NET Institute.
    13. Govert Ewout Bijwaard, 2014. "Multistate event history analysis with frailty," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 30(58), pages 1591-1620.
    14. Andros Kourtellos & Charalambos G. Tsangarides, 2022. "Robust Correlates of Growth Spells: Do Inequality and Redistribution Matter?," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 84(6), pages 1302-1328, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bes:jnlbes:v:24:y:2006:p:487-502. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Christopher F. Baum (email available below). General contact details of provider: http://www.amstat.org/publications/jbes/index.cfm?fuseaction=main .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.