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Consumers' Extent of Evaluation in Brand Choice

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  • Murthi, B P S
  • Srinivasan, Kannan

Abstract

Brand choice models implicitly assume that consumers incorporate all relevant marketing information such as price, display, and feature for key brands on each purchase occasion. The authors examine whether consumers actively evaluate the brands on every occasion. They propose a multistate choice model with varying levels of evaluation and estimate the model with scanner data. In addition, the authors study the effect of household demographics, occasion-specific factors, as well as unmeasured household and purchase occasion factors on the extent of evaluation. The results indicate that consumers do not evaluate brands on all occasions. The authors discuss the implications of such limited evaluation. Copyright 1999 by University of Chicago Press.

Suggested Citation

  • Murthi, B P S & Srinivasan, Kannan, 1999. "Consumers' Extent of Evaluation in Brand Choice," The Journal of Business, University of Chicago Press, vol. 72(2), pages 229-256, April.
    • Handle: RePEc:ucp:jnlbus:v:72:y:1999:i:2:p:229-56
    DOI: 10.1086/209612
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    Cited by:

    1. Wolf, Marianne McGarry & McVey, Colin M., 2001. "A Profile Of The Generation X Wine Consumer In California," Journal of Food Distribution Research, Food Distribution Research Society, vol. 32(1), pages 1-5, March.
    2. Murthi, B.P.S. & Rao, Ram C., 2012. "Price Awareness and Consumers’ Use of Deals in Brand Choice," Journal of Retailing, Elsevier, vol. 88(1), pages 34-46.
    3. Nitin Mehta & Surendra Rajiv & Kannan Srinivasan, 2003. "Price Uncertainty and Consumer Search: A Structural Model of Consideration Set Formation," Marketing Science, INFORMS, vol. 22(1), pages 58-84, June.
    4. Akhter, Syed H., 2003. "Digital divide and purchase intention: Why demographic psychology matters," Journal of Economic Psychology, Elsevier, vol. 24(3), pages 321-327, June.
    5. Demetrios Vakratsas & Frank M. Bass, 2002. "A segment-level hazard approach to studying household purchase timing decisions," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 17(1), pages 49-59.
    6. Kim, Hye-Young & Lee, Min-Young, 2010. "Emotional loyalty and share of wallet: A contingency approach," Journal of Retailing and Consumer Services, Elsevier, vol. 17(5), pages 333-339.

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