nep-mkt New Economics Papers
on Marketing
Issue of 2012‒05‒29
seven papers chosen by
Joao Carlos Correia Leitao
University of Beira Interior and Technical University of Lisbon

  1. Customer satisfaction and brand equity. By Torres, Anna; Tribó, Josep A.
  2. Push-Me Pull-You: Comparative Advertising in the OTC Analgesics Industry By Anderson, Simon P; Ciliberto, Federico; Liaukonyte, Jura; Renault, Régis
  3. Strategic loyalty reward in dynamic price Discrimination By Bernard Caillaud; Romain De Nijs
  4. Consommer des produits alimentaires locaux : comment et pourquoi ? By Aurelie Merle; Piotrowski Mathilde
  5. Age-Based Heterogeneity and Pricing Regulation on the Massachusetts Health Insurance Exchange By Keith M. Marzilli Ericson; Amanda Starc
  6. The relevance of marketing in the success of innovations By Abraham Garcia
  7. Decomposing the Tourist’s Satisfaction Gap: The Role of Expectations and Cognitions By Díaz Serrano, Lluís

  1. By: Torres, Anna; Tribó, Josep A.
    Abstract: The study here examines the interaction between shareholder value and customer satisfaction, as well as the impact on a firm's brand equity. Customer satisfaction may have a positive effect on brand equity, except when managers show excessive customer orientation, in which case the effect is negative because of reductions in shareholder value. The empirical analysis uses incomplete panel data pertaining to 69 firms from 11 nations during the period 2002–2005 and supports the theoretical contentions. This result warns of the perverse effect on brand equity of implementing policies focused exclusively on satisfying customers at the expense of shareholders' interests.
    Keywords: Corporate social responsibility; Brand equity; Shareholders' commitment; Customer loyalty;
    Date: 2011–10
  2. By: Anderson, Simon P; Ciliberto, Federico; Liaukonyte, Jura; Renault, Régis
    Abstract: We model comparative advertising as brands pushing up own brand perception and pulling down the brand image of targeted rivals. We watched all TV advertisements for OTC analgesics 2001-2005 to construct matrices of rival targeting and estimate the structural model. These attack matrices identify diversion ratios and hence comparative advertising damage measures. We find that outgoing comparative advertising attacks are half as powerful as self-promotion in raising own perceived quality and cause more damage to the targeted rival than benefit to the advertiser. Comparative advertising causes most damage through the pull-down effect and has substantial benefits to other rivals.
    Keywords: advertising targets; analgesics; attack matrix; comparative advertising; diversion ratios; push and pull effects
    JEL: L13 L65 M37
    Date: 2012–05
  3. By: Bernard Caillaud (EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris, PSE - Paris-Jourdan Sciences Economiques - CNRS : UMR8545 - Ecole des Hautes Etudes en Sciences Sociales (EHESS) - Ecole des Ponts ParisTech - Ecole Normale Supérieure de Paris - ENS Paris - INRA); Romain De Nijs (EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris, CREST - Centre de Recherche en Économie et Statistique - INSEE - École Nationale de la Statistique et de l'Administration Économique)
    Abstract: This paper proposes a dynamic model of duopolistic competition under behaviorbased price discrimination with the following property: in equilibrium, a firm may reward its previous customers although long term contracts are not enforceable. A firm can offer a lower price to its previous customers than to its new customers as a strategic means to hamper its rival to gather precise information on the young generation of customers for subsequent profitable behavior-based pricing. The result holds both with myopic and forward-looking, impatient enough consumers.
    Keywords: Price discrimination ; Dynamic pricing ; Loyalty reward
    Date: 2011–09
  4. By: Aurelie Merle (MKT - Marketing - Grenoble École de Management (GEM), ICC - Institut du Capital Client - Grenoble École de Management (GEM)); Piotrowski Mathilde (CoActis - Université Jean Monnet - Saint-Etienne : EA4161)
    Abstract: Cet article apporte un éclairage sur la consommation alimentaire de produits locaux, qui serait privilégiée par 83% des français en 2010. Après avoir défini le concept, la perspective consommateur et les stratégies développées pour se positionner sur ce marché sont abordées autour de quatre motivations : la réduction des risques sanitaires, la redécouverte des saveurs, la volonté de consommer responsable et la recherche de lien social. L'analyse s'appuie notamment sur une étude qualitative menée auprès de 52 acheteurs de produits locaux dans différents circuits. Au final, l'accent est mis sur trois enseignements managériaux clés.
    Keywords: Consommation alimentaire locale; produits locaux; circuits courts; marketing agroalimentaire; lien producteur-consommateur
    Date: 2011–07–11
  5. By: Keith M. Marzilli Ericson; Amanda Starc
    Abstract: Little is known about consumer behavior or insurer incentives in health insurance exchanges. We analyze choice on the Massachusetts exchange, using coarse insurer pricing strategies to identify price sensitivity. We find substantial age-based heterogeneity: younger individuals are more than twice as price sensitive as older individuals. Modified community rating regulations interact with price discrimination, as our results imply higher markups on older consumers. Age-based pricing regulations would bind even conditional on perfect risk adjustment, highlighting the importance of considering insurer incentives when regulating insurance markets. Changes in age-based pricing regulation can result in transfers of 8% of the purchase price.
    JEL: I11
    Date: 2012–05
  6. By: Abraham Garcia (JRC-IPTS)
    Abstract: This paper focuses on marketing expenditures and their relation with R&D investments and innovative sales. A higher investment in R&D is associated with the production of a higher quality or faster innovation, with a positive impact on sales and in a macro sense, an increase of GDP. This paper raises the issue that good innovation need a strong marketing effort in order for this innovation to have an impact on sales, it needs to be desired by consumers. This paper finds empirical evidence that marketing expenditures explain a lot of the success of the innovation 0.5 to 0.7% (measured in terms of the elasticity of this effort to innovative sales), even more than the flow of investment in R&D(which counts for 0.3 %). In fact, the size of the coefficient for marketing doubles those found for R&D, a quite surprising result taking into consideration the little importance that marketing has in innovation studies. The paper uses Community Innovation Survey data, the third wave (CIS 3) and set up a system of simultaneous equations like in Crepon et al. (1998).
    Date: 2011–12
  7. By: Díaz Serrano, Lluís
    Abstract: In this paper we present an empirical methodology that allows the tourist’s satisfaction gap between two destinations to be decomposed into two components. One explains the role of differences in observed characteristics of the tourists and the stay (endowments). The other captures the share of the gap due to differences in the utility that tourists derive from those characteristics (cognitive). To illustrate the use of this method, we employ data coming from a sample of tourists visiting two touristic enclaves in Tarragona (Spain). Our results indicate that the cognitive component explains most of the satisfaction gap. Keywords: Satisfaction, expectations, cognition, touristic destination
    Keywords: Turistes, Consumidors -- Satisfacció, Destinacions turístiques, 338 - Situació econòmica. Política econòmica. Gestió, control i planificació de l'economia. Producció. Serveis. Turisme. Preus,
    Date: 2012

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