Some tests for suitability of brand switching model

Abstract

In the context of strategic marketing and market commitment models, modeling of brand switching behaviour of consumers is of extreme use in determining the performance potential of the existing players. This paper revisits the static models of Ehrenberg and Hendry and introduces a dynamic model of brand switching based on market shares. In terms of a χ² measure of closeness, these three models have been compared to ascertain their modeling performances. A case study has been carried out for the field of sanitary napkin to give some further insight into this problem. Studies have also been included for a few FMCG items. In all the cases, the proposed model gives a better description of the actual situation than the existing static models.

Citation

Roy, D. and Lahiri, I. (2004), "Some tests for suitability of brand switching model", European Journal of Marketing, Vol. 38 No. 5/6, pp. 524-536. https://doi.org/10.1108/03090560410529196