Category Management (category + management)

Distribution by Scientific Domains
Business, Economics, Finance and Accounting100%

Selected Abstracts

Creating cluster-specific purchase profiles from point-of-sale scanner data and geodemographic clusters: improving category management at a major US grocery chain

JOURNAL OF CONSUMER BEHAVIOUR, Issue 2 2004
Peter Duchessi
Abstract In the retail grocery industry, category management is the process of managing categories of products for greater profitability and customer value. Category management is a data-driven process and, as a result, can benefit from point-of-sale (POS) scanner data. This paper describes the results of a one-year project that shows how to use POS scanner data and geodemographic clusters to improve the practice of category management at Price Chopper, a large US grocery chain. The paper demonstrates how to merge POS scanner data with geodemographic clusters to create detailed purchase profiles that provide valuable information to category managers. It also discusses the trials and tribulations of using scanner data and provides several findings as implications (eg store-specific promotions should be more effective than chain-wide promotions for stores servicing a small number of geodemographic clusters with distinct shopping profiles) that supermarket managers can immediately use to improve existing promotional strategies. The paper's contents should be relevant to academicians and practitioners interested in improving the practice of category management in the UK, USA, Western Europe and Australia. Copyright © 2004 Henry Stewart Publications. [source]

Relationship between product groups' price perceptions, shopper's basket size, and grocery store's overall store price image

PSYCHOLOGY & MARKETING, Issue 10 2003
Kalpesh Kaushik Desai
This research investigates how consumers form an overall store price image (OSPI) of grocery stores. Whereas prior research on this topic has explored the influence of the number of products offered at lower prices and of the magnitude of such price reduction, this study addresses the following two questions: How do the (lower) prices offered on different types of products influence OSPI? Does such influence vary across consumers, and, if so, how? A general framework of product-price saliency on consumers' OSPI is developed and tested. Specifically, based on two product-related factors,consumption span (length of time required to finish the consumption of a standard unit of the product) and unit price, grocery-store products are classified into four exhaustive and mutually exclusive product groups, and the relationship between OSPI and group-level price perceptions across the four product groups is examined. The framework also examines to what extent this relationship is moderated by consumers' shopping-basket size. Consistent with the proposed framework, this research finds strong empirical evidence of a systematic but differential relationship between OSPI and product group-level price perceptions and also a systematic interaction effect with consumers' basket size. The findings help to identify focal product categories across distinct consumer segments and thus hold important strategic implications for category management and target marketing that are likely to increase the overall effectiveness of retail promotional strategies. © 2003 Wiley Periodicals, Inc. [source]