Implications for Asymmetry, Nonproportionality, and Heterogeneity in Brand Switching from Piece-Wise Exponential Mixture Hazard Models

Journal of Marketing Research, Vol. 32, November 1995

6 Pages Posted: 23 Mar 2014

See all articles by Michel Wedel

Michel Wedel

University of Maryland - Robert H. Smith School of Business, Marketing Department; University of Groningen - Faculty of Economics and Business

Wagner A. Kamakura

Rice University

Wayne S. DeSarbo

Pennsylvania State University

Frenkel Ter Hofstede

University of Texas at Austin - Department of Marketing

Date Written: 1995

Abstract

The authors develop a class of mixtures of piece-wise exponential hazard models for the analysis of brand switching behavior. The models enable the effects of marketing variables to change nonproportionally over time and can, simultaneously, be used to identify segments among which switching and repeat buying behavior differ. Several forms of asymmetry in brand switching are accommodated. The authors provide an application to the analysis of scanner panel data on ketchup, which illustrates the implications for asymmetry, nonproportionality, and heterogeneity. The results show that the model predicts purchases and purchase timing in holdout data better than the models proposed by Kamakura and Russell (1989} and Vilcassim and Jain (1991).

Suggested Citation

Wedel, Michel and Kamakura, Wagner A. and DeSarbo, Wayne S. and Ter Hofstede, Frenkel, Implications for Asymmetry, Nonproportionality, and Heterogeneity in Brand Switching from Piece-Wise Exponential Mixture Hazard Models (1995). Journal of Marketing Research, Vol. 32, November 1995. Available at SSRN: https://ssrn.com/abstract=2412742

Michel Wedel (Contact Author)

University of Maryland - Robert H. Smith School of Business, Marketing Department ( email )

College Park, MD 20742
United States
301.405.2162 (Phone)
301.405.0146 (Fax)

HOME PAGE: http://www.rhsmith.umd.edu/marketing/faculty/wedel.html

University of Groningen - Faculty of Economics and Business ( email )

Postbus 72
9700 AB Groningen
Netherlands

Wagner A. Kamakura

Rice University ( email )

6100 South Main Street
P.O. Box 1892
Houston, TX 77005-1892
United States
(713) 348-6307 (Phone)

Wayne S. DeSarbo

Pennsylvania State University ( email )

University Park
State College, PA 16802
United States

Frenkel Ter Hofstede

University of Texas at Austin - Department of Marketing ( email )

Austin, TX
United States

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