Using data collected on new products presented to a major channel intermediary, the authors estimate logistic regression models to describe the intermediary's accept/reject decisions for those products. Results indicate how different variables influence those decisions. The logistic model is shown to fit extremely well with excellent validation performance. Implications of these results for marketing strategies and for improving performance of the marketing system are discussed.
Get full access to this article
View all access options for this article.
References
1.
AdamsW. J., and YellenJ. L. (1976), “Commodity Bundling and the Burden of Monopoly,”Quarterly Journal of Economics, 90 (August), 475–98.
2.
ChevalierMichel, and CurhanRonald C. (1976), “Retail Promotions as a Function of Trade Promotions: A Descriptive Analysis,”Sloan Management Review, 18 (Fall), 19–32.
3.
ConnorJohn M. (1981), “Food Product Proliferation: A Market Structure Analysis,”American Journal of Agricultural Economics, 63 (November), 607–17.
4.
CurhanRonald C., and KoppRobert J. (1986), “Factors Influencing Grocery Retailers' Support of Trade Promotions,” Marketing Science Institute Working Paper, Report No. 86–104.
5.
CurhanRonald C., and KoppRobert J. (1987/88), “Obtaining Retailer Support for Trade Deals: Key Success Factors,”Journal of Advertising Research, 27 (December 1987—January 1988), 51–60.
6.
DFS-Dorland (1986), New Product News.Chicago: Gorman Publishing.
7.
Food Marketing Institute (1986), “Food Industry Speaks.”Washington, DC: Food Marketing Institute.
8.
Fortune (1986), “The King of Suds Reigns Again,”114 (August 4), 130–3.
9.
GrashofJohn F. (1970), “Supermarket Chain Product Mix Decision Criteria: A Simulation Experiment,”Journal of Marketing Research, 7 (May), 235–42.
10.
HammLarry G. (1981), “The Impact of Food Distributor Procurement Practices on Food System Structure and Coordination,” N.C. Project 117, WP-58, University of Wisconsin (November).
11.
HardyKenneth G. (1986), “Key Success Factors for Manufacturers' Sales Promotions in Package Goods,”Journal of Marketing, 50 (July), 13–23.
12.
HarrellFrank E. (1986), “The LOGIST Procedure,” in SAS User's Guide.Cary, NC: SAS Institute, Inc.
13.
HeelerRoger M., KearneyMichael J., and MehaffeyBruce J. (1973), “Modeling Supermarket Product Selection,”Journal of Marketing Research, 10 (February), 34–7.
14.
LevyMichael, WebsterJohn, and KerinRoger (1983), “Formulating Push Marketing Strategies: A Method and Application,”Journal of Marketing, 47 (Winter), 25–34.
15.
McLaughlinEdward W., and RaoVithala R. (1988), “An Exploratory Modeling of the Decision Process for New Product Selection by Supermarket Buyers,”Agribusiness: An International Journal, 4 (April), 177–85.
16.
MontgomeryDavid B. (1975), “New Product Distribution: An Analysis of Supermarket Buyer Decisions,”Journal of Marketing Research, 12 (August), 255–64.
17.
MorrisonDonald G. (1969), “On Interpretation of Discriminant Analysis,”Journal of Marketing Research, 6 (May), 156–63.
18.
New York Times (1988), “For New Products, Entry Fee is High” (January 7), p. 1.
19.
NielsenA. C. (1986), Nielsen Early Intelligence Systems.Chicago: A. C. Nielsen.
20.
RobinsonPatrick J. (1981), “Comparison of Pre-Test Market New-Product Forecasting Models,” in New-Product Forecasting, WindY., MahajanV., and CardozoR. N., eds. Lexington, MA: Lexington Books, 181–204.
21.
SchererF. M. (1979), “The Welfare Economics of Product Variety: An Application to the Ready-to-Eat Cereals Industry,”Journal of Industrial Economics, 28 (December), 113–34.
22.
SchmalenseeRichard (1978), “Entry Deterrence in the Ready-to-Eat Breakfast Cereal Industry,”Bell Journal of Economics, 9 (Autumn), 305–27.
23.
Supermarket News (1984), “Distributor Demand Sharpens for New Product Incentives” (August 27).
24.
WalkerStrother H., and DuncanDavid B. (1967), “Estimation of the Probability of an Event as a Function of Several Independent Variables,”Biometrika, 54, 167–78.