Multiple-Category Decision-Making: Review and Synthesis

In many purchase environments, consumers use information from a number of product categories prior to making a decision. These purchase situations create dependencies in choice outcomes across categories. As such, these decision problems cannot be easily modeled using the single-category, single-choice paradigm commonly used by researchers in marketing. We outline a conceptual framework for categorization, and then discuss three types of cross-category dependence: cross-category consideration cross-category learning, and product bundling. We argue that the key to modeling choice dependence across categories is knowledge of the goals driving consumer behavior.

[1]  D. A. Brown,et al.  Improving the Sales Forecast for Consumer Durables , 1965 .

[2]  Yoram Wind,et al.  Preference Measurement of Item Collections , 1972 .

[3]  J. Besag Spatial Interaction and the Statistical Analysis of Lattice Systems , 1974 .

[4]  Wayne D. Gray,et al.  Basic objects in natural categories , 1976, Cognitive Psychology.

[5]  V. Rao,et al.  A Balance Model for Evaluating Subsets of Multiattributed Items , 1976 .

[6]  J. Howard Consumer behavior : application of theory / John A. Howard , 1977 .

[7]  Eleanor Rosch,et al.  Principles of Categorization , 1978 .

[8]  Leigh McAlister,et al.  Choosing Multiple Items From A Product Class , 1978 .

[9]  Edward E. Smith,et al.  Categories and concepts , 1984 .

[10]  Allan D. Shocker,et al.  A Customer-oriented Approach for Determining Market Structures , 1984 .

[11]  D. Medin,et al.  The role of theories in conceptual coherence. , 1985, Psychological review.

[12]  L. Barsalou Ideals, central tendency, and frequency of instantiation as determinants of graded structure in categories. , 1985, Journal of experimental psychology. Learning, memory, and cognition.

[13]  J. Hauser Agendas and Consumer Choice , 1986 .

[14]  Claes Fornell,et al.  The Nature and Methodological Implications of the Cognitive Representation of Products , 1987 .

[15]  J. W. Hutchinson,et al.  Dimensions of Consumer Expertise , 1987 .

[16]  F. Bass,et al.  A diffusion theory model of adoption and substitution for successive generations of high-technology products , 1987 .

[17]  D. Gensch A Two-Stage Disaggregate Attribute Choice Model , 1987 .

[18]  G. Urban,et al.  You have printed the following article : Modeling Multiattribute Utility , Risk , and Belief Dynamics for New Consumer Durable Brand Choice , 2007 .

[19]  Michael D. Johnson,et al.  The Differential Processing of Product Category and Noncomparable Choice Alternatives , 1989 .

[20]  Gregory S. Carpenter,et al.  Consumer Preference Formation and Pioneering Advantage , 1989 .

[21]  B. Wernerfelt,et al.  An Evaluation Cost Model of Consideration Sets , 1990 .

[22]  B. Loken,et al.  Alternative Approaches to Understanding the Determinants of Typicality , 1990 .

[23]  P. Nedungadi Recall and Consumer Consideration Sets: Influencing Choice without Altering Brand Evaluations , 1990 .

[24]  Barton A. Weitz,et al.  Substitution in Use and the Role of Usage Context in Product Category Structures , 1991 .

[25]  Lawrence W. Barsalou,et al.  Deriving Categories to Achieve Goals , 1991 .

[26]  Allan D. Shocker,et al.  Consideration set influences on consumer decision-making and choice: Issues, models, and suggestions , 1991 .

[27]  John Roberts,et al.  Development and Testing of a Model of Consideration Set Composition , 1991 .

[28]  Irwin P. Levin,et al.  Consumer evaluation of multi-product bundles: An information integration analysis , 1991 .

[29]  Bruce G. S. Hardie,et al.  Modeling Loss Aversion and Reference Dependence Effects on Brand Choice , 1993 .

[30]  Noel A Cressie,et al.  Statistics for Spatial Data. , 1992 .

[31]  Mike Rees,et al.  5. Statistics for Spatial Data , 1993 .

[32]  K. B. Monroe,et al.  How Buyers Perceive Savings in a Bundle Price: An Examination of a Bundle's Transaction Value: , 1993 .

[33]  Jordan J. Louviere,et al.  Modeling Hierarchical Conjoint Processes with Integrated Choice Experiments , 1994 .

[34]  J. W. Hutchinson,et al.  Finding Choice Alternatives in Memory: Probability Models of Brand Name Recall , 1994 .

[35]  Susan M. Broniarczyk,et al.  The Importance of the Brand in Brand Extension , 1994 .

[36]  Greg M. Allenby,et al.  Using Extremes to Design Products and Segment Markets , 1995 .

[37]  Bari A. Harlam,et al.  Modeling Consumers’ Choices of Multiple Items , 1995 .

[38]  Allan D. Shocker,et al.  Goal-Derived Categories and the Antecedents of Across-Category Consideration , 1996 .

[39]  Gary J. Russell,et al.  Perspectives on Multiple Category Choice , 1997 .

[40]  Gary J. Russell,et al.  Modeling Multiple Category Brand Preference with Household Basket Data , 1997 .

[41]  James M. Lattin,et al.  Shopping Behavior and Consumer Preference for Store Price Format: Why Large Basket Shoppers Prefer Edlp , 1998 .

[42]  Peter E. Rossi,et al.  Similarities in Choice Behavior Across Product Categories , 1998 .

[43]  Tülin Erdem An Empirical Analysis of Umbrella Branding , 1998 .

[44]  Christopher S. Tang,et al.  Determining Where to Shop: Fixed and Variable Costs of Shopping , 1998 .

[45]  Sunil Gupta,et al.  The Shopping Basket: A Model for Multicategory Purchase Incidence Decisions , 1999 .

[46]  A. Rangaswamy,et al.  Consumer Choice Behavior in Online and Traditional Supermarkets: The Effects of Brand Name, Price, , 2000 .

[47]  V. Padmanabhan,et al.  The Decomposition of Promotional Response: An Empirical Generalization , 1999 .

[48]  Pradeep K. Chintagunta,et al.  Investigating Household State Dependence Effects across Categories , 1999 .

[49]  Barry L. Bayus,et al.  Growth models for multiproduct interactions : current status and new directions , 2000 .

[50]  Gary J. Russell,et al.  Analysis of cross category dependence in market basket selection , 2000 .

[51]  Barry L. Bayus,et al.  GROWTH MODELS FOR MULTI-PRODUCT INTERACTIONS : Current Status and New Directions , 2000 .