1 Department of Marketing and Statistics, Aarhus School of Business, Aarhus BSS, Aarhus University2 MAPP - Centre for Research on Customer Relations in the Food Sector, Aarhus School of Business, Aarhus BSS, Aarhus University3 Department of Management, Aarhus BSS, Aarhus University4 University of Ioannina5 Department of Management, Aarhus BSS, Aarhus University
Nowadays, in most of the developed fast-moving consumer goods' markets store brands (i.e. retailer brands or private labels) have managed to establish a conciderable share in the retail market. Moreover, it is well known that store brands are perceived as strong competitors to manufacturer brands, while offering good value for money. There is a large body of literature explaining and further exploring factors that influence loyalty towards store brands (e.g. among others Steenkamp and Dekimpe, 1997; Dhar and Hoch, 1997; Ailawadi and Keller, 2004). The objective of the work is to investigate the potential existence of differences in the loyalty behavior between store brands and manufacturer brands, as expressed through certain brand performance and loyalty measures (e.g. market shares, penetration, purchase frequencies, repeat rate, etc.). In order to meet the above escribed objective, panel data from the soft-drinks market in Greece are used, with the premise to investigate brand performance and loyalty of store brands. Observed loyalty measures are benchmarked against predictions from the Dirichlet model (Ehrenberg, Uncles and Goodhardt 2004). The aim of this work is, first, to explore patronage between store and manufacturer brands; and second, to investigate loyalty patterns both at the overall soft drink category level, as well as on a set of selected soft-drink subcategories (e.g. colas, mixers, etc.).
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17<sup>th</sup> European Institute of Retailing and Services Studies (EIRASS), 2010