The aim of this study is to examine the relationship between retailer brand (RB) market shares and consumer prices. Furthermore it investigates whether changes in category price and expenditure are due to changes in customer purchase patterns or changes in relative price levels (price gap) of RBs and national brands (NBs). Data from the market research company GfK's consumer household panel, comprised of purchases made by 3000 Swedish households, for 35 randomly chosen grocery categories during the time period 2001–2004, is analysed. Results show a weak but significant negative relation between RB market share size, and the consumer prices in terms of household expenditures. The price level and changes in price level are first of all due to change in prices of the market leader and secondly due to changes in customer purchase patterns. The results also show some evidence that RBs have greater impact on prices initially, when the RB market share grows from 0% to 10%.
SAMHÄLLSVETENSKAP -- Ekonomi och näringsliv (hsv//swe)
SOCIAL SCIENCES -- Economics and Business (hsv//eng)
SAMHÄLLSVETENSKAP -- Ekonomi och näringsliv -- Företagsekonomi (hsv//swe)
SOCIAL SCIENCES -- Economics and Business -- Business Administration (hsv//eng)