An Analysis of Customer's Shopping Trip Behavior to Department Store

Abstract

The purpose of this research is to reveal how the marketing mix strategy in the department store influences the customer’s shopping trip behavior to the department store. The model represents the mechanism of frequency of coming to the stores with framework of an hierarchical Bayes Poisson regression model. The model includes three explanatory variables: “Store loyalty”, “Direct mail”, and “Events”. These variables are also modeled by functional form with parameters. As a result, we could confirm that direct mail is one of the marketing mix variables that have the most effect on frequency of coming to the store.