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Advances in National Brand and Private Label Marketing pp 71–81Cite as

The Relationship Between Assortment Size and Category Sales: A Panel Data Analysis on National Brands and Private Labels

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Part of the book series: Springer Proceedings in Business and Economics ((SPBE))

Abstract

Assortment is one of the most important tools for retailers differentiating themselves from competitors, attracting customers into the store and increasing their sales. This paper analyzes the relationship between assortment size—in terms of number of Stock Keeping Units—and category sales level, differentiating between National brands (NBs) and Private Labels (PLs). In order to do this, a panel database containing information about weekly assortment size and volume sales between 2009 and 2014 for all supermarkets operating in Spain is used. Our results confirm a positive and significant relationship between both aspects; nevertheless, the intensity of such result depends on the type of brand (NB vs. PL) but also on the frequency and penetration of the category under study.

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Notes

  1. 1.

    More details about the estimation process are available from the corresponding author upon request.

  2. 2.

    Except for fresh bread (NBs), as there were no autocorrelation problems for such a category. Optimal estimation of the model does not include Wald-test but R-squared as reported in Table 1.

  3. 3.

    ×10,000.

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Acknowledgments

The authors wish to acknowledge the financial support provided by the Fundación Ramón Areces (Spain)

Author information

Authors and Affiliations

  1. School of Economics and Business, Agrifood Campus of International Excellence ceiA3, University of Almería, Almería, Spain

    Juan Carlos Gázquez-Abad

  2. Business School, University of Granada, Granada, Spain

    Francisco J. Martínez-López

  3. Open University of Catalonia, Barcelona, Spain

    Francisco J. Martínez-López

Authors
  1. Juan Carlos Gázquez-Abad
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  2. Francisco J. Martínez-López
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Corresponding author

Correspondence to Juan Carlos Gázquez-Abad .

Editor information

Editors and Affiliations

  1. Department of Business Administration, University of Granada, Granada, Spain

    Francisco J. Martínez-López

  2. Department of Economy and Business, University of Almeria, Almeria, Spain

    Juan Carlos Gázquez-Abad

  3. Cox School of Business, Southern Methodist University, Dallas, TX, USA

    Raj Sethuraman

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Gázquez-Abad, J.C., Martínez-López, F.J. (2015). The Relationship Between Assortment Size and Category Sales: A Panel Data Analysis on National Brands and Private Labels. In: Martínez-López, F., Gázquez-Abad, J., Sethuraman, R. (eds) Advances in National Brand and Private Label Marketing. Springer Proceedings in Business and Economics. Springer, Cham. https://doi.org/10.1007/978-3-319-20182-5_8

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