Forty potential transfer students from Northwest Arkansas Community College visited the Sam M. Walton College of Business at the University of Arkansas to learn about programs, resources and curriculum in the college. Continue reading Potential Transfer Students Learn About Programs, Resources, Curriculum
Growing up in the country holds many memories for Brittany Stettmeier, like family football after tending to the livestock. It was a ritual she remembers fondly. Her father played semi-professional football while her mother was a rugby team member. Continue reading EPIC Spotlight: Brittany Stettmeier
Marketing students at the Sam M. Walton College of Business helped a Fayetteville company rebrand itself so it can in turn help students Do College Better. Continue reading Students Helping Student-Centered Business Rebrand
Often things are too close to call, and such was the case when student teams pitched their social and environmental design solutions to a panel of faculty and expert judges at the second Social Innovation Challenge. Continue reading Two Teams Share Win at Social Innovation Challenge
Bradley J. Allen, an assistant professor of marketing at the Walton College, has had his research paper “Design Crowdsourcing: The Impact on New Product Performance of Sourcing Design Solutions from the ‘Crowd’” accepted for publication in the Journal of Marketing. Continue reading Allen Publishes Crowdsourcing Research in Journal of Marketing
A collaboration between professors in business and exercise science is adding knowledge to the research fields of both, as well as practical information for Digimarc Corporation, a corporate sponsor of the McMillon Innovation Studio at the University of Arkansas. Continue reading Colleges Collaborate on Research into Efficiency, Physical Aspects of UPC Methods
Jessica Salmon was named director of the Center for Retailing Excellence for the Sam M. Walton College of Business at the University of Arkansas, effective July 17. Previously, she served as director of Finance and Strategy for Walmart U.S. Continue reading Salmon Named Director of Center for Retailing Excellence
University of Arkansas alumni John and Tamara Roberts, along with their children — alumnus Connor Roberts and current student Blakely Roberts — have made a family gift through Campaign Arkansas to help support study abroad opportunities at the university. Continue reading Study Abroad Experience Inspires Campaign Gift From Roberts Family
Alissa Gardner wouldn’t take no for an answer.
As a senior with a double major in marketing and supply chain management at the Sam M. Walton College of Business, Gardner had her sights on a career with Google, the multinational company that’s probably best known for its web browser and associated products. Continue reading EPIC SPOTLIGHT: Alissa Gardner
It’s here, in a series of store-level studies
(Release from the Journal of Retailing)
Deep discounting by retailers, accompanied by a blitz of promotions, is a long-established and well-accepted strategy for boosting brand and category sales. But relatively few studies have analyzed store-level data in an effort to compile systematic empirical evidence on the impact of deep discounting on such store performance metrics as traffic, sales, and profits. New research delves into the numbers to find out if the received wisdom is justified.
In “An Empirical Analysis of the Impact of Promotional Discounts on Store Performance,” Dinesh K. Gauri, a Walton College marketing professor, and co-authors Brian Ratchford, Joseph Pancras, and Debabrata Talukdar gathered data from 24 branches of a grocery chain in the Northeastern US over 49 weeks. Their analysis of several different metrics, to be published in the September 2017 issue of the Journal of Retailing, showed that that deep discounting is a valid strategy supported by the numbers, with the caveat that broad discounting in a category may lead to diminishing returns.
For each week in each of the two dozen stores, the authors compiled data on overall traffic, sales per transaction, and margin, for a total of 13,815 transactions, with a mean value of $15.44 and margin of 23.6 percent. They looked at the impact of loss leader strategies, including promotional expenditures, on penetration and frequency, impulse buying, stockpiling, and store brands. Besides confirming the legitimacy of the strategy in general, they unearthed insights that could help shape retailing strategy.
Among the findings that can give retailers an edge: the data showed that discounts on high-penetration, high-frequency items – staples such as meat and produce – and low-penetration, low-frequency items – fill-ins, like beer and spreads – led to increased traffic but lower sales per transaction, suggesting that these features tend to attract small-ticket customers. However, discounts in these categories were associated with higher margins, especially with the low-penetration, low-frequency category, suggesting that the smaller transactions generated by the discounts tend to contain an above-average number of high-margin items in addition to the discounted items – a result driven mainly by beer, which was featured almost every week.