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The effect of item reduction on assortment satisfaction—A consideration of the category of red wine in a controlled retail setting
Authors:Justin Beneke  Alice Cumming  Lindsey Jolly
Institution:1. Department of Marketing, Sam M. Walton College of Business, University of Arkansas, Business Building 302, Fayetteville, AR 72701, USA;2. Department of Marketing, College of Business, Washington State University, Pullman, WA 99164-4750, USA;1. National Wine and Grape Industry Centre, Charles Sturt University, Australia;2. School of Psychology, Charles Sturt University, Australia;3. School of Social Work, Charles Sturt University, Australia;1. Department of Home Economics, Korea National Open University, 169 Dongsoong-Dong Jongro-Gu, Seoul 110-791, Republic of Korea;2. College of Business Administration, Ajou University, San 5 Wonchun-Dong Youngton-Gu, Suwon 443-749, Republic of Korea;1. University of Tunis - IAE de Toulouse, CRM, UMR 5303 CNRS, 2 rue du Doyen Gabriel Marty, 31042 Toulouse Cedex 9, France;2. University Toulouse 1 Capitole, CRM, UMR 5303 CNRS, IAE de Toulouse, 2 Rue du Doyen Gabriel Marty, 31042 Toulouse, Cedex 9, France;3. CREM UMR-CNRS 6211, IGR-IAE de Rennes, Université de Rennes 1, 11 rue Jean Macé, CS 70803, 35708 Rennes Cedex 7
Abstract:This study aims to investigate the effect of item reduction on assortment satisfaction within the red wine category. The study conducted an online experiment using a simulated online wine store. Lowest selling wines were removed after the first buying phase, and the respondents repeated the browsing process in the reduced assortment. A questionnaire measured the shift in perceptions. The results show that assortment perceptions can be maintained in the face of item reduction. There is also a strong association between category familiarity and assortment satisfaction, with differing levels of assortment satisfaction between high and low category familiarity groups. The presence of a favourite item also plays a role in maintaining assortment perceptions. The results suggest that retail managers can reduce assortments by removing low selling items while not affecting customers' assortment perceptions. Furthermore item reduction can be used to increase consumers' satisfaction if they are unfamiliar with the product category. This particular study is limited in the sense that the results were obtained exclusively in an online environment. Future studies may therefore be useful in validating these results in brick and mortar wine outlets.
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