Edited by Natalie Mizik and Dominique M. Hanssens
Natalie Mizik and Dominique M. Hanssens
Natalie Mizik and Eugene Pavlov
We review panel data models popular in marketing applications and highlight some issues, potential solutions, and trade-offs that arise in their estimation. Panel data studies controlling for unobservables often show dramatically different estimates than cross-sectional studies. We focus on models with unobservable individual-specific effects and address some misconceptions appearing in marketing applications.
Natalie Mizik and Robert Jacobson
We illustrate the application of dynamic panel data methods using the direct-to-physician (DTP) pharmaceutical promotions data described in an article by Mizik and Jacobson (2004). Specifically, we focus on using panel data methods to determine appropriate model specification and to demonstrate how dramatically the estimates of the DTP effectiveness change across various common model (mis)-specifications.