Implications of Dynamic Buying and Selling Patterns for Firm Performance

This dissertation examines strategic challenges in marketing, focusing on salesperson performance and customer retention. The first essay investigates the strategic implications of sales momentum by distinguishing between past success with non-customers (“hunting momentum”) and past success with current customers (“farming momentum”). Analyzing CRM data from a Fortune 500 firm, this study reveals that hunting momentum increases lead pursuit but lowers conversion likelihood, while farming momentum enhances conversions without affecting pursuit decisions. Experimental work further demonstrates that these effects stem from distinct attributions about past success, which shape future salesperson behavior. These findings highlight the need for managers to strategically intervene when salespeople experience hunting momentum to prevent inefficient pursuit of leads. The second essay explores the strategic impact of temporary consumption reduction, such as Dry January, on long-term customer retention and spending patterns. By analyzing transaction data from a major alcohol retailer, this study evaluates how firms can anticipate shifts in demand and leverage alternative products to sustain profitability. Together, these essays contribute to marketing strategy by identifying key drivers of sales effectiveness and customer retention, offering actionable insights for firms navigating dynamic market conditions.