1. Advertising quality in sales response models
- Author
-
Arnold, Stephen J., Oum, Tae H., Pazderka, Bohumir, and Snetsinger, Douglas W.
- Subjects
Advertising campaigns -- Prices and rates ,Sales promotions -- Economic aspects ,Advertising -- Economic aspects ,Selling -- Models ,Advertising, marketing and public relations ,Business - Abstract
Hedonic price theory is adapted to advertising. A quality-adjusted advertising spending function is embedded in a sales response model and the parameters of both equations are estimated in one step. The procedure provides an alternative to the judgmental aggregation of attributes of advertising quality into a single value. The results permit comparison of the sales effects of variations in advertising spending with the effects of variations in copy quality, and permit computation of an advertising figure that accounts for both copy quality and actual spending. A pilot study illustrates the procedure. (Reprinted by permission of the publisher.)
- Published
- 1987