Advertising pre-testing (or copy testing) is often employed in sales forecasting. It helps to quantify the impact of advertising on generating awareness, trial and repeat purchases. This paper reviews existing copy testing practices and makes some practical recommendations in the context of...

Online advertising campaigns often consist of multiple ads, each with different creative content. We propose a model that evaluates the effectiveness of each creative in a campaign given the targeted individual’s ad impression history, as characterized by the timing and mix of previously seen...

This paper shows how a firm can use non-targeted advertising to exploit consumers' desire for social status. A monopolist sells multiple varieties of a good to consumers who each care about what others believe about his wealth. Advertising allows consumers both to buy different varieties and to...

The optimal control problem of determining advertising efforts for a seasonal good in a heterogeneous market is considered. We characterize optimal advertising exposures under different conditions: the general situation in which several wide-spectrum media are available, under the assumption of...

It has been argued that internet search is a two-sided process where consumer and advertiser demand form a feedback loop, an effect that has contributed to high concentration in newspapers, yellow pages and the magazine industries. This paper employs a simultaneous equations model to test for a...

Search engines enable advertisers to target consumers based on the query they have entered. In a framework in which consumers search sequentially after having entered a query, I show that targeting reduces search costs, improves matches and intensifies price competition. However, a...

Whereas everyone recognizes that increasing obesity rates worldwide are driven by a complex set of interrelated factors, the marketing actions of the food industry are often singled out as one of the main culprits. But how exactly is food marketing making us fat? To answer this question, we...

Mobile phone advertisements, in the form of text messages (SMS), have been recognized as an important form of product promotion. The purpose of this paper is to investigate factors influencing the effectiveness of SMS advertising by using a hierarchy of effects approach. We employ a simulated...

This paper examines the impact of social capital on advertising performance in an online social network. Specifically, I show that a widely-employed measure of social capital - network constraint - explains variation in the number of click-throughs received by 5986 banner advertisements...

We model the idea that when consumers search for products, they first visit the firm whose advertising is more salient. The gains a firm derives from being visited early increase in search costs, so equilibrium advertising increases as search costs rise. This may result in lower firm profits...