Multistage multiproduct advertising budgeting
AbstractWe propose and analyze an effective model for the Multistage Multiproduct Advertising Budgeting problem. This model optimizes the advertising investment for several products, by considering cross elasticities, different sales drivers and the whole planning horizon. We derive a simple procedure to compute the optimal advertising budget and its optimal allocation. The model was tested to plan a realistic advertising campaign. We observed that the multistage approach may significantly increase the advertising profit, compared to the successive application of the single stage approach.
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Bibliographic InfoArticle provided by Elsevier in its journal European Journal of Operational Research.
Volume (Year): 225 (2013)
Issue (Month): 1 ()
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Web page: http://www.elsevier.com/locate/eor
Marketing; Advertising budgeting; Market response models; Convex programming; Multistage optimization;
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