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Advertising effects on awareness, consideration and brand choice using tracking data

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  • Franses, Ph.H.B.F.
  • Vriens, M.

Abstract

Using weekly data on advertising expenditures in various media and response data on awareness, consideration and choice, we test the hierarchy of effects hypothesis. Our empirical results, based on a simultaneous equations model with pooled parameters across brands, suggest that we can reject this hypothesis convincingly. Next, we consider a vector error correction model, again with pooled parameters, to see if there are dynamic effects of advertising. For the category under scrutiny, we find that most advertising effects exist for awareness, although at the same time there are effects for choice. Newspaper advertising turns out to be most influential.

Suggested Citation

  • Franses, Ph.H.B.F. & Vriens, M., 2004. "Advertising effects on awareness, consideration and brand choice using tracking data," ERIM Report Series Research in Management ERS-2004-028-MKT, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    • Handle: RePEc:ems:eureri:1266
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    References listed on IDEAS

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    1. Robert P. Leone, 1995. "Generalizing What Is Known About Temporal Aggregation and Advertising Carryover," Marketing Science, INFORMS, vol. 14(3_supplem), pages 141-150.
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    Cited by:

    1. Elisabeth Honka & Ali Hortaçsu & Maria Ana Vitorino, 2017. "Advertising, consumer awareness, and choice: evidence from the U.S. banking industry," RAND Journal of Economics, RAND Corporation, vol. 48(3), pages 611-646, August.
    2. Dominique M. Hanssens & Koen H. Pauwels & Shuba Srinivasan & Marc Vanhuele & Gokhan Yildirim, 2014. "Consumer Attitude Metrics for Guiding Marketing Mix Decisions," Marketing Science, INFORMS, vol. 33(4), pages 534-550, July.

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    More about this item

    Keywords

    advertising; awareness; choice; consideration;
    All these keywords.

    JEL classification:

    • C44 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Operations Research; Statistical Decision Theory
    • M - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics
    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing
    • M37 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Advertising

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