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Internet media planning : an optimization model

Listed author(s):
  • LEE, Janghyuk


  • KERBACHE, Laoucine


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    Of the various media vehicles available for advertising, the internet is the latest and the most rapidly growing, emerging as the ideal medium to promote products and services in the global market. In this article, the authors propose an internet media planning model whose main objective is to help advertisers determine the return they obtain from spending on internet advertising. Using available data such as internet page view and advertising performance data, the model contributes to attempts not only to optimize the internet advertising schedule but also to fix the right price for internet advertisements on the basis of the characteristics of the exposure distribution of sites. The authors test the model with data provided by KoreanClick, a Korean market research company that specializes in internet audience measurement. The optimal durations for the subject sites provide some useful insights. The findings contrast with current web media planning practices, and the authors demonstrate the potential savings that could be achieved if their approach were applied.

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    Paper provided by HEC Paris in its series Les Cahiers de Recherche with number 806.

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    Length: 29 pages
    Date of creation: 01 Dec 2004
    Handle: RePEc:ebg:heccah:0806
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    HEC Paris, 78351 Jouy-en-Josas cedex, France

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    1. John D. C. Little & Leonard M. Lodish, 1969. "A Media Planning Calculus," Operations Research, INFORMS, vol. 17(1), pages 1-35, February.
    2. Young-Hoon Park & Peter S. Fader, 2004. "Modeling Browsing Behavior at Multiple Websites," Marketing Science, INFORMS, vol. 23(3), pages 280-303, May.
    3. Rust, Roland T., 1985. "Selecting network television advertising schedules," Journal of Business Research, Elsevier, vol. 13(6), pages 483-494, December.
    4. Belch, George E, 1982. " The Effects of Television Commercial Repetition on Cognitive Response and Message Acceptance," Journal of Consumer Research, Oxford University Press, vol. 9(1), pages 56-65, June.
    5. David C. Schmittlein & Donald G. Morrison & Richard Colombo, 1987. "Counting Your Customers: Who-Are They and What Will They Do Next?," Management Science, INFORMS, vol. 33(1), pages 1-24, January.
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