Began by describing market changes that may influence the patterns of elasticities observed from an earlier highly regarded meta-analysis by Assmus. Research found that they supported five findings from Assmus, and 7 new ones.
Other things being equal , advertising favors durables and growth products.
Confirms a finding talked about across the two days, that the average elasticity is .1., and that the long-term effect is about twice the short-term impact.
I recently helped a friend compute the advertising elasticity for his business and it came out quite a bit higher than that…more like 0.8.
If the actual long term and short term effects are only 0.3 combined its hard to imagine why anyone bothers to advertise.
I put the results and methodology online at my blog – http://seanharper.net/