Have the Patterns of Advertising Elasticities Changed Since the 80s?

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.

Advertisements

1 Response to “Have the Patterns of Advertising Elasticities Changed Since the 80s?”


  1. 1 sean harper January 21, 2009 at 6:58 pm

    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/


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s





%d bloggers like this: