The hidden powers of advertising investments

M.G. Dekimpe, D.M. Hanssens

Research output: Chapter in Book/Report/Conference proceedingChapterScientificpeer-review


Advertising remains not only a very visible marketing instrument, it is also one of the most-often used marketing tools. Still, when looking at the sales response it generates in consumer-good markets, a typical advertising elasticity is small at best. This raises the question, why do so many managers continue to invest in an instruments whose ROI is so hard to demonstrate, especially in times when marketing is under increasing scrutiny to justify its relevance? We argue that sales (consumer) response may not be the only metric one should focus on, and explore alternative benefits advertising my bring to FMCG brands and companies. In so doing, we expand the usual scope of advertising response metrics.
Original languageEnglish
Title of host publicationLiber Amicorum in Honor of Peter Leeflang
EditorsJ.C. Hoekstra, J.E. Wieringa, P.C. Verhoef
Place of PublicationGroningen
PublisherRijksuniversiteit Groningen
ISBN (Print)9789036750493
Publication statusPublished - 2011


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