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First published February 2000

Which Ad Works, When, Where, and how Often? Modeling the Effects of Direct Television Advertising

Abstract

The authors develop a model to decompose the effects of television advertising for a toll-free referral service, at the hourly level. The model estimates which ad works, when, in which station, and for how long. Results of the analysis show that ads do stimulate direct response, but their effects dissipate very rapidly. Effectiveness and profitability vary substantially by creative, television station, and station x time of the day. The results underscore the need for managers to undertake such analyses and for researchers to use such a disaggregate approach.

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Article first published: February 2000
Issue published: February 2000

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© 2000 American Marketing Association.
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History

Published online: February 1, 2000
Issue published: February 2000

Authors

Affiliations

Gerard J. Tellis
Marshall School of Business, University of Southern California, Los Angeles.
Rajesh K. Chandy
Pattana Thaivanich

Notes

The authors appreciate the financial support of the Marketing Science Institute and the cooperation of Michael Apstein, Fred Joyal, and Karen Bengston at various stages of this research. They thank three anonymous JMR reviewers for their valuable comments. This study benefited from the research assistance of Dev Rangarajan and the comments of Paul Busch, Rauli Susmel, and participants at presentations at the University of Houston, University of Southern California, and the 1998 AMA Winter Educators' Conference. To interact with colleagues on specific articles in this issue, see “Feedback” on the JMR Web site at www.ama.org/pubs/jmr.

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