Modeling the Effectiveness of Hourly Direct-Response Radio Commercials
The authors investigate the impact of direct-response commercials on incoming calls at a national call center. To this end, the authors analyze the data of a fast service for repairs of (parts of) a durable consumption good in Flanders, Belgium. The authors have access to data at the 15 minute interval covering 30 months in which 5172 radio commercials were broadcasted on six radio stations at various times of the day and at with differing commercial lengths. Their model is a two-level model, where the first-level estimates of the short-run and long-run effects are correlated with various aspects of the commercial is the second level. Their main conclusion is that GRPs are the key drivers of the effectiveness of commercials.
|Keywords||HF5837, advertising effectiveness, advertising response, long-run elasticity, short-run effects, two-level model|
|JEL||Statistical Decision Theory; Operations Research (jel C44), Business Administration and Business Economics; Marketing; Accounting (jel M), Marketing (jel M31)|
|Publisher||Erasmus Research Institute of Management|
|Series||ERIM Report Series Research in Management|
|Journal||ERIM report series research in management Erasmus Research Institute of Management|
Kiygi Calli, M, Weverbergh, M, & Franses, Ph.H.B.F. (2008). Modeling the Effectiveness of Hourly Direct-Response Radio Commercials (No. ERS-2008-019-MKT). ERIM report series research in management Erasmus Research Institute of Management. Erasmus Research Institute of Management. Retrieved from http://hdl.handle.net/1765/12242