Long-term effects of advertising

Jon Webb

Jon Webb

Managing Partner

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With so many different marketing channels, it can be difficult to identify what drives sales. But there is a solution to the problem of how to measure effectively the long-term effects of advertising.

The best methodology to accurately measure the impact of one factor on a KPI such as sales growth is market mix modelling (MMM) or econometric analysis. These methods look at all available data streams, bringing together all the information you are able to collate before searching for a combination of variables that best explains the movements in a particular KPI.

However, while MMM is an effective method when it comes to short-term measurement, it’s not always geared towards understanding impacts over long periods of time.

Instead, Unobserved Component Modelling techniques enable us to successfully measure the hidden effects of advertising over long periods.

The Long-Term Effects of Advertising report discusses all the issues involved and covers:

  • Why is this important to me?
  • Why we need a floating base
  • What are the existing measurement methods and why don’t they work over long periods?
  • What attempts have been made to tackle this?
  • What is the solution?

Download The Long-Term Effects of Advertising report.

Contact Jon to discuss any of the issues raised in this report.

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