Understanding implications on ad awareness
- The objective is to build a excel based module that allows clients to review advertising schedules, with an objective of evaluating the impact of that schedule on both long and short term sales.
- This involves a 3 stage process:
- Evaluating the effectiveness of ad spend
- To improve Ad awareness
- To impact on product demand
- The modelling process to identify this relationship is usually through Distributed Lag Models.
- These are difficult to solve unless we impose a structure to the lagged relationship – this is usually through a Geometric Lag Distribution Model.
- There is a tendency for practitioners to roughly estimate the lag driver through testing the model fit across a range of solutions. There are few who can actually estimate the optimal solution!