Skip to main navigation Skip to search Skip to main content

Estimation of optimal advertising expenditure based on customer value

  • Bao Wang*
  • , Ming Li Zhang
  • , Wei Jia
  • *Corresponding author for this work
  • Harbin Institute of Technology

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

This paper mainly talks about optimal advertising expenditure based on customer value. Building on earlier work, this thesis develops a customer value model to analyze the relationship between advertisement and customer value. The relationship illustrates that advertisement promotes selling through enhancing customer value and improving the transfer of customer to upper customer value group. This paper establishes the quantitative relationships between advertising expenditure and the rates of each customer value group, sale and market share according to transfer model of customer value. At last, this paper establishes the predicted model of multi-objective advertising expenditure by the method of goal programming. The model considers many-sided requirements of the company at the same time and it can be changed smartly according to the concrete requirements of company, so it is adaptive and practical.

Original languageEnglish
Title of host publication2008 International Conference on Management Science and Engineering 15th Annual Conference Proceedings, ICMSE
Pages641-648
Number of pages8
DOIs
StatePublished - 2008
Event2008 International Conference on Management Science and Engineering 15th Annual Conference, ICMSE - Long Beach, CA, United States
Duration: 10 Sep 200812 Sep 2008

Publication series

Name2008 International Conference on Management Science and Engineering 15th Annual Conference Proceedings, ICMSE

Conference

Conference2008 International Conference on Management Science and Engineering 15th Annual Conference, ICMSE
Country/TerritoryUnited States
CityLong Beach, CA
Period10/09/0812/09/08

Keywords

  • Advertisement
  • Advertising expenditure
  • Customer value
  • Goal programming

Fingerprint

Dive into the research topics of 'Estimation of optimal advertising expenditure based on customer value'. Together they form a unique fingerprint.

Cite this