WHERE TO PRESENT THE ADVERTISEMENT IN A BLOCK?

Abstract

It is expected that a commercial is more effective if the audience are exposed to it when the break starts. This study investigates whether the first presented advertisement in a block is more effective than the subsequent ads or not and how the order of a commercial in a block affects the impact of the commercial. The impact of  advertisement is measured by means of incoming calls at a national call center. The data cover 31 months. During this time period, 5,172 radio commercials are broadcasted  and a total number of 261,167 incoming calls are recorded. In this study, a logarithmic distributed lag model is estimated. Differential effects of the radio channel, time of broadcast, commercial duration and order of a commercial in a block are estimated. The main focus of the paper is to investigate how the place of a commercial in a block affects the advertisements’ impact.

Keywords

• Order effect,sequence effect,advertising effectiveness,advertising response model,distributed lag model

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