Price Sensitivity and Television Advertising Exposures: Some Empirical Findings

Vinay Kanetkar, Charles B. Weinberg and Doyle L. Weiss
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Vinay Kanetkar: University of Toronto
Charles B. Weinberg: University of British Columbia
Doyle L. Weiss: University of Iowa

Marketing Science, 1992, vol. 11, issue 4, 359-371

Abstract: Empirical research (as well as theoretical reasoning) has led to contradictory findings with regard to whether increases in brand advertising activities lead to increases or decreases in consumer price sensitivity. Lack of data to measure the exposure of individual households to advertisements and to capture competitive activities has been an important limitation to date. This study, using single source data for a midwestern US market, finds that increased advertising exposures are associated with increases in a household's brand choice price sensitivity for two frequently purchased consumer products. However, under high levels of advertising exposure, it is possible for a household's brand choice price sensitivity to decrease.

Keywords: advertising; brand choice; econometric models; pricing research (search for similar items in EconPapers)
Date: 1992
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Citations: View citations in EconPapers (18)

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Persistent link: https://EconPapers.repec.org/RePEc:inm:ormksc:v:11:y:1992:i:4:p:359-371

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