Advertising Cost Interactions and the Optimality of Pulsing
通过将多种成本纳入单状态广告模型,证明在合理条件下固定成本与脉冲成本的交互使脉冲广告策略成为最优,对广告从业者和营销科学家有参考价值。
Whether pulsing, other than chattering, can be optimal is an important concern to both advertising practitioners and marketing scientists. In this paper, we explicitly incorporate various types of costs to a one-state advertising model to analyze the effect of these costs on the optimal advertising policy. We prove that the interaction of fixed and pulsing costs does make pulsing optimal under a reasonable condition. This result not only identifies an important factor that leads to the optimality of pulsing, but also generalizes the finding obtained by Sasieni (1971).