De haan 2016 Flashcards

1
Q

The online purchase funnel

advertising activities 3x

A

FIC: firm inititated communication
CS CIC: content-seperated customer-inititated communication
CI CIC: content-integrated

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2
Q

Content-integration

A

advertising message is integrated into the editorial content of the website (e.g. a price comparison site)

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3
Q

Content-separation

A

: advertising message is NOT integrated into the editorial content of the website (e.g. retargeting prospects while they are visiting an unrelated website).

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4
Q

what is most effective

A

Content-integrated CIC

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5
Q

Advertising elasticity:

A

the percentage change in the outcome (typically sales) in response to a 1% change in advertising (typically budget)
1% change in advertising spending leads to x% change in sales

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6
Q

Last-click attribution:

A

No credit is given to earlier advertisements, the effect of seasonality, or baseline revenues.

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7
Q

Key takeaways de Haan et al. (2016)

3x

A

Offline advertising forms have low sales elasticities
CIC have greater sales elasticities than FIC
Content-integrated CICs tend to distinguish themselves from other forms of advertising in the later stages of the funnel

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8
Q

Offline advertising forms have low sales elasticities

Presumably because

A

the retailer mainly uses offline advertising to build and retain brand awareness, perceptions, and goodwill rather than to drive immediate sales online.

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9
Q

CIC have greater sales elasticities than FIC

CIC require some level of interest from the customer because ?

A

they are based on customers’ own queries and are considered far less intrusive compared to FIC.

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10
Q

Content-integrated CICs tend to distinguish themselves from other forms of advertising in the later stages of the funnel. becayse

A

Content-integrated CICs tend to distinguish themselves from other forms of advertising in the later stages of the funnel.

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