IDEAS home Printed from https://ideas.repec.org/a/spr/annopr/v269y2018i1d10.1007_s10479-018-2771-9.html
   My bibliography  Save this article

Multi-period media planning for multi-products incorporating segment specific and mass media

Author

Listed:
  • Arshia Kaul

    (University of Delhi)

  • Sugandha Aggarwal

    (Amity University)

  • Mohan Krishnamoorthy

    (Monash University
    The University of Queensland)

  • P. C. Jha

    (University of Delhi)

Abstract

Efficient budget allocation between different communication channels is one of the fundamental activities of any media planner. In this paper, we attempt to develop a multi-objective integer linear programming model to determine the optimal schedule of advertisements for a set of multiple products of a firm in a segmented market (influenced by both mass and segment-specific media) over a planning horizon. The objectives are to maximize the gross impressions of advertisements and simultaneously minimize the advertising expenditure. To incorporate continuous changes that occur in the market, the total planning horizon is divided into shorter time periods and decisions for each of the subsequent time periods are taken, bearing in mind the changes that have occurred in the preceding time periods. Based on the gap that exists in the extant literature, we also jointly consider, in our model, the notions of (a) carry-over effect of gross impressions, (b) spectrum effect of mass media on segments, and (c) cross-product effect. The model is solved through a goal programming approach to achieve the best trade-off between the conflicting objectives. Further, the model could be adapted to provide solutions in a wide variety of real-life situations. This is substantiated via a numerical analysis for a firm that advertises products in the Indian market through mass and segment-specific media.

Suggested Citation

  • Arshia Kaul & Sugandha Aggarwal & Mohan Krishnamoorthy & P. C. Jha, 2018. "Multi-period media planning for multi-products incorporating segment specific and mass media," Annals of Operations Research, Springer, vol. 269(1), pages 317-359, October.
    • Handle: RePEc:spr:annopr:v:269:y:2018:i:1:d:10.1007_s10479-018-2771-9
    DOI: 10.1007/s10479-018-2771-9
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10479-018-2771-9
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10479-018-2771-9?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Porter, Michael E, 1974. "Consumer Behavior, Retailer Power and Market Performance in Consumer Goods Industries," The Review of Economics and Statistics, MIT Press, vol. 56(4), pages 419-436, November.
    2. Cinzia Colapinto & Raja Jayaraman & Simone Marsiglio, 2017. "Multi-criteria decision analysis with goal programming in engineering, management and social sciences: a state-of-the art review," Annals of Operations Research, Springer, vol. 251(1), pages 7-40, April.
    3. Robert C. Blattberg & Richard Briesch & Edward J. Fox, 1995. "How Promotions Work," Marketing Science, INFORMS, vol. 14(3_supplem), pages 122-132.
    4. Bernard Pras & Gilles Laurent & Gary L. Lilien, 1994. "Research Traditions in Marketing," Post-Print halshs-00150675, HAL.
    5. Bhattacharya, U.K., 2009. "A chance constraints goal programming model for the advertising planning problem," European Journal of Operational Research, Elsevier, vol. 192(2), pages 382-395, January.
    6. D. Favaretto & B. Viscolani, 1999. "A multiperiod production and advertising problemfor a seasonal product," Annals of Operations Research, Springer, vol. 88(0), pages 31-45, January.
    7. Dylan Jones & Mehrdad Tamiz, 2010. "Practical Goal Programming," International Series in Operations Research and Management Science, Springer, edition 1, number 978-1-4419-5771-9, July-Dece.
    8. Kwak, N. K. & Lee, Chang Won & Kim, Ji Hee, 2005. "An MCDM model for media selection in the dual consumer/industrial market," European Journal of Operational Research, Elsevier, vol. 166(1), pages 255-265, October.
    9. Herbert A. Simon, 1955. "A Behavioral Model of Rational Choice," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 69(1), pages 99-118.
    10. A. Charnes & W. W. Cooper & D. B. Learner & E. F. Snow, 1968. "Note on an Application of a Goal Programming Model for Media Planning," Management Science, INFORMS, vol. 14(8), pages 431-436, April.
    11. Richard van der Wurff & Piet Bakker & Robert Picard, 2008. "Economic Growth and Advertising Expenditures in Different Media in Different Countries," Journal of Media Economics, Taylor & Francis Journals, vol. 21(1), pages 28-52.
    12. Danaher, Peter J. & Rust, Roland T., 1996. "Determining the optimal return on investment for an advertising campaign," European Journal of Operational Research, Elsevier, vol. 95(3), pages 511-521, December.
    13. A. Charnes & W. W. Cooper & J. K. Devoe & D. B. Learner & W. Reinecke, 1968. "A Goal Programming Model for Media Planning," Management Science, INFORMS, vol. 14(8), pages 423-430, April.
    14. Sang M. Lee & Edward R. Clayton, 1972. "A Goal Programming Model for Academic Resource Allocation," Management Science, INFORMS, vol. 18(8), pages 395-408, April.
    15. Arthur, Jeffrey L. & Ravindran, A., 1980. "A branch and bound algorithm with constraint partitioning for integer goal programming problems," European Journal of Operational Research, Elsevier, vol. 4(6), pages 421-425, June.
    16. Beltran-Royo, C. & Zhang, H. & Blanco, L.A. & Almagro, J., 2013. "Multistage multiproduct advertising budgeting," European Journal of Operational Research, Elsevier, vol. 225(1), pages 179-188.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Xiaojie Sun, 2023. "Strategy analysis for a digital content platform considering perishability," Annals of Operations Research, Springer, vol. 320(1), pages 415-439, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cinzia Colapinto & Raja Jayaraman & Simone Marsiglio, 2017. "Multi-criteria decision analysis with goal programming in engineering, management and social sciences: a state-of-the art review," Annals of Operations Research, Springer, vol. 251(1), pages 7-40, April.
    2. Parham Fami Tafreshi & Mohammad Hasan Aghdaie & Majid Behzadian & Mahdieh Ghani Abadi, 2016. "Developing a Group Decision Support System for Advertising Media Evaluation: A Case in the Middle East," Group Decision and Negotiation, Springer, vol. 25(5), pages 1021-1048, September.
    3. Bhattacharya, U.K., 2009. "A chance constraints goal programming model for the advertising planning problem," European Journal of Operational Research, Elsevier, vol. 192(2), pages 382-395, January.
    4. Demirci, Mehmet & Bettinger, Pete, 2015. "Using mixed integer multi-objective goal programming for stand tending block designation: A case study from Turkey," Forest Policy and Economics, Elsevier, vol. 55(C), pages 28-36.
    5. Şeyda Gür & Tamer Eren, 2018. "Scheduling and Planning in Service Systems with Goal Programming: Literature Review," Mathematics, MDPI, vol. 6(11), pages 1-16, November.
    6. Beltran-Royo, C. & Escudero, L.F. & Zhang, H., 2016. "Multiperiod Multiproduct Advertising Budgeting: Stochastic Optimization Modeling," Omega, Elsevier, vol. 59(PA), pages 26-39.
    7. Ghazale Kordi & Parsa Hasanzadeh-Moghimi & Mohammad Mahdi Paydar & Ebrahim Asadi-Gangraj, 2023. "A multi-objective location-routing model for dental waste considering environmental factors," Annals of Operations Research, Springer, vol. 328(1), pages 755-792, September.
    8. Glover, Fred & Sueyoshi, Toshiyuki, 2009. "Contributions of Professor William W. Cooper in Operations Research and Management Science," European Journal of Operational Research, Elsevier, vol. 197(1), pages 1-16, August.
    9. Aouni, Belaid & Kettani, Ossama, 2001. "Goal programming model: A glorious history and a promising future," European Journal of Operational Research, Elsevier, vol. 133(2), pages 225-231, January.
    10. Hashem Omrani & Mahsa Valipour & Ali Emrouznejad, 2019. "Using Weighted Goal Programming Model for Planning Regional Sustainable Development to Optimal Workforce Allocation: An Application for Provinces of Iran," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(3), pages 1007-1035, February.
    11. Umar Muhammad Modibbo & Irfan Ali & Aquil Ahmed, 2021. "Multi-objective optimization modelling for analysing sustainable development goals of Nigeria: Agenda 2030," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(6), pages 9529-9563, June.
    12. Francisco Salas-Molina & Juan A. Rodriguez-Aguilar & David Pla-Santamaria, 2020. "A stochastic goal programming model to derive stable cash management policies," Journal of Global Optimization, Springer, vol. 76(2), pages 333-346, February.
    13. Broz, Diego & Vanzetti, Nicolás & Corsano, Gabriela & Montagna, Jorge M., 2019. "Goal programming application for the decision support in the daily production planning of sawmills," Forest Policy and Economics, Elsevier, vol. 102(C), pages 29-40.
    14. Kwak, N. K. & Lee, Chang Won & Kim, Ji Hee, 2005. "An MCDM model for media selection in the dual consumer/industrial market," European Journal of Operational Research, Elsevier, vol. 166(1), pages 255-265, October.
    15. Pauline de Pechpeyrou & Béatrice Parguel & Aîda Mimouni & Pierre Desmet, 2006. "Valeur et sincérité perçues d'une promotion multi-mécanismes," Post-Print halshs-00146620, HAL.
    16. Beltran-Royo, C. & Zhang, H. & Blanco, L.A. & Almagro, J., 2013. "Multistage multiproduct advertising budgeting," European Journal of Operational Research, Elsevier, vol. 225(1), pages 179-188.
    17. Christoph Stallkamp & Justus Steins & Manuel Ruck & Rebekka Volk & Frank Schultmann, 2022. "Designing a Recycling Network for the Circular Economy of Plastics with Different Multi-Criteria Optimization Approaches," Sustainability, MDPI, vol. 14(17), pages 1-23, September.
    18. Jason C. Patalinghug, 2013. "The Effect of Advertising and In-Store Promotion on the Demand for Chocolate," Working Papers 21, University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy.
    19. Hocine, Amine, 2018. "Meta goal programing approach for solving multi-criteria de Novo programing problemAuthor-Name: Zhuang, Zheng-Yun," European Journal of Operational Research, Elsevier, vol. 265(1), pages 228-238.
    20. Pauwels, Koen & Leeflang, Peter S.H. & Teerling, Marije L. & Huizingh, K.R. Eelko, 2011. "Does Online Information Drive Offline Revenues?," Journal of Retailing, Elsevier, vol. 87(1), pages 1-17.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:annopr:v:269:y:2018:i:1:d:10.1007_s10479-018-2771-9. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.