Response Curves Ken Homa.

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Presentation transcript:

Response Curves Ken Homa

Response Functions QTY. ADVERTISING

Response Functions QTY. High Response Segment Low Response Segment ADVERTISING

Response Curves Output (e.g. sales, awareness) Input (e.g. Ad $) 3

Response Curves Output (e.g. sales, awareness) Input (e.g. Ad $) Subject to: Multiple stimuli Delayed response Alternative patterns Output (e.g. sales, awareness) Input (e.g. Ad $) 3

Response Curves Practical Ceiling Diminishing Returns Output (e.g. sales, awareness) Critical Mass Threshold Input (e.g. Ad $) 3

Response Curves Practical Ceiling Diminishing Returns Output (e.g. sales, awareness) Subject to: Multiple stimuli Delayed response Alternative patterns Critical Mass Threshold Input (e.g. Ad $) 3

Response Curves P1: Through Origin P4: Saturation P3: Decreasing Returns (concave) P2: Linear Y X Q — 7

Response Curves P5: Increasing Returns (convex) P8: Super-saturation P7: Threshold P6: S-shape Y X 8