Advertising and Targeting: Who to Target When, Where and With What?
(A2019-8933)

AUTHORS

Evert de Haan, University of Groningen; Rene Laub, Goethe University Frankfurt

ABSTRACT

Session Abstract

In this session four studies are brought together that focus on targeting customers. The papers vary from when to target customers in order to reactivate them, to with what messages to target them in terms of message consistency, and from how to target them to make them periodic donors, to where the customer is and has been physically to better understand the customer’s position in the online path-to-purchase.

1. Timing Customer Reactivation Initiatives

Niels Holtrop (Maastricht University), Jaap Wieringa (University of Groningen)

In this study a two-step process for customer reactivation in a non-contractual setting is developed. This process first determines if the customer is inactive, and secondly determines when a customer should be targeted for reactivation, by combining existing insights from stochastic purchase models and from statistical quality control theory. This increases activity by 2.1%-points and increases revenue by 38% compared to current firm policy.

2. (In)consistently Creative – The Effect of Consistency and Overlap in Advertising Execution

Maren Becker (University of Cologne), Maarten Gijsenberg (University of Groningen)

Strong brands are built by a consistent positioning. It is unclear whether this also applies to advertising, since consistency increases recognition, but can also be perceived as boring. Initial results show that consistency indeed has an impact on advertising effectiveness, calling for managers to pay attention to these aspects when designing their campaigns in order to maximize return-on-advertising.

3. Using Direct Marketing, Advertising, and Publicity to Attract Contractual Donors

Nhat Quang Le (Norwegian School of Economics), Bram Foubert (Maastricht University), Kathleen Cleeren (Catholic University of Leuven), and Barbara Briers (Vlerick Business School)

Contractual charity donations generate a more stable income. This study shows that especially publicity and direct marketing lead donors to migrate from non-contractual to contractual relationships. When donors are in a contractual relationship they become more responsive to communication efforts from the charity. All of this can help increase donor’s lifetime value.

4. Utilizing Physical Location Data to Better Understand Online Customer Journeys

Rene Laub (Goethe University Frankfurt), Evert de Haan (Goethe University Frankfurt), Bernd Skiera (Goethe University Frankfurt)

Studies which focus on the customer journey include either individual online user data or aggregate on- and offline data. Using a unique dataset, the on- and offline journey of customers is investigated by combining online browsing behavior with GPS information. The authors find that a user location does help predict a user’s future browsing behavior and interest.