Omega 38 (2010) 84--94
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Omega
journal homepage: www.elsevier.com/locate/omega
Planning a TV advertising campaign: A crisp multiobjective programming model from
fuzzy basic data
B. Pérez-Gladish
a, *
, I. Gonzalez
b
, A. Bilbao-Terol
a
, M. Arenas-Parra
a
a
Departamento de Economía Cuantitativa, Facultad de Ciencias Económicas de la Universidad de Oviedo, Avda. del Cristo s/n, 33006, Oviedo (Asturias), Spain
b
Technical University of Valencia (Alcoy School), Spain
ARTICLE INFO ABSTRACT
Article history:
Received 12 January 2007
Accepted 30 April 2009
Available online 8 May 2009
Keywords:
Ad impact
Weber and Fechner's logarithmic law
Audience expectation
Budgeting
Multiobjective programming
Fuzzy techniques
This paper proposes a crisp two-objective logarithmic programming model to help companies decide their
advertising campaigns on TV networks for mature products. Both objectives are: (a) to achieve the highest
audience impact and (b) to reduce advertising costs as much as possible. Information input is fuzzily
elaborated from statistical data, the fuzzy variables being defuzzified to introduce them into the crisp
model. This fuzzy information is elicited by TV experts (often independent consultants). Although these
experts know statistical information on audience in the past, they do not fully trust its predictive ability.
The approach leads to the strategic advertisement (ad) placement among different broadcasts. Users
(often managers of big companies) should inform the analyst about their advertising campaign budget.
From Weber and Fechner-based psychological research, the ad impact during the advertising campaign is
measured depending on the logarithm of ad repetitions. The crisp two-objective problem is solved by a
tradeoff method subject to TV technical constraints. A case study with real world data is developed.
© 2009 Elsevier Ltd. All rights reserved.
1. Introduction
Decision making supported by mathematical tools can be
achieved either using an existing approach or building a specific
model tailored to the problem to be solved. This last option is
appropriate when no existing approach can be directly applied or
accommodated to our environment. Constructing a specific model
does not mean overlooking previous methods, theories and results,
but articulating them in a coherent structure with new elements
and perspectives. In short, such a task is worth it under two condi-
tions, relevance of the environment and serious difficulties to use
an existing model adequately. In the TV advertising case addressed
in this paper, both conditions hold. Indeed, advertising is a rele-
vant ongoing issue concerning both new and mature products (see
[1,2]). In particular, mature products need advertising to keep fit
for a long time. Advertising is today a significant policy within the
marketing structure of the five “Ps” (product, price, place, position-
ing and promotion), even adding new “P” strategies, e.g., “purple”
(innovation) as suggested by Godin [3]. As to the second condition
This article was processed by Associate Editor Stewart.
*
Corresponding author. Tel.: +34 985106292.
E-mail addresses: bperez@uniovi.es (B. Pérez-Gladish), eballe@esp.upv.es
(I. Gonzalez), ameliab@uniovi.es (A. Bilbao-Terol), mariamar@uniovi.es
(M. Arenas-Parra).
0305-0483/$ - see front matter © 2009 Elsevier Ltd. All rights reserved.
doi:10.1016/j.omega.2009.04.004
to justify research on specific models for advertising decision mak-
ing, our literature search shows that TV commercial advertising is
not treated from the Weber and Fechner's law of perception (see
Section 2 below), whose articulation requires a new model of loga-
rithmic structure.
This paper pursues the following aims. (i) To estimate an index
of audience expectation based on experts' predictions. Although ex-
perts know statistical data, they prefer to handle them by fuzzy
techniques because the future is not expected to resemble the past
mechanically. (ii) To propose a crisp multiobjective logarithmic pro-
gramming model to allocate companies' advertising budgets among
an opportunity set of TV broadcasts. This model is established from
the audience expectation fuzzy index above estimated, which will
be defuzzified to use it in the crisp multiobjective approach. (iii) To
develop a case study in which our theoretical contribution is applied
to a real world problem with genuine information on broadcast au-
dience and advertising fees for the three main TV networks currently
operating in Spain.
To gain insight into our proposal, let us cite Paurcar-Caceres
[4], who maps the management science discourse over the last 35
years in four paradigms: (1) optimisation/normative; (2) interpreta-
tive/learning; (3) critical and (4) a post-modern management science
approach. Our proposal could be encompassed between the two first
paradigms in the middle of the so called “hard” and “soft” OR/MS
methods.