The literature on marketing productivity shows the absence of a measurement of the commonly accepted term, especially in the case of quantitative measures and in the measurement of the influence of marketing assets on company issues. This paper proposes a Theoretical Model of Marketing Productivity (TMMP), useful as a base to measure marketing productivity in services. The model is validated in...

For too long, marketers have not been held accountable for showing how marketing expenditures add to shareholder value. As time has gone by, this lack of accountability has undermined marketers’ credibility, threatened the standing of the marketing function within the firm, and even threatened marketing’s existence as a distinct capability within the firm. This article proposes a broad framewor...

The marketing function in many companies has come to consume what many believe to be a disproportionately high share of corporate resources, inviting intense scrutiny from corporate cost-cutters. Further, there appears, at a macro level, to be a low correlation between the level of spending on marketing and measures of overall financial performance or competitive position; many firms are gettin...

Marketing’s fundamental problem today is low productivity and lack of accountability. This paper suggests two ways to improve marketing productivity. First, marketing must shift its focus from aggregate markets to individual customers. Second, the marketing function should be treated more like the production function as investment in brands and distribution to be amortized over time rather than...

commercial banks and financial institutions are recognizing that they can no longer look at a customer from a specific product but must encompass the entire customer relationship to fully understand a client‘s profitability. from a strategic standpoint, customer relationship management (crm) mobilizes resources around customer relationships rather than product groups and fosters activities that...

In response to a swirling controversy over high costs, wastes and inefficiencies in marketing, Wroe Alderson (1948) proposed a novel formula to measure the productivity (or efficiency) of the marketing system. His dual input–output formulation represented a significant conceptual advance over marketing efficiency measures that had gone before or have come after. Alderson’s main contribution was...

Practitioners and scholars have questioned marketing communication’s credibility because it has not been linked to firm shareholder value. Using secondary longitudinal data, the authors show that the impact of marketing communication productivity (MCP) on shareholder value is positive and nonlinear. In particular, the influence of MCP on the forward-looking performances of Tobin’s q and stock r...

The purpose of the paper is to find out whether linkages between productivity and innovation are different among Estonian service sector sub-sectors. In this paper productivity is measured as value added per employee. An original approach toward measurement of productivity is used, decomposing it into three components: labour costs, depreciation and gross profit per employee. Four types of inno...

In a multi-brand organisation, the brands traditionally compete for resources in some degree of isolation, whether budgets are built top down or bottom up. This paper addresses a possibly growing demand for tools to allocate resources optimally across brands and/or markets. After reviewing the theory and some of the models available to UK practitioners, we develop a decision calculus model, cal...

Based on the marketing theory of hedonic consumption, this study examines the effects of six types of imaginal and emotional experiences on using pleasure-oriented IT. Associated hypotheses are tested using questionnaire responses from 443 online game players. The results provide strong support for the major hypotheses and indicate that the determinants of behavior may differ in using pleasure-...