ABSTRACT

The short-term advertising strength (STAS) differential index is the stimulated STAS for each brand, indexed on its baseline STAS, which is measured as 100. Three important variables, all controlled by the marketer, have a direct influence on sales: brand's advertising intensity, price index, and promotional intensity. Advertising intensity is represented by the brand's share of total advertising in its category, divided by its share of market. This produces an estimate of the percentage points of advertising voice for each percentage point of a brand's market share. Thus, one can compare brands of different sizes according to their relative investment in advertising. If the tercile analysis of share growth is compared with those for marketing stimuli, a certain relationship for the STAS differential, advertising intensity, and price, can be seen. There is, however, no relationship at all with promotional intensity. The only measure that indicates the rather large scope of the share growth is advertising intensity.