Models for the Financial-Performance Effects of Marketing

  • Dominique M. Hanssens
  • Marnik G. Dekimpe
Part of the International Series in Operations Research & Management Science book series (ISOR, volume 121)


Several of the preceding chapters have focused on models for different aspects of the marketing mix. From a managerial perspective, such models are important at the functional level, such as the optimal deployment of sales resources, the scheduling of promotional activities, or the configuration of new-product features. The logical “end point” of these models is typically an assessment of the sales or market-share lift that can be attributed to the marketing tactic, followed by a profitability assessment.

The current chapter complements this work by focusing on performance criteria that are relevant to the entire enterprise, not just the marketing function. We use financialcriteria for that purpose, as they provide metrics that are comparable across the marketing mix (an internal criterion), and also relate well to investors’ evaluation of the firm (an external criterion). As such, we treat marketing as an investment in customer value creation and communication that...


Cash Flow Stock Price Stock Return Brand Equity Marketing Action 
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Copyright information

© Springer Science+Business Media, LLC 2008

Authors and Affiliations

  1. 1.University of CaliforniaUSA

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