Name
Abstract | ||
|---|---|---|
In the literature on marketing models, the assumption of mixed word-of-mouth has been limited to the Bass diffusion model. Yet explicit leveraging of the originating factors of such assumption is lacking. Apart from that example, mixed word-of-mouth has been disregarded in contagion sales models. This paper bridges the gap by suggesting a sales model, where both positive and negative word-of-mouth affect the attraction rate of new customers, along with advertising. The difference between positive and negative word-of-mouth is based on the distinction between satisfied and dissatisfied current customers, which is supposed to depend on conformance quality. A primary issue in this paper is to determine how a firm should determine the optimal intertemporal trade-off between investing in advertising-dependent word-of-mouth and quality-dependent word-of-mouth. To address this issue, a contagion sales model is suggested where mixed autonomous word-of-mouth alone can lead to either commercial success or failure of a given brand. |
Year | DOI | Venue |
|---|---|---|
2016 | 10.1007/s10957-015-0855-0 | J. Optimization Theory and Applications |
Keywords | Field | DocType |
Sales, Word-of-mouth, Advertising effort, Conformance quality, 49N90, 90B60, 49N10 | Advertising,Bass diffusion model,Word of mouth,Attraction,Mathematics | Journal |
Volume | Issue | ISSN |
170 | 1 | 1573-2878 |
Citations | PageRank | References |
1 | 0.36 | 7 |
Authors | ||
5 | ||
Name | Order | Citations | PageRank |
|---|---|---|---|
| Fouad El Ouardighi | 1 | 102 | 13.24 |
| Gustav Feichtinger | 2 | 143 | 38.93 |
| Dieter Grass | 3 | 41 | 9.71 |
| Richard F. Hartl | 4 | 1863 | 137.30 |
| Peter M. Kort | 5 | 205 | 44.47 |