ALLOCATING ADVERTISING COST BY GOAL PROGRAMMING

Advertisers and advertising agencies have recently shown increased interest in the use of mathematical programming to allocate diversity expenditures to the media and the technique of Goal Programming has received special attention. Day [5] explains how Linear Programming might be applied to the allocation of the advertising approximation. We attempted to implement Day's suggestions and it became quite clear that the difficult problems in the Linear Programming approach pertained to the identification and evaluation of important marketing variables. A great deal of this delineation and quantification were of necessary and judgemental in nature. Once these definitions and subjective appraisals of marketing variables had been made, the mathematical problem was rather straightforward and presented with no major difficulties. It is our purpose to delve more deeply into the problem, beginning where Day and alters leave off by suggesting simple examples how one might implement the Goal Programming approach. Arnoff, Solow have studied the Linear Programming problems and their areas of applications adopted.