Advertising · Randomized online field experiments
Advertising Spillovers: Evidence from Online Field Experiments and Implications for Returns on Advertising
Journal of Marketing Research · 2016
Summary
Ads increased sales likelihood for the advertiser and also for nonadvertised restaurants that served the same cuisine and had high ratings.
For your marketing
Possible founder application
When evaluating category advertising, account for the possibility that your spend increases category interest while also helping alternatives. Incrementality and competitor outcomes matter alongside attributed conversions.
Reported result
What the study found
Ads increased sales likelihood for the advertiser and also for nonadvertised restaurants that served the same cuisine and had high ratings. Spillovers were largest at lower ad intensity and disappeared as intensity increased.
Research question
What the authors investigated
How do online ads affect both the advertiser and competing options considered by customers?
Design
Analysis of randomized advertising field experiments on a restaurant-search website, varying advertising exposure intensity.
Sample and setting
Restaurants listed on a restaurant-search site; detailed sample counts are not given in the accessible abstract.
Scope and transfer
Limitations to keep in view
Restaurant search is a specific high-choice local market, and the abstract gives no sample counts. Spillovers in this setting may not predict competing software categories or paid search auctions.
Research sources
SAGE publisher abstract retrieved with Firecrawl; no full text inspected.