ABSTRACT
Online social networks have challenged the current knowledge of advertising effectiveness. Using 12 months of aggregate-level, daily data from a major German e-commerce retailer, the authors of the current study analyzed four types of advertising stimuli on Facebook—“stream” (news feed) impressions, page views, “Likes,” and user contributions—to determine their short-term and long-term impact on sales. Access to the data provided an opportunity to integrate a direct-aggregation approach that accounted for time lags between user activity and sales effects. This research builds on an earlier framework for studying how advertising works (Vakratsas and Ambler, 1999), reflecting changes brought on by emerging online channels.
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Vol 55 Issue 2
