How Long Can Brands Go Dark before Sales Suffer?

Member Only Access

Summary

How long can large- and medium-size brands, with stable sales histories, afford to halt broad-reach advertising? The answer, according to a new study, is about two years before sales and market share start to shrink. Those brands are the exception. Previously declining brands, especially small ones, will see sales drop even further when going dark for a year.

Nicole Hartnett (Nicole.Hartnett@marketingscience.info) is a senior marketing scientist at the Ehrenberg-Bass Institute for Marketing Science, University of South Australia. She has a keen interest in advertising creativity and effectiveness, considering measurement approaches and managerial decision making.

Adam Gelzinis (adam.gelzinis@edg.co.au) is a customer insights business partner for Endeavour Group, Australia’s largest integrated drinks retail and hospitality business. He coauthored this paper as a master’s candidate at the Ehrenberg-Bass Institute.

Virginia Beal (Virginia.Beal@marketingscience.info) is a senior marketing scientist at the Ehrenberg-Bass Institute. Her research focuses on advertising effectiveness, media usage and scheduling.

Rachel Kennedy (rachel.kennedy@marketingscience.info) is a research professor, director, and a cofounder of the Ehrenberg-Bass Institute. Her research is focused on advertising and media knowledge to help grow brands.

Byron Sharp (Byron.Sharp@marketingscience.info) is a professor of marketing science at the University of South Australia and director of the Ehrenberg-Bass Institute. Sharp’s research on loyalty and brand performance has been published in more than 100 journal articles and conference papers.