Shouting to Be Heard in Advertising

@article{Anderson2013ShoutingTB,
  title={Shouting to Be Heard in Advertising},
  author={Simon P. Anderson and Andr{\'e} de Palma},
  journal={Management Science},
  year={2013},
  volume={59},
  pages={1545-1556}
}
Advertising competes for consumer attention, but attention is scarce. More proÞtable senders send more messages to break through the clutter. There may be multiple equilibria: when there are more messages in aggregate, there is more "shouting to be heard" among individual senders trying to break through the advertising clutter, which creates a "lottery ticket" dimension for proÞt dissipation. Equilibria can be Pareto ranked as long as receiver surplus is not more elastic than sender surplus… CONTINUE READING

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