Advertising Budget

Definition: an Advertising Budget is the amount of money a firm reserves for and invests in advertising.
If a firm spends too little, the effect would be negligible and if it spends too much then some of the money could probably be put to better use.
5 factors to consider when setting the advertising budget:
- Stage in the Product Lifecycle
- Market Share / Consumer Base
- Competition and Clutter
- Advertising Frequency
- Product Substitutability

More on advertising budgets.
More on advertising: 5 M's of Advertising, AIDA Model, Negative Advertising, Sleeper Effect, Sustainable Advertising.

MBA Brief offers brief, yet very accurate definitions of MBA concepts, frameworks, methods and models. We keep it short and provide some links in case you'd like to learn more around a subject.