The Return on Impressions Model

question 62

Multiple Choice

The return on impressions model:

• A) takes the gross revenue estimated minus the cost of the social media advertising program divided by the cost of the program.
• B) employs statistical analysis to determine how sales trends shifted according to the timing of the social media marketing.
• C) calculates the change in the probability of purchase based on the exposure.
• D) calculates the difference between the cost to purchase a display ad on a site and the cost of the social media advertising program divided by the cost of the program.
• E) assigns a financial value to the resources we use to execute a strategy, measure financial outcomes, and calculate the ratio between inputs and outcomes.

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Definitions:

Price Elasticity

A measure indicating how much the quantity demanded or supplied of a good changes in response to a change in its price.

Quantity Supplied

The total amount of a good or service that producers are willing and able to sell at a given price over a specified period.

Decreases

A reduction in quantity, size, or intensity of something.

Cross-Price Elasticity

A measure of how much the quantity demanded of one good responds to a change in the price of another good, indicating the relationship between the goods (substitutes or complements).