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Improving Students’ Understanding of the Retail Advertising Budgeting Process

Lynn Harris

Department of Management and Marketing at Shippensburg University

Ann Fairhurst

Department of Human Ecology at the University of Tennessee

Roger Dickinson

University of Texas at Arlington

This article reports on a survey of academics with respect to teaching advertising in the first retailing course. Most respondents cover methods of budgeting advertising as part of the course. Furthermore, they report on both the methods they recommend for small and large retailers and the techniques they believe small and large retailers use. The favorite budgeting technique among academics is the objective and task. Academics reflect this as (1) establishing advertising objectives, (2) determining tasks to achieve specified objectives, (3) determining costs for each of these tasks, and (4) totaling the costs. The authors maintain that the implementation of the objective and task approach requires the use of methods of both prioritizing alternative expenditures and setting a cutoff point. These points are often neglected by academics, including textbook writers, when defining the approach. Furthermore, for the most part, a combination of techniques should be used when implementing an objective and task method. Recommendations for the teaching of advertising budgeting in the introductory retailing course are offered.

Journal of Marketing Education, Vol. 22, No. 2, 120-128 (2000)
DOI: 10.1177/0273475300222006


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