With respect to advertising budgeting methods, the Dean (1951) articleHow Much to Spend on Advertising

Download How Much to Spend on Advertising has been frequently used as the basis for various budget allocation decisions. However, this article was published a long time ago, and the advertising environment has changed significantly.

There is a significant trend toward online advertising media. One rationale for this shift is that online advertising offers improved or real-time tracking capabilities.

After reading the Dean article and considering the current environment, reflect on the following questions:

1. How applicable areDean's methodsin today's environment, where a YouTube message can go viral?
2. Real-Time Bidding
3. (RTB)advertising is an emerging business model that enforces flexibility in the advertising budget. How does this system influence marketers' decisions about advertising budgeting?
4. Traditional budgeting establishes fixed spending amounts, but technological developments are forcing marketing departments to be flexible with their advertising budgets.Discuss the pros and cons of each system.
5. If you were part of the team making advertising budgeting decisions for a small company with limited ad dollars, which method would you prefer?