Investigating undercurrents of stationarity and growth with long-term panel data

There have been frequent calls in the literature for a more comprehensive understanding of marketing impact on long-term firm performance.

Introduction

Marketing management remains under pressure to demonstrate long-run impact from its considerable annual budgets (Binet & Field, 2007, 2013; Hanssens & Pauwels, 2016; Webster & Lusch, 2013). Nevertheless, marketers are routinely criticised for their short-sighted perspectives on brand performance and for chasing short-term sales outcomes (Lodish & Mela, 2007). Overinvesting in the short-term comes at the expense of longer-term outcomes, which accumulate from a brand's sustained activities over years and even decades. Effective long-term marketing strategies are necessary for firms to achieve sustained growth and profitability (Hess, 2016).

The data and metrics that firms commonly rely on to assess...

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