By using the percent of sales approach the advertisers can set their budget at a specific percentage on the forecasted and current sales. But there is no clear percentage to use. So marketers will look into the competitors spending and industry average for the purpose of comparison. The details of these two will be available in the in websites to guide the marketers. To classify: The reason for the some industries having higher advertising-to-sales ratio compared to others.

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Chapter 14, Problem 14.13AC

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By using the percent of sales approach the advertisers can set their budget at a specific percentage on the forecasted and current sales. But there is no clear percentage to use. So marketers will look into the competitors spending and industry average for the purpose of comparison.

The details of these two will be available in the in websites to guide the marketers.

To classify: The reason for the some industries having higher advertising-to-sales ratio compared to others.

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