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Little is known about how different types of advertising affect brandattitudes. We investigate the relationships between three brand attitudevariables (perceived quality, perceived value and recent satisfaction) andthree types of advertising (national traditional, local traditional anddigital). The data represent ten million brand attitude surveys and $264billion spent on ads by 575 regular advertisers over a five-year period,approximately 37% of all ad spend measured between 2008 and 2012. Inclusion ofbrand/quarter fixed effects and industry/week fixed effects brings parameterestimates closer to expectations without major reductions in estimationprecision. The findings indicate that (i) national traditional ads increaseperceived quality, perceived value, and recent satisfaction; (ii) localtraditional ads increase perceived quality and perceived value; (iii) digitalads increase perceived value; and (iv) competitor ad effects are generallynegative.

Advertising and Brand Attitudes: Evidence from 575 Brands over Five Years