A review of empirical studies of aggregate marketing costs and productivity in the United States

Journal of the Academy of Marketing Science · 1990 · Volume 18 · Issue 4

Abstract

This article reviews empirical studies of aggregate marketing cost and aggregate marketing productivity in the United States. A methodological comparison is made of five cost studies for 1929 and seven productivity studies covering a period from 1869 to 1968. The cost studies do not clarify—one way or the other—if marketing costs too much or too little. The productivity studies, on the other hand, despite a variety of methodologies, reveal a rising secular trend over the past century. Thus, it may be concluded that irrespective of changes in cost, marketing is becoming more productive.

Keywords

Marketing, Operating Expense, Distribution Cost, Cost Study, Input Side

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