Commercial Sales in Cable Television: An Overview and a Linear Model

Abstract

This paper deals with the sales of commercial advertisements in the cable television industry. It describes the dynamics of the process, and develops the notion of an audience loss function, the minimization of which is equally desirable to both networks as well as advertisers. A simple, yet robust delivery‐efficient linear model is described for optimizing this loss function, subject to the constraints that are typically inherent in the process. This is followed by a numerical illustration that uses realistic data, and a discussion on the use of the model.

Citation

Aiyer, J.P. and Rajgopal, J. (1997), "Commercial Sales in Cable Television: An Overview and a Linear Model", American Journal of Business, Vol. 12 No. 1, pp. 27-34. https://doi.org/10.1108/19355181199700003