An Application of the Analytic Network Process to the Advertising Media Budget Allocation Decision

This study developed and tested a comprehensive model for media selection and budget allocation using the analytic network process (ANP; Saaty, 1996). ANP can be used to solve complex decision-making problems by integrating different measures (both qualitative/intangible and quantitative/tangible) into a single overall score for ranking decision alternatives. The resultant model may be used by expert or novice media planners with equal effectiveness. This study demonstrated how this model may be used to allocate media dollars for 2 industries: airlines and financial services.