Budget Allocation
Budget
Myth:Performance marketing should get the majority of budget.
Evidence:Across hundreds of IPA case studies, roughly 60% brand / 40% activation maximises long-term profit growth in consumer categories.
AI & Creative
Myth:An AI panel that recognizes your visuals can replace a human creative pretest.
Evidence:Across six published visual-marketing benchmarks, four synthetic-consumer configurations (two GPT models in text or JSON format) passed every visual manipulation check, but none reproduced more than two of the six human effects without extra guidance. One configuration significantly reversed the human logo-shape effect on comfort.
This September 2026 preprint tests static images with GPT-4o-mini and GPT-5.4-mini, not flagship models or video. The human benchmarks come from published studies, not fresh replications. Supplying the original findings improves agreement, but that shows steerability rather than independent prediction.
Yi-Lin Tsai & Yung-Hsiu (Arvin) Lai, University of Melbourne / arXiv · 2026 · Academic
Channels: brand · creative
Budget Allocation
Myth:Performance marketing should get the majority of budget.
Evidence:Across hundreds of IPA case studies, roughly 60% brand / 40% activation maximises long-term profit growth in consumer categories.
The Validity Gap
Myth:TV's ROI estimates justify current spend levels.
Evidence:Estimating elasticities and ROI across 288 brands, Shapiro, Hitsch & Tuchman find ad elasticities far smaller than the published literature suggests, negative ROI at the margin for more than 80% of brands, and positive overall ROI for only about a third.
Penetration
Myth:Loyal heavy buyers are the growth engine.
Evidence:Brand growth comes overwhelmingly from increasing penetration among light and non-buyers, not from deepening loyalty.
How Advertising Works
Myth:If ads don't move this week's sales, they didn't work.
Evidence:Across 751 short-term and 402 long-term elasticities from 56 studies (1960-2008), the average short-term advertising elasticity is 0.12 - but the mean long-term elasticity is 0.24, double the short-term, through carryover.
Creative Effectiveness
Myth:Targeting and media buying determine campaign outcomes.
Evidence:Creative quality accounts for roughly half of advertising-driven sales variance — a larger share than any single media variable.
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