Three Keys to Capitalize on Advertising’s Compound Interest

By Peter Lyle DeHaan, PhD

In his article, Advertising’s Compound Interest, Jim Gustafson discusses advertising effectiveness. He correctly states:

All advertising mediums can be effective when used properly and consistently. However, no advertising is worth the investment if you just shotgun it or try it a short time.

The Right Medium

The first key is to find the right medium; do not write off any option off. Just because it worked or didn’t work for someone else, has no bearing on whether or not it will work for you and in your circumstances. Consider everything; dismiss nothing.

Proper Use

Next is the proper use of advertising. If you want people to respond to your ad, give them a compelling reason to do so; be sure to include a call to action. If you produce a brand awareness ad, look for increased brand awareness, not for the phone to ring or for orders to be placed online.


The third item is consistency. This is of paramount importance. Even if you find the right medium and develop the proper ad for your goals, it will have little effect if you use the “shotgun” approach to placing it. Running an ad one or two times — or in a smattering of places — will have little noticeable effect. You need to be consistently running your ads (the right ads in the right medium) if you expect anything to happen.


In conclusion, find the right ad medium, develop the proper ad with your goals in mind, and advertise consistently.

Just as interest in the bank compounds, so too can advertising — if it is done right.

Read more in Peter Lyle DeHaan’s Sticky Series books, including Sticky Customer ServiceSticky Sales and Marketing, and Sticky Leadership and Management featuring his compelling story-driven insights and tips.

Peter Lyle DeHaan is an entrepreneur and businessman who has managed, owned, and started multiple businesses over his career. Common themes at every turn have included customer service, sales and marketing, and leadership and management.

He shares his lifetime of business experience and personal insights through his books to encourage, inspire, and occasionally entertain.

By Peter Lyle DeHaan

Author Peter Lyle DeHaan, PhD, publishes books about business, customer service, the call center industry, and business and writing.