Newsfeed native advertising on Facebook: young millennials’ knowledge,pet peeves,reactance and ad avoidance

Abstract

This study explores how young millennials understand and respond to newsfeed native advertising on Facebook, rooting our focus on its covert nature of the ad format. Drawing insight from two persuasion-related theories, we conducted focus group interviews and in-depth interviews with Facebook users aged 19–29. The study revealed three major themes regarding their interactions with newsfeed ads: persuasion knowledge, positive and negative experiences and avoidant coping responses. Participants showed a high level of persuasion knowledge of how Facebook newsfeed ads work and ambivalent attitudes toward newsfeed native ads. Despite some benefits, newsfeed native ads presented strong negative responses, which were often accompanied by reactance and ad avoidance. Multiple themes regarding negative experiences emerged: ad intrusiveness, ad clutter, a lack of relevance, too personal, privacy concern, goal impediment and covertness. Participants also voiced less autonomy in controlling their exposure to newsfeed ads. Theoretical and managerial implications are discussed and a model for future research is provided.     

Factors affecting attitudes and behavioural intention towards social networking advertising: a case of Facebook users in South Korea

This study examined factors (e.g., ad values and social networking advertising characteristics) influencing consumers' attitudes and behavioural intention towards three types of social networking advertising (SNA) on Facebook – home page ad, social impression ad, and organic impression ad. Findings demonstrate that peer influence had the most significant impacts on attitude and behavioural intention across all types of SNA. The significant interaction term of invasiveness and privacy concern indicates that both attitude and behavioural intention were diminished, particularly when perceived invasiveness and privacy concern were high simultaneously. In addition, results suggest that attitudes towards the ad played a mediating role between SNA characteristics and behavioural intention. Lastly, among the types of SNA, consumers preferred organic impression ads that featured friends' names on their newsfeed more than paid ads located on the sidebar of their Facebook pages.     

Why are there cross-national differences in response to comparative advertising?: some mediators

This study conducted a lab experiment in the US and South Korea to test cross-national differences in response to comparative versus non-comparative Facebook advertising messages. Consistent with prior research, this study found that comparative ads resulted in more positive attitudinal responses among Americans, whereas non-comparative ads resulted in more positive attitudinal responses among Koreans. Results of multiple mediation tests showed that Americans showed more positive responses to a comparative ad message because the message was perceived to be more assertive than a non-comparative ad message, whereas Koreans showed more negative responses to a comparative ad message because the message was perceived to be less considerate than a comparative ad message. This study has important theoretical implications by testing multiple mediators for comparative ad effects; and also has practical implications for cultural adaptation marketing strategies.     

From Online Motivations to Ad Clicks and to Behavioral Intentions: An Empirical Study of Consumer Response to Social Media Advertising

Marketers increasingly use social media advertising to promote their products and services. In particular, display ads have a prominent presence accompanying various social media feeds. This study aims to develop an understanding of how consumer online motivations (connection vs. consumption) lead to ad clicks on social media, which in turn affect behavioral intentions. A research model is developed to delineate two processes: First, the effects of motivations on ad clicks via perceived entertainment and informativeness values of ads, in which the mediating role of perceived congruity between ad and media content is proposed, too; second, the effect of ad clicks on behavioral intentions to purchase and spread positive word of mouth. The model was tested and confirmed with the online survey data of 613 social media users. Practical and theoretical implications are discussed.     

How does ad relevance affect consumers' attitudes toward personalized advertisements and social media platforms? The role of information co-ownership,vulnerability, and privacy cynicism

Consumers' responses to the use of their personal data for personalized advertising by platform providers are paradoxical. Drawing from psychological ownership theory and the collective information boundary, this study examines how the social relevance and personal relevance of ads impact consumers' attitudes toward advertisements and social media platforms. Basing on 350 responses, we confirm that perceptions of information co-ownership and feelings of vulnerability play a serial mediating role in the positive relationship between ad relevance and consumer attitudes. Specifically, ad relevance increases consumers' perceptions of social media platforms as co-owners of their personal information, which in turn reduces feelings of vulnerability and improves their attitudes toward personalized advertisements and social media platforms. Privacy cynicism negatively moderates the indirect effects of information co-ownership perceptions on two attitude variables mediated through feelings of vulnerability. Our research findings provide a new perspective on the personalization–privacy paradox and offer platform providers new insights into improving their personalized advertising performance and user–platform relationships.     

How sponsorship transparency mitigates negative effects of advertising recognition

The proliferation of covert online advertising formats such as advergames has raised concerns about consumers’ ability to recognize such content as advertising and about how recognition affects evaluative outcomes. The present research utilized an online experiment (N?=?179) to examine differences between covertness of advertising format (advergame vs. online video commercials) on advertising recognition, and whether sponsorship transparency mediates – and mitigates – the negative effects of advertising recognition on attitude toward the ad, attitude toward the brand, and purchase intent. The results show that covertness of advertising format, recognition, and sponsorship transparency all shape consumers’ responses to online ads. Specifically, the predicted negative indirect effect of covertness of advertising format on attitudes and behavioral intention via advertising recognition reversed valance when sponsorship transparency was included in the serial mediation model.     

The role of respect in the effects of perceived ad interactivity and intrusiveness on brand and site

This paper examines the interrelated effects of respect, ad intrusiveness, and ad interactivity on attitudes toward brands and the publishers that serve online advertisements. Despite widespread use of the term, respect has received almost no attention in the advertising literature. A structural equations model indicates that ad formats that are perceived as respectful to viewers result in more favorable attitudes toward both the brand and publisher site. Ad intrusiveness negatively affects respect, while interactivity has a positive influence. Respect is demonstrated to exhibit a partial mediating role in the effect of these two variables on brand and site. Results also suggest that advertisers should strive for greater interactivity in ads if their objective is branding rather than direct response, as this can minimize the negative influence of intrusiveness. Publishers can also benefit from these kinds of ads.     

How the level of personalization affects the effectiveness of personalized ad messages: the moderating role of narcissism

Abstract

In this study, we examined the effects of two different levels of personalization strategies (individual-level vs. group-level) on consumers’ visual and attitudinal responses to personalized advertising. We further investigated the moderating role of recipients’ narcissism in the effect of personalization. Results show that individuals higher in narcissism paid greater and more frequent attention to ads personalized on an individual level than to those personalized on a group level, while individuals low in narcissism showed no such differences. Regarding attitudinal response, consumers with a high level of narcissism tended to have a more favourable attitude towards the individual-level personalized ad compared to those with a low level of narcissism, while consumers with a low level of narcissism tended to have a more favourable attitude towards the group-level personalized ad compared to those with a high level of narcissism. Theoretical and managerial implications are discussed.     

An Involvement Explanation for Nostalgia Advertising Effects

This study seeks to offer additional insights regarding why positive “nostalgia effects” in advertising may be observed, that is, why nostalgic ads tend to elicit more favorable consumer responses than do non-nostalgic ads. Using the personal relevance component of advertising involvement as a theoretical foundation, the study supports hypothesized expectations that nostalgic ads are capable of inducing greater levels of self-reflection and advertising involvement. Furthermore, hypothesized effects were shown to be more pronounced when a “personal” nostalgia-themed ad (eliciting “a yearning for a realized, lived past”) was used, as opposed to when an “historical” nostalgia-themed ad (eliciting “a yearning for a distant past, never experienced”) was used. Theoretical and practical implications of the findings are discussed and directions for future research are offered.     

Maximizing User Interactivity through Banner Ad Design

This research developed criteria for an online banner ad design to maximize user interactivity. The ad's design criteria were based on studies on interactivity, animation, persuasiveness of emotional and rational appeals in ads, animation, ad placement, size, and metrics. The ad was deployed and measured for effectiveness by using behavioral response metrics: click-through rates and mouse rollovers. Findings show that the ad designed according to the criteria garnered more user interaction than the other ads deployed during the same time. This has value for advertisers that need to evaluate online banner advertising design and need to make informed decisions on advertising strategy and campaigns.     

Effects beyond click-through: Incidental exposure to web advertising

While Web advertising tends to be based on a direct response model, there is a growing debate about the brand building potentials of Web ads. Click-through rates (CTR) are disappointingly low, but Web ads can be effective at brand building in an environment where Web ads are outside of consumers' attentional focus. With this in mind we conducted two experiments. The first experiment examined the effects of incidental exposure to banner ads. Subjects who were incidentally exposed to banner ads reported greater priming effects induced by implicit memory, more favorable A_ad, and greater likelihood for the advertised brand to be included in a consideration set over no exposure to the ad. These effects were found without significant improvement on explicit memories (i.e. recall and recognition) and click-through intention. The second experiment to assess the conditions conducive to incidental exposure examined two advertising strategies: format (animated vs. static) and placement (congruency vs. incongruency). Findings suggest that the level of congruency between an advertised product and Webpage content play significant roles in affecting consumers' responses to incidentally exposed banner ads. This paper examines the results of these two experiments before discussing the implications for the role of Web ads on brand building and directions for future research.     

The Sniffing Effect: Olfactory Sensitivity and Olfactory Imagery in Advertising

The authors examine the influence of olfactory sensitivity on the effectiveness of olfactory imagery in advertising. Findings reveal that the use of olfactory imagery can negatively impact ratings for ads, the product advertised, and likelihood to buy, especially for individuals sensitive to smell. The authors demonstrate that the act of sniffing can reverse the negative effects of olfactory imagery in olfactory sensitive individuals. An event-related potential (ERP) study provides evidence of emotions triggered during sniffing and forming olfactory imagery, explaining the underlying mechanism behind the observed behavioral and perceptual effects. Results show that olfactory imagery has an impact on the evaluation of ads, with a possible negative impact for sensitive individuals. Furthermore, the article demonstrates that these effects can be reversed by introducing sniffing cues in the ad. Thus, the use of a multimethod approach, combining behavioral and neuroscience experiments, provides insight into the effectiveness of advertising strategies in consideration of individual differences in consumer olfactory sensitivity. This article provides support for advertisers to consider incorporating sniffing cues (to trigger positive scent-associated emotions) in the construction of scent-relevant ads to enhance positive ratings of ads.     

Negative Consequences of Storytelling in Native Advertising

Native advertising and storytelling are both increasingly popular advertising strategies. This research explores the effectiveness of storytelling in a native advertising context on social media. While most research recommends the use of stories as a way to build trust and relationships with consumers, the current research suggests that in the form of native ads on social media, narratives may be less effective when compared to informational native ads. Two studies find that even when advertising cues such as disclosure labels and brand presence are prominently located, consumers are less likely to recognize the advertising nature of narrative native ads when compared to informational native ads. Lower levels of advertising recognition are associated with increased perceptions of manipulative intentions by the advertiser, which has a negative influence on consumers' attitudes toward the ad. The findings suggest that native ads that clearly communicate their advertising nature through cues such as an informational execution, high brand presence, and prominent disclosure labeling are more effective than a narrative execution style.     

Targeting college students on Facebook? How to stop wasting your money

While Facebook usage has seen explosive growth, scant research has explored returns on advertising dollars marketers invest in this emerging medium. Our two-stage study of 18- to 25-year-old college students suggests that many of the advertising dollars consumer goods firms spend on Facebook are likely wasted. This study highlights that, in addition to staying in touch with friends and relatives, Facebook users are primarily motivated by three desires: (1) to voyeuristically peer into others’ lives, (2) to create a distinctive identity for themselves, and (3) to act on their inner narcissistic tendencies. These motivations also make them poor prospects for advertisers, as users seem disinterested in Facebook ads and disengaged from marketers’ attempts to build brands. Herein, we discuss challenges for marketers, as well as opportunities for building brands and driving sales via Facebook.     

Like or dislike? Adolescents’ responses to personalized social network site advertising

Increasingly, personal data posted by users of social network sites (SNSs) can be used to personalize advertising. The present study investigates how adolescents respond to personalized ads in terms of attitude toward the ad, brand engagement and intention to forward, and whether privacy concerns moderate their responses. According to pretest results, a medium level of personalization was expected to be optimal in terms of advertising effectiveness. A within-subjects experiment involving 40 participants aged 14–18 years was performed. Three conditions of personalized advertising were designed with, respectively, low, medium, and high levels of personalization. The study found that the highest personalization condition generated the most positive response and that privacy concerns did not moderate the effects of personalization. The privacy paradox is discussed as an alternative explanation, along with other implications of the results.     

Music-brand congruency in highand low-cognition radio advertising

Many radio commercials use background music to accompany a message. This research examines how brand-congruent music (i.e. music that ‘fits’ the brand) will affect ‘Attitude towards the Ad’ (AAd) and ‘Attitude towards the Brand’ (ABrand), specifically when used with different types of ad copy that are more or less demanding of cognitive resources (high-cognition vs low-cognition advertising copy). In high-cognition ads, congruent music results in a more positive AAd and ABrand compared to incongruent music or no music. However, this effect is not found with low-cognition ads, where AAd (and ABrand) are similar for all three conditions of congruent music, incongruent music and no music.     

Advertising creativity and repetition

Creativity is seen as an important component of advertising, with highly creative ads being easier to recall than control ads. However, the boundary conditions around this effect are less understood. This research examines how creativity influences recall across repeated ad exposures. Additionally, this paper investigates the influence of creativity on advertising wearin/wearout. We utilise creative and control commercials embedded in a television programme for a naturalistic viewing experience, along with a one-week follow-up measure. We find that creative advertisements exhibit higher recall, though repeated exposures reduce this advantage.Further, creative ads are more liked, demonstrate wear in effects more quickly and are less susceptible to wearout.     

Identification of Web User Segments Based on Beliefs about Online Ads

Online advertising has been one of the fastest growing industries worldwide, due to the increased number of Internet users. From the perspective of marketing management, identifying the profile of web users who click online ads will enable designers to create better online advertising campaigns. Hence, the main objectives of this article are (1) to segment web users based on their beliefs about online ads, (2) to identify personality traits of each segment, and (3) to investigate attitudinal and behavioral differences across segments about online ads. Data were collected through an online survey and by using cluster analysis, web users were segmented into three groups based on their beliefs about online ads: “Supporters,” “Neutrals,” and “Opponents.” Personality trait differences as well as attitudinal and behavioral differences among three segments were examined and significant differences were found in terms of their personality traits, such as variety seeking, market mavenism, and innovativeness.     

Creating an effective code-switched ad for monolinguals: the influence of brand origin and foreign language familiarity

This study investigates the influence of brand origin and foreign language familiarity in code-switched (CS) ad effectiveness for monolingual consumers. CS ads refer to ads containing foreign words or phrases in an advertising copy (e.g., headline and slogan), resulting in a mixture of native and foreign languages. In this research, we conducted a pilot study to show the increasing trend of using code-switching in ads, regardless of whether the brands are local or foreign, in a monolingual market. We further examine if the effectiveness of CS ads is contingent on the brand origin among monolinguals. Study 1 showed that non-CS ads were perceived more favorably than CS ads for advertising a local brand. However, not all of the CS ads were perceived more favorably than non-CS ads when a foreign brand was advertized. The results of Study 2 showed that when a foreign brand was advertized, CS ads using a high-exposure foreign language were evaluated more favorably than CS ads using a low-exposure foreign language. Foreign language familiarity played a mediating role in the observed effects. We provide evidence that the research findings on CS ads among bilinguals cannot be applied to monolinguals. We discuss implications for international marketing and suggest advertising strategies for practitioners.     

Does competitive clutter in television advertising “interfere” with the recall and recognition of brand names and ad claims?

This paper contrasts the effects of competitive clutter on the recall and recognition of information from ads for familiar brands. An experiment was conducted utilizing ads for the type of relatively familiar brands typically advertised on network television; the dependent variables were recall and recognition of brand names and ad claims. Results showed that brand name recall scores were substantially reduced by competitive clutter. However, exposure to competitors' ads had little effect on ad claim recall. These data are consistent with the view that information about familiar brands will tend to be compartmentalized in memory, reducing interference effects in attribute recall. Exposure to competitive clutter had relatively little effect on recognition task performance. Suggestions for future advertising research considering competitive interference and brand familiarity issues are provided.The authors thank the editor and two anonymous reviewers for their guidance. Ray Burke. Frank Kardes, James Kellaris, Karen Machleit, Joe Mandese, and Don Schumsky provided helpful comments on various aspects of this research.