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.     

Modeling online advertising: A cross-cultural comparison between China and Romania

Culture and advertising are intrinsically linked. Recent years have witnessed growing interest in examining the mechanism and influence of online advertising. However, the foci of most studies have been on the USA or other developed countries. Little is known about online advertising in developing countries. The purpose of this study is to investigate consumers' beliefs and attitudes toward online advertising (ATOA) across different cultures such as China and Romania. Among the major findings, (1) all five belief factors (i.e. information seeking, entertainment, economy, credibility, and value corruption) were statistically significant predictors of ATOA, (2) ATOA was a statistically significant predictor of both online ad clicking and frequency of online shopping, and (3) as compared to the Chinese, Romanians tended to hold a more positive attitude toward online advertising and were more likely to click advertisements, whereas Chinese were more likely to buy online than Romanians.     

Conceptualization and Exploration of Attitude toward Advertising Disclosures and Its Impact on Perceptions of Manipulative Intent

Significant research has been conducted in an effort to understand how varying elements of disclosures (e.g., size, placement, complexity) in advertisements impact consumers' abilities to understand and recall the disclosed message. Although it is important to research the effectiveness of disclosures, advertisers may have additional concerns if the mere presence of a disclosure impacts consumers' perceptions of the company, advertisement, or brand. Little research currently exists examining the notion of consumers' attitudes toward advertising disclosures or how they might impact the effectiveness of the disclosed message, attitude toward a given communication, or overall evaluation of the brand. We introduce the concept of attitude toward advertising disclosures and develop a scale to measure consumers' attitudes toward disclosed messages. The resultant 14‐item, multidimensional scale is then used to demonstrate how attitude toward advertising disclosures plays a moderating role in influencing consumers' perceptions of manipulative intent.     

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.     

Message‐to‐person versus person‐to‐message: An alternative way to conceptualize personalized advertising

This study provides an alternative way to conceptualize personalized advertising and discusses when and why nonpersonalized information can be more effective than personalized information in changing people's attitudes and behavioral intentions. Different from the traditional personalization approach in the literature that personalizes a message for an individual, this alternative way of thinking is to personalize an individual for a message. It is argued that an individual can be personalized for a message via priming tactics and it leads to reverse personalization effects where a nonpersonalized message generates stronger persuasion effects than a personalized message. The effects of priming on personalization are moderated by perceived prime credibility and mediated by perceived message relevance.     

Why we watch others' responses to online advertising – investigating users' motivations for viewing user-generated content in the context of online advertising

The study investigates Internet users' motivations for viewing user-generated content (UGC) in the context of online advertising. In addition, it is examined whether individual motivation patterns can be traced back to users' personalities and their attitudes toward advertising in general. An online survey of 181 social media users was conducted, surveying users' motivation, personality (big five), and attitude toward advertising in general. Path analysis was employed to examine the research model. The use of UGC was motivated by needs for information, entertainment, personal identity, and social interaction. While personality did not predict users' motives, their attitudes towards advertising in general explained individual motivation patterns to a large extent. It was consequently proposed and confirmed that users' motives mediate the influence of recipients' general attitude toward advertising on UGC usage. Results indicated a strong effective potential for UGC in online advertising: users view such content expressly to be influenced by others fulfilling their needs for information, personal identity and social interaction. Firms may lose some of their ability to precisely control brand messages when advertising in social media.     

When transparency pays off: Enticing sceptical consumers with two-sided advertising

It has been generally assumed that higher levels of scepticism towards advertising invariably lead to higher resistance to advertising appeals. The main purpose of the present research was to examine whether highly sceptical consumers' resistance can be overcome by appeals associated with higher credibility. We tested our hypotheses using message sidedness as an advertising variable that has been associated with higher (two-sided) versus lower (one-sided) credibility. In three experimental studies, we examined more versus less sceptical consumers' responses to two- versus one-sided appeals. We found that two-sided messages are more effective in increasing purchase intentions, through enhanced credibility, but only for consumers who are more sceptical of advertising. Less sceptical consumers trust both messages equally and their purchase intentions are not affected by the type of message. Importantly, we also showed that highly sceptical consumers trust two-sided appeals as much as their less sceptical counterparts. The study contributes to the literature on advertising and persuasion knowledge by showing that advertising scepticism does not elicit a single response tendency, as originally conceptualized. Rather, advertising scepticism is more consistent with the underpinnings of the Persuasion Knowledge Model, in that higher knowledge about persuasion tactics aids consumers to better cope with, and not invariably resist persuasion attempts. We conclude that transparency pays off because it may entice a more sceptical audience and, at the same time, it does not harm less sceptical consumers' trust and purchase intentions.     

Are They Celebrity Followers? Examining the Third-Person Perception of Celebrity-Endorsed Advertising

This study explored how consumers' presumed influences mediated the impacts of source credibility and advertising skepticism on purchase intention in the context of celebrity-endorsed advertising (CEA). A national media consumer panel (N = 445) indicated the third-person perception (TPP) were positively correlated to celebrity expertise and attractiveness, but negatively influenced by advertising skepticism. Moreover, three celebrity credibility variables and advertising skepticism yielded direct effects on purchase intention. Indirect effects by the TPP were also generated on purchase intention. The TPP would mediate the impacts of celebrity credibility and advertising skepticism on purchase intention in response to various desirable/undesirable endorsers. Moreover, the TPP would decrease the impact of celebrity credibility, but increase the impact of advertising skepticism on purchase intention, indicating that the third persons' attitudes toward CEA may become a key reference in consumers' purchase intention processes.     

And now a word from our sponsor: Do consumers perceive advertising on traditional television and online streaming video differently?

Despite the increasing popularity of online streaming television (OTV), there is little information regarding how perceptions of the new medium differ from traditional television (TV) viewership. The research employed online interviews among young adult viewers of OTV and traditional TV to determine whether young adult consumers (aged 18–34) regard advertising viewed within online TV programming differently than they regard advertising viewed within traditional TV programming. While advertising has long been accepted by American consumers as a necessary element of most mass communication, this research suggests that viewers of OTV programming do not regard advertising as a means to subsidize the cost of online content. Rather, young adults appear to regard advertising as an intruder in the OTV environment. Furthermore, the results indicate that Ducoffe's Advertising Value model (1995) does not predict attentiveness to advertising viewed within the OTV context. Therefore, while OTV advertising may be held to a higher creative standard than traditional TV advertising, there is no indication that entertainment value contributes to an improved attitude toward advertising in the OTV environment.     

Self-Regulation for Online Behavioral Advertising (OBA): Analysis of OBA Notices

This study assessed how and to what extent self-regulation of online behavioral advertising (OBA) is executed on participating companies' websites. Based on the principles of OBA, as outlined by the Digital Advertising Alliance and Federal Trade Commission, we analyzed the format of OBA notices, explanation of OBA notices, opt-out options, transparency, and use of unacceptable notices. A series of content analyses was done in the years 2013 and 2015. Our results indicated slight improvements over the years, but the specific details of the implementation continued to fall short of the standards. In terms of accessibility and visibility, many websites demonstrated problematic presentations or lack of the components necessary to increase consumers' understanding and control over the practice of OBA.     

Painting Your Point: The Role of Color in Firms' Strategic Responses to Product Failures via Advertising and Marketing Communications

Color plays a significant role in firms' strategic marketing communications and advertising. This research examines how color (red versus blue) in advertising and marketing communications that follow a firm's failure dynamically influences consumers' interpretations of negative firm information and sensitivity to the firm's response to the failure. We find that the color red used in postfailure advertising and firm marketing communications narrows the scope of consumers' conceptual attention on the firm failure and makes consumers less sensitive to a firm's response to the failure. In contrast, exposure to the color blue expands the scope of consumers' conceptual attention and makes them integrate the firm's response in their firm evaluations. In addition, the negative effect of red is mitigated via the use of a more benign cue, leading to the broadening of the scope of conceptual attention and integration of a firm's response that are consistent with blue cues.     

The influence of gender on the effectiveness of probability markers in advertising

The results of two studies reveal that gender plays a moderating role on the effects that the use of probability markers (hedges – e.g., possibly, could help; and pledges – e.g., definitely, without a doubt) in advertising copy has on consumers' attitudes towards the brand advertised and purchase intentions. Women, as comprehensive processors, are not particularly sensitive to probability markers, which function as heuristic cues. Men, on the other hand, display higher levels of sensitivity towards probability marker usage; more precisely, their responses show preference towards the use of hedges over both pledges and no probability markers in advertising copy. Interactions with product category involvement, buying motivation (hedonic or utilitarian), and familiarity with the brand advertised are also explored.     

A study of the believability of the forms of puffery

This study tested consumers' perceptions of the believability of puffery in advertising. Forms of puffery have been ranked for their potential ability to deceive consumers. Subjects were asked to rate how believable they found examples of each of the six forms of puffery. The study compared the believability of the claims with the subjects' familiarity and experiences with the products about which the claims were made. The results of a one-way analysis of variance showed little difference between consumers' levels of believability across five of the six levels of puffery. Overall, most consumers did not feel strongly one way or another about the believability of the puffed claims. That both familiarity and experience with the products significantly influenced the believability of the claims made in the study was indicated by χ²-tests. Recommendations are made concerning marketers' use of puffery. Topics for future research in the area are also suggested.     

Can Social Media Campaigns Backfire? Exploring Consumers' Attitudes and Word-of-Mouth Toward Four Social Media Campaigns and Its Implications on Consumer-Campaign Identification

In response to the unprecedented growth of social media, companies are continuously creating unique social media campaigns encouraging customers to share their advertising messages. However, many of these social campaigns end up backfiring. The purpose of this study is to examine consumers' preferences toward 4 social media campaigns and to investigate the impact of positive and negative word-of-mouth and social value on consumer-campaign identification. Using a sample of 525 respondents in Australia, the results show social media campaigns that contain negative messages are more likely to receive negative word-of-mouth while partnering with non-profit organizations may help generate positive word-of-mouth. This study will assist marketing managers to better understand the consumers' perceptions on recent social media campaigns in Australia.     

E-mail Advertising in Syria: Assessing Beliefs,Attitudes, and Behaviors

The present study aimed at assessing Syrian consumers' beliefs regarding, attitude, and behavioral responses toward e-mail advertising and investigating the relationships among those variables. A cross-sectional survey was conducted and it yielded 273 valid responses. The proposed model was analyzed and tested using a structural equation modelling approach. Our findings showed that both informativeness and entertainment beliefs positively predicted Syrian consumers' attitudes toward e-mail advertising. Additionally, attitude was found to fully mediate the relationship between beliefs regarding and behavioral responses toward e-mail advertising.     

Culture,cognitive style and consumer response to informational vs. transformational advertising among East Asians: Evidence from the PRC

Existing literature suggests that people's cognitive styles vary significantly across nations and cultures, and that East Asians emphasize holistic information processing and are more receptive to transformational advertising than people in the West. Yet, both theoretical rationale and empirical evidence of the effect of cognitive style on consumers' advertising responses are lacking. This study proposes a congruency-activation model and adopts a three by two experimental design to examine Chinese consumers' attitude towards different advertisements. The results indicate that Chinese consumers prefer transformational and integrated ads to informational ads under both low and high involvement conditions. Protocol analysis shows that Chinese consumers engage in more affective processing than cognitive thoughts. Thus, marketers should consider the effect of the cognitive style of indigenous consumers when devising international advertising strategies.     

Disentangling the impact of temperature on consumers' attitudes toward nostalgic advertising

Although the effect of temperature on consumers is ubiquitous, little is known about how temperature affects consumers' attitudes toward nostalgic advertising. Drawing on embodied cognition theory, this study explores the effect of temperature on consumers' attitudes toward nostalgic advertising through the mediator of the affective system. Based on two experiments involving personal and historical nostalgic advertising, our results show that when exposed to comfortable temperature, consumers follow the “assimilative effect” of temperature; warm temperatures trigger more positive attitudes toward nostalgic advertising when compared with cool temperatures. However, when exposed to uncomfortable temperatures, consumers follow the “complementary effect” of temperatures; cold temperatures lead to more positive attitudes toward nostalgic advertising than hot temperatures. Furthermore, the affective system plays a mediating role between temperature and consumers' attitudes toward nostalgic advertising. This study contributes to the literature on temperature in marketing and provides a practical guide for companies to implement nostalgic advertising strategies.     

The Effect Of Advertising Content Control On Advertising Effectiveness In The Different Forced Exposure Circumstance

With advances in new technology, various formats of online advertising (e.g., in-stream video advertising) often force e-consumers to watch the advertisement during their goal-oriented activities, and this advertising interruption often makes them feel intruded upon and irritated. To reduce such negative reactions toward involuntary advertising exposures, this study examines whether offering e-consumers the option to choose advertising content can influence ad effectiveness in different degrees of forced exposure circumstance. Using a 2 (advertising content control: customization option vs. no option) × 2 (level of forced exposure: pre-rolls vs. rich media banners) factorial experiment, the researcher noted that advertising customization features generate a greater sense of relevance and increased advertising memory, which in turn may lead to more positive attitudes toward the ad regardless of the levels of forced exposure. The findings have theoretical and practical implications on the use of involuntary advertising interruptions in the web interface.     

Unraveling the Personalization Paradox: The Effect of Information Collection and Trust-Building Strategies on Online Advertisement Effectiveness

Retailers gather data about customers’ online behavior to develop personalized service offers. Greater personalization typically increases service relevance and customer adoption, but paradoxically, it also may increase customers’ sense of vulnerability and lower adoption rates. To demonstrate this contradiction, an exploratory field study on Facebook and secondary data about a personalized advertising campaign indicate sharp drops in click-through rates when customers realize their personal information has been collected without their consent. To investigate the personalization paradox, this study uses three experiments that confirm a firm's strategy for collecting information from social media websites is a crucial determinant of how customers react to online personalized advertising. When firms engage in overt information collection, participants exhibit greater click-through intentions in response to more personalized advertisements, in contrast with their reactions when firms collect information covertly. This effect reflects the feelings of vulnerability that consumers experience when firms undertake covert information collection strategies. Trust-building marketing strategies that transfer trust from another website or signal trust with informational cues can offset this negative effect. These studies help unravel the personalization paradox by explicating the role of information collection and its impact on vulnerability and click-through rates.