The Risk Reduction Role of Advertising

This study shows theoretically and empirically that exposure to advertising increases consumers tendency to purchase the promoted product because the informative content of advertising resolves some of the uncertainty that the risk averse consumers face and thus reduces the risk associated with the product. We call this effect the risk-reduction role of advertising. The risk-reduction model implies that advertising effectiveness depends on (a) the risk preference parameter, (b) the precision of the advertising message, (c) the familiarity of the consumer with the product, (d) the consumers sensitivity to products attributes (and thus, her involvement level with the product), and (e) the diversity of products offered by multiproduct firms. These findings suggest that ads spending should be higher (a) for new and relatively unknown products, (b) for high-involvement products, (c) when ads can be quite precise, and (d) when the firm offers a diverse product-line. It also implies that ads should target consumers (a) who are more sensitive to risk, (b) who are more involved, and (c) those who are not familiar with the promoted product.The model allows ads to affect choices also through a direct effect on the utility (i.e., the standard approach to formulate the effect of advertising). In our empirical example (where the products are television shows) the risk-reduction effect is significant and strong and the direct effect is negligible behaviorally. We discuss the welfare implications of these findings, and illustrate the quantitative differences in managerial implications between our model and the traditional one.     

The Role of Professional Advertising Associations in Russia

In four separate studies from May 1991 to July 1994, the author audiotaped interviews with business and industry advertising professionals, academicians and government in what is now Russia. Symbolic interactionism was the theoretical basis for analysis of the audiotapes. The analysis identified two key themes related to professional advertising associations: (1) lack of advertising industry regulation, and (2) a need for social responsibility in advertising. Findings suggest that the formation of advertising associations in Russia represents an interaction between social, economic and legislative realities in a semi-unregulated advertising industry.     

The Role of Advertising in the Market Process: A Survey

The positive role played by advertising in the market process has been largely ignored by academic economists. It is only recently, since the modern economic revolution, that economists have realized the benefits of advertising and have joined the research agenda developed by researchers in marketing and other business fields. The present survey details the literature that examines the role played by advertising in lowering the ‘full price’ to consumers which allows consumers to maximize utility and allows the producers/retailers to maximize profits. The review begins with the seminal article by Stigler in 1960 which develops a (now famous) theory of the economics of information. Nelson's characteristics of goods and services are surveyed along with the extensions of other economists to the classification frameworks of Nelson and Porter. The survey follows the development of the theory of advertising in economics to the present day, and provides recent theoretical advances as well as empirical tests of these seminal theories.     

The Panoptic Role of Advertising Agencies in the Production of Consumer Culture

Advertising's role in promoting an ideology of marketed consumption has been widely commented upon by critical theorists yet the mechanisms through which this influence becomes manifest remain relatively under-examined. In particular there has been no explicit examination of the mediating role of cultural knowledge in the production of ideologically driven advertising. This paper invokes the panoptic metaphor to position the knowledge gathered by and on behalf of advertising agencies as a major dynamic in the production of consumer culture. The consumer of advertising is a known entity for advertising agencies: the subject is watched, filmed, questioned, recorded, and tracked. Indeed, consumer biography and subjectivity itself has become material that is both produced and consumed by advertising agencies in order to produce culturally constitutive advertising. The paper integrates disparate literatures to situate knowledge of consumer culture at the hub of advertising's constitutive ideological influence.     

论广告传播在资本转换中的作用

布迪厄提出资本有经济资本、文化资本、社会资本等不同形态,并认为不同形态的资本之间是存在着相互转换的。在现实世界的资本转换之中,广告传播产生了积极的推动作用,并且随着广告业的纵深发展,这种推动作用会表现得越来越明显。     

Advertising Creativity: The Role of Divergence Versus Meaningfulness

Creativity is seen as an essential component of advertising and is continuing to attract research interest. While there is widespread agreement on the value of creativity, there are two different perspectives on the key components of creativity. One perspective sees creativity as primarily divergence, containing elements of novelty, aesthetic representation, newness, and difference. The second includes, in addition to divergence, the concept of meaningfulness (or appropriateness or connectedness) to the consumer. This view argues that if an advertisement is not meaningful then it simply is not creative. We attempt to find some empirical resolution to this issue. Our findings indicate that divergence is indeed an important element of creativity. Meaningfulness, however, while certainly very important to ad effectiveness, appears to be a distinct and separate construct from creativity.     

Measuring Female Role Portrayals in Asian Advertising

Abstract

Researchers have concentrated on issues of female role portrayals in advertising (FRPA) for over 30 years. However, their diversified purposes and methodologies resulted in variations between the definitions and manipulations found in the FRPA–related literature, thus hindering the integration, generalization and extension of the findings. In addition, relatively few articles discussed FRPA issues in Asia. Thus, while focusing on Asian women, this study seeks to construct a useful taxonomy of FRPA and a scale to measure FRPA in a broader and more effective way. Three conceptual constructs–Power Roles, Career Roles, and Sensual Roles–were extracted as the framework for constructing the FRPA taxonomy in an exploratory study based upon Lundstrom and Sciglimpaglia' (1977) Sex Roles Scale. The taxonomy is constructed through a four–phase hierarchical content analysis. Consequently, 11 measure constructs of FRPA, resulting an 11–item bipolar scale, were generated to survey Taiwanese and Japanese audiences' cognition toward FRPA. The empirical results show that the model has good internal consistency, eliability, and validity. Differences on FRPA are observed between the Taiwanese and Japanese     

Scarcity Appeals in Advertising: The Moderating Role of Expectation of Scarcity

Advertisers often use scarcity appeals to influence consumers, with announcements such as “hurry, limited quantities,” and “limit: two per customer.” Based on a persuasion knowledge framework, we show in three studies that the effect of scarcity appeals on product evaluation is moderated by consumers' expectation of scarcity, such that scarcity appeals have a positive effect when expectation of scarcity is high but not when it is low. We also show that this interaction effect holds for expectation of scarcity due to demand as well as supply, and that cognitive load constitutes a boundary condition for this effect. These findings contribute to the literature by identifying expectation of scarcity as a moderator, persuasion knowledge as a mechanism, and cognitive load as a boundary condition for the effect of scarcity appeals on product evaluation. From a managerial perspective, this research indicates that scarcity appeals are more effective when consumers have high compared to low expectations of scarcity; that activation of persuasion knowledge can eliminate the positive effect of scarcity appeals; and that cognitive load can reinstate the positive effect of scarcity appeals on product evaluation.     

Applications of Consumer Behavior to the Field of Advertising

Abstract

This paper reviews several concepts gleaned from research on learning as studied both by psychologists and consumer researchers. Several applications of learning theory, attitude change, and image formation are then applied to the field of advertising, not from the usual view of the advertiser but rather from the view of corrective advertising. Further it presents an overview of studies in corrective and counter advertising and attempts to assess the state of the art.

Portions of this paper were presented before the Subcommittee on Monopoly. Committee on Small Business, United States Senate, June 6, 1973.     

A New World Order: The Role of Advertising in Russia and the NIS

Changes in worldwide political and economic strategies have contributed to the changing role of advertising as an institution in Russia. One result is the rapid growth of Russia's advertising industry and its similarity to Western classical liberalism and neoliberalism propositions of marketing communication. This article builds on the author's previous studies on the role of advertising in what is now Russia through participants' own words and visions of advertising. In-depth interviews with business and industry professionals, academicians and government representatives provided insight into changes in the perception and practice of advertising in Russia.     

The Role of Pre-Exposure Cognitive Structure in Mediating Consumer Responses to Advertising

Measurement of cognitive responses has evolved around the use of post-test only research designs. The failure to include pre-exposure cognitive structure into research designs threatens the validity of results. In the present study, we show that consumers' product attitudes influence how they respond to television commercials and what reactions they have toward advertised products following exposure.     

The Moderating Role of Gender Identity in Responses to Comedic Violence Advertising

Comedic violence advertising has been increasing in the United States, but many studies thus far have been content analytic in nature. To gain a better understanding of who will find comedic violence ads humorous and thus have favorable brand perceptions, two experimental studies were conducted with gender identity as an influential factor. In Study 1, masculine individuals responded more favorably to highly violent and humorous ads than feminine individuals did. Study 2 varied the violence level in the comedic violence ads and found that when violence was low both masculine and feminine individuals responded similarly to the comedic violence ad, but when violence was high masculine individuals responded more favorably than did feminine individuals. Perceived humor was found to be an important mediator of comedic violence ad processing. Theoretical and practical implications of the findings are provided.     

The Emerging Position of the Internet as an Advertising Medium

This paper examines the emerging position of the Internet as an advertising medium. The nature and time path of its evolution is subject to considerable uncertainty arising from issues relating to expansion of the Internet's penetration of households; consumer demand for information; development of pricing policies and measurement capabilities; and its attractiveness to advertisers in different product/service categories. Our analyses of these issues suggest that its long-term impact on intermedia rivalry will be broad and substantial. The Internet is emerging as an adaptive, hybrid medium with respect to the factors hypothesized to affect intermedia substitutability, namely, audience addressability, audience control, and contractual flexibility. Possessing such capabilities, it looms as a potential substitute or complement for all of the major categories of existing media and appears capable of serving a wide range of communications objectives for a broad array of advertisers.     

The Beauty Myth and Female Consumers: The Controversial Role of Advertising

Recently, a small number of consumer researchers have voiced concern regarding the question of how and to what degree advertising involving thin/attractive endorsers is linked with chronic dieting, body dissatisfaction, and eating disorders in American females. To explore the broader context of this important and controversial issue, this paper draws upon a variety of disciplines and suggests directions for future research. First is a discussion of problems associated with chronic dieting and the diet industry. Next is an exploration of the prevalence, concomitants, and origins of body dissatisfaction in American females. The paper discusses existing advertising research that gives rise to several important propositions regarding the nature of the link between advertising and body dissatisfaction. The conculsion consists of recommendations for research and a brief discussion of public policy implications.     

Consumer Attitudes toward Online Advertising: The Moderating Role of Personality

This study investigates how consumer attitudes toward advertising in general affect their attitudes toward online advertising. It also investigates the moderating role of the personality traits of introversion and extroversion in explaining this relationship. An online survey is used to collect data from a convenience sample of 244 respondents living in Canada. Results show that attitude toward advertising in general has a positive and significant impact on attitude toward online advertising. Introversion is found to have no moderating impact on the relationship between both attitudes. However, extroversion moderates this relationship.     

Advertising Spending and Quality for Services: The Role of Capacity

In this paper we explore the relations among advertising spending, capacity and quality for services. Data from a sample of New York City restaurants show that mid-quality restaurants spend more on advertising than either high quality or low quality ones, contradicting the usual Nelson-type prediction that advertising spending increases with quality. Also, controlling for quality, restaurants with larger capacities advertise more. We present a model of services to explain these observations. The key features of the model are: (1) capacity constraints, (2) uncertain demand, (3) the presence of both informed and uninformed consumers, and (4) a technological link between capacity and quality. We argue that for services, advertising not only informs consumers, but it also can improve capacity utilization. Given this dual role, advertising is more valuable to firms with larger capacities and higher price-cost margins. The variation of these two elements with quality determines the advertising-quality relation.     

Identification Effects on Advertising Response: The Moderating Role of Involvement

This study examines two important variables for advertisers, ethnicity and product involvement. We investigate the effectiveness of Hispanic-targeted advertising by exploring the impact of ad model's ethnicity on attitudes toward high- and low-involvement products. The results of our quasi-experiment suggest that appealing to strong Hispanic identifiers may be highly desirable in terms of creating favorable attitudes when advertising low-involvement products. For high-involvement products, Hispanic-targeted advertising may not be as effective since ethnicity may not be an important cue. Theoretical implications regarding the impact of distinctiveness theory and practical implications for practitioners trying to spend advertising dollars more efficiently are discussed.     

Role of Advertising and Promotion in Brand Equity Creation

This article surveys the effects of the individual's attitude toward advertising and nonmonetary promotions besides other subjects, namely advertising cost and monetary promotions on brand equity. It has been surveyed on 392 consumers in Iran. Its results prove the effective role of the individual's attitude toward advertising in promoting the brand equity. The deficiency of advertising in affecting the perceived quality and brand association, and the inefficacy of nonmonetary promotions on brand equity are the fascinating ramifications. In addition, the findings show that businesses can improve the process of the brand equity management by contemplating the relations between the dimensions of the brand equity.     

社会化媒体中消费者生成广告的影响因素模型及作用路径

如今社会化媒体中随处可见消费者对品牌信息的评论、转发以及创作与品牌相关内容的行为,这样的行为对品牌传播产生了极大影响,它相对于传统品牌传播方式更有效。那么社会化媒体中消费者生成广告行为受到何种因素的影响,这些因素之间存在何种内在逻辑关系？本研究采用立意抽样的方式,选择活跃于社会化媒体（微博、微信、美拍）中的消费者作为研究对象,使用扎根理论的开放式编码、主轴编码与选择性编码对访谈材料进行分析,最后结合选择性编码与“故事线”的方式构建了CGA-EESM影响因素模型。该模型显示：环境、经验、刺激与动机是消费者生成广告行为的四个关键影响因素,它们之间存在错综复杂的作用路径。