Nutrition Ad Claims and Disclosures: Interaction and Mediation Effects for Consumer Evaluations of the Brand and the Ad

The effects of ad disclosure information on evaluations of the brand, the advertisement, and purchase intentions are postulated to vary across different ad claim types. In addition, consumers' product health perceptions are hypothesized to mediate the effects of the disclosure information and ad claim type on brand and ad-related evaluations. Results from a between subjects' experiment show that the health perception measure mediates the effect of the disclosure on brand and ad evaluations, but the interaction between the ad claim type and the disclosure is not mediated by the inclusion in the model of consumers' product health perceptions.     

Warranty as a Signal of Quality: The Moderating Effect of Consumer Knowledge on Quality Evaluations

Prior research has shown that consumers use warranties as a signal of quality. This article explores whether prior knowledge moderates consumers' utilization of warranty information in evaluating product quality. In particular, we examine how prior knowledge impacts the relative use of warranty information when consumers are already aware of firm reputation. Indeed, we find that the extent to which warranty information is used in quality evaluations varies with prior knowledge. We report the results of two experiments, which somewhat surprisingly suggest that, for experts, a better warranty leads to perceptions of higher quality, regardless of firm reputation. Novices on the other hand, tend to perceive a better warranty as a signal of higher quality only when the firm is reputable but not when its reputation is low.     

Advertising Spending Efficiency of Beauty-Care Product Companies: Comparison Between Local Companies and Multinational Companies in the U.S. Market

ABSTRACT

In this study, the authors apply data envelopment analysis (DEA) to evaluate the financial efficiency of U.S. beauty-care companies and foreign companies based on their media advertising expenditures in eight key media outlets (i.e., magazines, newspapers, outdoor, network TV, spot TV, syndication TV, cable TV, and radio) and their revenues in the U.S. market. The analyses revealed that 47.4% of the companies examined advertised efficiently. Companies that advertised inefficiently could save, on average, 75% of their advertising spending. The results also indicated that although U.S. companies are more efficient overall than are non-U.S. companies in terms of advertising spending, the competitiveness of non-U.S. companies should not be underestimated because some of them advertised efficiently (e.g., Kao Corporation from Japan) or almost efficiently.     

Evaluating the Message Strategy of U.S. Army Advertising: With Focus on Information Needs and Motivational Cues

A content analysis of 125 U.S. Army television commercials revealed that information about recruiting process and military lifestyle, the top two information needs of potential recruits, were not addressed as prominently in the commercials. The study also showed that Army commercials presented occupational motivations, which are more appropriate for potential reservists than active soldiers, more frequently than institutional motivations. The usage of information needs and motivational cues rested on a range of situational factors such as the number of wars in which the United States was engaged and the campaign's target audience. Implications for improving Army advertising were discussed.     

Foreign Product Purchase Behavior in Transition Economies: An Empirical Analysis of Product Information Sources Among Georgian Consumers

SUMMARY

This article analyzes the product information sources that consumers in transition economies, specifically in Georgia, utilize when they consider purchasing foreign products. We surveyed 313 consumers in Georgia regarding 9 sources of product information (experiential knowledge, word of mouth, in-store promotions, television, packaging information, radio, newspapers and magazines, salespeople, and billboards). The findings indicated that personal experience and word of mouth are the 2 most frequently used and highly valued sources of information while salespeople and radio are the 2 least frequently used and least influential sources of information. Education, age, and ethnocentrism exhibited significant impact on the experience source.     

Ethical Decision-Making by Consumers: The Roles of Product Harm and Consumer Vulnerability

The primary purpose of this study was to examine the effects of perceptions of product harm and consumer vulnerability on ethical evaluations of target marketing strategies. We first established whether subjects are able to accurately judge the harmfulness of a product through labeling alone, and whether they could differentiate consumers who were more or less vulnerable. The results suggest that without the presence of a prime, subjects who depended on implicit memory or guess were able to detect differences in “sin” and “non-sin” products and consumer vulnerability, but were far less likely to be able to distinguish among high and low levels of product harm and consumer vulnerability. The inability to accurately identify high and low levels of product harm and consumer vulnerability impacted their perceptions of the ethicality of target marketing strategies, such that only four out of 18 target marketing strategies were judged as unethical. Thus, our findings contradict previous research that found subjects judged many more of the integrated strategies as unethical [Smith and Cooper-Martin, J Market 61(1997) 1]. Our results suggest that assessing ethical evaluations of strategies varying in product harm, and consumer vulnerability may only be relevant if consumers can accurately identify product harm.     

Types of Word-of-Mouth Messages: Information Search and Credence-Based Services

Word-of-mouth communication (WOMC) has been recognized as a powerful marketing communication medium and a credible information-gathering tool. To date, the various types of WOM messages have not been adequately studied, especially in credence-based services (CBS). Using the individual interview technique, this study fills this gap by describing the three types of WOMC messages in CBS information-gathering. The results contribute to the ongoing development of WOMC theory and also advance management's understandings of the types of WOMC messages in the CBS information-gathering process.     

The Perfect Fit: The Moderating Role of Selling Cues on Hedonic and Utilitarian Product Types

With the need among retailers to create effective promotional campaigns, scarcity, and popularity cues are increasingly used. Drawing from regulatory focus and popularity versus scarcity cues literature, this research explores the impact of popularity versus scarcity cues and product types on consumer perceptions of risk, product uniqueness, and purchase intentions. Results from three studies provide primary insights: (1) A utilitarian product aligns with prevention goals and hence the popularity cue will enhance consumers’ purchase intentions, and (2) a hedonic product aligns with promotion goals and hence the scarcity cue will enhance consumers’ purchase intentions. Further, we theorize that perceived risk and perceived product uniqueness will act as psychological mechanisms. We discuss theoretical contributions and strategic insights for retailers and marketers that the findings indicate.     

The Effects of Idealized Advertising Imagery on Social Comparisons,Psychological and Emotional Outcomes,and Consumer Vulnerability: A Conceptual Model

This article integrates marketing and social psychology theories and findings into a conceptual model that describes the conditions for which idealized advertising images induce positive (or negative) consumer outcomes. Extending Bessenoff's moderated mediation model, the authors propose that: (1) effect of social comparison on the relationship between exposure to idealized advertising images and psychological/emotional outcomes will be moderated by internalization of ideals and self-discrepancy; (2) effect of psychological/emotional outcomes on the relationship between social comparison and consumer vulnerability will be moderated by attainability of ideals; and (3) product claims should moderate the relationship between psychological and emotional outcomes and consumer vulnerability.