Personalized ads on Facebook: An effective marketing tool for online marketers

A growing number of researchers have examined the effects of personalized advertising in traditional media, however, little has been known about personalized advertising on Facebook. The primary objectives of this research are threefold: (1) Develop a comprehensive model that captures the effects of perceived personalized ads on Facebook on customer attitudinal and behavioral reactions (ad credibility, ad avoidance, ad skepticism, ad attitude, and behavioral intention) to the ad; (2) Test hypothesized relationships using two data sets collected through an online survey; and (3) Develop appropriate customer segments based on personal views of personalized ads on Facebook. The paper reveals that eleven out of thirteen hypotheses are supported and that three market segments are identified including Ad Lovers, Ad Accommodators, and Ad Haters. The paper concludes with conclusion and discussions highlighting managerial and research implications.     

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.     

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.     

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 strategies for brand image repair: The effectiveness of advertising alliances

Advertising alliances are an effective shortcut to increase brand awareness and improve brand image. However, few studies have compared the effectiveness of advertising alliances with traditional (single-brand) advertising. Thus, this study focuses on a specific type of brand beliefs – namely, brand personality – and compares the ability of advertising alliances and traditional advertising to strengthen positive traits and downplay negative traits for a real brand in need of image repair. The results show that the advertising alliance is considerably more effective in upgrading positive brand personality traits than single-brand advertising. Importantly, this superior effect remained one week after exposure. The choice of advertising strategy had no effect on negative brand personality traits. Implications for advertising management are discussed.     

The Attitude of Indian Youth Toward Nutrition: Factors,Segments, and Implications

Although consumers’ attitude toward healthy or nutritious foods has been studied, factors affecting attitude have not been sufficiently studied. This study deals with the factors affecting the attitude of Indian youth toward nutrition. The article also attempts to segment youth consumers on the basis of their attitude. The responses of 379 youths to the specifically developed questionnaire were subjected to principal component analysis to identify attitudinal factors and to delineate the segments of youth cluster analysis. Discriminant analysis was performed to establish the differences among segments. Five factors, namely “not sure,” “volume consciousness,” “costly but willing to pay,” “healthy homemade,” and “taste and practical,” were identified as having influence on youths’ attitude toward nutrition. Marital status, gender, and cities where youths have spent their last 5 years had significant influence on those attitudinal factors. Based on the varying importance of different attitudinal factors, consumers were categorized in three distinct segments. Based on the findings of the study, different management interventions can be planned to increase the intake of nutritious food by the youths of different segments.     

Comedic violence in advertising: the role of normative beliefs and intensity of violence

Interest in the use of comedic violence in advertising has risen, but the research on this topic has been limited. Past studies have found positive effects of comedic violence in ads, with higher levels of violence increasing positive responses. However, given that the violence depicted in these ads is a violation of social norms, following the Social Norms Theory, it is proposed that individual norm beliefs about violence in advertising could be a significant factor in influencing ad outcome. Using an online panel of general consumers across two experiments, this study revealed that norm beliefs had a positive influence on comedic violence ad responses. In addition, when violence intensities of the ads were varied, individuals with lower norm beliefs responded more positively to low violence ads than high violence ads, whereas individuals with higher norm beliefs did not exhibit different responses to the two violence intensities. Mediation analyses were conducted to test for the underlying mechanisms. As comedic violence advertising may offend audiences, the findings provide targeting and design implications for advertisers interested in this strategy.     

Perceptions of Social Media's Relevance and Targeted Advertisements

American college students in the northeast and southeast were surveyed about Facebook's relevance and advertising. Latent class cluster analysis was used to segment respondents based upon: Facebook relevance; the value of Facebook advertising; and the ethics of Facebook's targeted advertising and demographic variables. Distinct segments were identified that are distinguishable by Facebook's relevance, the value of Facebook advertising; the ethics of Facebook's targeted advertising; hours spent on Facebook; residence while in college; and personality type. No segment found Facebook advertising, for example, useful, meaningful, and leading to purchase intentions. They viewed the advertising poorly and found it unethical to be targeted with advertisements based on their interests and those of friends.     

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.     

Differential Effects of Chinese Women's Sexual Self-Schema on Responses to Sex Appeal in Advertising

Despite the increased use of sex appeal in advertising, little is known about the influence of individual personality differences on responses to sexual information. This study examines the effects of the “sexual self-schema” personality trait on Chinese women's responses to advertisements using sex appeal. Regardless of the type of sexual information used, attitudes toward these advertisements mediate the effect of sexual self-schema on the purchase intentions of women with lower sexual self-schema while this mediating effect was not observed in women with higher sexual self-schema. The theoretical and practical implications of sex appeal in advertising for Chinese women are discussed.     

Does banner advertising affect browsing for brands? clickstream choice model says yes, for some

This paper investigates how exposure to Internet display advertising affects the subsequent choices users make of brand-specific pages to view within a website. Using individual-level clickstream data from a third-party automotive website, we tracked the web pages selected by users as they browsed the site and their exposures to premium placement display ads for different vehicle makes (e.g., Ford, Toyota). Pages on the site were classified into those that displayed information about a specific vehicle make (a ??make page??) versus those that did not (a ??non-make page??). For each ??make-page?? viewed, the specific automotive make selected (e.g., Ford, Toyota) was also recorded. We use these data to develop a model of users?? make-specific page choices as a function of prior banner ad exposure on the site. Consumer heterogeneity is captured using a Bayesian Mixture approach. We find that banner ads influence subsequent choices of which make-specific pages to view for ads, served during the current browsing session but not for ads served in previous sessions. The effect of banner ads is also segmented: users in one segment (54%) reacted positively, users in a second segment (46%) were not influenced. Using a standard continuous approach to heterogeneity, we would have concluded?Cincorrectly?Cthat banner advertising has no effect on the subsequent selection of make-specific pages. For the positively reacting segment, we estimate that the elasticity of make-page choice with respect to banner ad exposure is just under 0.2. Users in this segment appear less focused in their site browsing behavior and tend to stay longer than users in the non-reacting segment.     

Product Placement Versus Conventional Advertising: The Impact on Brand Choice of Integrating Promotional Stimuli into Movies

ABSTRACT

Despite the increasingly favorable environment enjoyed by product placement, the question of whether this technique produces stronger behavioral effects than conventional advertising remains largely unexplored. Based on the transportation-imagery model, we hypothesized that, among users of well-established products, promotional stimuli produce stronger effects on brand choice when integrated into movies than when presented as independent ads, while among nonusers, no differences are expected. Our hypotheses were confirmed in a field experiment that compared the effects of a Coca-Cola placement within the movie Ways to Live Forever with the same Coca-Cola stimulus shown as a usual commercial.     

A comparison of attitudes towards Internet advertising among lifestyle segments in Taiwan

As the Internet gradually diffuses throughout more sectors in society many advertisers have begun to consider the diversity in various aspects of consumer behaviour among Internet users. As Internet users' attitudes towards Internet advertising are found to influence their brand attitudes and purchase intentions, the study can contribute to the design and assessment of Internet advertising. The study identified potential lifestyle segments among Internet users and examined the relationships between lifestyle segments and their attitudes towards Internet advertising. This study surveyed 700 Internet users and employed a lifestyle segmentation approach for categorizing consumers into three distinct lifestyle groups: ‘experiencers’, ‘traditionalists’ and ‘self‐indulgents’. Statistical analyses pointed out that all three groups differed from one another in several demographic characteristics. Moreover, the lifestyle clusters were found partly to predict Internet users' attitudes towards Internet advertising. The findings of the present study provide justifications for marketers to treat Internet users as a heterogeneous group. Furthermore, advertising researchers should be aware of the diversity of the Internet population in order to assess the effectiveness of Internet advertising better.     

Universal differences in advertising avoidance behavior: A cross-cultural study

The avoidance of TV advertising categories often include either mechanical (e.g., switching channels) or behavioral (e.g., talking to someone). Previous research seeking to explain avoidance with demographic and attitudinal factors shows conflicting results. Our aims are: to identify from these factors any that might consistently predict avoidance (by conducting surveys in three quite different cultures, the UK, Chile and Turkey), and: to compare the influence of demographic factors on avoidance with those of attitude to advertising. Males use more mechanical avoidance methods, whereas females use more behavioral avoidance methods. More educated people generally report higher behavioral avoidance. Family size and age help to explain avoidance in some countries but not in others. A negative overall attitude towards advertising is important generally in explaining mechanical avoidance. Behavioral avoidance is more important and is best explained by a combination of demographic and attitudinal factors. Country of residence is significant in predicting behavioral avoidance.     

Advertising non-premium products as if they were premium: The impact of advertising up on advertising elasticity and brand equity

Non-premium brands occasionally emulate their premium counterparts by using ads that emphasize premium characteristics such as superior performance and exclusivity. We define this practice as “advertising up” and develop hypotheses about its short- and long-term impact on advertising elasticity and brand equity respectively. We test the hypotheses in two large-scale empirical studies using a comprehensive dataset from the automotive industry that includes, among others, the content of 2317 television ads broadcast over a period of 45?months. The results indicate that advertising up increases (decreases) short-term advertising elasticity for non-premium products with a low (high) market share. The results also show that an intensive use of advertising up over time leads to long-term improvements (reductions) in brand equity for expensive (cheap) non-premium products. Furthermore, an inconsistent use of advertising up leads to reductions in brand equity. The results imply that managers of non-premium products with a low market share can use advertising up to increase advertising effectiveness in the short run. However, advertising up will only generate long-term improvements in brand equity for expensive non-premium products. Finally, to avoid long-term reductions in brand equity, advertising up should be consistently used over time.     

Extending Expectancy Violations Theory to Multiplayer Online Games: The Structure and Effects of Expectations on Attitude Toward the Advertising,Attitude Toward the Brand,and Purchase Intent

This study identified the underlying structure and the dimensional properties of multiplayer online game (MOG) expectations by adopting expectancy violations theory (EVT) and examined its effects on attitudes and behavioral intention for in-game ads. We found a multi-dimensional structure for MOG expectations consisting of three factors. While each of the expectation factors significantly predicted attitudes toward the advertising, no specific factor predicted purchase intent or brand attitude. Attitudes toward the advertising partially mediated the effects of MOG expectations (centrality, socialness, and features) on brand attitudes and fully mediated the effect of socialness on purchase intent. Theoretical and managerial implications are discussed.     

Advertising the U.S. National Organic Standard: A Well-Intentioned Cue Lost in the Shuffle?

The 2002 implementation of the National Organic standard and development of the USDA organic seal gave food advertisers a new tool with which to communicate food characteristics to consumers. Based principally on farm and manufacturing practices, the standard offers consumers an expansion of their food choices. Parents of young children have been shown to have particular interest in organic food. Using parent-targeted magazine-based food ads, this paper explores how organic has been promoted, how its advertising strategy compares to that for conventional foods, and whether organic food has been appropriately differentiated from conventional foods such that the USDA organic seal carries a significant and unique meaning to both consumers and the food industry. The content analysis shows that the period following the implementation of the National Organic Program exhibits a general upward trend in usage of health-related cues but minimal increase in use of terms associated with the “organic” ideal. A direct comparison of organic and non-organic food ads shows that there has been little leakage of terminology related to “organic” into mainstream food advertising strategy. Most importantly, we find that “organic” is intermixed with health cues, contributing to the often-found consumer perception that “organic” means “healthier,” and suggesting that the goals of the NOP to offer consumers a clear definition and a way to reduce confusion have not been met in advertising strategy.     

Online advertising disclaimers in unregulated markets: use of disclaimers by multinational and local companies in the Brazilian toy industry

ABSTRACT

Researchers have documented whether and how companies use advertising disclaimers in regulated markets. We complement the extant work by analysing a sample of 449 online toy advertisements targeting children in Brazil, a largely unregulated market. Results show that multinational corporations are more likely to include disclaimers in their online ads than local Brazilian companies. Further analyses reveal, however, that advertising disclaimers used by multinational subsidiaries have more distractors that reduce viewer comprehension. Our research contributes to the fields of advertising and institutional theory by being the first to document whether and how multinational subsidiaries use disclaimers in online ads targeting an unregulated market.     

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.     

Consumer responses to different degrees of advertising adaptation: the moderating role of national openness to foreign markets

We investigate the moderating role of national openness to foreign markets on consumer responses (attitude to ad, brand and purchase intention) to different degrees of advertising adaptation in Belgium, Iran and India. We operationalize three levels of advertising adaptation (standardization, glocalization and adaptation) by manipulating the model (international versus local celebrity) and advertising copy (international versus local advertising copy). The results show that societies with a low openness to foreign markets respond more positively to fully adapted ads than to glocalized and standardized ads. The differences in responses decrease with national openness.