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Article
Publication date: 13 April 2012

Shalom Levy and Hanna Gendel‐Guterman

The hottest trend in retailing is the emergence of “premium” store brands. Though store brands are treated as important players in grocery store strategies, many retailers prefer…

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Abstract

Purpose

The hottest trend in retailing is the emergence of “premium” store brands. Though store brands are treated as important players in grocery store strategies, many retailers prefer price over quality and often prefer to invest in store promotion, while neglecting brand advertising. This paper's aims are to propose a conceptual framework, integrating advertising‐related psychographic factors which will be empirically tested.

Design/methodology/approach

Data were collected through a survey of 206 participants randomly recruited among adult grocery shoppers. The study employs a factor analysis method following path analysis using AMOS 17 and structural equation modeling (SEM), based on the maximum likelihood approach.

Findings

The results show the salience of creating a strong and sustainable store brand through advertising and innovation. A store brand's perceived quality was found to be the most important factor in predicting store brand purchase intention, and advertising was found to have an indirect effect on perceived quality, shaped through extrinsic cues and novelty lovers' tendency variables.

Practical implications

Retailers are advised to change their promotional budget's allocation. Along with their in‐store promotions, retailers should invest more heavily in advertising their store brand and offering innovation, in order to build a strong and sustainable brand. The costs of advertising could be compensated by a growth of the total store sales and the store's gross margin.

Originality/value

The originality of this study lies in the conceptual framework proposed to examine the importance of building a strong store brand through advertising and innovation from a psychographic point of view.

Details

Journal of Product & Brand Management, vol. 21 no. 2
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 1 July 1993

M.M. Metwally

The Australian banking system was subject to extensive measures ofderegulation in the 1980s. As a result there has been a dramaticincrease in marketing research and a tendency to…

Abstract

The Australian banking system was subject to extensive measures of deregulation in the 1980s. As a result there has been a dramatic increase in marketing research and a tendency to rely more on advertising in maintaining and expanding market shares. Attempts to measure the effectiveness of the advertising of a number of Australian banks. Tests static and dynamic optimal advertising criteria and examines, using a simultaneous‐equations model, the interdependence between market shares and advertising of Australian banks. Short‐term analysis seems to suggest that the actual advertising/revenue ratios of Australian banks are much higher than the optimal ratios. Also Australian banks seem to follow a long‐run profit maximization policy with respect to their advertising expenditure. The banks seem to give a positive shadow price to the stock of goodwill. Moreoever, both banks and rival advertising exert a significant influence on the competitive position of Australian banks, as given by their market shares. Also shows that rates of return on the advertising of the small banks are much lower than those of the large banks.

Details

International Journal of Bank Marketing, vol. 11 no. 7
Type: Research Article
ISSN: 0265-2323

Keywords

Article
Publication date: 3 October 2022

Ye Zhang, Jie Gao, Anil Bilgihan and Melanie Lorenz

Hospitality businesses have been challenged to pick fitting electronic word-of-mouth (eWOM) management strategies, yet accurate return on investment assessments and contextual…

Abstract

Purpose

Hospitality businesses have been challenged to pick fitting electronic word-of-mouth (eWOM) management strategies, yet accurate return on investment assessments and contextual contingencies interpretation essential for leveraging eWOM power are largely absent. This study aims to fill these gaps and develop a tool aiming at more holistic and accurate eWOM management assessment.

Design/methodology/approach

An agent-based model is developed based on eWOM-related hospitality/business theories and empirical evidence on the NetLogo 6.0.2 platform, wherein a series of simulated experiments are conducted.

Findings

Simulation patterns suggest that conformity to the majority’s choice of eWOM usage can be beneficial for consumption satisfaction, yet conformity to a group’s eWOM posting choice can compromise satisfaction. Compared to the brief reputation-boosting benefit of exaggerated advertising, honesty in advertising is preferable given its compatibility with competing eWOM distribution and long-term reputation benefits.

Practical implications

A preliminary tool is developed for hospitality businesses that aids the clearer interpretation of and more accurate/cost-efficient assessment of effectiveness in managing eWOM distribution. Generic directions for improved eWOM management are also provided.

Originality/value

A prototype model is established that surpasses existing models in its ability to capture the complexity of eWOM management and more accurately assess management effectiveness. The authors also reveal emerging novel patterns concerning the interactive dynamics of eWOM behaviors and contextual influences. The research also adds to the scarce agent-based model applications in hospitality research/practices and recommends future potential applications.

Details

International Journal of Contemporary Hospitality Management, vol. 35 no. 3
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 1 December 2005

Donna J. Cunningham and Rajesh Iyer

The purpose of this paper is to investigate the changing legal landscape associated with the growth of advertising of prescription drugs directly to the consumer, and makes…

1038

Abstract

Purpose

The purpose of this paper is to investigate the changing legal landscape associated with the growth of advertising of prescription drugs directly to the consumer, and makes recommendations designed to assist advertisers in avoiding legal liability based on those advertisements.

Design/methodology/approach

This study investigates the phenomenal growth of DTC advertising since 1997, when a profound change in the FDA regulations took effect. These changes permitted advertisers significantly more flexibility in providing information about the advertised drug directly to the consumer. Since then, however, DTC advertising has repeatedly come under attack. A review of the literature, changing law, and other factors, reveals the primary criticisms of DTC advertising, and its tendency to expose pharmaceutical advertisers to legal liability.

Findings

The paper recounts the development of the law concerning pharmaceutical advertising, and particularly, the application of the Learned Intermediary Rule. Previously, this Rule operated to shield pharmaceutical companies for liability by passing liability on to the physician who wrote the prescription for the drug. Now, that law is changing, with resulting liability for pharmaceutical advertisers.

Practical implications

The study recounts the primary criticisms of DTC advertising, and provides a number of steps that can be taken to help avoid legal liability for pharmaceutical companies that engage in DTC advertising.

Originality/value

The study looks at DTC advertising from both a marketing and a legal perspective, and combines those disciplines to draw conclusions helpful to DTC advertisers.

Details

Journal of Consumer Marketing, vol. 22 no. 7
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 10 January 2023

Bilwa Deshpande, Puneet Kaur, Alberto Ferraris, Dorra Yahiaoui and Amandeep Dhir

Scholars have noted the impact of advertising on unhealthy food consumption. However, a systematic literature review (SLR) on this topic is currently lacking. This study aims to…

1359

Abstract

Purpose

Scholars have noted the impact of advertising on unhealthy food consumption. However, a systematic literature review (SLR) on this topic is currently lacking. This study aims to find, analyze and synthesize prior literature to set the stage for future researchers and practitioners. It also uncovers research gaps, suggests potential research questions and presents a conceptual framework for use in future research.

Design/methodology/approach

This paper catalogs and synthesizes topic-related literature by using the time-tested SLR methodology. It identifies and analyzes 99 relevant studies that have addressed the impact of advertising on unhealthy food consumption. Research profiling of the selected studies supported the synthesis of key themes in the extant literature.

Findings

The authors identify three key thematic foci: a) viewer attributes pertaining to excessive unhealthy food consumption, b) advertisement attributes pertaining to excessive unhealthy food consumption and, c) unhealthy food consumption regulation. Within these themes, the authors also identify some subthemes, presenting specific advertising and viewer attributes that contribute to unhealthy food consumption. The authors further develop a conceptual framework based on the stimulus-organism-response (S-O-R) model, summarizing the findings of the study. This could aid future researchers and practitioners in their design of certain strategies.

Research limitations/implications

The study uncovers various gaps in the extant literature and suggests potential areas that can be examined by scholars. From a practical perspective, the study recommends certain actionable strategies for policymakers, helping customers to achieve the long-term goal of obesity reduction.

Practical implications

From the perspective of practice, the study recommends certain actionable strategies for policymakers helping customers achieve the long-term goal of obesity reduction.

Originality/value

The current study makes a novel contribution to the research on advertising and unhealthy food consumption by identifying theme-based research gaps in the existing literature, mapping those with potential research questions and presenting a conceptual framework based on the S-O-R model. Based on the findings, the study also proposes five potential research models examining diverse aspects of advertising and unhealthy food consumption to guide interested scholars and practitioners to shape the future research discourse.

Details

European Journal of Marketing, vol. 57 no. 9
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 1 February 1974

D. Jobber

Presents and analyses the results of an explorating study into consumer reactions to television advertising. Assesses consumer attitudes by the use of three criteria: consumer…

2316

Abstract

Presents and analyses the results of an explorating study into consumer reactions to television advertising. Assesses consumer attitudes by the use of three criteria: consumer feelings towards exagerated and annoying advertising; the consumer's subjective assessment of creative advertising; and their assessment of their ideal type of advertisement. Suggests that consumer reactions are disturbing, revealing uncomplementary results which could reduce advertising effectiveness.

Details

European Journal of Marketing, vol. 8 no. 2
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 31 July 2009

Gerard Prendergast, Po‐yan Liu and Derek T.Y. Poon

The aim of the research reported in this paper was to identify for which types of products and services consumers find the advertising to lack credibility and in which media this…

6425

Abstract

Purpose

The aim of the research reported in this paper was to identify for which types of products and services consumers find the advertising to lack credibility and in which media this effect is most serious. The association between self‐esteem and skepticism towards advertising was also explored.

Design/methodology/approach

Using a structured questionnaire, 200 Hong Kong shoppers were surveyed in mall intercept interviews.

Findings

The results showed that ads for weight‐loss products were considered the least credible. The broadcast media (radio, broadcast television and cable television) were considered the most credible advertising media, while direct mail and the internet were considered the least credible. Self‐esteem was found to be positively related with skepticism towards advertising.

Research limitations/implications

The study had two key limitations. First, the list of products and services was not exhaustive. Second, the study did not consider how frequently the interviewees were exposed to each medium.

Practical implications

By recognizing the credibility of their advertisements and the media in which they are placed, and the influence of self‐esteem on advertising skepticism, the findings are of use to advertisers in formulating their strategies. The findings also provide information of value for policy makers trying to combat non‐credible and deceptive advertising.

Originality/value

The primary contribution from this work comes in the form of methodological considerations. This is the first study to consider the relationships between self‐esteem and skepticism after controlling for socially desirable responding. Also, this study takes a broader perspective by looking at credibility of advertising across a range of products and media, and with a broader audience, than has been considered in previous research.

Details

Journal of Consumer Marketing, vol. 26 no. 5
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 15 November 2018

Steven Holiday, Mary S. Norman, R. Glenn Cummins, Terri N. Hernandez, Derrick Holland and Eric E. Rasmussen

This study aims to examine factors, beyond child requests, that influence parents’ perceptions of the most important gifts to give their children by assessing the influence of…

1276

Abstract

Purpose

This study aims to examine factors, beyond child requests, that influence parents’ perceptions of the most important gifts to give their children by assessing the influence of television advertising on children’s programming.

Design/methodology/approach

Using agenda-setting as a theoretical and methodological template, a content analysis of 7,860 commercials in children’s programming was compared using a questionnaire to 143 parents of 240 children to test the transfer of salience between advertising and parents’ perceptions. The study also examined the role of child purchase requests in this relationship.

Findings

The product categories that most prevalently advertised on children’s television had a significant relationship with the product categories that parents perceived to be the most important to give their children as gifts. Furthermore, the results indicate that this relationship was not contingent upon parental advertising mediation or child product requests.

Research limitations/implications

The results are limited to a single broadcast market during the Christmas season. Strategically, the research suggests that advertising through children’s television programming may be an effective way to directly inform parents’ gift-giving consideration sets, and this target and outlet should be strategically evaluated in subsequent campaign decisions about the marketing mix.

Originality/value

The findings add new insights to the gift-giving literature, indicating that advertising in children’s programming may be an alternative direct influence on parents’ perceptions. This research also extends research on advertising agenda setting into the new context of commercial advertising of consumer products.

Details

Journal of Consumer Marketing, vol. 35 no. 7
Type: Research Article
ISSN: 0736-3761

Keywords

Book part
Publication date: 2 May 2007

Sandra Diehl, Barbara Mueller and Ralf Terlutter

The purpose of this investigation is to add to the body of knowledge regarding consumer skepticism toward advertising in general, and toward pharmaceutical advertising in…

Abstract

The purpose of this investigation is to add to the body of knowledge regarding consumer skepticism toward advertising in general, and toward pharmaceutical advertising in particular. The study was conducted in the U.S. and in Germany. Skepticism toward advertising for both prescription and non-prescription pharmaceuticals was analyzed. Additional variables explored include: health consciousness, product involvement with pharmaceuticals, satisfaction with information in pharmaceutical advertising, and the importance of pharmaceutical advertising as a source of information. Furthermore, differences in the cultural value of uncertainty avoidance between U.S. and German consumers were examined and related to skepticism toward pharmaceutical advertising. Three hundred and forty-one Americans and 447 Germans were surveyed. A significant finding of this research revealed that skepticism toward pharmaceutical advertising is lower than skepticism toward advertising in general. Results also indicated that consumers showed no difference in their level of skepticism toward advertising for prescription versus non-prescription drugs. This is a particularly relevant finding as it relates directly to the ongoing discussion in Europe regarding whether or not to lift the ban on advertising for prescription drugs. Skepticism toward pharmaceutical advertising was found to be significantly negatively related to involvement with pharmaceuticals, to satisfaction with the informational content of the advertisements, to satisfaction with the comprehensibility of the advertisements, and to the importance placed on advertising as a source of health information. Regarding cultural differences, U.S. consumers appear to be less skeptical toward advertising in general, and toward advertising for prescription and non-prescription drugs in particular, than German consumers. This may be due to the lower degree of uncertainty avoidance in the U.S. Differences between the two countries related to the additional variables examined in the study are addressed as well. Implications for consumer protection policies are discussed, and recommendations for advertisers of pharmaceutical products are provided. The authors provide a cultural explanation for differences in the degree of skepticism between U.S. and German audiences.

Details

Cross-Cultural Buyer Behavior
Type: Book
ISBN: 978-1-84950-485-0

Article
Publication date: 29 February 2024

Parthesh R. Shanbhag, Yogesh Pai P., Murugan Pattusamy, Gururaj Kidiyoor and Nandan Prabhu

This study aims to investigate the potential positive effects of cause-related marketing (CRM) campaigns that show evidence of commitment to espoused causes. It examines whether…

173

Abstract

Purpose

This study aims to investigate the potential positive effects of cause-related marketing (CRM) campaigns that show evidence of commitment to espoused causes. It examines whether consumers respond positively when a CRM campaign promises to deliver proof of the espoused cause.

Design/methodology/approach

This study adopted the grounded theory approach to conceptualize the promised impact evidence construct. A promised impact evidence scale was developed and validated using robust qualitative and quantitative methods, including item response theory estimates.

Findings

The study provides evidence for promised impact evidence as a reflective second-order latent construct. The promised impact evidence scale demonstrates strong internal consistency, reliability and validity. In addition, this study posits that promised impact evidence is an antecedent of advertising trust, purchase intention, advertising credibility and persuasive and selling intent.

Originality/value

This study positioned the promised impact evidence scale against the theoretical underpinnings of the persuasion knowledge model. Specifically, this scale contributes to existing knowledge because it applies the persuasion knowledge model in CRM campaigns by adopting an acceptance focus, as opposed to the rejection focus used in developing persuasion knowledge model scales.

Details

Journal of Consumer Marketing, vol. 41 no. 2
Type: Research Article
ISSN: 0736-3761

Keywords

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