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Retailer Television Advertising: Consumers' Skepticism of Informational Vs. Emotional Ads Janna Michelle Parker Louisiana Tech University

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Retailer Television Advertising: Consumers' Skepticism of Informational Vs. Emotional Ads Janna Michelle Parker Louisiana Tech University Louisiana Tech University Louisiana Tech Digital Commons Doctoral Dissertations Graduate School Summer 2013 Retailer television advertising: Consumers' skepticism of informational vs. emotional ads Janna Michelle Parker Louisiana Tech University Follow this and additional works at: https://digitalcommons.latech.edu/dissertations Part of the Marketing Commons Recommended Citation Parker, Janna Michelle, "" (2013). Dissertation. 295. https://digitalcommons.latech.edu/dissertations/295 This Dissertation is brought to you for free and open access by the Graduate School at Louisiana Tech Digital Commons. It has been accepted for inclusion in Doctoral Dissertations by an authorized administrator of Louisiana Tech Digital Commons. For more information, please contact [email protected]. RETAILER TELEVISION ADVERTISING: CONSUMERS’ SKEPTICISM OF INFORMATIONAL VS. EMOTIONAL ADS by Janna Michelle Parker, B. A., M.B.A. A Dissertation Presented in Partial Fulfillment of the Requirements for the Degree Doctor of Business Administration COLLEGE OF BUSINESS LOUISIANA TECH UNIVERSITY August 2013 UMI Number: 3577730 All rights reserved INFORMATION TO ALL USERS The quality of this reproduction is dependent upon the quality of the copy submitted. In the unlikely event that the author did not send a complete manuscript and there are missing pages, these will be noted. Also, if material had to be removed, a note will indicate the deletion. Di!ss0?t&iori Piiblist’Mlg UMI 3577730 Published by ProQuest LLC 2014. Copyright in the Dissertation held by the Author. Microform Edition © ProQuest LLC. All rights reserved. This work is protected against unauthorized copying under Title 17, United States Code. ProQuest LLC 789 East Eisenhower Parkway P.O. Box 1346 Ann Arbor, Ml 48106-1346 LOUISIANA TECH UNIVERSITY THE GRADUATE SCHOOL June 14, 2013 Date We hereby recommend that the dissertation prepared under our supervision Janna Parker by. ______........................... -___________________________________ ____________________ entitled___________________________________________________________________________________ Retailer Television Advertising: Consumers' Skepticism of Informational vs. Emotional Ads be accepted in partial fulfillment of the requirements for the Degree of Doctor of Business Administration upervisor o f Dissertation Research A Head o f Department Department of Marketing & Analysis Department Recommendation concurred in: Advisory Committee Approved Director o f Graduate'Studies / GS Form 13a (6/07) ABSTRACT The bombardment with ads that consumers face daily has led to increased Skepticism toward Advertising. This increased advertising costs billions of dollars, yet, the research has shown conflicting results (Stafford and Day 1995) (Obermiller and Spangenberg 1998) (Obermiller, Spangenberg and MacLachlan 2005) regarding which strategies work best for reducing the negative influence of Skepticism toward Advertising. For over a decade, retailers have ranked #2 in television advertising spending (Advertising Age 2002-2012). Television advertising research has focused on advertising by manufacturers. These findings should not be generalized to retailers because retailers and manufacturers have different goals, use different promotional tools, and measure different outcome variables (Ailawadi, et al. 2009). Advertising research that has focused on retailers has also used print as the medium tested rather than television. This research also cannot be generalized due to the differences in the ways consumers process print and TV advertising. The appeal type is a strategic decision that advertisers must make yet, the previous research has yielded conflicting results regarding whether an informational or emotional appeal is more favorably received by consumers. This research utilized a three- stage approach to investigate the different creative strategies used by retailers. During the first stage, a content analysis of 179 retailer ads was conducted using the methodology suggested by (Kassarjian 1977). A modified matrix of the Informational/Transformational matrix proposed by Puto and Wells (1984) that exchanged emotional for transformational was tested. Stage two confirmed the results of Stage one by testing four ads categorized by the judges. Participants evaluated the ads using the thinking/feeling scale by De Pelsmacker, Gueuns and Ackaert (2002). Using an online panel of 802 participants, stage three tested the proposed model that included an interaction between the type of ad and the level of skepticism and its influence on attitudes toward the ad and advertiser as well as retail patronage intentions and perceived retailer credibility. Skepticism toward Advertising had been conceptualized as a moderator (Obermiller and Spangenberg 1998) but in this research which tested the model only the main effects were found to be significant and not the moderator. APPROVAL FOR SCHOLARLY DISSEMINATION The author grants to the Prescott Memorial Library of Louisiana Tech University the right to reproduce, by appropriate methods, upon request, any or all portions of this Dissertation. It is understood that “proper request” consists of the agreement, on the part of the requesting party, that said reproduction is for his personal use and that subsequent reproduction will not occur without written approval of the author of this Dissertation. Further, any portions of the Dissertation used in books, papers, and other works must be appropriately referenced to this Dissertation. Finally, the author of this Dissertation reserves the right to publish freely, in the literature, at any time, any or all portions of this Dissertation. Author Date _ 6//W pe>J3 GS Form 14 (5/03) TABLE OF CONTENTS ABSTRACT.................................................................................................................................. iii LIST OF TABLES....................................................................................................................... xi LIST OF FIGURES.................................................................................................................... xv ACKNOWLEDGMENTS........................................................................................................ xvi CHAPTER 1 INTRODUCTION AND CONTRIBUTIONS.................................................. 1 Background...............................................................................................................................1 Motivation for the Study ........................................................................................................ 4 Factors Contributing to Persuasion Knowledge and Skepticism ............................... 4 The Impact of the Consumer Advocate on Culturally-Supplied Knowledge 5 Retailer Advertising Problematic Practices .................................................................. 8 Theoretical Framework .........................................................................................................10 Retailer vs. Manufacturer Advertising ................................................................................11 Contributions of the Research ..............................................................................................16 Theoretical Contributions ..............................................................................................16 Managerial Contributions ..............................................................................................17 Dissertation Organization .................................................................................................... 18 CHAPTER 2 DEFINITIONS, LITERATURE REVIEW, AND THEORETICAL FRAMEWORK...........................................................................................................................19 Defining Advertising ............................................................................................................19 Advertising’s Functions and Ethical Implications ........................................................... 20 Informational vs. Persuasive ........................................................................................20 How Advertising Works .............................................................................................. 23 Review of Advertising Typologies ....................................................................................26 Transformation/Informational Advertising Research .....................................................39 Persuasion Knowledge Model ........................................................................................... 42 Defining Skepticism Toward Advertising ........................................................................48 Skepticism Toward Advertising vs. Trust in Advertising and Advertising Credibility.............................................................................................................................56 Defining Retailers ................................................................................................................57 Retailer Advertising .............................................................................................................58 Retail Store Patronage Intentions ......................................................................................66 Perceived Store (Retailer) Credibility ............................................................................... 67 Attitude toward the Advertiser and Attitude
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