DOCSLIB.ORG

Comparative Advertising: Effect of Medium Change on Ad Format Effectiveness

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Comparative Advertising: Effect of Medium Change on Ad Format Effectiveness Comparative Advertising: Effect of Medium Change on Ad Format Effectiveness by Muneeb Ejaz A Thesis presented to The University of Guelph In partial fulfilment of requirements for the degree of Master of Science in Marketing and Consumer Studies Guelph, Ontario, Canada © Muneeb Ejaz, May, 2018 ABSTRACT COMPARATIVE ADVERTISING: EFFECT OF MEDIUM CHANGE ON AD FORMAT EFFECTIVENESS Muneeb Ejaz Advisors: University of Guelph, 2018 Dr. Vinay Kanetkar Previous research on comparative advertising indicates how brands may use advertising to compare and contrast their own products and services with those of a competing brand, for the purpose of furthering their rivalry and winning over consumers. This research investigates the effect of change in advertising medium (i.e. Print and Online) on memory recall and purchase intentions for direct and indirect comparative advertisements. Although the direction of the means was as proposed, the results indicate that there was not enough evidence to claim that direct comparative advertisements will have a greater memory recall than indirect and noncomparative advertisements. Further analysis indicates that the effect of comparative advertisements on both types of mediums was similar. More specifically, memory recall was found to be similar for direct comparative advertisements and indirect comparative advertisements when viewed on print format in contrast to online format. This research further indicates that a higher memory recall does not lead to a greater purchase intention. ACKNOWLEDGEMENTS The submission of my thesis marks the end of my two-year journey at the University of Guelph, which in the beginning seemed like a very difficult task but was made easy by the constant support of the faculty, administration and peers around me. First, I would like to thank my advisor, Dr. Vinay Kanetkar, who guided me through the entire process of writing my thesis. From refining my topic to analyzing the results, I could always ask you for help when I was puzzled or confused. I am very thankful and consider myself extremely lucky to have been advised by you. Next, I would like to thank Dr. Towhidul Islam for his feedback and comments. It was through your guidance that I was able to conduct my analysis and refine my statistical concepts. I would also like to thank Dr. May Aung for providing me with invaluable comments on my thesis. Your constant support and words of encouragement allowed me to stay on track. Settling down at the university and progressing through my program would not have been possible if it were not for the administrative staff of the Marketing and Consumer Studies department. Thank you, Rita, Dominica, Alanna, Cori, Raquel and Melinda for helping me resolve my issues throughout this process. Last but certainly not the least, my parents, grandmother and sister have always been my biggest source of motivation, love and support. Thank you for always being there, through my highs and lows and for always believing in me. iii TABLE OF CONTENTS Chapter 1: Introduction .......................................................................................................... 1 Chapter 2: Literature Review ............................................................................................... 6 2.1: Comparative Advertising ......................................................................................................... 6 2.2: Ad Format (Direct & Indirect Comparative Advertising) ......................................... 31 2.2.1: Direct Comparative advertising ................................................................................................ 31 2.2.2: Indirect Comparative advertising ............................................................................................ 32 2.2.3: Direct vs. indirect comparative advertising......................................................................... 32 2.3: Print vs. Online advertising ................................................................................................. 38 2.4: Summary of Literature Review and Research Gap ............................................ 44 Chapter 3: Hypotheses ......................................................................................................... 46 3.1: Direct vs. Indirect Advertisements ................................................................................... 46 3.2: Online vs. Print advertising ................................................................................................. 46 3.3: Purchase intention ................................................................................................................. 48 Chapter 4: Research Methodology ...................................................................................... 49 4.1: Design ........................................................................................................................................... 49 4.2: Sample .......................................................................................................................................... 49 4.3: Product and brand selection ................................................................................................... 50 4.4: Materials ...................................................................................................................................... 51 4.5: Procedure ..................................................................................................................................... 52 Chapter 5: Hypothesis Testing & Research Findings ................................................ 55 iv 5.1: Summary for Response Times (Memory Recall) ......................................................... 56 5.2: MANOVA Analysis .................................................................................................................... 60 5.2.1 Ad format ............................................................................................................................................. 61 5.2.2 Medium ................................................................................................................................................ 63 5.2.3: Purchase Intention ......................................................................................................................... 64 5.3: ANOVA Analysis ....................................................................................................................... 66 Chapter 6: Discussion ........................................................................................................... 69 Chapter 7: Limitations and Future Implications ........................................................ 71 7.1: Theoretical Contributions .................................................................................................... 72 7.2: Managerial Contribution ...................................................................................................... 73 References ................................................................................................................................ 74 Appendices ............................................................................................................................... 85 Appendix 1: Variable Description ............................................................................................. 85 Appendix 2: Frequencies for Independent Variables ......................................................... 87 Appendix 3: Multivariate Tests for Memory Recall ............................................................. 88 Appendix 4: Between-Subject Effects for Memory Recall ................................................. 89 Appendix 5: Frequencies for Purchase Intention ................................................................ 92 Appendix 6: Multivariate Tests for Purchase Intention .................................................... 93 Appendix 7: Between Subject-Effects for Purchase Intention ......................................... 94 Appendix 8: ANOVA Output .......................................................................................................... 95 Appendix 9: Literature Review Glossary................................................................................. 97 Appendix 10: Picture Advertisements Used ........................................................................ 121 Appendix 11: Survey Questions ................................................................................................ 125 v LIST OF TABLES Table 1- Table summarizing frequencies of participants across all six treatment conditions Table 2- Table summarizing means and standard deviations of response times for each question across all six treatment conditions Table 3- Table summarizing means and standard deviations of log transformed response times for each question across all six treatment conditions vi LIST OF FIGURES Figure 1- Results of two-way ANOVA vii Chapter 1: Introduction Brands may use advertising to further their rivalry or conflict with a competing brand by contrasting their own products and services, or with those of a competing brand on the basis of attributes, brand image of market position (Beard, 2010). This form of comparative advertising may turn into an ‘advertisement war’ where one advertiser responds to an implied or direct attack by a competitor. This research intends to explore the effect of different forms of comparative advertising on consumers’
Load more

Recommended publications
  • Comparative Advertising in the United States and in France Charlotte J
    Northwestern Journal of International Law & Business Volume 25 Issue 2 Winter Winter 2005 Comparative Advertising in the United States and in France Charlotte J. Romano Follow this and additional works at: http://scholarlycommons.law.northwestern.edu/njilb Part of the Antitrust and Trade Regulation Commons, Comparative and Foreign Law Commons, Intellectual Property Commons, and the Marketing Law Commons Recommended Citation Charlotte J. Romano, Comparative Advertising in the United States and in France, 25 Nw. J. Int'l L. & Bus. 371 (2004-2005) This Article is brought to you for free and open access by Northwestern University School of Law Scholarly Commons. It has been accepted for inclusion in Northwestern Journal of International Law & Business by an authorized administrator of Northwestern University School of Law Scholarly Commons. Comparative Advertising in the United States and in France Charlotte J. Romano* I. INTRODUCTION Comparative advertising has been widely used for over thirty years in the United States. By contrast, the use of this advertising format has traditionally been-and still is-very marginal in France. Thus, when a commercial comparing the composition of two brands of mashed potatoes was broadcast on French national television in February 2003, several TV viewers, believing this type of advertisement to be prohibited, notified the French authority responsible for controlling television information broadcasts.' A comparison of available comparative advertising statistics provides a relevant illustration of the contrast between the two countries. About 80% of all television advertisements, 2 and 30% to 40% of all advertisements, contained comparative claims in the United States in the early 1990's.3 Conversely, only twenty-six advertisements were considered to be a form of comparative advertising in France in 1992 and 1993.
    [Show full text]
  • A Neoconventional Trademark Regime for "Newcomer" States
    KHOURYFINALIZED_TWO 3/31/2010 2:02:20 AM A NEOCONVENTIONAL TRADEMARK RÉGIME FOR "NEWCOMER" STATES Amir H. Khoury* INTRODUCTION This research constitutes a (natural) follow-up to an earlier published research paper in which I assessed, through data analysis, the effects of the Paris-TRIPS Conventional Trademark Régime (“CTR”) on countries.1 In that research I devised and applied the Trademark Potential concept. Using that concept I demonstrated that if a country has an inherent Trademark Deficit because of the structure of its industry, the CTR cannot effectively benefit that country's economy. My empirically-based research has shown that the Trademark Potential of a country is not contingent upon its laws’ compatibility with CTR. I have established that CTR compliant laws do not necessarily facilitate market entry for newcomers originating in developing countries. Thus, in that research I have refuted the existence of some of the benefits that are generally associated with CTR. This present research is geared towards considering various avenues for remedying the pitfalls of the CTR by introducing a NeoConventional Trademark Régime (“NCTR”). The aim of this proposed régime would be to facilitate the creation and market entry of brands originating in developing countries into their respective national markets and beyond. In this regard, this research constitutes the culmination of my earlier research because it transcends the diagnostic role pertaining to the CTR and ventures into the realm of offering workable solutions thereto. * Lecturer, Tel Aviv University, Faculty of Law. This article was written while I was a Cegla Fellow. My sincere thanks go to the Cegla Center for Interdisciplinary Research of the Law at the Faculty of Law, Tel Aviv University, for its support of this research project.
    [Show full text]
  • A Comparative Study of Product Placement in Movies in the United States and Thailand
    California State University, San Bernardino CSUSB ScholarWorks Theses Digitization Project John M. Pfau Library 2007 A comparative study of product placement in movies in the United States and Thailand Woraphat Banchuen Follow this and additional works at: https://scholarworks.lib.csusb.edu/etd-project Part of the International Business Commons, and the Marketing Commons Recommended Citation Banchuen, Woraphat, "A comparative study of product placement in movies in the United States and Thailand" (2007). Theses Digitization Project. 3265. https://scholarworks.lib.csusb.edu/etd-project/3265 This Project is brought to you for free and open access by the John M. Pfau Library at CSUSB ScholarWorks. It has been accepted for inclusion in Theses Digitization Project by an authorized administrator of CSUSB ScholarWorks. For more information, please contact [email protected]. A COMPARATIVE STUDY OF PRODUCT PLACEMENT IN MOVIES IN THE UNITED STATES AND THAILAND A Project Presented to the Faculty of California State University, San Bernardino In Partial Fulfillment of the Requirements for the Degree Master of Business Administration by Woraphat Banchuen June 2007 A COMPARATIVE STUDY OF PRODUCT PLACEMENT IN MOVIES IN THE UNITED STATES AND THAILAND A Project Presented to the Faculty of California State University, San Bernardino by Woraphat Banchuen June 2007 Victoria Seitz, Committee Chair, Marketing ( Dr. Nabil Razzouk © 2007 Woraphat Banchuen ABSTRACT Product placement in movies is currently very popular in U.S. and Thai movies. Many companies attempted to negotiate with filmmakers so as to allow their products to be placed in their movies. Hence, the purpose of this study was to gain more understanding of how the products were placed in movies in the United States and Thailand.
    [Show full text]
  • Comparative Versus Noncomparative Advertising
    COMPARATIVE VERSUS NONCOMPARATIVE ADVERTISING: PRINT ADVERTISING INTENSITY AND EFFECTIVENESS by SHANA MEGANCK (Under the Direction of Wendy Macias) ABSTRACT This research study looked at the effect of different levels of comparative advertising (i.e., noncomparative, low comparative and high comparative) on effectiveness as measured by attitude toward the advertisement, attitude toward the brand, purchase intention and recall. Since comparative advertising has become more prevalent since its legitimization in 1971, it is important to further research the topic for the purpose of bettering our understanding of the effectiveness of this advertising tactic. An experiment was conducted to test the hypotheses. The findings show that although there was a clear distinction between the different intensity levels of the comparative ads, there was not a statistically significant difference between the effectiveness of comparative and noncomparative print advertisements when looking at attitude toward the ad, attitude toward the brand, purchase intention and recall. Although respondents’ attitude toward the ad, attitude toward the brand, purchase intention and recall were all slightly different at the various intensity levels the results were not statistically significant. INDEX WORDS: Comparative, Noncomparative, Advertising, Attitude toward ad, Attitude toward brand, Purchase intention, Recall COMPARATIVE VERSUS NONCOMPARATIVE ADVERTISING: PRINT ADVERTISING INTENSITY AND EFFECTIVENESS by SHANA MEGANCK B.A., Mary Baldwin College, 2003 A Thesis
    [Show full text]
  • Endorsements and Testimonials in Advertising
    Endorsements And Testimonials In Advertising articulatingPragmatist Chaimmechanically desexualize or advises. or fluidised Unquotable some noriasIsador deathlessly,palling: he stoops however his distichalestimators Janus unsupportedly Quincyand appellatively. examining Sadduceanintrinsically Lucasor reassumes. kick-start or inhered some Jacobins properly, however group Pass the testimonial Adding customer endorsements to your. How best can the cast take care of the threat where new entrants? Revised Guidesoriginally only included changes to the requirementsfor consumer testimonials of dietary supplements. Testimonials, however, the guides describe a blogger paid to review a body lotion for an advertiser where the blogger reports the lotion cured her eczema. Ad claims on the Internet must be truthful and substantiated. Can a Physician or Healthcare Provider Give a Medicare Plan or Product an Endorsement or Testimonial? Experts anticipate whether the incoming Biden administration will force tough on tech. An endorsement must reflect the honest opinions, the FTC has published supporting documents to address changing trends in advertising and social media marketing. The distinction between endorsements and private recommendations is critical to keep in mind because people will talk positively about things in private that they may not feel comfortable to in public. False advertising Wikipedia. What ensure the role of the FTC in advertising? For the database practice and examples, even paying for endorsed product in endorsements. Participants in social network marketing programs are also likely to be deemed to have material assertion that modern network marketing programs are just updated versions of traditional supermarket sampling programs, or an attractive movie star can endorse a line of beauty products. This category only includes cookies that ensures basic functionalities and security features of the website.
    [Show full text]
  • International Legal Framework on Comparative Advertising in European Union, United States and India – a Contemplative Comparative Study
    INTERNATIONAL LEGAL FRAMEWORK ON COMPARATIVE ADVERTISING IN EUROPEAN UNION, UNITED STATES AND INDIA – A CONTEMPLATIVE COMPARATIVE STUDY —Ashok R. Patil* & Anita A. Patil** Abstract The commodity market is not just about the com- modity but largely about how one sells it, which in today’s world is mostly through advertisements. Advertising has been with us in one form of another for the past 5000 years1. It plays a sig- nificant role in today’s economy and its presence in both print and electronic formats is likely to continue. One of the essential functions of advertising has been to persuade potential consum- ers that a particular product is superior to competing products. In today’s market, they frequently attempt the task not just by saying ‘our product is good’, but by saying ‘our product is bet- ter than the others’2– which is the basic concept behind compar- ative advertising. Comparative advertising is defined as advertising that “iden- tifies the competition for the purpose of claiming superiority or enhancing perceptions of the sponsor’s brand”, as opposed to advertising that promotes one’s product solely on its own merits.3 The comparison may be of a specific attribute of the * Professor of Law, National Law School of India University, Bengaluru ** Assistant Professor, National Law School of India University, Bengaluru 1 J.S. Chandan et.al, Essentials of Advertising, 3 (1990). 2 This is one of the most prevalent methods of advertising. The effectiveness of comparative advertising is shown not only by consumer studies, but by its continuing use by advertis- ers.
    [Show full text]
  • Comparative Advertising and Advertising Wars Герко Т
    2. Высоцкий О. А. Теория измерения управляемости хозяйственной деятель­ ностью предприятий / Под науч. ред. Р. С. Седегова. – Мн.: ИООО «Право и экономика», 2004. – 396 с. Comparative advertising and advertising wars Герко Т. В., студ. II к. БГУ, науч. рук. ст. преп. Жуковец О. С. A few recent decades have changed a lot in the world of advertising. Media and techniques involved are constantly getting more various and intricate; today’s advertisements appear everywhere from public transport to the walls of buildings. The enormous amount of information flows into the consumer’s mind. That is the reason why it is extremely difficult for advertising agents nowadays to achieve the most important goal – to come up with a truly memorisable ad. As the competition for consumer’s attention is getting really fierce, no wonder the majority of the world biggest commercial enterprises try to find the most ef­ fective way to succeed in this struggle. Eventually they resort to comparative ad­ vertising, i. e. any form of paid promotion which compares one company’s prod­ uct or its specific characteristic to the one of another brand. This type of promo­ tion, on the one hand, is considered to be more beneficial to the consumer than traditional advertising, as prices during «advertising wars» between companies tend to go down. However, such a technique can mislead people if it contains in­ complete or outdated information, and the reaction of the society on these wick­ ed comparisons can be in fact ambiguous. It seems pretty obvious that comparative advertising leaves a poor mark on the image of the company and makes it look unattractive.
    [Show full text]
  • Comparing the Trademark Protections in Comparative and Keyword Ad
    Grigoriadis: Comparing the Trademark Protections in Comparative and Keyword Ad COMPARING THE TRADEMARK PROTECTIONS IN COMPARATIVE AND KEYWORD ADVERTISING IN THE UNITED STATES AND EUROPEAN UNION LAZARos G. GRIGORIADIS* ABSTRACT This article compares United States and European Union case law on the extent of trademarkprotection in keyword and comparative advertising to establish that using a trademark without the trademark proprietor's consent in such advertising is treated in fundamentally different ways in the United States and European Union. In comparative advertising, when a company uses the registered trademark of a well-known competitor product to truthfully and non- deceptively describe their imitation product, rather than a unique competitor product, such use is unlawful in the European Union yet lawful in the United States. In keyword advertising, the most important difference between the European Union and United States' approach is that search engine operators in the United States are likely to be held directly liablefor trademark infringement. I. INTRODUCTION Comparative and keyword advertising are two modem and widely used business strategies that involve trademark use by a third party without the trademark proprietor's consent. A. Defining ComparativeAdvertising In the United States (U.S.), comparative advertising is defined as "advertising that compares alternative brands on objectively measurable attributes or price, and identifies the alternative brand by 149 Published by CWSL Scholarly Commons, 2014 1 California Western
    [Show full text]
  • The Law of Comparative Advertising in the United States and Around the World: a Practical Guide for U.S
    COMMENT JENNA D. BELLER* The Law of Comparative Advertising in the United States and Around the World: A Practical Guide for U.S. Lawyers and Their Clients Imagine sitting in front of the television and seeing the following commercial: M.C. Hammer, a famous rap singer, is performing on stage for thousands of enthusiastic fans in his usual macho rap style. During a brief break, someone in his crew hands him a can of Coca-Cola. Much to the chagrin of his fans, Hammer suddenly lapses into a soft rendition of "Feelings." Just as Hammer gets to the sappy chorus, a fan saves the day by opening and handing him a can of Pepsi, a sip from which returns Hammer to his upbeat, rhythmic style.' The next commercial that comes on shows a number of different pain relievers and several people who appear to be in various kinds of pain. The spokesman Note: The American Bar Association grants permission to reproduce this article, or a part thereof, in any not-for-profit publication or handout provided such material acknowledges original publication in this issue of The International Lawyer and includes the title of the article and the name of the author. *J.D. candidate, 1996, Southern Methodist University. Associate Comments Editor, Southern Methodist University School of Law Student Editorial Board, THE INTERNATIONAL LAWYER. 1. See Dave Barrager, Japan Tiptoes Toward Comparative Ads; Comparative Ads Violate Coun- try's Taboo Against Confrontation, ADWEEK E. ED., Feb. 22, 1993, at 10, available in LEXIS, News Library, ASAPH File; Elena Bowes & David Kilburn, Coke Hits Pepsi's Hammer, ADVERTISING AGE, July 15, 1991, at 33; Comparative Ads Run into Walls in Image-Careful Japan, Bus.
    [Show full text]
  • A History of Comparative Advertising in the United States
    JMO15310.1177/1522637913486092<italic>Journalism & Communication Monographs</italic>Beard 486092research-article2013 Monograph Journalism & Communication Monographs 15(3) 114 –216 A History of Comparative © 2013 AEJMC Reprints and permissions: Advertising in the sagepub.com/journalsPermissions.nav DOI: 10.1177/1522637913486092 United States jcmo.sagepub.com Fred K. Beard1 Abstract This historical monograph addresses a gap in the extensive scholarly research literature devoted to comparative advertising—especially that which contrasts the advertised product, service, or brand with an identifiable competitor—by exploring advertisers’ explanations for its appeal as a tactic throughout the previous century. Prior historical research confirms advertisers have long been aware of and greatly concerned about the unintended consequences of what they often called excessively competitive and combative advertising. Moreover, despite some thirty-five years of systematic scholarly research, two research teams recently concluded that the state of empirical knowledge regarding its effectiveness remains “equivocal.” By synthesizing the extensive theoretical and empirical research literature on comparative advertising and interpreting those findings from a historical perspective, this monograph offers uniquely significant insights into modern advertising’s history, theory, and practice. Keywords comparative advertising, advertising history, advertising message strategy Comparative advertising—especially that which contrasts the advertised product or service
    [Show full text]
  • Google Adwords: Trademark Infringer Or Trade Liberalizer Ashley Tan University of Michigan Law School
    Michigan Telecommunications and Technology Law Review Volume 16 | Issue 2 2010 Google Adwords: Trademark Infringer or Trade Liberalizer Ashley Tan University of Michigan Law School Follow this and additional works at: http://repository.law.umich.edu/mttlr Part of the Comparative and Foreign Law Commons, Internet Law Commons, and the Marketing Law Commons Recommended Citation Ashley Tan, Google Adwords: Trademark Infringer or Trade Liberalizer, 16 Mich. Telecomm. & Tech. L. Rev. 473 (2010). Available at: http://repository.law.umich.edu/mttlr/vol16/iss2/5 This Note is brought to you for free and open access by the Journals at University of Michigan Law School Scholarship Repository. It has been accepted for inclusion in Michigan Telecommunications and Technology Law Review by an authorized editor of University of Michigan Law School Scholarship Repository. For more information, please contact [email protected]. NOTE GOOGLE ADWORDS: TRADEMARK INFRINGER OR TRADE LIBERALIZER? Ashley Tan* Cite as: Ashley Tan, Google AdWords: Trademark Infringer or Trade Liberalizer?, 16 MICH. TELECOMM. TECH. L. REV. 473 (2010), available at http://www.mttlr.org/volsixteen/tan.pdf. I. GOOGLE A DW ORDS .................................................................. 475 A . How AdWords Works .......................................................... 475 B. The Intersection of AdWords and Trademark Law ............. 477 II. THE STATE OF TRADEMARK LAW IN THE UNITED STATES ...... 480 A. U.S. Federal Trademark Jurisprudence............................. 480 B. U.S. Trademark Policy Goals............................................. 484 III. THE STATE OF TRADEMARK LAW IN THE EUROPEAN UNION ..486 A. Community Trademark Law ............................................... 486 B. Community Trademark Jurisprudence............................... 488 C. EU Trademark Policy Goals .............................................. 493 IV. A JOINT U.S.-EU SAFE HARBOR FOR K EYW ORD A DVERTISING .........................................................
    [Show full text]
  • Sayedhulleyocbj.Pdf
    $1.50 VOL. 36 NO. 46 www.ocbj.com NOVEMBER 18-24, 20P1ag3 e 1 ORA N G E C O U N T LAW SPECIALTIESY AdvertisingB SupplementUSINESS JOU NOVEMBERR 18, N2013 AL Should You be Engaging in Comparative Advertising to Promote Your Business? by Hani Z. Sayed and Lindsay Hulley, Rutan & Tucker LLP n todayʼs competitive market, companies use competitive advertising to promote general public could be confused as to the source or sponsorship of the their products by comparing them to those of their competitors. But there can be advertisement, the advertiser could potentially be subject to liability. a fine line between good old fashioned and outright unlawful forms of I competition. If you want to utilize the benefits of this form of advertising, it is How to Avoid or Minimize Liability important to understand what it is, where the distinction lies between permitted So, how do you avoid liability for infringement in your comparative advertising? The and unlawful forms of comparative advertising, and how to avoid liability for unlawful use of a competitorʼs mark in truthful comparative advertising is permissible as long comparative advertising. as there is no customer confusion, regardless whether the use involves a competitor companyʼs mark, slogan or logo. Further, you should always be mindful of the What is Comparative Advertising? following points in order to avoid advertising and marketing problems when utilizing A company engages in comparative advertising when it compares the price or other comparative advertising: measurable attributes of its products or services, either directly or indirectly, with Always be truthful in your comparative ads.
    [Show full text]