Can advertising creativity affect product perceptions and retailer evaluations?
| Published date | 09 September 2014 |
| Date | 09 September 2014 |
| Pages | 452-461 |
| DOI | https://doi.org/10.1108/JPBM-06-2014-0651 |
| Author | Erik Modig,Sara Rosengren |
| Subject Matter | Marketing,Product management,Brand management/equity |
Can advertising creativity affect product
perceptions and retailer evaluations?
Erik Modig and Sara Rosengren
Department of Marketing and Strategy, Stockholm School of Economics, Stockholm, Sweden
Abstract
Purpose – This paper aims to investigate the impact of advertising creativity on consumer perceptions of product quality, value, retailer brand
attitude and purchase intention.
Design/methodology/approach – Two experimental studies were conducted. Study 1 shows the impact of creativity (high/low) for two product
categories (mineral water and chewing gum) and one known retailer. The findings are replicated and extended in Study 2 for four categories (mineral
water, chewing gum, batteries and detergent) and two known retailers.
Findings – The results show that advertising creativity positively signals perceived product quality, which increases perceived value. These effects
fully mediate a positive impact on retailer brand attitude and purchase intentions. The positive effect of advertising creativity on perceived product
quality is mediated by perceived advertisement effort.
Practical implications – This study introduces advertising creativity as a way for retailers to increase perceived product quality and value.
The results show that advertising creativity increases perceived effort on behalf of the sender, which positively influences purchase intentions.
Originality/value – The current study shows that advertising creativity can work as a signal of product quality, which has positive effects for retailers.
Keywords Advertising, Creativity, Value, Retailing, Purchase intentions, Effort, Product quality, Retailer brand attitude
Paper type Research paper
1. Introduction
In this study we investigate the impact of advertising
creativity on the formation of product perceptions and
retailer evaluations. More specifically, we investigate how
advertising creativity affects consumer perceptions of
product quality and value, as well as retailer brand attitude
and purchase intention.
Advertising and promotion decisions are critical for
retailers. Still, much research on advertising and promotions
deals with the effects of these activities on manufacturer or
product brands rather than retailers (for a review see Ailawadi
et al., 2009). What is more, when studying the effects on
retailers, focus has largely been on promotion rather than
advertising. It is, however, clear that outcomes of price
promotions can increase substantially if coupled with feature
and/or display advertising (Ailawadi et al., 2009). This
research has, for example, shown how the composition
(Gijsbrechts et al., 2003) and design (Pieters et al., 2007)of
promotional flyers influence their effects.
In advertising research, there is a large literature
highlighting how advertising creativity can strengthen
communication effects. More specifically, advertising
creativity (typically defined as advertising that is novel yet
relevant, cf. Rosengren et al., 2013;Smith et al., 2007) has
been found to have a positive impact on effects such as brand
attitude and purchase intentions (for reviews of the effects see
Sasser and Koslow, 2008 and Smith et al., 2008). This
research shows that effects can occur indirectly (by means of
increased advertising attention and processing) or directly by
advertising creativity signaling effort on behalf of the
advertiser (Dahlén et al., 2008).
However, advertising creativity has yet to be studied in
the area of retailing. This is surprising, given the large
investments in advertising made by retailers. In the current
study, we explore the role of advertising creativity in a retail
setting, by focusing on the effect on consumer perceived
product quality and value and the effects on retailer attitude
and purchase intentions. Using signal theory (Dahlén et al.,
2008;Rosengren and Dahlén, 2012), we investigate how
advertising creativity affects perceptions of product quality
and value, as well as retailer brand attitude and retailer
purchase intention. The results of two experimental studies
indicate that the effort associated with advertising creativity
has a positive effect on perceived product quality and value,
which in turn affect retailer evaluations. This suggests that
retailers might gain from applying a creative design of their
advertisements.
By introducing advertising creativity in retailing research,
the study makes several contributions. First, it answers calls
The current issue and full text archive of this journal is available at
www.emeraldinsight.com/1061-0421.htm
Journal of Product & Brand Management
23/6 (2014) 452–461
© Emerald Group Publishing Limited [ISSN 1061-0421]
[DOI 10.1108/JPBM-06-2014-0651]
The authors would like to acknowledge the generous financial support
provided by Torsten and Ragnar Söderberg Foundation and Jan
Wallander’s and Tom Hedelius’s foundation that made this research
possible and to Sara Lindau and Mattia Tosti who contributed data to
Study 1 while working on their master thesis.
452
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