Chinese researchers have found that social media advertising can make a significant impact on people who are socially connected to the viewers of ads—even more so than on the targeted viewers. This effect is strongest among consumers with weaker rather than strong social ties, and it challenges targeting methods rooted in customer centricity models.
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At this Insights Studio, authors from three different continents showcase their recently published work—including the JAR Best Paper 2022 on how advertising expenditures drive consumers’ perceptions of ad and brand quality. Also featured are studies on deepfakes and AI reshaping the advertising industry, the success of using product endorsers who are actors known for roles portraying despicable characters, and KPI patterns of social media influencers across several platforms. Talking points in the concluding Q&A span the future of AI in advertising and influencer marketing, machine-driven decisions for choosing endorsers, and factors (product- and economic-related) affecting consumer perceptions of quality in TV ads and engagement in user-generated content.
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In today’s social climate, brands must constantly be aware of social issues. The cost of ignorance can be substantial. Negative brand adjacency can not only damage a brand’s reputation, it can have a direct impact on its bottom line as well.
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This addition to the ARF’s Context Effect Project provides compelling evidence for the impact of context effects on advertising effectiveness, based on an exhaustive literature search and original ARF research. While the review notes that there is no simple one-size-fits-all rule, it provides insights that can help marketing, agency and research executives who seek to improve advertising outcomes.
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