How much does political positioning affect a brand’s value and performance? Quite a lot, according to this new MSI working paper. It argues that business performance and firm value are driven, in part, by how closely a brand’s image aligns with that of the winning (or losing) party in a US presidential election. This goes beyond the impact of actual policy or regulatory changes. So how does a highly polarized political environment affect a brand? It presents opportunities and threats, which ultimately impact a firm’s value and performance.
An endorser’s native origin can trigger brand reactions in consumers due to their cultural predispositions. New research in this area has revisited ethnocentrism and xenocentrism, not as diametrically opposed mindsets but as ones coexisting in dynamic configurations, with each mindset expressed or suppressed as a result of origin cues from brands and endorsers. The resulting models provide blueprints for predicting favorable attitudes, by aligning targeting and messaging strategies with appropriate mindsets and origin cues.
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A product’s shape, packaging or logo contributes to consumer understanding and reactions to that product, previous research has found. But what impression does the perceived weight of a product convey and how can this be used for advertising and marketing purposes? Researchers Priya Raghubir, Lu Yang and Dengfeng Yan looked into this and discovered that consumers use a stability heuristic for weight judgements. Shorter, broader objects are judged to be heavier and thus are considered more stable. And when it comes to food items, weight also plays on such things as calorie assessment.
Today, advertisers have the power to control media scheduling and increase the frequency of individual-level display-advertising exposures. But is it always a good idea to draw consumer’s attention this way? The popularity of ad-blocking software suggests not.
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