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Targets & Segments

Spillover Effects Make Consumers with Weak Social Ties Effective Targets

  • JOURNAL OF ADVERTISING RESEARCH

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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Do Mobile Apps Lead to More Equitable Customer Service?

  • MSI

Is there bias in terms of remediating service complaints? Do customers in wealthier, more educated areas get their complaints resolved easier or more quickly? The researchers behind this Marketing Science Institute (MSI) working paper analyzed data from Boston’s 311 information system to find out. The paper finds that service complaints from highly educated census blocks are more likely to be resolved more quickly than those in less educated neighborhoods. However, mobile phone applications can reduce this gap by giving customers a standardized communication tool for filing complaints. Researchers used an instrumental variable approach to address endogeneity in mobile app use.

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Here’s What we Know About Retailing in Times of Inflation

Consumers and retailers both face challenges in times of economic inflation. Whereas the Covid pandemic has plunged us into unprecedented times, previous research suggests that when prices rise, consumers tend to expect inflation to be high and persistent. They also tend to overestimate sellers’ profits and underestimate the effect inflation has on the seller. Some companies are equipped to weather such price increases. However, the long-term impact of the perception of “greedflation” is yet to be quantified.

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Consumer Ambassadors Promote Prosocial Behavior for Themselves & Others

Using consumers as “ambassadors” has many benefits, research has shown. They can help organizations promote their prosocial messages about the environment and other issues and might even become the impetus behind positive behaviors across social networks. However, the greatest impact and the most persistent one, may be on the ambassador themselves, especially those who were less than environmentally conscious at the outset.

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This Strategy Helps Retailers Survive Store Closures

  • MSI

Does closing brick-and-mortar stores mean losing business? Not necessarily. According to this Marketing Science Institute (MSI) working paper, retailers can retain most, if not all their sales, by helping consumers adapt to local closings. Maintaining sufficient density of locations and customer loyalty are paramount. Retailers who employ an omnichannel strategy can even shift in-store purchasing online or to their app.

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Breaking through the Blind Spots: How Marketers can be a Force for Good and Growth

  • By Megan O’Brien (Omnicom MediaGroup) Young Pros Board Member

On July 13, 2023, the ARF Young Pros gathered in New York City to examine the methodologies and insights that make for a better marketing experience. Industry leaders shared their unique perspectives to encourage attendees to reflect on society’s biases and blind spots more broadly, as well as how they echo through the media landscape.

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This is When Diversity in TV Ads Drives Purchase Intent

Promoting diversity through creative content is the right thing to do and can be highly beneficial for brands if done correctly. It’s important for the context to be in sync with the changing context of public opinion. The study featured in this latest MSI white paper, found that Black actors’ share of ads can increase purchase intent, but only when the ads were processed peripherally. If the ad’s aim was to increase the public’s attention to inequality, this could actually inhibit the effect.

Strategies for Sustaining Social Media Engagement

  • MSI

Engaging consumers on social media platforms is extremely advantageous for firms. Yet, sustaining engagement is not always easy. Usership often drops off. The field experiment described in this Marketing Science Institute (MSI) working paper shows helpful ways to sustain social media engagement and offers insights into the positive effects of offering certain members power in their online community (OC).