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"Product Placement"
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Consumer Pseudo-Showrooming and Omni-Channel Placement Strategies
Recent advances in information technologies (IT) have powered the merger of online and offline retail channels into one single platform. Modern consumers frequently switch between online and offline channels when they navigate through various stages of the decision journey, motivating multichannel sellers to develop omni-channel strategies that optimize their overall profit. This study examines consumers’ cross-channel search behavior of “pseudo-showrooming,” or the consumer behavior of inspecting one product at a seller’s physical store before buying a related but different product at the same seller’s online store, and investigates how such consumer behavior allows a multichannel seller to achieve better coordination between its online and offline arms through optimal product placement strategies.
We develop a stylized model in which a multichannel firm offers a product line consisting of two horizontally differentiated products. Consumers are uncertain about the true value of either product. A consumer’s uncertainty regarding a particular product’s value is fully resolved after inspecting that product in person, and can also be partially resolved after inspecting the other related product. By selling only one product through the dual channel and the other product through the online channel exclusively, the firm induces consumer pseudo-showrooming for the online exclusive product. Our analysis shows that this product placement strategy generates a greater profit than selling both products through the dual channel, if the fit probability of individual products and consumers’ cost for returning a misfit product are both in the intermediate range. Moreover, we find that over a large parameter region, consumers also enjoy a greater total surplus under the firm’s product placement strategy that induces consumer pseudo-showrooming. Furthermore, we find that the firm garners the most benefit from inducing consumer pseudo-showrooming by selling the higher-quality product or the higher-demand product through the online channel exclusively. Collectively, our study offers a compelling demand-side justification of the commonly witnessed practice among multichannel sellers to offer products online exclusively when offline selling is feasible.
Journal Article
Product placement 2.0: “Do Brands Need Influencers, or Do Influencers Need Brands?”
An online experiment examined the effects of Instagram posts’ source types and product-placement types on brand attitude and credibility perception. A 2 (source: brand versus Instagram influencer) × 2 (product placement: product-only [explicit product placement] versus influencer-with-product [moderate product placement]) between-subjects factorial experiment (N = 304) tested the effects of the two manipulated factors on source credibility, corporate credibility, and attitude toward brand posts. Two-way ANOVAs indicate a main effect of source types on perceived trustworthiness and interaction effects of product-placement and source types on perceived expertise, corporate credibility, and attitude toward brand posts. Consumers exposed to brand as the source conditions indicated no difference in corporate credibility and brand attitude regardless of product-placement types. In contrast, consumers exposed to Instagram influencer as the source conditions indicated higher corporate credibility and more positive attitude toward brand posts when exposed to the influencer-with-product conditions than when exposed to the product-only conditions. Consumers differently react to product placement on Instagram influencers’ accounts depending on whether the influencers are present versus absent. Consumers react negatively to influencers’ posts when they do not appear with the products they endorse. Parasocial interaction mediates the relationship between product/brand placement types and corporate credibility.
Journal Article
The Effects of Content Likeability, Content Credibility, and Social Media Engagement on Users' Acceptance of Product Placement in Mobile Social Networks
Nowadays, product placements are commonly presented on mobile social media but related studies are rare. The main purpose of the study is to investigate the effects of content likeability, content credibility, and social media engagement on users' acceptance of product placement in mobile social networks. The results of the online survey indicate that content likeability is an antecedent of social media engagement and content credibility; social media engagement has an influence on content credibility; and content likeability, content credibility, and social media engagement both directly affect user acceptance of product placement in mobile social networks. Furthermore, social media engagement has an interaction effect with content likeability on the content credibility of mobile social networks. The results of the multi-group analysis indicate that young adults show differences with middle-aged adults in the direct effect of content likeability on social media engagement and in the interaction effect of content credibility and social media engagement on the acceptance of product placement in mobile social networks. The implications for practitioners are discussed on the basis of the empirical findings.
Journal Article
Audience Response to Product Placements: An Integrative Framework and Future Research Agenda
This study comprehensively reviews the literature on product placements to develop an integrative conceptual model that captures how such messages generate audience outcomes. The model depicts four components: execution/stimulus factors (e.g., program type, execution flexibility, opportunity to process, placement modality, placement priming); individual-specific factors (e.g., brand familiarity, judgment of placement fit, attitudes toward placements, involvement/connectedness with program); processing depth (degree of conscious processing); and message outcomes that reflect placement effectiveness. The execution and individual factors influence processing depth (portrayed as a high-low continuum), which in turn impacts message outcomes. The outcomes are organized around the hierarchy-of-effects model into three broad categories: cognition (e.g., memory-related measures such as recognition and recall); affect (e.g., attitudes); and conation (e.g., purchase intention, purchase behavior). This study integrates potential main and interaction effects among model variables to advance a series of theoretical propositions. It also offers an extensive research agenda of conceptual and empirical issues that future work can address.
Journal Article
The Influence of Exposure and Attitude on YouTube's Product Placement Advertising on Thai and Japanese Consumer Behavioral Responses
Technology has impacted people's lifestyles with the expansion of the internet, and YouTube has emerged as a popular platform for product placement ads, especially in Japan and Thailand. However, concerns exist about their impact on audiences. Thus, training advertising professionals to manage such issues is crucial. This study aims to investigate the current state of product placement advertising on YouTube in Thailand and Japan and how cultural differences impact consumer behavior, norms, and attitudes, topics that have not been explored previously. It also identifies factors that influence Thai and Japanese consumers' response to product placement on YouTube. This study utilized a quantitative approach to analyze data from 400 participants, comprising 200 Thai and 200 Japanese individuals who have experience in watching YouTube videos. The results of the multiple regression analysis indicate that \"Consumer Ethnocentrism\" has the greatest impact on the Thai sample group while \"Exposure\" has the greatest impact on the Japanese sample group. Meanwhile, \"Purchase Intention\" has the most significant impact on the combined Thai and Japanese samples. This research provides insights for marketers, particularly regarding product placement advertising on YouTube.
Journal Article
Branded women in u.s. television
Branded Women in U.S. Television examines how The Real Housewives of New York City, Martha Stewart, and other female entrepreneurs create branded televised versions of the iconic U.S. housewife. Using their television presence to establish and promote their own product lines, including jewelry, cookware, clothing, and skincare, they become the primary physical representations of these brands. While their businesses are serious and seriously lucrative, especially reality television enables a certain representational flexibility that allows participants to create campy and sometimes tongue-in-cheek personas. Peter Bjelskou explores their innovative branding strategies, specifically the complex relationships between their entrepreneurial endeavors and their physical bodies, attires, tastes, and personal histories. Generally these branded women speak volumes about their contemporaneous political environments, and this book illustrates how they, and many other women in U.S. television history, are indicative of larger societal trends and structures.
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