Memory in Online Video Advertising: Investigating the Viewing Process

Memory in Online Video Advertising:

Investigating the Viewing Process

MSc Thesis Defense

S3139743

j.attema.1@student.rug.nl

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Increase in Advertising Revenue 2018-2019 (%)

Introduction

› Online video advertising increasingly popular

▪ Fastest growing form of digital advertising

▪ Revenues increased by 33.5% in 2019 over 2018, amounting to $21.7 billion globally ▪ However, its effectiveness is not well understood

› Video ads are often skippable

▪ Crucial to capture attention in first seconds

▪ Research has taken into account ad length, but has failed to consider the actual

viewing time by the consumer.

▪ What influences this? → Emotional Tone and Involvement

› Effect of the device category

▪ Is memory different for participants viewing the ad on a mobile device versus a

non-mobile device?

How do the emotional tone of the ad and involvement with the ad influence advertising memory and how do the viewing time

Introduction

› Contributions of this paper:

(1) uses (several measures of) memory as a measure of advertising effectiveness

(2) takes into account viewing time as a mediator

(3) takes into account the device used when watching online video advertisements

How do the emotional tone of the ad and involvement with the ad influence advertising memory and how do the viewing time and

Theoretical Background and Hypotheses

› Emotional Tone: Limited Capacity Model of

Motivated Mediated

Message Processing (Lang 2000, 2009)

› Involvement: Elaboration Likelihood Model (Petty, Cacioppo and Schumann 1983)

› Viewing Time

› Device Category: Screen Size and Interactions

Controls: gender, age, country, general atittude towards

Methodology

› Data from DVJ Insights

▪ Online questionnaire ▪ 9691 observations

▪ Three countries: the Netherlands, Germany, UK ▪ Online video ads from different industries

› Memory measure: 4 binary variables

▪ Unaided recall, aided recall, message recall, ad recall ▪ Factor analysis: ad recall cannot be summed

› Moderated Mediation Analysis

▪ Memory: path analyses linear regression

Data Analysis

› Ordinal dependent variable memory (unaided recall, aided recall and message recall)

Results

– Emotional Tone

influences advertising memory

H3: Viewing time mediates the

relationship between emotional tone and memory of ads and advertised brands

H5: Mobile device users have

a loweradvertising memory than do non-mobile device users.

H6: Device category

moderates the mediation relationship, with the effect being stronger for non-mobile devices

• 9.3% mediated for mobile devices

Results

– Involvement

influences advertising memory

H4: Viewing time mediates the

relationship between

involvement and memory of ads and advertised brands

H5: Mobile device users have

a loweradvertising memory than do non-mobile device users.

H7: Device category

moderates the mediation relationship, with the effect being stronger for non-mobile devices

• 9.2% mediated for mobile devices

Results

– Ad Recall

Emotional Tone

› Moderated Mediation not

significant (ACME = -.0010, p = .238)

▪ Proportion mediated for mobile

devices: 5.89%

▪ Proportion mediated for

non-mobile devices: 10.49%

Involvement

› Moderated Mediation not

significant (ACME = -.0012, p = .154)

▪ Proportion mediated for mobile

devices: 5.06%

▪ Proportion mediated for non-mobile

Results

– Predictive Validity

› Correlation estimation sample and fitted values: .386

› Correlation validation sample and fitted values: .392

› Correlation estimation sample and fitted values: .403

› Correlation validation sample and fitted values: .398

Discussion

Managerial Implications

› Ensure a positive emotional tone and high perceived involvement when creating online video ads

› Allocate a higher share of the budget towards non-mobiles devices

Limitations and

Further Research

› Other factors explain advertising memory

▪ General attitude towards

Thank you for your attention