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Product  Placement  and  Product  Involvement  

The  Effects  on  Brand  Attitude  and  Brand  Awareness    

 

           

 

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What  influence  does  Product  Placement  have  on  Brand  Attitude  and  

Brand  Awareness  for  High  and  Low  Involvement  Products?  

     

 

 

 

 

 

 

 

 

Date:         August  2012    

Author:       Hans  Rutger  Fongers

 

Student  Number:     1557203  

Address:     Olympiaweg  18  -­‐  1  

Postal  Code,  City:   1076  VX,  Amsterdam    

 

Department:     Business  Administration  

Specialization:       Marketing  Management  

Qualification:     Master  Thesis  

 

First  Supervisor:     Drs.  J.  Berger   Second  Supervisor:     S.J.  Salmon    

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ABSTRACT  

 

The  rise  of  digital  television  and  new  technologies  bring  television  viewers  the  opportunity  to  skip   traditional   commercials.   As   a   result,   product   placement,   defined   as   the   paid   inclusion   of   branded   products  and  brand  identifiers  in  movies  or  television  shows,  has  gained  popularity  and  exploded  to   a  multibillion  business.    

A   product   can   be   placed   in   various   ways,   ranging   from  very   subtle   to   very   prominent   placements,   holding   various   products.   During   our   research   we   explore   the   effects   of,   on   the   one   hand   subtle   product  placements,  and  on  the  other  prominent  product  placements.  These  effects  are  investigated   for  both  high  and  low  involvement  products,  and  brand  awareness  and  brand  attitude,  which  can  be   accounted  as  the  two  most  important  indicators  of  audience  behavior.  

Our   results   indicate   that   high   involvement   products   decrease   viewers’   brand   attitude   when   prominently  placed.  For  high  involvement  products  that  are  placed  more  subtly,  this  effect  on  brand   attitude  cannot  be  verified  significantly.    

For  low  involvement  products,  a  positive  effect  on  brand  attitude  is  proven  for  both  prominent  and   subtle  product  placements.  Moreover,  brand  awareness  is  enhanced  more  by  a  prominent  product   placement  than  with  a  subtle  way  of  product  placement.  This  effect  on  brand  awareness  is  proven  to   be  valid  for  both  high  and  low  involvement  products.  

 

Keywords:     Product   placement,   product   placement   prominence,   product   involvement,   brand   attitude  &  brand  awareness  

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PREFACE  

 

The  master  thesis  in  front  of  you  forms  the  conclusion  of  a  highly  versatile  and  amusing  time  as  a   student   at   the   University   of   Groningen.   After   a   Bachelor   in   Business   Studies,   I   am   very   pleased   to   complete  my  master’s  degree  in  the  field  I  am  interested  in  the  most,  marketing.    

The  influence  of  products  and  brands  on  people’s  lives  is  fascinating  to  me.  During  my  internship  at   Nestlé  for  confectionery  brands  like  KitKat  and  Bros,  I  really  came  to  understand  the  importance  of   brand  awareness  and  attitude  for  the  success  of  a  certain  product.    

From  a  consumer  perspective,  I  am  very  interested  in  the  constructive  or  harmful  effects  of  product   placements   on   television   for   placed   brands.   With   my   background   in   confectionery,   a   typical   low   involvement  product  category,  this  interest  particularly  is  in  possible  contradictory  effects  for  high   and  low  involvement  product.    

I  could  not  have  completed  this  thesis  without  some  important  people.  First  of  all,  I  would  like  to   thank  my  first  supervisor  Hans  Berger  and  second  supervisor  Stefanie  Salmon  for  their  input,  support   and  methodological  knowledge.  Also,  I  would  like  to  thank  Ramon  Sloof  for  his  feedback  on  my  work.   Lastly,  I  thank  my  parents  for  their  endless  support  during  my  study  as  a  whole.    

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TABLE  OF  CONTENTS

 

 

ABSTRACT  ...  1

 

PREFACE  ...  2

 

1.1  BACKGROUND  ...  5

 

1.2  PURPOSE  OF  RESEARCH  ...  6

 

1.3  PROBLEM  STATEMENT  &  RESEARCH  QUESTIONS  ...  6

 

1.4  MANAGERIAL  &  SCIENTIFIC  RELEVANCE  ...  7

 

1.5  STRUCTURE  OF  THE  REPORT  ...  8

 

2.  THEORETICAL  OVERVIEW  ...  9

 

2.1  PRODUCT  PLACEMENT  PROMINENCE  ...  9

 

2.2  EFFECTS  OF  PRODUCT  PLACEMENT  ...  10

 

2.3  PRODUCT  INVOLVEMENT  ...  11

 

2.4  PERSUASION  KNOWLEDGE  MODEL  ...  13

 

2.5  ELABORATION  LIKELIHOOD  MODEL  ...  13

 

2.6  BRAND  ATTITUDE  ...  14

 

2.7  BRAND  AWARENESS  ...  15

 

3.  CONCEPTUAL  MODEL  &  HYPOTHESES  ...  16

 

3.1  CONCEPTUAL  MODEL  ...  16

 

3.2  HYPOTHESES  ...  16

 

4.  METHODOLOGY  ...  20

 

4.1  EXPERIMENTAL  DESIGN  ...  20

 

4.2  PARTICIPANTS  ...  20

 

4.3  PROCEDURE  ...  21

 

4.4  INDEPENDENT  VARIABLE  ...  22

 

4.5  DEPENDENT  VARIABLES  ...  23

 

4.6  MODERATOR  ...  23

 

5.  RESULTS  ...  24

 

5.1  ANALYSIS  OF  SAMPLE  ...  24

 

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5.3  RELIABILITY  CHECK  ...  26

 

5.4  STATISTICAL  TESTS  ...  27

 

6.  MAIN  ANALYSES  ...  28

 

6.1  HYPOTHESIS  1  ...  28

 

6.2  HYPOTHESIS  2  ...  29

 

6.3  HYPOTHESIS  3  ...  29

 

6.4  HYPOTHESIS  4  ...  30

 

6.5  HYPOTHESIS  5  ...  31

 

6.6  HYPOTHESIS  6  ...  32

 

6.7  RESUME  ...  33

 

7.  CONCLUSIONS  &  RECOMMENDATIONS  ...  34

 

7.1  INTRODUCTION  ...  34

 

7.2  GENERAL  DISCUSSION  ...  34

 

7.3  ACADEMIC  IMPLICATIONS  ...  36

 

7.4  MANAGERIAL  IMPLICATIONS  ...  37

 

7.5  LIMITATIONS  &  FUTURE  RESEARCH  ...  37

 

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1.  INTRODUCTION  

1.1  BACKGROUND    

Nowadays,  television  viewers  have  the  opportunity  to  skip  traditional  commercials  as  a  result  of  the   widespread   rise   of   digital   television   and   new   technologies   like   TiVo.   Consequently,   the   practice   of   ‘product  placement’  increasingly  gained  popularity  as  an  alternative  for  traditional  commercials.  Due   to  these  developments,  global  market  for  product  placement  exploded  from  $6  billion  in  2005  to  an   estimated  $14  billion  in  2010  (pqmedia.com).    

In  academic  literature  ‘product  placement’  is  mentioned  as  combination  of  advertising  and  publicity   designed   to   influence   the   audience   by   unobtrusively   inserting   branded   products   in   entertainment   programs   such   that   the   viewer   is   unlikely   to   be   aware   of   the   persuasive   intent   (Balasubramanian,   1994).   In   other   terms,   product   placement   is   the   paid   inclusion   of   branded   products   or   brand   identifiers,  through  audio  and/or  visual  means,  within  mass  media  programming  (Karrh  1998).    

The  practice  of  product  placement  is  widespread  and  growing  in  both  movies  and  television  shows.   For   instance,   Ray-­‐Ban   and   Tom   Cruise   cooperated   in   two   of   the   most   successful   movies   of   the   eighties:   Risky   Business   and   Top   Gun.   An   indication   of   the   result:   the   sales   of   the   issued   Ray-­‐Ban   Aviator   sunglasses   rose   by   40   per   cent   in   the   seven   months   following   the   Top   Gun   release.   Other   very  well  known  examples  are  the  Dr.  Pepper  placement  in  the  2002  blockbuster  movie  Spider-­‐Man   and  the  appliance  of  the  silver  grey  Aston  Martin  DB5  in  various  Bond  movies.  

All   examples   mentioned   above   are   produced   abroad,   however   the   use   of   product   placements   is   widespread   in   Dutch   movies   and   television   shows   as   well.   Well   known   examples   include   the   consumption   of   a   Yakult   drink   in   Baantjer,   the   consumption   of   Haribo   candy   and   the   use   of   a   Samsung  tablet  by  the  contestants  in  the  popular  talent  show  ‘The  Voice  of  Holland’.    

Although  marketers’  key  ambition  is  to  influence  the  public  using  these  placements,  there  is  limited   substantive   empirical   evidence   whether   and   how   product   placement   is   effective   on   impacting   consumer   responses   (Homer   2009).   Initial   research   illustrated   that   product   placement   enhances   brand   recall   and   recognition   (e.g.   Gupta   and   Lord   1998);   others   suggest   that   consumers   often   welcome  the  reality-­‐enhancing  properties  of  placements;  the  scene  seems  more  real-­‐life  (Hirschman   and  Thompson  1997).    

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trigger   counter   arguing   or   irritation   (Cowley   and   Barron   2008,   Friestad   and   Wright   1994,   Russell   2002).  

 

1.2  PURPOSE  OF  RESEARCH  

As   mentioned   above,   the   practice   of   product   placement   is   extensive   and   has   developed   into   an   industry  of  great  importance  over  the  years.  As  a  result,  various  factors  are  identified  to  investigate   in   what   manner   product   placement   in   television   programs   (and   movies)   influences   brand   attitude   and  brand  awareness.    

The   factors   that   have   been   investigated   range   from   placement   prominence   (Cowley   and   Barron   2008;   Russell   2002),   program-­‐induced   mood   (Goldberg   and   Gorn   1987),   modality   (visual   and   auditory)   (Law   and   Braun   2000),   plot   connection   or   congruity   (Russell   2002),   brand   familiarity   (Brennan   and   Babin   2004),   exposure   duration   (Brennan   et   al.   1999),   program   liking   (Cowley   and   Barron  2008)  to  program  type  (d’Astous  and  Séguin  1999;  Roehm  et  al.  2004).    

All  the  variables  mentioned  above  focus  on  the  characteristics  of  the  placement  (e.g.  plot  congruity,   duration),  the  viewer  (e.g.  program  liking,  brand  familiarity)  or  the  program.  However,  in  our  field  of   interest,  no  research  is  performed  on  the  influence  of  product  involvement  in  the  relation  between   product   placement   and   brand   awareness   or   attitude.   This   exclusion   of   product   involvement   is   peculiar,   specifically   since   consumer   involvement   in   the   television   program   demonstrated   remarkable   effects   in   consumers   processing;   highly   involved   viewers   are   more   attentive   and   therefore   more   likely   to   recognize   an   intentional   placement  (Cowley  and  Barron   2008).  Therefore,   the   present   research   attempts   to   find   these   influences   by   distinguishing   products   into   high   involvement  (e.g.  consumer  electronics)  and  low  involvement  (e.g.  food  &  beverages).    

 

1.3  PROBLEM  STATEMENT  &  RESEARCH  QUESTIONS  

The  problem  statement  central  to  this  research  can  be  formulated  as:  

What  influence  do  product  placements  in  television  shows  have  on     brand  attitude  and  awareness  for  high  and  low  involvement  products?  

To   provide   a   concrete   answer   to   this   problem   statement,   the   following   research   questions   are  

formulated:    

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What  is  the  influence  of  product  placement  on  consumer  brand  attitude  and  brand  awareness  for  low   involvement  products?  

 

1.4  MANAGERIAL  &  SCIENTIFIC  RELEVANCE    

The   central   problem   statement   and   research   questions   are   relevant   for   various   reasons.   As   mentioned  earlier,  a  vast  body  of  research  is  dedicated  to  the  influence  on  brand  attitude  or  brand   awareness.   However,   the   inclusion   of   product   involvement   in   the   relation   between   product   placements  and  the  effects  for  brand  awareness  or  attitude  has  not  been  explored.  

This  exclusion  of  product  involvement  can  be  accounted  as  a  gap  in  the  literature,  particularly  since   consumer   involvement   in   the   viewed   program   demonstrated   remarkable   effects   in   consumer   processing.   According   to   Cowley   and   Barron   (2008),   for   example,   highly   involved   viewers   of   a   television   program   are   more   attentive   toward   the   programs   content   and   therefore   more   likely   to   recognize  an  intentional  product  placement.    

Moreover,  these  highly  involved  viewers  are  more  likely  to  remember  the  placement.  Under  low  to   moderate   program   involvement   conditions,   however,   Cowley   and   Barron   (2008)   claim   product   placements  and  its  persuasive  intent  go  by  unnoticed,  while  peripheral  cues  have  a  large  impact  on   viewers.  These  differences  between  highly  and  less  involved  viewers  demonstrate  there  is  a  role  for   involvement  in  the  relation  between  product  placements  and  its  results  in  terms  of  awareness  and   attitude.    

Also,   investigating  the   effects   of  product   placements   in  a  gaming  environment,   Cauberghe  and  De   Pelsmacker   (2010)   demonstrate   a   moderating   role   of   product   involvement,   with   more   negative   brand   attitude   effects   of   game   repetition   for   a   high   involvement   product   in   comparison   to   a   low   involvement  product.    

This  recent  work  by  Cowley  and  Barron  (2008)  and  Cauberghe  and  De  Pelsmacker  (2010)  emphasize   product   involvement   in   various   modes,   indicating   the   importance   of   involvement   in   this   field   of   literature.      

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influence  on  brand  attitude  and  awareness  can  result  in  a  useful  tool  for  marketers  whether  to  use   product  placement  for  certain  products.    

 

1.5  STRUCTURE  OF  THE  REPORT  

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2.  THEORETICAL  OVERVIEW  

This   chapter   includes   an   overview   of   the   theory.   First,   an   introduction   on   product   placement,   product   placement   prominence   and   the   known   effects   of   this   tool   will   be   given.   Subsequently,   product   involvement   will   be   discussed,   followed   by   a   clarification   of   the   Elaboration   Likelihood   Model   (Petty   and   Cacioppo   1986).   Finally,   both   brand   attitude   and   brand   awareness   are   further   enlightened.  

 

2.1  PRODUCT  PLACEMENT  PROMINENCE  

There  are  various  definitions  of  product  placement  to  be  found.  As  cited  earlier,  product  placement   is   mentioned   as   “combination   of   advertising   and   publicity   designed   to   influence   the   audience   by   unobtrusively  inserting  branded  products  in  entertainment  programs  such  that  the  viewer  is  unlikely   to   be   aware   of   the   persuasive   intent”   (Balasubramanian,   1994).   Or   in   other   terms,   “product   placement  is  the  paid  inclusion  of  branded  products  or  brand  identifiers,  through  audio  and/or  visual   means,  within  mass  media  programming”  (Karrh,  1998).    

Karrhs   (1998)   definition   emphasizes   product  placement  to  hold   two  fundamentals.   Firstly,  product   placement  can  be  implemented  in  various  mass  media  (video  games,  movies,  television  shows,  talk   shows,  music  videos  and  novels);  secondly  product  placement  is  intended  or  paid  for.    

The  prominence  of  product  placement  has  been  operationalized  in  various  studies  and  by  a  varied   set   of   indicators.   Mentioned   indicators   are   the   size   of   the   product   or   logo   in   the   placement,   the   centrality  in  the  screen,  the  integration  into  the  plot,  the  centrality  to  the  plot,  the  number  of  times   the   product   is   mentioned,   the   duration   on   the   screen,   the   strength   of   the   placement   and/or   the   modality   of   the   product   placement   (Law   and   Braun   2000,   Russell   2002,   Bhatnagar   et   al.   2004).   Remarkably,  these  are  also  the  variables  that  indicate  the  amount  a  marketer  is  willing  to  pay  for  the   placement  of  its  product  (Bhatnagar  et  al.  2004).  

Homer   (2009)   states   subtle   product   placement   to   be   only   a   visual   placing   with   no   direct   verbal   references  to  the  product.  Moreover,  Gupta  and  Lord  (1998)  stated  subtle  placements  to  be  “small  in   size,  a  background  prop  outside  of  the  main  field  of  visual  focus,  lost  in  an  array  of  multiple  products   or  subjects  and  low  in  time  frame”.    

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brand  being  mentioned  in  the  dialogue.  Such  ‘script’  placements  have  varying  degrees,  depending  on   the  context,  the  frequency,  and  the  emphasis  placed  on  the  brand  name.  Lastly,  the  plot  connection   dimension   refers   to   the   degree   to   which   the   brand   is   integrated   to   the   plot   of   the   story   (Russell   1998).  When  the  brand  is  only  briefly  mentioned,  this  is  considered  as  lower  plot,  however,  when  the   brand   becomes   a   central   part   of   the   story,   this   is   considered   as   higher   plot   placements   (Russell   2002).  

Derived   from   earlier   work,   d’Astous   and   Séguin   (1999)   sorted   three   main   types   of   product   placement,   namely   implicit,   integrated   explicit,   and   non-­‐integrated   explicit.   An   implicit   product   placement  is  one  where  the  brand  is  present  within  the  program  without  being  formally  expressed;  it   plays   a   passive   contextual   role   and   is   considered   low   in   obtrusiveness.   This   type   of   product   placement  does  not  include  a  clear  demonstration  of  product  benefits  (d’Astous  and  Séguin  1999).   An  integrated  explicit  product  placement,  on  the  other  hand,  is  tightly  integrated  into  the  story  or   entertainment   content.   Here,   the   attributes   and   benefits   of   the   product   are   clearly   demonstrated   (d’Astous  and  Séguin  1999).  “A  non-­‐integrated  explicit  product  placement  is  one  where  the  brand  or   the  firm  is  formally  expressed  but  is  not  integrated  within  the  contents  of  the  program.  The  sponsor's   name  may  be  presented  at  the  beginning,  during  or  at  the  end  of  the  program,  for  instance,  “this   program   is   sponsored   by   the   Ford   Motor   Company”,   or   it   may   be   part   of   the   program's   title,   for   instance  Kraft  Cinema”  (d’Astous  and  Séguin  1999).    

Enforced   by   Russell   (1998,   2002)   and   d’Astous   and   Séguin   (1999),   Cowley   and   Barron   (2008)   developed   a   slightly   different   classification   to   distinguish   prominent   and   subtle   placements   to   investigate  the  effects  of  placement  prominence  on  brand  attitude.  According  to  Cowley  and  Barron   (2008),  prominent  placements  are  (1)  connected  to  the  plot,  (2)  mentioned  more  than  once  or  were   on  the  screen  for  more  than  five  seconds,  and  (3)  either  audio  or  audiovisual.  The  subtle  placements,   at  the  other  hand,  are  (1)  not  related  to  the  plot,  (2)  only  briefly  visible,  and  (3)  only  visual,  without   auditory  support.    

This   classification   by   Cowley   and   Barron   (2008)   will   be   guiding   for   the   manipulation   of   the   independent  variable  (product  placement  prominence)  in  our  research.    

 

2.2  EFFECTS  OF  PRODUCT  PLACEMENT  

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defined  this  effect  as  the  ‘the  mere  exposure  effect’.  Through  the  enhanced  processing  fluency  or   ease  of  processing,  this  effect  ultimately  enhances  brand  attitude.  In  social  psychology,  this  effect  is   also  known  as  the  ‘familiarity  effect’.    

Although  viewers  cannot  stop  the  ‘mere  exposure  effect’  itself,  they  can  discount  brand  attitudes  in   response  to  the  perceived  fluency  effect  if  they  are  made  aware  of  the  placement.  The  discounting   reaction   requires   viewers   to   explicitly   notice   the   exposure,   retrieve   a   set   of   beliefs   about   the   potential  influence  of  the  exposure,  and  discount  their  brand  attitudes  accordingly.  However,  this  all   is  very  unlikely  to  occur  when  viewers  are  engaged  in  an  activity  for  entertainment  purpose,  such  as   watching  a  movie  or  television  show  (Cowley  2012).    

Conversely  to   the  demonstrated  brand   attitude  effects  for  subtle  placements,  Friestad  and  Wright   (1999)   found   prominent   placements   to   be   counterproductive   in   terms   of   brand   attitude.   When   confronted  with  long  or  prominently  placed  product  placements,  viewers  might  become  suspicious,   elaborate  on  the  commercial  purpose  of  the  placement,  counter-­‐argue,  and  form  negative  attitudes   or  behaviors.    

Next   to   the   effect   of   placement   prominence   on   brand   attitude   by   Friestad   and   Wright   (1999),   prominence   also   has   been   investigated   to   affect   brand   recall   and   recognition.   Resulting,   several   studies  (Gupta  and  Lord  1998,  Law  and  Braun  2000)  revealed  more  prominent  product  placements  to   generated   higher   brand   recall   than   subtle   product   placement.   Also,   Brennan   et   al.   (1999)   found   brand   recognition   to   increase   more   after   being   exposed   to   prominent   product   placement   in   comparison  to  being  exposed  to  subtle  product  placement.    

 

2.3  PRODUCT  INVOLVEMENT    

Involvement   is   recognized   to   be   an   important   construct   in   consumer   behavior   and   therefore   has   been   explored   in   numerous   areas.   The   main   fields   are:   involvement   with   advertising   (Petty   and   Cacioppo  1981),  involvement  with  products  or  product  categories  (Laurent  and  Kapferer  1985,  Mittal   and   Lee   1989),   involvement   with   the   purchase   decision   (Mittal   1989),   involvement   with   a   service   (Kinard  and  Capella  2006)  and  finally,  involvement  with  an  activity  or  event  (Speed  and  Thompson   2000).  

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“involvement  can  be  viewed  as  a  construct  linked  to  the  interaction  between  an  individual  and  an   object”,  and  it  refers  to  the  relative  strength  of  a  consumers  believe  concerning  the  product.    

Evrard  and  Aurier  (1996)  also  observe  this  aspect  of  personal  relevance  and  see  involvement  as  the   main  predictive  variable  indicating  purchase  behavior.  This  is  in  line  with  the  definition  of  Vakratsas   and   Ambler   (1999)   stressing   the   importance   of   product   involvement   as   a   decisive   variable.   Their   literature   concludes:   “different   people   respond   to   different   advertisements   in   different   ways,   depending  on  their  involvement”.    

To   explore   the   concept   of   personal   relevance   in   involvement,   Zaichkowsky   (1985)   identified   three   categories   of   involvement:   product   involvement,   advertisement   involvement   and   purchase   involvement.   In   this   case   however,   Zaichkowsky   (1985)   ignored   the   interrelationship   among   the   three   forms   of   involvement.   In   reaction,   O’Cass   (2000)   includes   product,   purchase   and   advertising   involvement  as  constructs  of  one  ultimate  type  of  involvement,  known  as  product  involvement.  

Product   involvement   is   one   of   the   main   variables   in   our   research.   Taylor   (1981)   identifies   product   involvement   as   the   identification   of   a   particular   product   category   to   be   “more   or   less   central   to   people’s  lives,  their  sense  of  identity,  and  their  relationship  with  the  rest  of  the  world”.  Therefore,   consumers  who  are  highly  involved  with  a  product  category  award  more  significance  to  the  product   compared  to  a  product  with  which  they  feel  lower  involved.  This  implies  that  product  involvement   has   an   influence   on   the   motivation   to   process   information.   For   high   involvement   products,   consumers   devote   more   attention   and   spend   more   effort   to   search   and   process   the   information   compared  to  a  low-­‐involvement  product  (Cauberghe  and  De  Pelsmacker  2010).  

Zaichkowsky  (1985)  showed  that  there  is  a  significant  difference  in  the  level  of  product  involvement   concerning  various  product  categories.  For  example,  she  found  low  product  involvement  for  coffee   or   cereal   and   high   product   involvement   for   calculators   and   automobiles.   Accordingly,   product   categories   can   be   classified   as   either   high   or   low   involvement.   Nevertheless,   Zaichkowski   (1994),   states   that   involvement   is   an   individual   variable.   Therefore,   classifying   products   in   high   or   low   involvement  product  categories  is  not  encouraged,  instead,  the  individual’s  involvement  for  a  certain   product  or  product  category  is  used  preferably.    

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2.4  PERSUASION  KNOWLEDGE  MODEL  

Exploring   in   what   manner   people’s   knowledge   of   persuasion   attempts   (e.g.   advertisements)   influences   their   response   to   these   persuasive   attempts,   Friestad   and   Wright   (1994)   presented   the   Persuasion  Knowledge  Model.  According  to  this  model,  people  develop  knowledge  about  how,  why,   and  when  a  message  is  intended  to  influence  them.    

In   this   model,   the   message   will   be   affected   by   the   ‘change   of   meaning   principle’,   when   a   tactic   is   perceived  to  have  persuasive  intent.  During  this  change  of  meaning,  “a  person  begins  conceiving  an   agent’s  action,  heretofore  not  identified  as  having  any  particular  meaning,  as  a  persuasion  tactic  a   ‘change   of   meaning’   will   occur”   (Friestad   and   Wright   1994).   In   other   words,   once   the   persuasive   intention   has   been   recognized,   a   persuasive   attempt   will   have   a   different   meaning   for   the   target.   ‘Change   of   meaning’   effects   are   specified   by   Friestad   and   Wright   (1994)   “viewers   may   ‘disengage’   themselves  from  the  context  created  by  the  persuasion  attempt,  to  a  change  of  focus  effect  in  which   the  viewer’s  attention  moves  from  the  initial  topic  towards  the  persuasion  knowledge  itself”.    

Most   modes   of   advertising   are   widely   recognized   as   a   form   of   persuasion.   In   the   case   of   product   placement,   however,   this   persuasion   attempt   is   less   obvious.   Even   though   the   practice   of   product   placement   is   booming,   television   viewers   are   not   confronted   with   product   placements   every   time   they  watch  television.  Therefore,  there  is  no  reason  for  the  activation  of  persuasion  knowledge  on   every  television-­‐viewing  occasion.    

In   fact,   one   of   the   perceived   advantages   that   product   placement   has   over   traditional   television   advertising   is   the   hidden   motive   of   persuasion.   When   consumers   are   presented   a   stimulus   and   a   context   that   is   construed   as   an   entertainment   experience,   persuasion   knowledge   will   not   be   activated  (Balasubramanian  1994,  Cowley  and  Barron  2008).  When  a  viewer  notices  that  a  placement   is  pushed  from  the  background  to  the  foreground,  however,  the  ‘change  of  meaning  principle’  can   activate  a  consumers’  persuasion  knowledge  (Friestad  and  Wright  1994,  Cowley  and  Barron  2008).    

 

2.5  ELABORATION  LIKELIHOOD  MODEL  

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By   their   Elaboration   Likelihood   Model   (ELM)   Petty   and   Cacioppo   (1986)   explain   the   effect   of   messages   on   attitude   change.   The   model   demonstrates   the   source,   the   message   (e.g.   number   of   arguments),   the   recipient   (e.g.   mood)   and   the   context   (e.g.   distraction)   that   have   an   impact   on   attitude  towards  various  objects,  issues,  people,  and  advertising  messages.  

According   to   Petty   and   Cacioppo   (1986),   involvement   and   the   capability   of   information   processing   determines  how  people  deal  with  various  persuasive  messages  and  arguments.  Consumers  tend  to   process   more   central   attributes   in   a   high   involvement   situation   whereas   consumers   are   more   attentive   towards   peripheral   cues   in   a   low   involvement   situation.   Specifically,   the   ELM   posits   that   attitude  change  may  occur  through  one  of  two  different  processing  routes:  the  central  route  or  the   peripheral   route.   The   viewers’   central   route   is   engaged   when   they   have   sufficient   motivation   and   cognitive  ability  for  elaboration.  However,  the  peripheral  route  is  engaged  when  the  viewer  lacks  the   motivation  or  ability  to  process  this  information.    

Building   on   the   work   of   Petty   and   Cacioppo   (1986),   Petty   and   Wegener   (1999)   investigate   highly   involved   consumers   to   follow   the   central   route   of   information   processing.   Here,   more   cognitive   resources   are   allocated   to   judge   and   elaborate   arguments.   Moreover,   lowly   involved   consumers   often   pay   more   attention   to   peripheral   attributes   (e.g.   color,   background   music)   when   forming   attitudes   towards   an   advertisement.   Using   this   difference   in   motivation   and   routes,   the   model   clarifies  the  persuasion  process  for  consumers  facing  various  incoming  messages  and  arguments.  

 

2.6  BRAND  ATTITUDE    

According   to   Ajzen   (2005),   attitudes   can   be   defined   as   “a   disposition   to   respond   favorably   or   unfavorably  to  an  object,  person,  institution,  or  event”.  Whereas  Mitchell  and  Olson  (1981)  defined   attitude  as  an  individual’s  internal  evaluation  of  an  object  (e.g.  a  branded  product)  are  considered  to   be   relatively   stable   and   enduring   predispositions   to   behave.   Consequently,   attitudes   should   be   a   useful  predictor  of  consumers’  behavior  toward  a  product  or  service.      

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other   words,   the   consumer   is   looking   for   a   brand   that   meets   underlying   motivation   better   than   alternative  brands.    

As  stated  previously,  brand  attitude  can  be  positively  influenced  by  product  placements.  The  mere   exposure  effect  positively  affects  brand  accessibility,  and  eventually  reported  brand  attitude  (Zajonc   1968).   However,   in   the   case   of   prominent   product   placements,   viewers   might   become   suspicious,   elaborate  on  the  commercial  purpose  of  the  placement,  counter-­‐argue,  ultimately  leading  towards   negatively  affected  brand  attitude  (Friestad  and  Wright  1999,  Van  Reijmersdal  2009).    

 

2.7  BRAND  AWARENESS    

Rossiter   and   Percy   (1987)   define   brand   awareness   as   “the   strength   of   the   brand   node   or   trace   in   memory,   as   reflected   by   consumers’   ability   to   identify   the   brand   under   different   conditions”.   So,   brand  awareness  is  related  to  the  likelihood  that  the  brand  comes  to  mind  together  with  the  ease   with  which  it  does.  According  to  Keller  (1993),  brand  awareness  consists  of  both  brand  recognition   and  brand  recall  performance.    

Brand  recognition  relates  to  consumers’  ability  to  confirm  prior  exposure  to  the  brand  when  given   the  brand  as  a  cue,  where  brand  recall  relates  to  consumers’  ability  to  retrieve  the  brand  when  given   the  product  category,  the  needs  fulfilled  by  the  category,  or  another  probe  as  a  cue.  In  other  words,   brand  recall  requires  that  consumers  correctly  generate  the  brand  from  memory  (Keller  1993).  

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3.  CONCEPTUAL  MODEL  &  HYPOTHESES  

In  the  following  chapter,  the  conceptual  model  and  hypotheses,  drawing  on  appropriate  literature   for  support,  will  be  presented.  

 

3.1  CONCEPTUAL  MODEL    

In   the   conceptual   model   below,   ‘product   placement   prominence’   forms   the   independent   variable   influencing   the   two   dependent   variables   ‘brand   attitude   and   brand   awareness’.   ‘Product   involvement’  applies  as  the  moderator  in  these  relations.    

   

 

 

 

 

Figure  1:  Conceptual  model  

 

3.2  HYPOTHESES    

Recent  work  of  Cowley  and  Barron  (2008)  demonstrates  that  viewers  are  more  attentive  when  they   like  the  viewed  television  program.  The  viewers  look  forward  to  watching  a  program  to  satisfy  their   entertainment  goal.  Due  to  the  higher  level  of  attention,  when  confronted  with  a  product  placement,   these   viewers   may   realize   that   a   brand   is   intentionally   placed   as   an   attempt   to   influence   brand   attitude.  This  way  of  thinking  is  in  line  with  the  Persuasion  Knowledge  Model  (Friestad  and  Wright   1994)   that   predicts   viewers   experiencing   the   so-­‐called   ‘change   in   meaning   principle’   when   confronted  with  a  persuasion  attempt.    

Incorporating   placement   prominence,   Van   Reijmersdal,   Neijens   and   Smit   (2009)   state,   “the   higher   the  perceived  prominence  of  a  placement,  the  more  negative  the  placement  attitudes  and  beliefs”.   Moreover,  Cowley  and  Barron  (2008)  provide  evidence  that  prominent  placements  viewed  by  high   program   liking   viewers   are   interpreted   as   intrusive,   irritating   and/or   distraction   and   as   a   result   in   decrease  brand  attitudes.  

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Like  viewers  with  higher  program  liking,  consumers  confronted  with  a  high  involvement  product  are   more   attentive   to   the   placement.   Because   of   this   higher   level   of   attention,   they   are   expected   to   experience  a   ‘change  in  meaning  principle’  (Friestad   and  Wright  1994).   Following  the  reasoning  of   Cowley   and   Barron   (2008),   the   experience   of   product   placements   evokes   irritation   and   distraction   and  subsequently  leads  to  lower  brand  attitude.    

Following  the  reasoning  above,  we  hypothesize:  

H1: For   a   high   involvement   product,   viewers   exposed   to   prominent   product   placements   will   report   more   negative   brand   attitudes   for   the   placed   brands   compared   to   viewers   not   exposed   to   the   placement.  

Contrasting  to  the  findings  for  high  levels  of  program  liking,  Cowley  and  Barron  (2008)  found  viewers   with   moderate   to   low   levels   of   program   liking   to   be   less   aware   of   the   placement.   As   a   result,   the   viewers  of  the  placement  are  unaware  of  the  persuasive  intent  of  the  placement.  

Like  viewers  with  lower  program  liking,  viewers  confronted  with  prominent  placement  containing  a   low   involvement   product   lack   motivation   to   process   the   information   provided.   According   to   Petty   and   Cacioppo   (1986,)   these   viewers   engage   the   peripheral   route.   Because   of   the   low   involvement   toward  the  placed  product,  attention  towards  the  persuasive  attempt  will  not  be  raised  (Friestad  and   Wright  1994).  As  a  result,  no  irritation  or  distraction  is  experienced.  The  mere  exposure,  however,   positively  affects  brand  accessibility,  and  ultimately,  reported  brand  attitude  (Zajonc  1968).    

Exploring   two   key   dimensions,   prominence   and   involvement,   Russell   (1998)   proposes   that   a   mismatch   between   the   two   (here   low   product   involvement   and   high   prominence)   might   increase   brand   recall   due   to   the   incongruence   of   the   stimuli   triggering   cognitive   processing.   This   mismatch   might   also   increase   counter   argumentation,   and   thus   lead   to   more   negative   brand   attitudes   compared  to  a  match  between  the  dimensions.    

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Following  from  the  reasoning  above  we  hypothesize:  

H2: For   a   low   involvement   product,   viewers   exposed   to   prominent   product   placements   will   report   more   positive   brand   attitudes   for   the   placed   brands   compared   to   viewers   not   exposed   to   the   placement.  

Research  shows  that  the  effects  of  product  placements  are  moderated  by  the  viewers’  awareness  of   manipulation  (Warth  2008).  Specifically,  the  effect  of  a  subtle  placement  is  stronger  if  the  viewers  do   not  pay  attention  to  the  presence  of  the  brand.  When  the  viewer  explicitly  notices  being  exposed  to   a   product   placement,   a   discounting   reaction   towards   the   placement   will   discount   their   brand   attitude.    

In  the  case  of  subtle  placements,  the  placement  appears  on  the  screen  without  the  viewer  explicitly   noticing,   or,   according   to   Petty   and   Cacioppo   (1986),   the   viewer   is   expected   to   lack   the   ability   to   process  the  information.  Because  of  the  mere  exposure  effect  however,  the  exposure  enables  brand   accessibility  and  ultimately  leads  towards  enhanced  brand  attitude  (Zajonc  1986,  Cowley  2012).  

Since  the  expectation  of  Russell  (1998)  concerning  mismatches  are  invalidated  by  Cauberghe  and  De   Pelsmacker  (2010),  we  believe  the  mere  exposure  effect  to  hold  for  both  high  and  low  involvement   products.    

Therefore  we  hypothesize  H3  and  H4:  

H3: For  a  high  involvement  product,  viewers  exposed  to  subtle  product  placements  will  report  more   positive   brand   attitudes   for   the   placed   brands   compared   to   viewers   not   exposed   to   the   placement.  

 

H4: For  a  low  involvement  product,  viewers  exposed  to  subtle  product  placements  will  report  more   positive   brand   attitudes   for   the   placed   brands   compared   to   viewers   not   exposed   to   the   placement.  

As   the   hypotheses   for   effects   on   brand   attitude   are   formed,   the   effects   of   product   placing   prominence,   with   high   and   low   product   involvement   as   moderator,   on   brand   awareness   is   presented.    

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recall  and  brand  recognition  performance.  Therefore,  we  can  combine  the  findings  of  Keller  (1993)   with  the  findings  of  Gupta  and  Lord  (1998)  and  Brennan  et  al.  (1999).    

Since   the   expectation   of   Russell   (1998)   concerning   a   mismatch   between   two   dimensions,   here   prominent   product   placements   and   low   involvement,   are   contradicted   by   Cauberghe   and   De   Pelsmacker  (2010),  we  base  our  expectations  on  the  combined  work  of  Keller  (1993),  Gupta  and  Lord   (1998)  and  Brennan  et  al.  (1999).    

For  these  reasons  we  hypothesize:  

H5: For   a   high   involvement   product,   viewers   exposed   to   prominent   product   placements   will   report   higher  brand  awareness  for  the  placed  brands  compared  to  viewers  exposed  to  a  subtle  product   placement.  

 

H6: For  the  low  involvement  product,  viewers  exposed  to  prominent  product  placements  will  report   higher  brand  awareness  for  the  placed  brands  compared  to  viewers  exposed  to  a  subtle  product   placement.  

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4.  METHODOLOGY  

4.1  EXPERIMENTAL  DESIGN  

The   hypotheses   drafted   are   tested   experimentally;   the   aim   here   is   to   gain   insight   in   the   effect   of   product  placement  prominence  on  brand  attitude  and  brand  awareness.  Within  this  relationship,  we   add  the  moderating  effect  of  product  involvement.    

The   experiment   is   designed   as   a   2   x   2   model.   The   two   elements   that   will   be   manipulated   are   the   prominence  of  product  placement  (subtle  /  prominent)  and  product  involvement  (high  /  low).  Effects   on   both   brand   attitude   and   brand   awareness   are   tested;   the   results   correspond   with   the   six   hypotheses  drafted.  

The  experimental  model,  with  the  elements  and  resulting  conditions  are  clarified  in  the  two  tables   below  (table  1a  and  1b).  Here,  we  separated  the  model  for  the  effects  on  brand  attitude  (condition  1   to  4)  and  the  effects  on  brand  awareness  (conditions  5  and  6).  

  Product  involvement     High   Low   Product  placement   prominence   Prominent   1   2   Subtle   3   4  

Table  1a:  Experimental  model,  effect  on  brand  attitude  

    Product  involvement     High   Low   Product  placement   prominence   Prominent   5   6   Subtle  

Table  1b:  Experimental  model,  effect  on  brand  awareness    

 

4.2  PARTICIPANTS  

In  the  studies  of  Russell  (2002,  2006),  the  role  of  modality  and  plot  connection  are  tested  to  affect   product  placements  in  television  shows.  For  this  research,  test  groups  of  around  30  participants  are   formed  to  test  for  each  hypothesis.  Taking  these  two  studies  as  a  reference,  we  aimed  for  test  groups   of  this  size  as  well.  Moreover,  the  tests  conducted  require  the  test  groups  to  be  over  30  samples.  

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4.3  PROCEDURE  

Since  the  number  of  clips  containing  product  placements  for  high  and  low  involvement  products  is   limited,  samples  of  US  television  are  chosen  to  confront  consumers  with  real-­‐life  product  placements   in   the   research   setting.   All   clips   are   downloaded   from   youtube.com   and   modified   into   20-­‐second   fragments.  The  four  clips  hold  prominent  (clip  1  and  2)  or  subtle  (clip  3  and  4)  product  placements  of   either  high  or  low  involvement  products.    

For   the   high   involvement   product   category,   the   viewer   is   confronted   with   product   placements   of   iPhone,   a   typical   product   in   the   consumer   electronics   category.   The   clips   regarding   the   low   involvement  category  hold  examples  of  product  placements  for  products  by  the  restaurant  franchise   Subway  (food  &  beverages).    

To  enhance  the  comprehensiveness  of  the  procedure,  the  clips  numbered  1  (top)  to  4  (bottom)  are   illustrated  below  (figure  2).  

 

 

 

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An  overview  of  the  prominence,  sort  of  product  and  original  television  series  of  the  clips  is  provided   in  the  table  below.  

Table  2:  Overview  clips    

 

To   test   for   all   hypotheses,   three   questionnaires   are   constructed.   These   questionnaires   include   the   same  questions  but  distinct  stimuli,  the  product  placements.  The  questionnaires  for  the  three  groups   (appendix  1)  are  composed  in  Dutch  and  collected  online,  using  the  survey  tool  qualtrics.com.  The   first  test  group  views  clip  number  1  and  2,  the  second  group  views  clip  number  3  and  4,  and  the  third   group  will  solely  answer  the  questions  without  being  confronted  with  any  product  placements.    

Participants  in  the  three  groups  answer  the  same  questions  regarding  demographic   characteristics   (age,   sex,   educational   level),   brand   awareness,   brand   attitude,   and   product   involvement   (table   4).   Comparing  the  responses  of  the  three  groups,  it  is  possible  to  answer  the  drafted  hypotheses.  In  the   table  below,  an  overview  an  allocation  of  the  clips  over  the  three  test  groups  is  provided.    

Table  3:  Allocation  clips  over  test  groups    

 

4.4  INDEPENDENT  VARIABLE      

In   the   previous   chapters,   placement   prominence   is   discussed   based   on   several   researches   using   a   slightly  different  definition  for  placement  prominence.  In  our  research  however,  the  recent  practice   of  Cowley  and  Barron  (2008)  is  used  to  define  prominent  placements  and,  on  the  other  hand,  subtle   placements.   The   prominent   placements   are   chosen   as   they   (1)   are   connected   to   the   plot,   (2)   mentioned  more  than  once  or  to  be  seen  on  the  screen  for  more  than  five  seconds,  and  (3)  are  either   audio  or  audiovisual.  The  subtle  placements  are  (1)  not  related  to  the  plot,  (2)  only  briefly  visible,  and   (3)  visual  only  (Cowley  and  Barron  2008).    

  Placement  prominence   Product   TV  series  

Clip  1   Prominent   iPhone   House  

Clip  2   Prominent   Subway   Chuck  

Clip  3   Subtle   iPhone   Chuck  

Clip  4   Subtle   Subway   Community  

  Test  group  1   Test  group  2   Test  group  3  

H1   Clip  1   -­‐   No  clip  

H2   Clip  2   -­‐   No  clip  

H3   -­‐   Clip  3   No  clip  

H4   -­‐   Clip  4   No  clip  

H5   Clip  1   Clip  3   -­‐  

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4.5  DEPENDENT  VARIABLES    

The  attitude  towards  the  brand  serves  as  the  main  dependent  variable  in  this  research.  To  measure   brand  attitude,  we  adopted  the  scale  of  research  by  Putrevu  and  Lord  (1994).  All  participants  range   five  items  measuring  brand  attitude  on  a  seven  point  Likert  scale  (totally  disagree  /  totally  agree).  To   measure  our  secondary  dependent  variable,  brand  awareness,  we  adopted  the  construct  of  Yoo  and   Donthu  (2001)  (table  4).    

 

4.6  MODERATOR  

For   the   feasibility   of   this   study,   only   a   restricted   number   of   questions   and   products   are   included.   Therefore,  we  test  audience  affect  using  products  that  are  considered  in  earlier  studies  (e.g.  Martin   1998)   as   a   prototype   of   the   high   or   low   involvement   product   category,   even   though   product   involvement  is  preferably  considered  to  be  an  individual  variable  (Zaichkowski  1994).    

Martin   (1998)   states   that   product   involvement   of   an   individual   generally   is   low   for   the   product   category   ‘food   and   beverages’,   and   high   for   the   category   ‘consumer   electronics’.   Therefore,   exemplar  products  in  these  categories,  specifically  Subway  and  iPhone,  are  selected.  To  investigate   the  moderating  role  of  product  involvement,  we  adopt  the  10-­‐item  ‘personal  involvement  inventory’   (PII)  scale  of  Zaichkowsky  (1994).  The  ten  items  are  measured  on  a  seven-­‐point  scale.  

Table  4:  Scale  items  

Construct   Source   Items  

Brand   attitude  

Putrevu  and  Lord   (1994)  

– The  decision  to  buy  (brand)  is  foolish  

– Buying  (brand)  is  a  good  decision  

– I  think  (brand)  is  a  satisfactory  brand  

– I  think  (brand)  has  a  lot  of  beneficial  characteristics  

– I  have  a  favorable  opinion  of  (brand)  

Brand   awareness  

Yoo  and  Donthu   (2001)  

– I  can  recognize  (brand)  among  other  competing  brands  

– I  am  aware  of  (brand)  

Product   involvement  

Zaichkowsky  (1994)   To  me  (the  product)  is:  

– Unimportant  –  important  

– Uninteresting  –  interesting  

– Irrelevant  –  relevant    

– Unexciting  –  exciting  

– Means  nothing  to  me  –  means  a  lot  to  me  

– Unappealing  –  appealing  

– Mundane  –  fascinating  

– Worthless  –  valuable  

– Not  involving  –  involving  

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5.  RESULTS  

In   this   chapter   the   results   of   the   data   gathering   are   provided.   Subsequently,   an   analysis   of   the   sample,   manipulation   check   and   reliability   check   is   presented.   Lastly,   the   tests   applied   to   examine   our  hypotheses  are  enlightened.    

 

5.1  ANALYSIS  OF  SAMPLE  

Before  we  can  start  the  analysis,  the  collected  data  need  to  be  clean.  We  collected  the  data  using  an   online   survey   tool   qualtrics.com.   This   online   tool   only   stores   the   incoming   survey   after   it   is   completed,  therefore  all  incoming  data  is  complete  for  all  questions.    

To  draw  valid  conclusions,  the  demographic  variables  (sex,  age,  educational  level)  of  the  three  test   groups   should   be   fairly   similar.   Moreover,   to   check   whether   the   results   of   our   research   can   be   accounted   as   representative,   the   demographics   of   the   test   groups   are   compared   with   the   Dutch   overall   demographics.   An   overview   of   the   group   demographics,   together   with   the   average   Dutch   demographics  (CBS  2011),  is  provided  in  the  figures  below.  All  in  all,  the  sample  does  not  provide  a   perfect  representation  of  Dutch  society.  This  is  the  result  of  the  network  of  the  researcher,  consisting   mostly  of  male  students.    

  Figure  3:  Sex  ratio  (%)  

 

In  the  table  above,  the  distribution  of  sexes  is  provided.  The  distribution  of  men  and  women  in  the   Dutch  population  is  practically  50/50  (CBS  2011).  This  is  not  the  case  for  the  three  test  groups,  more   men  than  women  completed  the  questionnaire.    

The   difference   in   sex   distribution   is   computed   to   be   significant   (α=0.001)   using   a   one   sample   binomial  test  (appendix  2).  Nevertheless,  as  the  distribution  in  sexes  is  fairly  alike  over  the  three  test   groups,  we  can  test  the  hypotheses  using  these  groups.      

0   10   20   30   40   50   60   70   80  

Group  1   Group  2   Group  3   Total  sample   Dutch  populauon  

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The   figure   below   shows   a   gap   between   the   average   age   of   the   sample   and   the   Dutch   average.   Therefore,  the  sample  does  not  perfectly  represent  Dutch  society.  However,  the  average  age  is  fairly   alike  over  the  groups  (F=1,854,  appendix  3).  We  therefore  can  compare  the  three  test  groups  to  test   our  hypotheses.    

Figure  4:  Average  age  (years)  

Figure  5:  Educational  level  

The  figure  above  illustrates  the  educational  level  (%)  of  the  test  groups  and  the  Dutch  population.   Again,   the   sample   does   not   provide   a   perfect   representation   of   Dutch   society.   However,   as   the   educational  level  over  the  three  test  groups  is  comparable  (F=11,835,  appendix  4),  we  can  use  the   test  groups  to  test  our  hypotheses.      

 

5.2  MANIPULATION  CHECK:  PRODUCT  INVOLVEMENT    

In   our   research   we   tested   two   products   to   represent   either   the   low   or   high   product   involvement   category.  Based  on  the  work  of  Zaichkowsky  (1994)  and  Martin  (1998),  we  defined  the  category  of   ‘consumer   electronics’   as   high   involvement,   and   ‘food   and   beverages’   as   the   low   involvement   category.  The  examples  we  indicated  and  tested  are  respectively  iPhone  and  Subway.    

0   10   20   30   40   50  

Group  1   Group  2   Group  3   Total  sample   Dutch  populauon  

0   20   40   60   80   100  

Group  1   Group  2   Group  3   Total  sample   Dutch  populauon  

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