MERE EXPOSURE EFFECTS AND BANNER ADVERTISING ON THE WORLD WIDE WEB: I HAVEN’T SEEN IT BUT I LIKE IT! Ming Ong Wong and David R. Fortin University of Canterbury Abstract The World Wide Web represents an intensive information environment where only a subset of the information present will occupy focal attention. However, the remainder of the environment is not completely ignored. Through incidentally viewed brand names and ads, positive affect can be formed even in the absence of recognition. A model is developed to link the theory of mere exposure effect and the phenomena of banner advertising on the World Wide Web, and to explore the underlying factors that may influence mere exposure effects induced by banner advertising. Specifically, mere exposure effects of banner advertising on affect are moderated by ad and/or brand familiarity, intensity of competitive interference, vividness, and ‘correct’ ad placement. Significance of the model is discussed. Introduction Banner advertising represents the predominant type of advertising on the Web, and has undoubtedly attracted large amount of investment from marketers. However, the question of whether banner ads are effective as a marketing communication medium, still remains unclear. In addition, no study has ever been conducted to explore the underlying factors that would influence consumers’ responses resulting from exposure to a banner ad. Some research has shown that affect is generated for an object by merely exposing the subject to that object repeatedly, rather than being based on the cognitive processing of information. This is termed the mere exposure effect. Given the passive nature of a banner ad, it is proposed that mere exposure theory is a perfect fit to the phenomenon of banner advertising. Mere exposure to a banner ad may enhance a surfer’s preference for the ad and brand despite the surfer’s inability to recognise having previously seen the ad and brand. Therefore, the primary objective of this paper is to develop a conceptual framework of mere exposure effects for banner advertising based on the current literature on mere exposure. Hypotheses are offered linking mere exposure effects to banner advertising. Mere Exposure Effects Zajonc (1968, p.1) defines the mere exposure effect as the observation that “mere repeated exposure of the individual to a stimulus is a sufficient condition for the enhancement of his attitude toward it. By ‘mere exposure’ is meant a condition which just makes the given stimulus accessible to the individual’s perception”. It has been shown in psychology that mere exposure to a stimulus does lead to preference for it. A meta-analysis performed by Bornstein (1989) has shown that preferences can be formed without awareness of preference formation, and that the mere exposure effect is a robust phenomenon. In an advertising context, consumers often focus their attention on a primary task (e.g. reading an article), thus reducing the resources available to process secondary information (e.g. advertisement) surrounding the primary information. Studies conducted by Janiszewski (1988, 1990a, 1990b, 1993) on the formation of attitudes toward unattended stimuli have shown that positive preferences can be generated independently of conscious processing. A study conducted by Hawkins and Hoch (1992) that investigates the relationship between memory, belief and mere exposure effects also shows that subjects rated consumer trivia statements as more true when they had been exposed to those statements earlier in the experiment. Another study using an arena-like setting similar to that found in sports stadiums, shows that numerous product names popping up along the border of the field and on player uniforms (thus allowing mere exposure) could actually build preference for that name (Thjomoe and Olson 1997). Shapiro, Macinnis and Heckler (1997) also found that mere exposure to an ad does affect future buying decisions, even if subjects do not process the ad attentively, and do not recall the ad. The study proves that mere exposure to an ad can increase the chances that a product will become part of a consideration set. Given the similarities and differences between the Internet and traditional media (Hoffman and Novak 1996), it is expected that mere exposure effects on the Web may differ or similar in certain ways to traditional media, and thus deserves further investigation. For instance, given the enormity of advertising clutter (Brown and Rothschild 1993) and the fact that consumers are often involved in tasks that limit ad processing (MacInnis, Moorman and Jaworski 1991), it is very likely that a majority of advertisements do not actually receive any active processing. This ‘traditional’ view also applies to the virtual environment where surfers focus mainly on their primary activities (e.g. reading an online article or chatting) and banner ads that “surround” them represent merely a part of the secondary information within the environment. Therefore, the empirical evidence from psychology research on mere exposure effects in traditional media, may imply that banner ads receiving limited attention may also be able to change attitudes. It is also expected that mere exposure effects in the context of banner advertising may somewhat differ from traditional media. On the Web, the level of vividness and interacitivty of banner ads usually varies from low (simple JPG image/ simple link) to high (GIF animated graphic/ search function). Furthermore, because of the increased flexibility of the Web, marketers are able to present several banner ads to consumers at the same time (e.g. on the same Web page), thus increases the level of competitive interference. In addition, on the Web, consumers are better able to exercise their own will whether to process the information provided than in the traditional medium. Likewise, the interactive nature of the Internet allows a consumer to be actively involved in the medium itself, and to be an audience as well as a message producer (Morris and Organ 1998). These differences suggest that mere exposure effects may differ in the context of banner advertising than in traditional media. In summary, the empirical evidence of mere exposure effects in both psychology and in an advertising context may suggest that mere exposure to an ad will lead to increased liking and affect subsequent judgement. As noted by Hoffman and Novak (1996), the Web combines elements from a variety of traditional media, yet it is more than the sum of the parts. That is, the Web is a combination of modalities of television, print and radio into a single video, text and sound. Therefore, it is likely that while the theory of mere exposure effects may be applicable to the context of banner ad, it may also differ from or similar to traditional media. The next section attempts to look at a conceptual model of mere exposure effects in the context of banner advertising. Mere Exposure Effects and Banner Ads: A Conceptual Model Figure 1 depicts the proposed model of mere exposure effects of banner advertising. As can be seen, mere exposure effects of banner advertising on affect (attitude toward ad and attitude toward brand) are moderated by four variables, that is, familiarity, intensity of competitive interference, ad vividness, and ‘correct’ ad placement. Moreover, it is expected that affect should have a positive impact on purchase intention. However, the relationship between affect and purchase intention is beyond the scope of this paper. Figure 1. Model of Mere Exposure Effects for Banner Advertising Familiarity brand ad Intensity of Competitive Interference + Mere Exposure Affect Abrand Aad + + Complexity + Purchase Intention + ‘Correct’ Ad Placement Familiarity Mere exposure effects have been shown to have a positive impact on affective responses even in the absence of subject’s awareness of the ad (e.g. Janiszweski 1990, 1994). The opponentprocess model (Harrison 1977), arousal model (Berlyne 1966 & 1971 quoted in Bornstein 1989), and the two-factor model (Berlyne 1970; Stang 1974) that were developed to explain subconscious affect formation indicate that, exposure effects (or repetition) do lead to affective responses, provided that they do not result in recognition (or familiarity) of the stimulus (Bornstein 1989). Ye and Raaij (1997) also suggest that a high level of familiarity with stimuli will inhibit the exposure effect. A subject’s awareness of previous exposures to the stimulus might lead to familiarity that ultimately results in satiation and boredom. Likewise, Batra and Ray (1986) found that increasing repetition leads to the production of counter arguments and decreasingly favourable attitudes. It is proposed that this relationship also applies to banner advertising on the World Wide Web: H1: The positive relationship between mere exposure and affect toward banner ad (brand name depicted in the banner ad) will become weaker with increasing ad (brand) familiarity. Intensity of Competitive Interference Bornstein’s (1989) meta-analysis found that subjects are more likely to attend to stimuli in a heterogeneous presentation sequence (i.e. with many other stimuli) than in a homogeneous sequence (i.e. with similar stimuli). Similarly, a study conducted by Burke and Srull (1988) on competitive interference and consumer memory for advertising found that repetition has a positive effect on recall only when there is little or no advertising for a similar product (i.e. homogeneous). It is likely that competitive interference may help in preventing subjects reaching the stage of boredom (satiation). That is, while high intensity of competitive interference has a negative impact on recall of a brand name or an ad, it also inhibits subjects from interpreting the brand or the ad as familiar. This thus results in the absence of recognition for the ad, which is just the required condition for mere exposure to actually enhance affective response to stimuli. As stated previously, if stimulus familiarity exceeds a certain level, affect will decrease (Ye and Raaij 1997). Therefore, competitive interference that may be present in an environment actually strengthens the relationship between mere exposure and affect toward the ad: H2: The positive relationship between mere exposure and affect toward the banner ad (brand depicted in the banner ad) will become stronger with increasing intensity of competitive interference. Complexity Effects of exposure on ad attitudes might be moderated by the complexity of the ad (Cox and Cox 1988). That is, evaluation of complex ads generates more positive attitudes with exposure, but not for simple ads. A review by Harrison (1977) and Bornstein (1989) also indicates that reducing stimulus complexity actually lowers the likelihood of an exposure effect, and that studies that compare attitude change after exposure to simple versus complex stimuli found more positive affect evidence for complex stimuli. This concept of ad complexity is similar to the vividness of the advertisement. According to Steuer (1992), vividness of the advertisement refers to the number of sensory dimensions, cues and senses presented (colours, graphics, etc), as well as the quality and resolution of the presentation (bandwidth). Likewise, interactivity level of a banner ad may also affect the level of ad complexity. On the World Wide Web, both the level of vividness and interactivity of banner ads usually varies from low to high. Fortin (1997) has found support for the positive relationship between the level of vividness, level of interactivity of an ad and the level of arousal observed during exposure to the ad in an Internet setting. The following hypothesis is developed: H3: The positive relationship between mere exposure and affect toward the banner ad (brand name depicted in the banner ad) will become stronger with increasing level of ad complexity. ‘Correct’ Ad Placement According to hemispheric theory, the left hemisphere seems more able to process written or verbal ads, whereas the right part of the brain excels at visual ads. Janiszewski (1990b, p. 54) adopts Friedman and Polson’s matching activation hypothesis and suggests that “the greater activation of the right (left) hemisphere during the processing of attended pictorial (verbal) information should enhance the processing of additional material represented within the left (right) hemisphere, provided that the material in the opposing hemisphere can be processed by that hemisphere.” Therefore, placing a brand name to the right of attended pictorial information should send it to the less activated left hemisphere, where it will receive a greater degree of subconscious processing than if sent to the right hemisphere. Likewise, placing a brand name to the left of attended verbal information should send it to the less activated right hemisphere, where it will receive a greater degree of subconscious processing than if sent to the left hemisphere. In each case, increasing the amount of subconscious processing should increase affect toward the brand name. Thus, a brand name should receive better affective responses when placed to the right of pictorial information or to the left of verbal information (Janiszewski 1993): H4: The positive relationship between mere exposure and affect toward brand name depicted in a banner ad will become stronger with ‘correct’ placement of ad (right to pictorial information or to the left of written or verbal information). Significance of Model The Internet is an intensive information environment where consumers hold greater bargaining power and are able to exercise their own will whether to process the information provided. At any given moment, only a subset of the information (the primary information) present within the communication medium will occupy focal attention, but the remainder of the environment (i.e. the secondary information) is not completely ignored. Thus, the importance of the paradigm of mere exposure and subconscious processing stands out. Through incidentally viewed brand names and ads, positive affect can be formed even in the absence of awareness and recognition. That is, the phenomenon of “I haven’t seen it, but I like it”. The proposed model attempts to link the theory of mere exposure effects to the phenomena of banner advertising on the World Wide Web. The model contributes to knowledge building in the understanding of marketing in the New Media. It also has managerial value and implications for future research. Specifically, it provides insight into the applicability of mere exposure theory for a computer-mediated environment (e.g. the Internet). In addition, it helps to determine whether banner ads can be used as an effective marketing communication medium. The model also provides managerial implications related to design and pricing issues of banner ads. For instance, should firms pay merely for “click-through” or should firms pay for CPM? How do we quantify the effect of an ad that is not perceived as such? And how should the price of a banner ad vary based on its placement (top, left or right) and attributes (animated vs. static graphic), etc. Moreover, the model may reveal how will presentations of multiple banner ads on the same Web page impact on consumers’ attitudes toward the ads as well as the brand name. In effect, the model may provide insights of what constitutes an effective banner ad that are of great value to managerial practice. Finally, the model represents one of the first attempts in linking mere exposure theory to banner advertising for the New Media, and to explore the underlying factors that may influence mere exposure effects of banner advertising. The model may usher future research into the area of Internet advertising. It may also shed light on the differences as well as similarities of mere exposure effects across medium, as consumers react differently to different communication medium. 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