To Vary or Not?  The Effects of Ad Variation on the Web
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To Vary or Not? The Effects of Ad Variation on the Web By Sang Y ...

Chapter 2:  Literature Review
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When the brand is novel, a non-varied ad strategy may be more effective that a varied ad strategy since, as encoding specificity and transfer-appropriate processing suggest, an unfamiliar brand requires more repetition of the same ad for consumers to be familiar with the brand. On the other hand, when the brand is familiar, as encoding variability and differential attention suggest, varied ads may be more effective in forestalling tedium (see Figure 2.5). Hence, the following hypothesis is proposed:

H5: Ad variation will interact with brand familiarity to influence memory, i.e., recall and recognition, such that ad variation will result in higher memory for a familiar brand while it will result in lower memory for an unfamiliar brand.

Figure 2.5. Graphical Representation of H5

Figure 2.6. Graphical Representation of H6

One primary proposition of ad variation is that when ads are presented with variation, consumers recognize that the ads are different and are more motivated to process the ads. As a result, it is more likely that elaboration will take place and positive attitudes can be formed. However, certain conditions may moderate the nature of this effect. For example, the magnitude of elaboration may depend on brand familiarity. Specifically,