Processing of product placements and brand persuasiveness

Abstract

Purpose This research contributes to literature on marketing communication by exploring the roles of depth of processing and the dispositional factor, need for cognition (NFC), on consumer perceptions of product placement. Design/methodology/approach A web-based experiment with a 2 (low versus high prominence) x2 (low versus high brand awareness) x2 (with versus without prior disclosure) between-subjects full factorial design was conducted. Findings The results indicate that prominent placements were found to elicit more extensive processing, which was negatively correlated with brand attitudes. A significant negative relationship between NFC and purchase intention towards a placed brand was also revealed. Practical implications The study offers managerial and policy implications for practitioners and educators. It is suggested that brand practitioners should avoid placing brands too prominently or in film genres which are cognitively demanding. The low NFC group appears to be more vulnerable to covert marketing. Therefore it is suggested that media educators target this group and plan effective media literacy programs to guard youngsters from surreptitious selling. Originality/value This is the first study to empirically examine the role of prominence, brand awareness and prior disclosure in the processing of product placement information and their influence on product placement effectiveness.