Advertising’s sequence of effects on consumer mindset and sales: A comparison across brands and product categories

Albert Valenti, Gokhan Yildirim, Marc Vanhuele, Shuba Srinivasan and Koen Pauwels

International Journal of Research in Marketing, 2023, vol. 40, issue 2, 435-454

Abstract: Advertising has the power to influence how consumers experience, think, and feel about brands, but the sequence of these mindset effects may differ by brand and category. This paper analyzes how the mindset factors of cognition, affect, and experience mediate advertising effects on sales, using data from 178 fast-moving consumer good brands in 18 categories over seven years. The authors compare the models proposed in the literature and conclude that the concept of sequentiality in advertising effects holds up well. Importantly, the sequence varies across brands, with the affect → cognition → experience (ACE) sequence being the most common. Brand differentiation and the hedonic versus utilitarian nature of the product category moderate the incidence of the ACE sequence: this sequence is even more likely for utilitarian products and less differentiated brands. For managers, the results show that the last mindset factor in the sequence is the most important in driving sales, with cognition being most responsive to advertising among the mindset factors. Moreover, in utilitarian categories, highly differentiated brands can expect about seven times higher advertising responsiveness of affect than less differentiated brands.

Keywords: Advertising; Sales response; Mindset metrics; AIDA model; Hierarchy-of-effects; Time-series econometrics (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:eee:ijrema:v:40:y:2023:i:2:p:435-454

DOI: 10.1016/j.ijresmar.2022.12.002

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