The SAGE Handbook of Advertising

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Edited by: Gerard J. Tellis & Tim Ambler

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    Advertising is a field that has attracted a great deal of academic attention, but to date there has been no summarizing of the state of the art of research. This far-reaching and scholarly Handbook is edited by two highly respected and trusted thinkers in the field and includes contributions from leading academics based in both the UK and the USA.

    Tim Ambler and Gerald J. Tellis achieve their aim of setting advertising and the theory that underpins it in its historical and societal context, show-casing the most significant advertising research questions of our time and pointing readers in the direction of future avenues for fruitful investigation. The SAGE Handbook of Advertising would be a welcome addition to any marketing academics bookshelf.

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    Acknowledgements

    We are deeply grateful to Jane Scott and Cheryl Tellis who served as assistant editors of the Handbook through most of its development. Their dedicated service and attention to detail enhanced the quality, productivity, and timeliness of manuscripts and reviews. We also thank Carolyn van den Haak for her enthusiasm and dedication as assistant editor when the project first started. The Institute of Practitioners in Advertising, and Ann Murray Chatterton in particular, were very helpful.

    We are deeply grateful to the many experts who generously served as reviewers of the various chapters: Craig Andrews, Rajeev Batra, Michael Belch, Joel Cohen, Peter Danaher, Marnik Dekimpe, Paul Farris, Winston Fletcher, John B. Ford, Mary Gentile, Guenter Hitsch, Michael Hoefges, Debbie John, Amna Kirmani, Sharmistha Law, Len Lodish, Tina Lowery, Mary Ann McGrath, Edward McQuarrie, Carl Mela, Betsy Moore, Patrick Murphy, Cheryl Nakata, Koen Pauwels, Ross Petty, Leyland Pitt, Joe Priester, Stefano Puntoni, Jef Richards, Don Schultz, S. Siddarth, Dave Stewart, Patti Williams, and Fred Zufryden.

    Finally, we thank the authors who agreed to join us in this venture and who have given up a great deal of scarce and valuable time to render such splendid contributions.

    Gerard J.Tellis, University of Southern California Los Angeles, USA
    TimAmbler, London Business School London, UK

    List of Contributors

    Tim Ambler is a Senior Fellow at London Business School and researches, mainly, dynamic marketing capabilities, how advertising works and marketing metrics. He is a Chartered Accountant and was Joint Managing Director of International Distillers and Vintners, now part of Diageo. As Marketing Director (CMO), in the UK and internationally, he was involved in the launch of Baileys and other successful drinks brands and the development of Smirnoff vodka worldwide.

    Caroline Graham Austin studied history at Mercer University and American studies at the University of Notre Dame before discovering, at the University of Georgia, how much she enjoys marketing and consumer behavior. Her work has been published in the conference proceedings of the European Association of Consumer Research, the American Marketing Association, and the Academy of Marketing Science, as well as in the Journal of Targeting, Measurement and Analysis for Marketing.

    Carolyn Bonifield is Assistant Professor of Marketing at the University of Vermont School of Business Administration. She received her PhD in 2002 from the Tippie School of Business at the University of Iowa. Her research is concentrated in the area of affect and consumer decision making, with an emphasis on post-purchase decision.

    Catherine Cole is Professor of Marketing at the Tippie School of Business at the University of Iowa. She is currently chair of the Marketing Department and a Henry B. Tippie Research Fellow. She received her PhD in 1983 from the University of Wisconsin. Her thesis topic related to age differences in reactions to print and television advertising. She continues to study the older consumer market.

    C. Samuel Craig is the Catherine and Peter Kellner Professor and Director of the Entertainment, Media and Technology Program at NewYork University's Stern School of Business. He received his PhD from the Ohio State University. Along with Susan Douglas, he co-authored Global Marketing Strategy and International Marketing Research, 3rd edition. His research interests focus on the entertainment industry, global marketing strategy and methodological issues in international marketing research.

    Peter Danaher is the Coles Myer Chair of Marketing and Retailing at the Melbourne Business School in Australia. He was previously at the University of Auckland and has had visiting positions at London Business School, The Wharton School and MIT. His primary research interests are media exposure distributions, advertising effectiveness, television audience measurement and behavior, internet usage behavior, customer satisfaction measurement, forecasting and sample surveys.

    Marnik G. Dekimpe (PhD, UCLA) is Research Professor of Marketing at Tilburg University (The Netherlands) and Professor of Marketing, Catholic University Leuven (Belgium). His research has been published in journals such as Marketing Science, the Journal of Marketing Research, the Journal of Marketing, the Journal of Econometrics and the International Journal of Research in Marketing, among others.

    Suresh Divakar is Vice President, Global Marketing Intelligence at Avon Products, Inc. Dr. Divakar has extensive business, research and consulting experience in the CPG and Financial Services sectors. He currently works withAvon Products as aVP, having worked with companies such as Kraft, PepsiCo and Citibank before. He has several publications in leading marketing journals and has been invited to make presentations in prestigious marketing conferences. Dr. Divakar holds a PhD and an MBA in Marketing, as well as a BS in Engineering.

    Susan P. Douglas is Paganelli-Bull Professor of Marketing and International Business at New York University's Stern School of Business. She received her PhD from the University of Pennsylvania. She is co-author (with C. Samuel Craig) of two books, Global Marketing Strategy and International Marketing Research, third edition and has published over 60 articles in leading marketing and international business journals. Her research interests focus on global marketing strategy, cross-cultural consumer research and methodological issues in international marketing research.

    Minette E. Drumwright's research is in the areas of business and society, business ethics, and marketing for nonprofit organizations. Professor Drumwright is faculty chair of the Bridging Disciplines Program in Ethics and Leadership, and she teaches in the Graduate Portfolio Program in Nonprofit and Philanthropic Studies. She has a PhD in business administration (marketing) from the University of North Carolina at Chapel Hill.

    Paul W. Farris is the Landmark Communications Professor of Business at the University of Virginia's Darden Graduate School of Business. Previously, he was a product manager for UNILEVER in Germany, worked in account management for the LINTAS advertising agency, and taught at the Harvard Business School. A recent book, Marketing Metrics: 50+ Metrics Every Executive Should Master, was selected by Strategy + Business, as “2006 Marketing Book of the Year.”

    Paul Feldwick worked for over 30 years as an Account Planner and Planning Director at Boase Massimi Pollitt, BMP DDB and DDB Worldwide. He has written and lectured extensively on advertising and brands, including the book What is Brand Equity Anyway? (WARC 2002). He now works as an independent consultant in the areas of communication, creativity and change. He lives in Bath, England.

    Aditi Grover is a third year PhD student in Marketing at the University of Southern California. She earned her Masters in Economics from the State University of New York – Buffalo in 2004, and Bachelors in Economics from University of Delhi in India (1995). She holds an MBA from the FORE School of Management in India. She was formerly a consultant in strategic planning and management with Deloitte Touche Tohmatsu (India). Her research interests lie primarily in exploring effectiveness of health communication messages and rumors in the marketplace.

    Dominique M. Hanssens is the Bud Knapp Professor of Marketing at the UCLA Anderson School of Management. His research and teaching focus on strategic marketing problems, in particular the study of marketing productivity, to which he applies his expertise in econometrics and time-series analysis. From 2005–2007 he served as Executive Director of the Marketing Science Institute in Cambridge, Massachusetts. Professor Hanssens' publications may be found at http://www.anderson.ucla.edu/faculty/dominique.hanssens/research.htm.

    Robert Heath, MA (Cantab), PhD, FMRS, FCRiAC, FEAA, MCIM, A graduate of Sidney Sussex College, Cambridge, Robert Heath spent 30 years as an advertising practitioner before completing his PhD at Bath School of Management. He is a Fellow of the Market Research Society, a Fellow of the Centre for Research into Advertising and Consumption, a founding member and Fellow of the European Advertising Academy, and has been a Visiting Professor at both Copenhagen and London Business Schools.

    Kevin Lane Keller is the E. B. Osborn Professor of Marketing at the Tuck School of Business at Dartmouth College. Keller's academic resume includes degrees from Cornell, Duke, and Carnegie-Mellon universities, award-winning research, and faculty positions at Berkeley, Stanford, and UNC. His textbook, Strategic Brand Management, has been adoptedat top business schools and leading firms around the world. He is also the co-author with Philip Kotler of the all-time best selling introductory marketing textbook, Marketing Management.

    Donald Lehmann is the George E. Warren Professor of Business at Columbia University. His research interests include the diffusion of innovations, the value of marketing assets such as brands and customers, and empirical generalizatons. He serves on the editorial boards of several leading journals and is currently co-editor of the International Journal of Research in Marketing.

    Dara MacCaba is the Managing Director of Mind Research at the TMRC Consultancy in Shanghai, China and a graduate of Yale University. He develops brand strategy for multi-national companies operating in Asia and has been featured in the media for optimizing companies' innovation processes through the use of psychological and biometric techniques.

    David Mazursky received his PhD in marketing from the Graduate School of Business Administration at New York University. A Professor at the Hebrew University of Jerusalem, he is the Chair of Marketing Department, and Director of the K-Mart Center for Retailing and International Marketing. Professor Mazursky has published in Science, Journal of Marketing Research, Journal of Consumer Research, Management Science, Marketing Science, Journal of Applied Psychology, Journal of Experimental Social Psychology, and others.

    Colin McDonald has spent over 45 years in market research and has run his own research consultancy for the last 16 years. With wide experience in advertising and media research, he was a pioneer analyst of single-source data. He has written widely on advertising research, and is on the editorial board of Admap and IJOA. Colin is a Fellow and gold medallist of the Market Research Society and an Associate of the Ehrenberg-Bass Institute, University of South Australia.

    Nicole Votolato Montgomery is an Assistant Professor of Marketing at The Mason School of Business, The College of William and Mary. Her research focuses on issues related to consumer behavior and judgement and decision making. In particular, she studies consumer memory and how consumers evaluate experiences overtime.

    Elizabeth S. Moore is Associate Professor and Notre Dame Chair of Marketing at the University of Notre Dame. Her research interests are in marketing and society, and marketing to children. She has received recognitions for her teaching and research, including Best Paper Awards at JCR and JPP&M. She holds an undergraduate degree from Mount Holyoke College and graduate degrees from the University of Florida.

    Jon D. Morris, is Professor, in the Department of Advertising, College of Journalism and Communications, and holds a courtesy appointment in the Department of Psychiatry, McKnight Brain Institute, University of Florida. Previously with advertising agencies, including: Nicholson–Morris, Doyle Dane Bernbach and Dancer Fitzgerald Sample, Dr. Morris is the developer of AdSAM, a model for analyzing emotional response to marketing and interpersonal communications and he now uses Functional Magnetic Resonance Imaging (f MRI). His papers have been published by, amongst others, the Journal of Advertising Research, Current Issues in Advertising Research, Journal of Advertising, Journal of Targeting, Journal of Educational Technology, Advances in Consumer Research and the Proceedings of the American Academy of Advertising.

    Prasad A. Naik is Professor of Marketing and Chancellor's Fellowat the University of California Davis. He published research in not only Marketing and Advertising (JMR, Marketing Science, Management Science, JM, JAR), but also Statistics and Econometrics (JASA, Biometrika, JRSS-B, JE). He received AMS Doctoral Dissertation Award, Frank Bass Award, MSI Young Scholar, Professor of the Year, and Marquis' Who's Who in America and Who's Who in the World.

    Thomas C. O'Guinn is Professor of Marketing and Executive Director, Center for Brand and Product Management, University of Wisconsin-Madison. Prior to that he was at the University of Illinois at Urbana-Champaign and served as a visiting Scholar at U.C.L.A., Duke, University of Utah, University of Innsbruck, and Dublin City University. His work is often multi-method and truly synthetic of multiple literatures and has been heavily cited and honored several times with best contribution awards (including two Best of JCR). He holds consumer research to be truly relevant and important not only to business scholars and practitioners, but to public policy and contemporary society as well. His published work has been reported in such media outlets as The New York Times, The Wall Street Journal, National Public Radio, Forbes, The Chicago Tribune, and Wired. He is most interested in the sociology of consumption and electronically mediated environments.

    Seema Pai is currently a PhD candidate at the Marshall School of Business. Prior to joining the PhD Program, Seema obtained her MBA from the Indian Institute of Management in Lucknow. She also worked for a couple of years as an Assistant Brand Manager with Procter & Gamble in Asia. Her research interests include buzz marketing, advertising, public relations and mass media and econometric modeling.

    Richard E. Petty received his PhD from Ohio State University and is currently distinguished University Professor of Psychology there. His research on attitudes and persuasion has resulted in 8 books and over 200 articles. Petty has received research awards from the Society for Personality and Social Psychology and the Society for Consumer Research. He is former editor of the Personality and Social Psychology Bulletin.

    Rik Pieters is Professor of Marketing at Tilburg University. He holds a PhD in Psychology from the University of Leiden (1989). He was a visiting Professor at the University of Florida, Auckland and Penn State University, and a Strategy Director at the FCB Advertising Agency (Amsterdam office). His work has appeared in the Journal of Marketing, Journal of Consumer Research, Marketing Science, Journal of Personality and Social Psychology, and PINT-news, among others.

    Joseph R. Priester is an Associate Professor of Marketing at the USC – Marshall School of Business. He received his PhD in Social Psychology from the Ohio State University.

    Jef I. Richards is Professor of Advertising at The University of Texas at Austin, where he has taught since 1988 and servedasAdvertising Department Chairman from 1998–2002. His research primarily involves advertising regulation, and he has authored or co-authored two books and numerous articles. He serves on the Advertising Educational Foundation's Board of Directors, and as 2008 President of the American Academy of Advertising.

    Derek Rucker is an Assistant Professor of Marketing at the Kellogg School of Management, Northwestern University. Dr. Rucker's primary research focuses on the study of attitudes, persuasion, and social influence. His work aims to better understand how to improve advertising effectiveness by understanding the role of metacognitive processes and emotion in consumer persuasion. He has written and published papers on these topics in a variety of leading journals.

    Edith G. Smit holds the Customer Media Chair atthe University of Amsterdam, the Netherlands. Prof. Dr. Smit has a background in Marketing, Psychology and Communication, and received her PhD in 1999. Her research focuses on advertising effectiveness, brand communication and relationship media, resulting in various publications in Journal of Advertising, Journal of Advertising Research and Journal of Business Research.

    Ji Hee Song is an Assistant Professor of Marketing and e-Business in the College of Business and Economics at Towson University. She obtained her PhD from the University of Georgia. Her research interest includes interactive marketing and the effect of Web atmosphere on consumer experience online. Her recent article on Web site interactivity has been accepted in Journal of Marketing.

    David W. Stewart, PhD, is the Dean of the A. Gary Anderson Graduate School of Management at the University of California, Riverside. He has previously served on the faculties of the University of Southern California and Vanderbilt University. Dr. Stewart is a past Editor of the Journal of Marketing and is the current Editor of the Journal of the Academy of Marketing Science. Dr. Stewart has authored or co-authored more than 200 publications and seven books that have examined a wide range of issues including marketing strategy, the analysis of markets, consumer information search and decision making, effectiveness of marketing communications, public policy issues and research methodology.

    Richard Storey is Chief Strategy Officer of M&C Saatchi. Agraduate of Cambridge University, helearned his trade at BMPDDB London–“the home of planning”–before joining M&C Saatchi to leading its “brutal simplicity” approach to planning. Richard has won five IPA Effectiveness awards for clients including BritishAirways, Police Recruitment and ScottishAmicable. Equally passionate about creativity as effectiveness, Richard has also won the very same number of APG Creative Planning awards.

    Gerard J. Tellis (http://www-rcf.usc.edu/~tellis/) (PhD Michigan) is Professor of Marketing, Neely Chair of American Enterprise, and Director of Center for Global Innovation, Marshall School of Business, University of Southern California. He specializes in innovation, market entry, new product growth, advertising, and pricing. He published over 80 papers and books, which have won 15 awards. He is also a Trustee of the Marketing Science Institute and a Senior Research Associate of Judge Business School, Cambridge University.

    Rao Unnava is the W. Arthur Cullman Professor of Marketing and Associate Dean of Undergraduate Programs at Fisher College of Business, The Ohio State University. His research is mainly focused on consumer memory and consumer commitment to brands.

    Demetrios Vakratsas is Associate Professor of Marketing at McGill University and holds the Tasos Papastratos Research Chair (Visiting) at the Athens Laboratory of BusinessAdministration (ALBA). His research focuses on issues of consumer response to firms' promotional and advertising strategies and strategic market entry decisions. His work has appeared in Marketing Science, Journal of Marketing, Journal of Retailing, Journal of Applied Econometrics and Research Policy among others. He has won awards in recognition of his research and teaching contributions.

    Michel Wedel is the Pepsico Professor of Consumer Research at the Smith School of Business, University of Maryland, and holds an honorary chair at the University of Groningen. Previously head of statistics at the TNO-Nutrition Research Institute, he applies statistical and econometric methods to marketing, notably using eye-tracking to study the effects of visual marketing. With nearly 200 top journal articles, he has been ranked the most productive as well as the third most cited economist in the Netherlands.

    Douglas West, PhD, is Professor of Marketing at the University of Birmingham, UK. He has held faculty appointments in the UK and Canada. He sits on several editorial boards and is editor of the International Journal of Advertising. Besides budgeting, his research interests include creative marketing, risk and strategic marketing.

    David Wethey is the Founder (1988) and Chairman of Agency Assessments International (AAI). AAI is headquartered in London, with partners in the US and globally. David graduated from Oxford University. He was into international management with McCann-Erickson for 11 years. David is leading his own agency for 7 years. He is a frequent speaker at conferences, seminars and workshops – in 20 countries so far. David has authored the UK Guide to Remuneration, is a columnist for Marketing Week and also writes for Admap and Market Leader-most read blogger on Brand Republic.

    William L. Wilkie is Nathe Professor of Marketing at the University of Notre Dame. He has received the American Marketing Association's highest honor, the Distinguished Marketing Educator Award, Notre Dame's President's Award and BP/Amoco Outstanding Teacher Award, and was elected President of the Association for Consumer Research. One of his articles has been named a “Citation Classic” in the Social Sciences by the Institute for Scientific Information. After an undergraduate degree from Notre Dame and graduate degree from Stanford, he served on faculties at Purdue, Harvard, and Florida, as in-house consultant at the Federal Trade Commission, and as Research Professor at the Marketing Science Institute.

    Gerald Zaltman is a senior partner in Olson Zaltman Associates, a firm specializing in understanding the mind of the market, and the Joseph C. Wilson Professor of Business Administration Emeritus, Harvard Business School. He is the author of “How CustomersThink” and co-author of the forthcoming book, “Metaphorics: Navigating the Unconscious Mind.”

    George M. Zinkhan (PhD, University of Michigan) is the Coca-Cola Company Professor of Marketing at the University of Georgia. He is past Editor of both the Journal of Advertising and the Journal of the Academy of Marketing Science.


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