Purpose
When advertising is provided in the form of product placements – the inclusion of branded products within media programming – it can increase or decrease the consumer’s utility. This paper aims to investigate the relationship between product placements and the evaluation of media programming by consumers. The authors hypothesize that consumers do not necessarily consider them as traditional advertising because placements of real brands can enhance realism even if placements sometimes interrupt consumption experience. Thus, the authors believe the relationship between product placements and consumer evaluation is overall positive. However, too many product placements in a single program may reverse this relationship. In addition, the relationship might differ based on the nature of programming, such as art versus entertainment films.
Design/methodology/approach
Empirical analyses were conducted on 134 movies released between 2000 and 2007 using a generalized method of moments instrumental variable approach.
Findings
The estimation results from product placement data on 134 movies released between 2000 and 2007 show that product placements have a significant positive effect on consumer ratings, but when used in excess, the effect becomes negative. In addition, a significant interaction exists between the nature of the film (mainstream vs independent) and the number of placements, such that consumers of independent films are much less likely to view product placements positively.
Originality/value
This research is the first empirical paper that demonstrates the effect of product placements on the evaluation of the media using secondary data.
Nonprofit arts and cultural organizations use marketing to sustain viability. This study uses data from the Cultural Data Project to examine the effects of marketing on revenue in arts and cultural organizations. The current analysis demonstrates that total marketing expense is positively related to total revenue. Marketing expense used for fund‐raising positively influences donation income, as intended, whereas commercial income is not affected. Alternatively, marketing expense for programs positively influences both commercial income, as intended, and donation income. The novel finding from this study is that marketing expense mainly targeting non‐donor ticket buyers not only increases commercial income but also augments donation income in arts and cultural organizations.
This chapter outlines the relationship between marketing and fundraising to extend our understanding of this topic and suggest future research directions. Arts and cultural organizations (ACOs) have adopted marketing concepts to enhance their financial viability and organizational performance. Fundraising is an essential part of the activities of ACOs, and understanding the role of marketing in fundraising is vital for practitioners and scholars. It is assumed that marketing plays a crucial role in helping with fundraising outcomes; however, research examining the relationship between marketing and fundraising has been scant. This chapter finds that ACOs have practiced marketing as a task-specific function rather than a holistic strategy, and that a marketing orientation and relationship marketing have been employed for fundraising. Based on these extensive research findings, the analysis suggests ways to take advantage of relationship marketing to emphasize donor retention and diversify the donor base. Finally, the conclusion proposes future research to investigate the effects of marketing strategies on fundraising performance.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.