Chapter 2
Review of Related Literature
Concepts, procedures, the finished thesis, the conclusion or generalization, and more are
covered in this chapter. Thanks to the materials in this chapter, readers can get familiar with
information that is relevant to and related to the current research.
Overview
Online Advertising
Online advertising is a developing marketing tactic that enables companies to connect
with customers around the world online. It allows interested people to find and interact with your
business without spending money on a large audience because it is inclusive, economical, and
simple to maintain. Online advertising provides detailed audience information so you may better
target your efforts. Digital ads can increase brand awareness by 80%. Consumers are 155% more
likely to look up your brand-specific terms after they’ve been exposed to display ads. Customers
are 70% more likely to make a purchase from a retargeting ad.
General Perception towards Advertising
The ongoing evolution, continued existence, and widespread use of online advertising
today may serve as evidence of its efficacy particularly in the technological world we live in.
Online advertising are supposed to have first appeared on the internet in 1994, which is
considered to be the year they first appeared. The banner ad era is now. Additionally, online
advertising continued to advance until it was available to everyone via social media. Because
there are so many people using social media, it is even simpler for people to detect adverts than
they were before.
Review of Related Literature
International
Online advertising is a kind of promotion where marketing messages are specifically
meant to be distributed to prospective customers via the World Wide Web and the Internet.
Online advertisements are distributed by an ad server. Online advertising includes, but is not
limited to, contextual adverts on search engine results pages, banner ads, in-text ads, Rich Media
adverts, social network advertising, online classified advertising, advertising networks, and email
marketing (including spam).
According to Lutz (1985), “Defined an attitude-toward-the-ad as a predisposition to
respond in a favorable or unfavorable manner to a particular advertising stimulus during a
particular exposure or occasion. Specific types of feelings can be generated by an ad such as
upbeat feelings: amused, delighted, playful, warm feelings, affectionate, hopeful, negative
feelings, critical, defiant and offended. Attitudinal components of attitude towards the
advertisement comprise of a hedonism, interest and utilitarianism.”
Shavitt et al. (1998), James and Kover (1992) and Mehra (2000) also stated that, Shavitt
et al. (1998) informed that the propensity to dislike advertising might be changing as consumers
feel more entertained by the advertisement. James and Kover (1992) and Mehta(2000) explained
that reactions to advertising and the degree of persuasiveness are directly related to how much
consumers like to look at advertising such as entertainment and enjoyment value its
informational value as well as perceptions of how truthful or manipulative they are. The structure
of attitudes towards internet advertising is the same as attitudes towards advertising in general. It
was also informed that the consistency in attitudinal structure supports other findings that the
traditional assessments of advertising effectiveness such as information and entertainment value
also apply to internet advertising.
These elements serve as the fundamental knowledge foundations for both affective and
cognitive assessments. Attitude is directly influenced by perceived value, and attitude in turn
impacts a consumer’s future intention to use advertisements. Amusement and annoyance should
immediately affect attitude as the affective information basis since they are emotion latent
elements. Furthermore, prior usage of the same or comparable advertisements may directly
influence present and future intentions. The theory of reasoned action and the theory of planned
behavior serve as the foundation for the links between perceived value, attitude, intention, and
behavior.
According to Ioannis Antoniadis, Costas Assimakopoulos, and Ioannis Koukoulis, Social
media and social networking sites (SNSs) are now considered to be an integral part of the
marketing mix of firms and organisations across the world. Advertisement in SNSs takes a
growing part of the advertising budget, replacing traditional media, due to its characteristics in
terms of ROI and interactivity. However, the attitudes of consumers towards advertisement affect
the efficiency of advertisements in SNSs as well.
In this paper, we are examining the attitudes of 512 college students in the region of
Western Macedonia towards advertisement in the SNSs. In accordance with relevant literature,
five main categories of attitudes towards SNSs advertisement are identified, namely information,
entertainment, credibility, irritation, value corruption through confirmatory factor analysis, and
the effect they have on the attitudes towards advertisement and advertisement value is assessed
with the use of a structural equation model. Our results validate the positive effect that
entertainment, information and credibility have in advertisement value
