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Why Cheap, Low-Quality Giveaways Are Bad for Brands

Quality of Freebies Drives Consumer Attitudes, But Personalization Can Help

Samuel Stäbler
DOI: 10.2501/JAR-2020-017 Published 1 June 2021
Samuel Stäbler
Tilburg University,
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  • For correspondence: s.staebler@uvt.nl
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Abstract

Companies employ giveaways primarily to create awareness and strengthen their brands. Little academic research has examined the effectiveness of giveaways, however. This article reports the results of two studies on giveaways’ effectiveness. The first, a laboratory experiment with 678 respondents, found that giveaways of low quality may have a negative impact on consumers’ attitude toward the sponsor brand. In combination with certain types of giveaways, the negative effect is even stronger. Fortunately, results of a second study offer a ray of hope: An experiment with 104 respondents showed that companies can benefit from giveaways as long as they are personalized.

  • Received February 14, 2019.
  • Received (in revised form) October 14, 2019.
  • Accepted November 6, 2019.
  • Copyright © 2021 ARF. All rights reserved.
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Vol 61 Issue 2

Journal of Advertising Research: 61 (2)
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Why Cheap, Low-Quality Giveaways Are Bad for Brands
Samuel Stäbler
Journal of Advertising Research Jun 2021, 61 (2) 164-177; DOI: 10.2501/JAR-2020-017

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Why Cheap, Low-Quality Giveaways Are Bad for Brands
Samuel Stäbler
Journal of Advertising Research Jun 2021, 61 (2) 164-177; DOI: 10.2501/JAR-2020-017
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  • Article
    • Abstract
    • MANAGEMENT SLANT
    • INTRODUCTION
    • THEORETICAL FOUNDATION AND HYPOTHESES
    • STUDY I
    • STUDY 2
    • GENERAL DISCUSSION
    • ABOUT THE AUTHOR
    • ACKNOWLEDGMENTS
    • Appendix A Giveaways Used in the Experiments
    • Appendix B Robustness Checks
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