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The Effects of Native Advertising Disclosure and Advertising Recognition on Perceptions of News Story and News Website Credibility: A Consumer Neuroscience Approach
The use of Native Advertising has sparked ethical concerns, due to its controversial nature inherent in its definition - a paid form of advertising that disguises persuasive communications as the editorial content of the publishing media outlet. The growing popularity of Native Advertising practices...
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| Format: | Thesis |
| Language: | English |
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School of Management Studies
2021
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| _version_ | 1867613404319973376 |
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| access_status_str | Open Access |
| author | Mule, Jessica Loko |
| author2 | Pillay, Pragasen |
| author_browse | Mule, Jessica Loko Pillay, Pragasen |
| author_facet | Pillay, Pragasen Mule, Jessica Loko |
| author_sort | Mule, Jessica Loko |
| collection | Thesis |
| description | The use of Native Advertising has sparked ethical concerns, due to its controversial nature inherent in its definition - a paid form of advertising that disguises persuasive communications as the editorial content of the publishing media outlet. The growing popularity of Native Advertising practices over the past decade in online news publishing has contributed towards the increasingly blurred lines between commercial and editorial content which in turn engenders feelings of deception in consumers and threatens to lower the trustworthiness of news publishers as an objective source. Therefore, the purpose of this study was to undertake theory testing guided by the tenets of the Persuasion Knowledge Model [PKM] (Friestad & Wright, 1994) to uncover insights on whether disclosure serves as an effective measure in publishers' efforts of mitigating the potential of consumer deception. In particular, this study investigated the relationships between: (1) effect of disclosure label positioning on advertising recognition; (2) mediating influence of visual attention on the aforementioned relationship; and (3) effect of advertising recognition on Inference of Manipulation [IMI] and perceptions of the online news publishers' credibility. The study used a quantitative multi-methodology research approach. An innovative Neuromarketing approach was undertaken through a psychophysiological-based analysis of visual attention to disclosure, measured as Fixation (ms/m) using eye-tracking technology, in addition to self-reported measures obtained via an online survey. In line with similar past studies, this study used convenience non-probability sampling and random assignment of participants to experimental groups, on a sample of 87 students between the ages of 20-29 years from the University of Cape Town (UCT). Findings showed no significant difference in the likelihood of advertising recognition, neither between the groups presented with a disclosure and those not, nor between the varying positions of disclosure. Additionally, advertising recognition had a positive influence on perceptions of credibility, contrary to theory and evidence from past studies (described in the Literature Review). Thus, it was concluded that disclosure and advertising recognition are necessary antecedents for critical processing and formation of judgement, but by themselves are not sufficient for perceived transparency and subsequent evaluations of the publisher's credibility. This study presents design implications for practitioners in the online news publishing industry and marketers: the perceived utility of the sponsored content, along with sponsorship transparency through disclosure, plays an important role in minimizing the negative influence of advertising recognition on perceived credibility. |
| format | Thesis |
| id | oai:open.uct.ac.za:11427/33889 |
| institution | University of Cape Town (South Africa) |
| language | eng |
| last_indexed | 2026-06-10T12:35:36.676Z |
| license_str | Not specified — see source repository |
| provenance_str_mv | Harvested via OAI-PMH from UCTD — University of Cape Town Open Access Repository |
| publishDate | 2021 |
| publishDateRange | 2021 |
| publishDateSort | 2021 |
| publisher | School of Management Studies |
| publisherStr | School of Management Studies |
| record_format | dspace |
| source_str | UCTD — University of Cape Town Open Access Repository |
| spelling | oai:open.uct.ac.za:11427/33889 The Effects of Native Advertising Disclosure and Advertising Recognition on Perceptions of News Story and News Website Credibility: A Consumer Neuroscience Approach Mule, Jessica Loko Pillay, Pragasen Rosenstein, David Drummond, Mark Native Advertising Advertorials Disclosure Consumer Deception Persuasion Knowledge Model (PKM) Neuromarketing Eye-Tracking The use of Native Advertising has sparked ethical concerns, due to its controversial nature inherent in its definition - a paid form of advertising that disguises persuasive communications as the editorial content of the publishing media outlet. The growing popularity of Native Advertising practices over the past decade in online news publishing has contributed towards the increasingly blurred lines between commercial and editorial content which in turn engenders feelings of deception in consumers and threatens to lower the trustworthiness of news publishers as an objective source. Therefore, the purpose of this study was to undertake theory testing guided by the tenets of the Persuasion Knowledge Model [PKM] (Friestad & Wright, 1994) to uncover insights on whether disclosure serves as an effective measure in publishers' efforts of mitigating the potential of consumer deception. In particular, this study investigated the relationships between: (1) effect of disclosure label positioning on advertising recognition; (2) mediating influence of visual attention on the aforementioned relationship; and (3) effect of advertising recognition on Inference of Manipulation [IMI] and perceptions of the online news publishers' credibility. The study used a quantitative multi-methodology research approach. An innovative Neuromarketing approach was undertaken through a psychophysiological-based analysis of visual attention to disclosure, measured as Fixation (ms/m) using eye-tracking technology, in addition to self-reported measures obtained via an online survey. In line with similar past studies, this study used convenience non-probability sampling and random assignment of participants to experimental groups, on a sample of 87 students between the ages of 20-29 years from the University of Cape Town (UCT). Findings showed no significant difference in the likelihood of advertising recognition, neither between the groups presented with a disclosure and those not, nor between the varying positions of disclosure. Additionally, advertising recognition had a positive influence on perceptions of credibility, contrary to theory and evidence from past studies (described in the Literature Review). Thus, it was concluded that disclosure and advertising recognition are necessary antecedents for critical processing and formation of judgement, but by themselves are not sufficient for perceived transparency and subsequent evaluations of the publisher's credibility. This study presents design implications for practitioners in the online news publishing industry and marketers: the perceived utility of the sponsored content, along with sponsorship transparency through disclosure, plays an important role in minimizing the negative influence of advertising recognition on perceived credibility. 2021-09-14T18:13:30Z 2021-09-14T18:13:30Z 2021 2021-09-14T07:47:23Z Master Thesis Masters MBusSci http://hdl.handle.net/11427/33889 eng application/pdf School of Management Studies Faculty of Commerce |
| spellingShingle | Native Advertising Advertorials Disclosure Consumer Deception Persuasion Knowledge Model (PKM) Neuromarketing Eye-Tracking Mule, Jessica Loko The Effects of Native Advertising Disclosure and Advertising Recognition on Perceptions of News Story and News Website Credibility: A Consumer Neuroscience Approach |
| thesis_degree_str | Master's |
| title | The Effects of Native Advertising Disclosure and Advertising Recognition on Perceptions of News Story and News Website Credibility: A Consumer Neuroscience Approach |
| title_full | The Effects of Native Advertising Disclosure and Advertising Recognition on Perceptions of News Story and News Website Credibility: A Consumer Neuroscience Approach |
| title_fullStr | The Effects of Native Advertising Disclosure and Advertising Recognition on Perceptions of News Story and News Website Credibility: A Consumer Neuroscience Approach |
| title_full_unstemmed | The Effects of Native Advertising Disclosure and Advertising Recognition on Perceptions of News Story and News Website Credibility: A Consumer Neuroscience Approach |
| title_short | The Effects of Native Advertising Disclosure and Advertising Recognition on Perceptions of News Story and News Website Credibility: A Consumer Neuroscience Approach |
| title_sort | effects of native advertising disclosure and advertising recognition on perceptions of news story and news website credibility a consumer neuroscience approach |
| topic | Native Advertising Advertorials Disclosure Consumer Deception Persuasion Knowledge Model (PKM) Neuromarketing Eye-Tracking |
| url | http://hdl.handle.net/11427/33889 |
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