The Effects of Signaling Monetary and Creative Effort in Ads

Advertiser effort signals brand ability and commitment, which leads to beneficial effects on consumers. This research tested whether effort (in terms of expense or creativity) yields similar effects in business-to-business, recruitment, and investor contexts. The results of four studies indicate that this may be the case, suggesting that advertiser effort goes a long way. This article also extends the literature on advertiser effort by showing that the presumed influence on consumers is an important mediator of its effects. Perceived expense or creativity in advertising conveys soft information about a brand, which will have an impact on how it is perceived.