The Roles of Brand Reputation, Product Information and Discount Rate in Mobile Advertisement

Abstract

As the use of smart-phone has increased, companies show the tendency to provide product information not only through the four main media (TV, radio, magazine and newspaper), but also through mobile media. This study sought to understand the impact of brand reputation and product information on consumers’ attitude in mobile advertising and explored whether or not information on discount which are provided through mobile information have any moderating effect. To pursue the objectives, the impact of brand reputation (high/low) and product information (yes/no) on brand attitude and product attitude was verified. Empirical analysis used a 2 × 2 × 2 experimental design to test the role of adjusting the discount rate. The empirical results show that the attitude of the consumer toward brand and product is positive if the brand reputation is high and when there is product information. In addition, impact on the product attitude is positive. The moderating effect of discount rate is statistically significant in that brand reputation has an effect on brand attitude and product attitude. The conclusion contains the summary and discussion of the research results.