Abstract

ABSTRACT This research presents the results of two empirical studies that address the interplay of ad exposure sequence (before vs. after) and scarcity appeal (limited-time vs. limited-recipient) on consumer responses. Using a 2 × 2 in-between subjects factorial design, the results demonstrated that the effect of scarcity appeals can be optimized based on the before and after placing of an item in the online shopping cart. When an ad promotion appears after the consumer adds an item to the shopping cart, a time-limited ad message is more effective than a recipient-limited ad message. Also, when an advertisement is shown independently before the consumer reaches the main website, a recipient-limited ad message produces a more favorable brand attitude than a time-limited ad message. The implications and limitations of these results were discussed.

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