26
Apr
12

The Effects of Exposure Time on Memory of Display Advertisements

See on Scoop.itBounded Rationality and Beyond

Display advertising is a multi-billion dollar industry that has
traditionally used a pricing scheme based on the number of
impressions delivered. The number of impressions of an ad is
simply the number of downloads of that ad. One impression,
however, does not differentiate between an ad that is in view
for five seconds or five minutes. Since advertisers seek brand
recognition and recall, we ask whether a time-based account-
ing of advertising can better align with advertisers’ goals.
This work aims to model the basic relationship between ad
exposure time and the probability that a viewer will remem-
ber an advertisement. We investigate this question via two
behavioral experiments, conducted using Amazon Mechan-
ical Turk, in which people viewed Web pages accompanied
by ads. The amount of time the ads were in view was either
determined endogenously (as a function of reading speed)
or exogenously (as a function of a timer and random assign-
ment). Our results suggest that for exposure times of up
to one minute, there is a strong, causal influence of expo-
sure time on ad recognition and recall, with the marginal
effects diminishing at durations beyond this level. Simple
models describing memory response as a function of the log-
arithm of exposure time provide a good fit. In addition, we
find that advertisements that are displayed when the Web
page loads attain greater marginal increases in recognition
per unit time than do ads that come into view second in
a sequence. Nonetheless, for both types of ads, exposure
time has a substantial effect. A psychologically-informed
accounting system based on ad exposure duration, sequence
and onset time may more closely align with advertiser goals
than the industry standard of impression-based accounting.

See on www.dangoldstein.com


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