The Effectiveness of In-game Advertising: The Impacts of AD Type and Game/AD Relevance

The current study examined the effects of ad type and the relevance between the advertised product and the game content on player’s memory and attitude toward the billboard placement embedded within a browser game. A 2 (ad type: animated vs. static) × 2 (game /ad relevance: high vs. low) factorial experiment was employed in the study. Results revealed that animated billboard ads prompt better advertising effects than static billboard ads. The animated billboard ads generated higher ad recognition, and yielded a more favorable attitude toward the ad. It was also found that low game/ad relevance has a more favorable effect on ad recognition, whereas high game/ad relevance yielded a more favorable attitude toward the ad placement. Managerial implications and limitations for the use of these ad execution cues are discussed, and future research is suggested.