The Effects of Advertised Quality Emphasis and Objective Quality on Sales

Given that consumers value quality, and advertising content informs consumers' beliefs about quality, it is not surprising that high-quality brands emphasize quality in their advertising content. What is less obvious is whether firms with lower-quality brands should also follow suit and emphasize quality in their advertising to signal a higher quality. We examine this issue and study the effectiveness of quality-based advertising messages. Our field study relates brands' monthly sales to their advertised quality claims across 1,876 print ads in national magazines and Consumer Reports-based product quality ratings over more than two decades. Contrary to the generally held yet erroneous belief in the efficacy of low-quality products emphasizing quality in their advertising, we demonstrate that (1) it is not beneficial for a low-quality firm to emphasize quality in its advertising, and (2) it is effective for a high-quality firm to do so. An analysis of parameter values from a published category-agnostic simulation and an experiment that examines consumers' responses to quality claims in a second product category yields convergent insights.