Covert online video marketing: A quantitative study of the possibilities and pitfalls of covert online video marketing

Abstract: Marketing that disguises the true source of a commercial message is often referred to as covert marketing. Online marketing videos that are uploaded by brands with the purpose of appearing to be made by fans/consumers have been identified; a phenomenon defined as covert online marketing videos (COMVs). Their effect on consumers will be investigated through a study on two brands in the apparel industry. The purpose is to see how much of an impact an indication of a COMV-activity being undertaken by brands has on consumers. The dimensions of source credibility, level of familiarity with the brand and ethics are analysed.Our findings show that when participants watch a COMV indicated to be fan-made, their level of perceived trustworthiness, brand attitude and purchase intention are unaffected. However, when it is instead indicated that the COMV is brand-made with the intention of appearing to be fan-made, perceived trustworthiness, brand attitude and purchase intention all decrease. The risks of using COMVs therefore outweigh any potential gains.