Point-of-Purchase Advertising: Influential Factors on Sales

Consumers spend 86% of retail money at in-store according the US census reports (2021). Consumers spend most of their money in stores and view a great many Point-of-Purchase (POP) signs. To create change consumer attention must be gained and yet vary results have been documented. We examine the effectiveness of Point-of-Purchase (POP) brand signs on sales using a large-scale field study and a controlled biometric eye-tracking study. Using research on assimilation and contrast, we propose that increasing the number of POP signage in a store increases attention paid to a familiar brand but not an unfamiliar brand’s POP signage. Conversely, in an uncluttered environment, attention is paid to the unfamiliar brands but not the familiar brand’s POP signage. This research provides insights into when POP signs can or cannot be effective in the marketplace. Our findings extend marketing theory on assimilation and contrast with in-store advertising, provide new strategy for POP placement in stores, and generate managerial implications for strategic use of marketing communication funds to increase sales.