Swinburne: A Literature Review of Identity, Advertising & Consumers

This literature review delves into the intricate relationship between social identity theories and advertising strategies, drawing upon a wide range of scholarly articles and research. It begins by examining core concepts such as social identity theory, self-categorization theory, identity salience, and identity signaling, highlighting their relevance in understanding consumer behavior. The review further explores the impact of social media advertising and behaviorally targeted advertising on shaping consumer perceptions and preferences. A significant portion of the review is dedicated to consumer-company identification, analyzing how consumers form bonds with brands and the implications for marketing and brand loyalty. The review concludes by synthesizing the findings and identifying gaps in the existing literature, providing a foundation for future research in this dynamic field. Desklib offers a platform to explore similar documents and solved assignments for students.

Running Head: LITERATURE REVIEW
LITERATURE REVIEW
Name of the Student:
Name of the University:
Author Note

1LITERATURE REVIEW
Chapter 2: Literature review
2.1 Introduction to the chapter
This chapter will deal with the literature review section of the thesis. This chapter will
analyze various secondary sources such as peer reviewed article to identify the gap in the
literature so that it can be analyzed why it is necessary to carry out the present research. This
section of the thesis provides a discussion in relation to the several theories relating to the theses
topic. These include the social identity theory, the self categorization theory, identity salience
theory and the concept of identity signalling. The chapter also throws light upon social media
advertisement and behaviourally targeted advertisement. The section also provides a discussion
in relation to consumer company identification.
2.2 Social Identity Theory
According to Ashforth and Mael (1989) organizational identification has been long recognized as
a critical element in relation to the research on organizational behavior. The concept not only
affects the effectiveness of the organization but also the satisfaction of the individuals (Hurtado,
Alvarado and Guillerm, 2015). However there has been confusion in relation to the rules of
organizational identification with other concepts such as internationalization and organizational
commitments along with behaviors and affects which are more relevantly considered as
consequences or antecedents of identifications. It relation to the social identification theory it
has been argued by (Cohn, Maréchal and Noll 2015) that individuals want to categories
themselves and others in many social categories like religious affiliation, age cohort and
organizational membership. As suggested by such examples there may be various categories
under which people may be categorized and different categorizations schemes may be utilized by

2LITERATURE REVIEW
different individuals (Unsworth and Fielding 2014). According to Charnysh, Lucas and Singh
(2015) Categories are defined as prototypical characteristics abstracted out of the individuals
(Ting‐Toomey 2015). There are two specific functions which is served by social identification as
stated by Bauer (2014). The first function is that it segments cognitively and gives orders to the
social environment while providing the members with an established mean of categorizing others
(Hughes and Hurtado 2018). The prototypical characteristics of the category is assigned to a
person under which such person is categorized. As provided by Wang and Dovidio (2017)
literature in relation to stereotypes suggest that such assignments may not necessarily be reliable.
The second function is that through the process of social identification capabilities are provided
to the members via which they can locate or define themselves with respect to the social
environment. As per the social identification theory the self concept consist of personal identity
which encompasses idiosyncratic characteristics along with a social identification which
encompasses salient group classifications. Hogg (2016) has stated that social identification is
thus the perception of commonness with or belongingness to any or specific human aggregate. In
relation to this an example has been provided by Hogg and Terry (2014) through the help of a
woman. The woman may identify herself in relation to group(s) along with which she had
classified herself like I am a women and I am an Australian. She has a perception of being a
symbolic and actual member of the group and also has a perception that fate of her group is her
own faith. Thus it will not be wrong to state that social identification gives a very practical
answer to the question relation to “who a person is” (Zeugner-Roth, Žabkar and
Diamantopoulos 2015). However it has been stated by Haslam et al. 2014 that the definition of
self and others is considerably comparative and relational. The definition to oneself is provided
in relation to other people in other categories. The category of only is only meaningful in relation

3LITERATURE REVIEW
to the category of the young. It has been argued by Goffman (2018) that social identification
cannot be considered as an all-or-none phenomenon. Even where various social categorizes are
actually categorical such as the Australian female being the member of ABC Pty ltd, the degree
to which a person relates itself to each category is certainly a matter of degree (Brewer 2016). In
addition it has been stated by Brown and Capozza (2016) that these identifications are viewed in
a positive manner as much as the person vests more of his self conceptions in personas having
value. Therefore it has been found by Jenkins (2014) that individuals indulging in menial
employment in a bank often keep themselves away from the implied identity. In addition it has
been stated by Brewer (2016) that social identification is derived at least apparently form
venerable concept of group identification. As suggested by Rhee, Wong and Kim (2016) in
relation to the group identification that there are four principles relevant to the theory. These
include that identification is seen as a perceptual cognitive element which is not associated with
affective states and specific behaviours, the group identification is considered as personally
experiencing failures and successes of the group, social identification is different from
internationalization and group identification is similar as personal identification or any reciprocal
role relationship such as doctor patient in as much as a person partly defines himself in relation
to social referent (Nicholls and Rice 2017).
2.3 Self-categorization
According to Nevin et al. (2017) self-categorization theory sets out a notion that the salience in
relation to a social identity is dependent on context with salience of such identity dependent on
specific social comparisons which are present in relation to any general context. This is a theory
operating within the subject to social psychology which describes the situation whereby
collection of people as a group will be perceived by a person along with the consequences in

4LITERATURE REVIEW
relation to perceiving people in group terms (Trepte and Loy 2017) .It has been argued by
Chonody and Teater (2016) that Self-categorization theory although is generally introduces as
an explanation with respect to psychological group formation, it is more relevantly considered as
a common analysis of functioning of the process of categorization towards social perception as
well as interaction which talks about issues in relation to individual identity as well as group
phenomena (Pegg et al. 2017). The theory had been developed by John Turner along with his
colleagues. The theory is combined with the social identity theory to become a part of the
approach of social identity (Sedikides and Brewer 2015). The theory had been developed also
for the purpose of addressing questions which arise out in response to the theory of social
identity with respect to those mechanisms which under pin social identification (Paulus 2015).
The theory has its influence in the field of social psychology and beyond (Hogg 2016). The
theory is best applied to the issues in relation to social influence, group polarization, group
cohesion and collective action. As stated by Bal (2015) in the following years the self
categorization theory being a part of social identity approach is also applied to areas such as
leadership, power, personality and out group homogeneity. Sedikides and Brewer (2015) has
argued that one tenet of the self categorization theory is that as a foundational aspect of the
cognition should not be considered as the self rather the self has to be considered as a result of
cognitive system present at work. Onorato and Turner (2014) has identified Levels of
abstraction as one of the aspects of the theory. The theory assumes that at various levels of
abstraction the self can be categorized. To make it simple self may be categorized by humans as
a singular personal identity or where it is more inclusive that as a social identity in terms of “I”
and “We”. In the latter case cognitive grouping of the self is done as same and interchangeable
with respect to stimuli in such category. It has been argued by Simon (2014) that the variation

5LITERATURE REVIEW
with respect to self categorization underpins various intergroup phenomenon which includes
those provided for in the social identity theory. In relation to the demonstration of various levels
of inclusiveness and abstractions there are three kinds of self category as often given via
examples. The lowest level of abstraction is set out as a personal self, where self being perceived
is categorized as I. On the other had in relation to the higher level of abstraction correspondence
is attributed to a social self where self being perceived is categorized as we (Hogg 2014). The
highest level of abstraction will be represented as we humans in situation where the salient out
group is non human. As stated by Weis and Johar (2018) another aspect of this theory is that of
Accentuation. In relation to the theory the categorization of people not only involve re
description of categories and characteristics available in social stimuli. As per Quiamzade et al.
(2015) salient social categories rather create the basis of the social world which is incorporated
within the meaning. The achievement in relation to this can be done via a non-conscious process
known as accentuation along with similarities among the social categories (Vosgerau, Scopelliti
and Huh 2016). The augmentation of social content which results allows for the interaction of the
perceiver with others through ease and confidence (Brenner, Serpe and Stryker 2014). It has been
stated by Hurtado, Alvarado, and Guillermo-Wann (2015) that as per the self-categorization
theory Depersonalization provides an explanation for self-stereotyping. In relation to the
condition of social category consequent accentuation and salience people perceive themselves
more like interchangeable exemplars of a social category rather as any specific personality which
arises out of their differences with other. In relation to such conditions the behaviour and belief
of the perceiver is directly based on norms, needs and goals of the salient ingroup (Cohn,
Maréchal and Noll 2015). For instance in case where the salient self-category or a person

6LITERATURE REVIEW
becomes doctor than such person is very likely to function in relation to the norms related to
category of a doctor (Unsworth and Fielding 2014).
2.4 Identity Salience
According to Charnysh, Lucas and Singh (2015) identity salience is the extent to which a
persons’ idea about himself is in compliance with the role which is being performed by them, the
degree to which efforts in such role has been invested and the degree to which the person is
successful in relation to the role. It has been stated by Ting‐Toomey (2015) that a great deal of
research has tested the multiplicity of the self however questions in relation to self-structure are
still persistence. The identity salience theory is a very popular paradigm for testing such
questions. The identity salience theories emphasizes in roles and taking roles in symbolic
interaction and suggest that roles are developed into role identities. According to Bauer (2014)
commitment defines the amount of influence which a role identity has on a person. Rile identity
commitments have two dimensions. The initial dimension is in relation to interactional
commitment which relates to the number of social relationships related to a specific rile identity
and is also known as extensiveness. The other dimension is known as affective commitments
which relates to “the ‘importance’ of those individuals to whom a person is related via
occupancy of a specific position and is known as intensiveness. Commitment has been
summarized by Hughes and Hurtado (2018) as the motivation of a person for the maintenance of
congruity in relation to perceptions of self as well as feedback attained form the social world. As
stated by Wang and Dovidio (2017) commitments reflects the relative cost of loosing or giving
up an identity. As stated by Gibson, Losee and Vitiello (2014) the terms psychological
centrality and prominence also captures a notion of importance. The concept of importance is
related to the value of a specific component and its place in the self-concept structure

7LITERATURE REVIEW
irrespective of it being cardinal or secondary, central or peripheral or a major or minor
component of the self (Costa, Rossi and Borges 2014). According to Sheehan, Miller and Reeve
(2017) identity Theorists gradually integrate the conception related to importance in their work.
However as argued by (Matherly and Pocheptsova 2017) there is uncertainty in relation to the
positioning of the importance in the identity salience theory. The concept of uncertainty is least
possibly attributable to overlap in relation to every concept. In relation to operationalization of
commitment overlapping is done directly in relation to intensiveness as intensiveness is
considered as “emotional significance of the others implicated with one in a given social
network” (Brick 2015). According to the perspective of --- it is difficult to imagine a role
identity which consists of people considered as important where the associated identity stays
insignificant. It is also not easy to consider with respect to a role identity perspective an identity
significant to self which judging those related to consideration of identity as insignificant. The
link between importance and intensiveness is yet to be explored. The character of connections in
relation to the self processes provides interesting questions.
The notion of salience is also centred by the identity theory. According to Xu and Liu (2017)
Identity salience means the likelihood that a specific identity will be actively present across
situations. The raking of identity is done in a hierarchy. The higher the identity in relation to the
salience hierarchy the more chances it has with respect to being enacted. The relation of the
structure of the hierarchy is directly to elements of commitment. A greater identity commitments
leads to a greater identity salience. The primary question at issue is that whether or not the
significance of an identity is operationally independent with respect to its salience or likelihood
of enactment. As commitments are reflected by identity salience which includes intensiveness it

8LITERATURE REVIEW
is tricky to provide a empirical demonstration of salience and operational independence of
importance.
2.5 Identity signaling
It has been stated by Girou and Grohmann (2016) that reputation and identity plays an important
role in relation to the maintenance of the reliability of signals. Gal (2015) had introduced a
model in relation to the signaling of identity. The framework of identity signalling and social
interaction has been initiated by integrating consumer choice in form of a game of coordination
and signalling via the relaxation of the assumption that status is agreed universally Arbore Soscia
and Bagozzi (2014). The changes allowed the researcher to study the way in which behaviour
diverges from a norm in a coordinated way, where there was previous models focusing on
conformity. In this model signally is achieved relying on correlation and coordination between
intrinsic and type motivation. There have been various studies conducted by sociologists in
relation to the way in which “what we consume conveys meaning”. In relation to economics the
idea is associated most closely with Veblen’s Theory of the Leisure Class. Each makes an
assumption that the role of fashion is to ensure the signalling of wealth. The model of
conformity is provided by many authors such as (Eckhardt, Belk and Wilson 2015) but no
author has taken into consideration other phenomenon. Focus has been provided by Dimofte,
Goodstein and Brumbaugh (2015) in relation to the role of uncertainty about product quality
leading to conformity. It has been agreed by various sociologists that individuals have the
purpose of setting themselves apart from those members who belong to other social categories.
However, the focus has primarily been on processes whereby groups having traditionally high
status such as educated and wealthy groups diverges from adopters traditionally having low
status. The information refers to trickledown theory of fashion suggesting that people grow from

9LITERATURE REVIEW
those who are above them in the status chain. Fashion in initiated by people having a higher
status and then it is copied and imitated by people having a lower status (Timming and Perrett
2016). However once a adaptation has been done by a lower strata the signal value is lost and the
test is abandoned by the high status people. In the same way it has been analyzed that people are
less likely to endorse behaviours which are supported by people having a low status. It has been
argued by Hancock (2016) that most examples of taste abandonment are difficult to be classified
in terms related to one-dimensional status ordering. Catchphrases are rejected by teenagers as
soon as they creep into the lexicon of their parents who occupy probably a higher status in the
society. It has been stated by Lee, Agarwal and Whinston (2016) that instead of abandonment
and unidirectional imitation, different racial groups for the purpose of diverging from one
another work hard in the same way names were selected by white people in 1900s to distinguish
themselves from black people. It has been argued by Ashley and Tuten (2015) that even where
liking plays some role in the reason for which people abandon tastes, often people diverge from
liked groups. The parents may be liked by the kids a lot however they may diverge when parents
adopt their way of dress or slangs. Professors who have been newly minted may like their friends
who may still be graduate students but they will not be considered to dress in the same way.
Difficulty of explaining is also provided by resource based accounts as suggested by Zhang and
Mao (2016) in relation to the reason for which people at times accentuate or adopt seemingly
negative traits like a way of achieving differentiation. It is considered important by polish
students that others identify correctly their national identity and other listed characteristics like
vulgar, quarrelsome and disorderly as mostly present of poles (Sunstein 2018). Through these
factors it is clear that divergence is affected by various other factors rather than only liking.
There can also be divergence by similar others. Works in relation to intergroup differentiation,

10LITERATURE REVIEW
optimal distinctiveness and uniqueness predict that people diverge from those that are similar. It
has been stated by Fuchs (2017) that literature on individual drives for differentiation provides
that people also diverge from each other because of too much similarity. It has been further
argued by Chaffey (2016) that there is a drive among people to be unique and too much
similarity results in a negative emotional reaction. In addition as per (Allcott and Gentzkow,
2017) people might diverge from very similar people in relation to their adoption of a taste may
lead the original taste holder to feel very similar.
2.6 Social Media Advertising
It has been observed that social media marketing a certificate form of internet market that uses
social media websites as an effective tool for advertising. The main motive of social media
marketing is to generate content that the target customers will shared in their social media
websites in order to help the target business organisations to improve their blend exposure and to
reach up to more customers (Larner and Moeck 2015). One of the major components of social
media marketing is social media Optimisation. Social media Optimisation can be performed by
two methods and primarily it can be done by adding social media links to the content that the
management of the organisations wants to share with their target customers and on the other
hand social media Optimisation can be done by promoting the activities of the business
organisations using social media websites by updating status meeting regarding the events or
initiatives they are taking for a particular project (Schumann, Wangenheim and Groene 2014.).
Social media marketing effectively helps the business organisations to get feedback from their
target customers while they can make the business organisations more personable. In this regard
it can be said that the interactive parts of social media can effectively provide the target
customers the opportunity to raise questions or file complaints and share their feelings regarding

11LITERATURE REVIEW
their experiences considering which the management of the organisations will be able to improve
their operations (Andrews and Shimp 2017)
Advantages of social media marketing
There are numerous advantages of social media marketing for the business organisations in
contemporary times and those includes increased brand awareness, more inbound traffic,
improved search engine rankings and many more (Molitor, Spann and Ghose 2017.).
In this context we can surely be said that social media marketing is one of the most cost efficient
way of marketing in order to increase the business organisations feasibility and to Syndicate
content of the organisation that the management wants to exhibit to the target customers. It can
be said that to implement a social media strategy can significantly increased the brand value as
the management will be able to reach up to more target customers. The social media websites
can provide the management software business organisations a way to begin interactions with
others to select employees’ business partners and to negotiate with the sponsors of the business
organisation (Deng and Xu 2017).
It has been seen that if the management of the business organisations do not stress on social
media marketing the inbound process of the business organisation in pvt ltd to the regular
customers of the organisation. It can be said that for each social media profile the management of
the organisation as to their marketing mix can be looked at as a gateway to the website of the
organisation and all the pieces of content that the management of the organisation post in social
media websites are to acquire new customers (Chen, Tai and Chen, 2015).
Disadvantages of social media marketing

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In today's world if managements of the business organisations to not emphasize on social media
marketing the management they will not be able to share their status of operations on innovations
to their customers as quickly as the other competitors of the market will do via social media
advertisements. It can be seen that via social media marketing the management of the
organisation gains the ability to sustain the brand transparency and by not using social media
advertising the management of the organisation will lag behind in maintaining the transparency
of the brands and that can significantly harm the profitability or reputation of the organisation.
Not only that it can be said that social media marketing can be done in a short period of time and
if the management of the organisations choose to market their products why choosing other
options of marketing that can repeat the process of advertisement or the marketing of the
products and that can reduce the profitability of the organisations (Bartels and van Prooijen
2016).
Therefore to conclude it can be said that social media marketing is one of the important elements
of the marketing management of any business organisation and if the managements show
reluctance to opt for social media advertisements in today’s world that can effectively lower their
profitability and the organisation will lag behind in a market full of competition (Zhang and Kim
2017).
2.7 Behaviorally Targeted Advertising
As stated by Singh and Simões (2016) Behavioral targeting consists of various techniques and
technologies which online websites publishers, advertisers and brands used to increase the

13LITERATURE REVIEW
ineffectiveness of advertising and marketing through taking support from user web behavior
information. It has been argued by Wolter and Cronin (2016) that specifically behaviorally
Targeted Advertising uses the information which has been collected form an individual’s
behavior of web browsing such as the pages that they have searched or visited to choose
advertisements to be displayed to them. It has been stated by (Wu and Li, 2014) that the activity
also covers behavioral marketing through the use of the same behavior of browsing for the
purpose of prompting relevant onsite messaging and emails to the consumers and the users.
When a website is visited by a consumer the page visited by them, the amount of time which
they spend on each page, the links which is clicked on by them, the searches which has been
made by them, the interactions they do which allows the site to collect information as well as
other factors to establish a profile which links to the web browser of the behavior. Factors which
affect the revenue of the publisher has been identified by the study. It depicts that the revenue in
relation to online publishers in few situations can be doubled when they use behavioural
advertisement techniques (King et al. 2016).
It has been stated by Fatma, Khan, and Rahman (2018) that when a visitor goes to a particular
website again through the use of the same browser the profiles are utilized to allow advertisers
and market to position their adds and messages in front of those visitors who show greater level
of intent and interest for the services and products being offered. There have been various
arguments provided against the unethical nature of Behaviourally Targeted Advertising. A study
has been conducted by Chen and Stallaert (2014) in relation to the economic proposition when
an online publisher gets into behavioural targeting. The collection of data without taking consent
may be considered to be a breach of the privacy laws as it was held in the case of re Double
Click Inc. Privacy Litigation, 154 F. Supp. 2d 497 (S.D.N.Y. 2001). As argued by Hofenk et al

14LITERATURE REVIEW
(2017) various advocacy groups and online users are concerned in relation to the privacy issue in
relation to Behaviourally Targeted Advertising. The primary controversy is that the industry
involved in behavioural targeting is attempting to contain via education product and advocacy
constraints for the purpose of keeping collected information non-identifiable personally or take
permission from the end users.
The network in relation to the advertisement via is different from other individual sites. As many
advertisements across different sites is served by them, they are able to have a better view in
relation to makeup of the demographics of the internet users. Many different companies are
provided with the data form one website which includes companies like Microsoft, Face book,
Google subsidiaries, Yahoo, many traffic-logging sites as well as smaller ad firms. As stated by
Fatma, Khan, and Rahman (2018) this type of advertisement can be applied on any online
property on the premises that it enhances the experience of the visitor or it provides benefits to
the online property by the enhancement of increased speeding levels or conversion rates. As
stated by Xu and Liu (2017) those who adopted this technology in the earlier stage such as
HotWired used the technique for enhancing the importance of product promotions and offers
through a visit by visit basis. In addition companies which do not fall within the sector of
traditional e-commerce marketplace have initiated to use and experiment with the process.
2.8 Consumer-Company Identification
As argued by Haslam et al. (2014) the management of the identity of a company has significant
grown in significance due to various such as growing competition, increased product life cycle, ,
globalization, the fall of hurdles which separated organizations from its external environment
and public expectations in relation to corporate social responsibility. This trend has

15LITERATURE REVIEW
approximately developed over a period of last 15 years where the identity of the corporations is
being valued increasingly in relation to being a major paradigm linked with the strategic
administration of a company. As stated by Xu and Liu (2017) the study of people their attitudes
and behaviours have been the objective of various studies in relation to psychology from the 19th
century. This is also the time from when increased attention has been provided by the academics
to the search the motives which influence individuals with respect to their own free will to
initiate social subsets and groups. In relation to such studies although it has been agreed by the
researchers that he term self means the totality of feelings and thoughts referring to a person in
form of an object of though, different paradigms towards defining self concept has been
identified. The term identification has been defined by Hofenk et al (2017) as a cognitive
construct which signifies congruence between the identity of a company and that of an individual
in form of a feeling of belonging and ownership with respect to an organization as the process of
incorporating the attributes of the company in self concepts. As stated by Hughes and Hurtado
(2018 the most recently developed conceptualization of identification institutionally analyzes the
concept as a kind of social identification where a person sees himself in from of a member of a
social entity and the company. The concept takes place via a cognitive method of classification
in which a person creates self categories in relation to of organizational affiliation and personal
similarities with other company members. The process which is initiated at the corporate level is
recognized widely as the primary process in the establishment of self concept and identity and
takes place through the means of comparisons made by people of similar character with those
making up the business image.

16LITERATURE REVIEW
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