Narrative Review: Impact of Labels on Advertising and Perceptions

This literature review explores the impact of labels on advertising techniques, consumer behavior, and the perception of green labels. It highlights how labels influence brand development, customer attention, and purchasing decisions. The review also discusses the use of warning labels as coun...Read More

Running head: NARRATIVE REVIEW
Narrative review
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Table of Contents
Impact of labels in terms of advertisement................................................................................3
Perception of green labels..........................................................................................................3
References..................................................................................................................................4

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Impact of labels in terms of advertisement
The use of labels has created huge impact on the marketing techniques and on the
way products and services are advertised and promoted to make customers aware. According
to Bialkova, Sasse and Fenko (2016), labels can greatly impact the marketing by assisting in
the growth and development of brand along with differentiation from the competitors, grab
attention of customers, spread awareness and influence them to make purchases from the
company. But in some cases, the labels also represent the health warnings and to make people
encouraged about not adopting any kinds of bad habits as a precautionary measure (Bialkova,
Sasse and Fenko 2016). Emery et al. (2013), though argued that the use of labels has
contributed to the differentiable features for the product from the competitors’ products
which has also created loyal customers and made them easily distinguish between the
concerned product and the products offered by the competitors. In terms of advertisement of
a specific product, labels have been effective for the purpose of marketing, which has
convinced the customers to make purchases, furthermore understand the information that is
displayed in the product in the form of labels, thus influenced their buying behaviours and
purchasing decisions too (Emery et al. 2013). The effectiveness of using the labels in the
product has been evaluated to the extent to which those impact the cognitive process and also
the affective processes associated with the consumption behaviour regarding the product
purchased. For example, the warning labels on the cigarette packs and alcohol bottles act as
counter advertising, which warned about the risks associated with the consumption of alcohol
or cigarette while driving cars or during pregnancy. The use of this warning labels has been
mandatory in several places, which has enabled many people to look at the warning labels
and avoiding those because of the health related risks associated with it, as seen in Agostinelli
and Grube’s research study (2002).

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Bialkova, Sasse and Fenko (2016) believed that the business organizations have
responded to the present market conditions and changing behaviours by using labels for
promoting the health benefits of the product. The labels are associated with the effectiveness
of nutritional labels and advertising so as to make the customers well informed about the
product related benefits, furthermore influence them to make healthy choices. The food and
beverage companies have applied labels for representing the people about the nutritional
content and related information while at the same time, communicate the information with
the help of labels to facilitate the advertising and promotional activities too (Bialkova, Sasse
and Fenko 2016). It has helped in improving the marketing efforts and thus benefited the
business to encourage people’s scepticism towards the labels represented in the product
package.
Perception of green labels
From the perspectives of Bialkova, Sasse and Fenko (2016), the use of green labels
has not only acted as influencers of consumer assessment, but also has created loyalty and
trust among the customers, which influenced their choices and selection for the particular
product too. The green labels are also used for differentiating the product related features in
terms of environment friendly approaches, which further helped in creating positive mind sets
among the customers, furthermore make them aware of protecting the environment and
improve the environmental performance too (Bialkova, Sasse and Fenko 2016). Hassan and
Valenzuela (2016) also argued that the ecological behaviours while making purchase
decisions are influenced by the marketers, which also enabled focus on the various predictors
of green choices. The use of green labels has influence consumer choices and at the same
time, provided claims about the product and its environmental features, which represented its
benefits and efficiency is creating positive impact on the environment through consumption
(Hassan and Valenzuela 2016). As stated by Delmas and Grant (2014), the green labels have

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also helped in promoting the products and services that are environment friendly or might
possess some attributes that could be relevant to the eco-friendly ingredients or components
used along with the ecological behaviours represented through consumption of the product.
The consumers who have a greater knowledge and understanding of the eco-labels or green
labels have also been more influenced to make purchase of the green products and services.
The green labels have also influenced the perceptions that the consumers have for a specific
brand and thus enhanced their ability to possess the green consuming behaviour and
increased perceived behavioural control too (Delmas and Grant 2014). The green labels are
used to promote the products’ green attributes and thus not mislead them towards wrong
information acqusitions, which often might create major issues related to the information
gathered about the environmental performance of the products and services available.
On the contrary, Testa et al. (2015) suggested that the green labels are considered as
major effective marketing tools and techniques that have even influenced the rice sensitive
consumers to get inclined towards the purchase of green products and services. The green
labels mostly represent eco-friendly products and healthy goods that represent perceived
healthfulness and allow the customers to place high importance on the healthy consumption
of foods (Testa et al. 2015). These kinds of labels not only have influenced the perceptions of
customers towards the brand, but has also represented the organic and biodynamic
components that are used as ingredients to provide some healthy features and improve the
product efficiency. By watching the green labels, the customers have managed to acquire
information about the green components used, which has further influenced them to try out
the environment friendly and green products on a consistent manner. The use of green labels
influenced the perceptions that consumers have on the brand as well as made the company
represents its approach towards sustainable measures and corporate social responsibilities
towards the community for protecting the environment and creating positive impact on the

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community too. The brand would be able to create a sustainable position by approaching
towards a sustainable environment and also focus on achieving the environment protection
goals and facilitate the healthy consumption choices made by the customers through
influence by the green labels used.

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References
Agostinelli, G. and Grube, J.W., 2002. Alcohol counter-advertising and the media. Alcohol
Research & Health, 26(1), pp.15-21.
Bialkova, S., Sasse, L. and Fenko, A., 2016. The role of nutrition labels and advertising
claims in altering consumers' evaluation and choice. Appetite, 96, pp.38-46.
Bialkova, S., Sasse, L. and Fenko, A., 2016. The role of nutrition labels and advertising
claims in altering consumers' evaluation and choice. Appetite, 96, pp.38-46.
Delmas, M.A. and Grant, L.E., 2014. Eco-labeling strategies and price-premium: the wine
industry puzzle. Business & Society, 53(1), pp.6-44.
Emery, L.F., Romer, D., Sheerin, K.M., Jamieson, K.H. and Peters, E., 2013. Affective and
cognitive mediators of the impact of cigarette warning labels. Nicotine & Tobacco
Research, 16(3), pp.263-269.
Hassan, R. and Valenzuela, F., 2016. Customer perception of green advertising in the context
of eco-friendly FMCGs. Contemporary Management Research, 12(2).
Testa, F., Iraldo, F., Vaccari, A. and Ferrari, E., 2015. Why eco‐labels can be effective
marketing tools: Evidence from a study on Italian consumers. Business Strategy and the
Environment, 24(4), pp.252-265.
Tiggemann, M., Slater, A., Bury, B., Hawkins, K. and Firth, B., 2013. Disclaimer labels on
fashion magazine advertisements: Effects on social comparison and body
dissatisfaction. Body image, 10(1), pp.45-53.