Interdependent relation between earned media and TV ratings
Asia Pacific Journal of Marketing and Logistics
ISSN: 1355-5855
Article publication date: 23 March 2021
Issue publication date: 3 January 2022
Abstract
Purpose
Social media (e.g., e-WOM) and traditional media (e.g., media coverage) serve different roles in a firm's marketing activities and also interact with each other, which in turn affect the market outcome. In addition, how market outcome affects the two types of media in turn has not been examined, which brings the need for a holistic framework. The rare study that examines this relation mostly relies on the volume of media rather than the valence. This study examines the interdependent relation between the volume and valence of social media, the volume of traditional media and TV ratings.
Design/methodology/approach
Forty-one South Korean TV drama shows from October 2014 to March 2016 were analyzed using the 3SLS estimation to examine the interdependent relation between the variables.
Findings
First, the volume of traditional media has a negative effect on the volume of social media. Second, ratings negatively affect the valence of social media. Third, the volume of traditional media is found to have a negative effect on ratings. This is explained by the displacement effect.
Originality/value
This study is one of the very few studies that examine the interdependent relation between various earned media and market outcomes in one framework. In addition, it has originality in that it considers the valence of social media, which is an important dimension in analyzing earned media. Our results show negative effects of news media on TV ratings and e-WOM, which diverge from common intuition.
Keywords
Acknowledgements
This work was supported by specific grant from funding agencies in the not-for-profit sectors.
Citation
Bae, G. and Kim, H.-J. (2022), "Interdependent relation between earned media and TV ratings", Asia Pacific Journal of Marketing and Logistics, Vol. 34 No. 1, pp. 132-158. https://doi.org/10.1108/APJML-05-2020-0377
Publisher
:Emerald Publishing Limited
Copyright © 2021, Emerald Publishing Limited