Chatterjee, Patrali, Donna L. Hoffman, and Thomas P. Novak, "Modeling the Clickstream: Implications for Web-Based Advertising Efforts," (December 2002).

Abstract.  In this paper, we develop an analytical approach to modeling consumer response to banner ad exposures at a sponsored content Web site that reveals significant heterogeneity in (unobservable) click proneness across consumers. The effect of repeated exposures to banner ads is negative and nonlinear, and the differential effect of each successive ad exposure is initially negative, though non-linear, and levels off at higher levels of passive ad exposures. Further, significant correlations between session and consumer click proneness and banner exposure sensitivity suggest gains from repeated banner exposures when consumers are less click prone. For a particular number of sessions, more clicks are generated from consumers who revisit over a longer period of time, than for those with the same number of sessions in a relatively shorter time frame. We also find that consumers are equally likely to click on banner ads placed early or late in navigation path and that exposures have a positive cumulative effect in inducing clickthrough in future sessions. Our results have implications for online advertising response measurement, dynamic ad placement, and may help guide advertising media placement decisions.  Download pdf.

See also:  earlier May 1998 working paper.

Hoffman, Donna L., Thomas P. Novak, and Ann Schlosser, "Locus of Control, Web Use, and Consumer Attitudes Toward Internet Regulation," (May 2002).

Abstract.  We empirically examine how locus of control, an important consumer behavior construct, differentiates among individuals’ Web use in a marketing policy context. We argue that consumers’ general expectancies as to whether or not they or others control events can predict their Web use and their beliefs regarding the regulation of content on the Internet. We test a series of s concerning locus of control and consumer behavior on the Internet among consumers classified as Internals or Externals using data collected in conjunction with the 10th WWW User Survey. We assess scale measurement properties using single factor confirmatory factor analysis models, and test hypotheses using a correlational and structural equation modeling framework.

Our results suggest that the more consumers believe they control their own destinies, the more they use the Web in a goal-directed manner, as a supplement to other activities. Furthermore, such consumers prefer to retain control of the online environment through self- rather than government regulation. On the other hand, the more consumers believe that external factors control events, the more they use the Web experientially, to substitute for other activities such as print media consumption and spending time with friends and family. In addition, such consumers’ general expectancies regarding the sources of external control – either powerful others or chance – influence their Internet policy beliefs. The more consumers believe that powerful others are in control, the more they prefer government regulation. Those who believe that outcomes are due to chance have no clear preferences regarding regulation of the Internet. These effects persist above and beyond what can be explained by Internet use demographics and individual characteristics. 

Our findings demonstrate that consumers' general expectancies as to whether they or others control events can predict their Web behavior and Internet policy beliefs and that locus of control is a highly relevant construct in understanding consumer behavior on the Internet.  Download pdf.