Shaping Perceptions

Abstract

Diversity and inclusion are relevant concepts nowadays especially as minority/marginalized groups and those that do not fit the “standards” are fighting for a wider representation on different levels. For brands, it is important to understand consumers’ values and triggers to better address them. Especially with brands focusing more on social responsibility, of which being responsible towards individuals in society. Advertising and such topics remain understudied in a non-western context, hence the value of this research. This study aims to highlight the importance of diversity and inclusion in ads by examining its impact on brand trustworthiness, purchase intention, and willingness to pay premium, all three being key factors for the sustainability of a brand. A conceptual model was developed and tested using data collected from university students via an experiment in which a questionnaire was provided to two groups: one with an inclusive mock up ad and another non-inclusive. A total of 118 questionnaires were returned. The conceptual model was tested using the Smart PLS 4.0 software. The results indicated that diversity and inclusion directly impact brand trustworthiness, which in turn positively affects purchase intention and willingness to pay premium. Diversity and inclusion also have an indirect effect on purchase intention and willingness to pay premium through the mediating role of brand trustworthiness. The relationships in the model and the inferred outcomes have major practical implications for the marketing field. However, the study presents some limitations, of which the sample size. Recommendations for future research are presented.