What is digital advertising literacy? Its components and relationship with advertising effectiveness and personal factors

Abstract

This study identifies underlying dimensions of digital advertising literacy and finds their relationships with attitudes toward digital advertising and personal factors using a series of tests (in-depth interviews, exploratory and confirmatory factor analyses, and structural equation modeling). First, this study found six components of digital advertising literacy: recognition and distinction, critical and in-depth understanding, technical skills, social participation and sharing, adsumer – the ability of consumers to independently produce and deliver digital advertising content, and responsibility and ethics. The present study also showed that social participation and sharing factor affects attitudes toward digital advertising. Finally, the results identified the effects of innovativeness and public individualism on the components of digital advertising literacy. Theoretical and managerial implications of these findings are discussed later.