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Advertising and the Mortgage
Crisis: A Content Analysis
Pamela Morris
November 16, 2010
School of Communication
Loyola University Chicago
National Communication Association
Mass Communication Division Poster Session
Abstract
How did ads differ in 2006 when the
economy was on the way up, as compared
to 2009, just after a recession had been
declared? This research focuses on
differences in financial organizations’
newspaper advertising. A content analysis
of 554 financial ads finds differences in
number and content. Not only were there
more of certain kinds of ads in 2006 than in
2009, but the content of those ads inspired
consumers’ dreams.
Literature Review
• Marketers strategically plan ads
– Target audiences are at the heart of an
advertising campaign (Parente, 2004)
– Ads must immediately impress (Bly, 2005)
• As commercial messages, ads attempt to
influence awareness, perceptions,
opinions, attitudes (Belch & Belch, 2009)
• Emotional ads better differentiate, create
bonds with brands (Pringle & Field, 2009)
Hierarchy of Needs
• 5 levels (Maslow, 1948)
– Hunger/thirst
─ Self-esteem
– Safety
─ Self-actualization
– Social/sense of belonging
• Ads exploit needs to ensure messages
connect with audiences (Belch & Belch,
2009)
• Big homes more than safety/protection;
satisfy social, self-esteem, or selfactualization needs
BIG Homes are Status Symbols
• Social power, status displayed in homes,
cars, handbags, shoes, t-shirts (Eastman,
et al., 1997)
• Consumers constantly strive to achieve
materialistic ideas; comparative and
competitive process (Robert & Jones,
2001)
Consumers Spent BIG
2006-2007
• Stock market hit highest level Oct. 2007
(Burns, 2009)
• Real personal income, industrial production,
wholesale, retail sales peaked Nov. 2007June 2008 (Isidore, 2008)
• Housing prices topped 2000-2002 (Isadore,
2008)
Consumer Attitudes Created
Unstable Economic Environment
• Savings passé, spending more valued
(Ritzer, 1995; Zuckerman, 2000)
• Overspending primary reason for personal
bankruptcies; before illness, job loss
(Wasserman, 2008)
• Personal bankruptcies +28.9% July 2007
vs. July 2006 (Grzincic, 2008)
• Bigger debt, mortgages, car loans, credit
car balances (Wasserman, 2008)
Method
• Quantitative content analysis
• January 1 – March 8, 2006 and 2009
• Main News, Business, Local Sections
• Financial ads
Coding
1. Newspaper characteristics (date, day of
week, # pages by section)
2. # financial ads (2” sq. +) by section
3. Ad size (full pg, ½ pg+, ½ pg –)
4. Photo/illustration/visual (yes or no)
5. Sponsor’s business type (bank, mortgage/
investment, other)
6. Product type (checking/savings, CD/money
market, business service, loan/line of
credit/mortgage)
Results
• 4,839 Chicago Tribune pages reviewed
• 554 financial ads coded
• Ads came from 3 sections
– 42% Main News
– 40% Business
– 18% Local
• Size: 70% smaller than ½ pg, 6% full pg,
24% ½ pg to full pg
Results
• Ads sponsored by
– 80% banks
– 14% mortgage or investment
– 6% other
• Product categories
– 49% CDs, money markets
– 24% loan, line of credit, or mortgages
– 21% checking or savings
– 6% business services
Hypothesis 1
H1: There will be more financial ads in 2006
than in 2009
Per Day Mean
2006
4.66
• Supported
2009
3.20
t=2.43
p<.05
Hypothesis 2 & 3
H2: 2006 financial ads will be larger than in
2009
H3: There will be more pictures in financial
ads in 2006 than in 2009
2006 2009
Full Page
.07
.24 t=-2.55 p<.05
½ to Full Pg .96
.88 ns
< ½ Pg
3.63 1.98 t=3.60 p<.01
With Visual 2.36
1.00 t=4.36 p<.001
• H2 Not supported; H3 Supported
Hypothesis 4 & 5
H4: There will be more bank ads in 2006
than in 2009
H5: There will be more mortgage or
investment ads in 2006 than in 2009
2006 2009
Bank ads
3.72 2.94 ns
Mortg/Invst
.90
.26 t=3.59 p<.01
• H4 Not supported, direction as proposed
• H5 Supported
Hypothesis 6 & 7
H6: There will be more checking or saving
ads in 2006 than in 2009
H7: There will be more CD or money
market ads in 2006 than in 2009
2006 2009
Chking/Sving 1.03
.74 ns
CD/MM
2.13 1.86 ns
• Not supported, direction as proposed
Hypothesis 8 & 9
H8: There will be more business service
ads in 2006 than in 2009
H9: There will be more loan, credit, or
mortgage ads in 2006 than in 2009
2006 2009
Bus Service
.34
.14 t=2.32, p<.05
Loan/Crdt/Mort 1.69 .30 t=6.80, p<.001
• Both supported
2006 Appeals –
Credit and Loans at/below Prime
Charter One
Banking. Fully Loaded. Prime -1%
Prime -1% guaranteed for the life of your
Home Equity Loan.
Chase
Manage your debt. Don’t let it manage
you. Prime Minus 1.01%
First American Bank
You can’t borrow any better than this.
2006 Appeals – Fast-Track Loans
Charter One
Introducing our new mortgage pre-approval.
Give us five days and we’ll give you all kinds
of money.
Chase
Get approved faster than it’ll take your paint
to dry.
Harris Bank
She gets next-day credit card funding. (So
can you.)
2006 Appeals – Easy, No Limits
LaSalle Bank
It’s never been easier to make your money
work harder.
Amcore Bank
Two Accounts. One Big Return On Investment.
Fidelity
Short-term cash just sitting in your account?
Ditech.com
No, you don’t need your eyes checked.
2009 Appeals – Safe, Risk Free
Park National Bank
A great rate on secure savings!
Bank of America
FDIC-insured safety.
Fifth Third Bank
Safe Saver Balances of $50,000 to
$250,000 with Safe Saver Package**
2009 Appeals –
Stop Worrying, Relax
Old Second Bank
Stop Worrying About Your Future
Park National Bank
Save. Earn. Relax.
2009 Appeals – Economy is
Tough, Better Days Ahead
Great Lakes Credit Union
Weather the Financial Storm with Great
Lakes Credit Union! We’ve Got You
Covered!
Amcore Bank
It’s Cold Outside!
TCF Bank
In this economy, what could be more
convenient than great rates?
2009 Appeals –
Confident, Reliable
Bank of America
Giving America the credit it deserves.
Fixed Rate. Predictable Returns.
Discussion
• 2006 and 2009 financial ads differed
• More financial, more with pictures, more
mortgage/investment, business services,
loan/credit/mortgage ads in 2006
• 2006 ads gave consumers dreams –
images provided situations to live up to
• 2009 ads reassured consumers of better
days, offered safety
Discussion
• Ads reflect culture
• For a balanced economy, consumers
need to live a sustainable lifestyle that
they can afford
• Content analysis of ads can benefit both
producers and consumers
• Future studies can review ads in different
parts of the country hit hard by the
mortgage crisis