Effective Consumer Protection or Benign Neglect? kA Model of Television Infomercial Clearance

Abstract

Although infomercials are becoming a much more common type of television advertising with gross sales of products exceeding one billion dollars in 1996, there have been no studies examining the interactive influences of different station policies, market environments and management beliefs on infomercial clearance decisions. A national survey of television stations with responses from over 350 stations was used to build and assess a model of infomercial clearance decision making. Results suggest there is great variation in the infomercial review process and clearance outcomes between stations. Some stations routinely accept ads that could harm consumers. Thus, policy recommendations based on these results are made.