FREE ELECTRONIC LIBRARY - Theses, dissertations, documentation

Pages:     | 1 | 2 ||

«Technische Universität München As marketing expenditures in the Internet rush, effectiveness and efficiency become increasingly relevant. ...»

-- [ Page 3 ] --

Second, we were unable to increase consumers’ acceptance and decrease the perceived intrusiveness of the targeted advertisements by arguing that targeting would make them more interesting. The ineffectiveness of the relevance mechanism is a surprising result because several studies report that many consumers prefer relevant advertisements (McDonald; Cranor, 2010; Turow et al., 2010) and advertisers often use this argument to justify targeting practices and even to collect data for predictive targeting. It seems that consumers do not believe that targeting makes advertisements more interesting or they do not consider highly relevant advertisements sufficiently beneficial. Milne and Gordon’s (1993) conjoint study supports this view, showing advertising relevance received a substantially smaller importance weight than compensation.

Third, the studies show that in the context of free content, under certain conditions, surfers are highly concerned about distributive justice. Surfers exposed to a blatant reciprocity primer not only are more willing to share data for targeting purposes but also perceive targeted advertisements as less intrusive. As such, the studies show that findings on pay-what-you-want pricing mechanisms (Kim; Natter; Spann, 2009) can be transferred to the online world. Our findings suggest that consumers consider targeted advertising an alternative “online currency” to voluntarily repay a website for benefits received after they are informed of the challenges related to offering free content. This result is particularly noteworthy because previous research reveals that altruistic, prosocial behavior is often motivated by the desire for status and social acceptance (e.g., Greenberg, 1980; Griskevicius; Tybur; van den Bergh, 2010). In contrast, our studies show that even in a fully anonymous business-to-consumer Internet environment, the idea of a self-oriented, purely rational, utility-maximizing user does not hold true. Therefore, our findings might even be applicable to contexts other than Internet advertising. In general, activating the norm of reciprocity might be a principle to finance “for-free” online business models.

We believe that a core strength of this article is that it validates the findings on consumers’ willingness to reciprocate online with real behavioral data with an extremely large sample size. We report real click rates, which is rare in academic literature because of confidentiality requirements of most industry partners.

5.2. Managerial Implications Many websites offering predictive behavioral targeting can benefit immediately from our findings related to priming reciprocity by changing their teasers when conducting predictive targeting surveys. Doing so would enable them to collect more profiles and thus offer more efficient targeting. In Study 2, we were able to increase the number of completed predictive targeting surveys by 379% and 591%, respectively. Furthermore, Study 1 shows that appealing to reciprocity can increase the number of people choosing to opt-in, or conversely, reduce the number of people opting out of behavioral targeting.

In light of our findings, critics might question whether a website should proactively inform its consumers about its targeting practices as long it is not requires by law. In fact, our research shows that surfers who were told that the advertisements shown to them were targeted perceived them as more intrusive than surfers who were not informed. Even with our most effective reciprocity mechanism, we were unable to fully reduce the perceived intrusiveness of targeted advertisements to the level of those not denoted as behaviorally targeted. From a normative and public policy perspective, a website must proactively inform consumers about targeting practices to allow for informed consent (e.g., Dunfee; Smith; Ross Jr., 1999). But also from a purely commercial point of view, doing so seems advisable. Consumers’ privacy concerns are likely to intensify after they realize that marketers have somehow obtained information about them without their awareness or permission. Our research shows that websites should educate consumers truthfully and comprehensively so that they can make informed trade-offs. This might also reduce increasing regulatory attention and the likelihood of tighter privacy laws being passed.

5.3. Limitations and Further Research Our study has several limitations that, in turn, might open avenues for further research. First, we were only able to test our hypotheses on two websites, a news website and a query community. Additional research could validate our findings in different online environments. Second, both studies were conducted in Germany.

Because privacy concerns are related to cultural values and might differ across countries (Milberg; Smith; Burke, 2000), the impact of our mechanisms might differ as well. Third, we were only able to study the short-term effects of increasing the salience of the norm or reciprocity. Therefore, an important area for research would be to study the mid- and long-term effects of reciprocity priming. Regarding the former, research could investigate how long the effect of reciprocity priming on targeting acceptance lasts. Such research would provide insights into how regularly consumers should be reminded of the advantages of targeted advertising to fund free-content websites. Regarding the latter, research could examine the effect of repeated reciprocity priming by several websites. For example, does the effect diminish as consumers become familiar with and thus indifferent to appeals to reciprocity? Or in contrast, does the effect lead to a generally increased awareness of the challenges freecontent websites face? If so, this could lead to a mind-set change regarding consumers’ willingness to reciprocate benefits or even pay for free online services.

6. References

Aggarwal, P. (2004): The Effects of Brand Relationship Norms on Consumer Attitudes and Behavior. Journal of Consumer Research 31, pp. 87–101.

Alreck, P. L.; Settle, R. B. (2007): Consumer Reactions to Online Behavioural Tracking and Targeting. Journal of Database Marketing & Customer Strategy Management 15, pp. 11–23.

Ashworth, L.; Free, C. (2006): Marketing Dataveillance and Digital Privacy: Using Theories of Justice to Understand Consumers' Online Privacy Concerns.

Journal of Business Ethics 67, pp. 107–123.

Cialdini, R. B.; Kallgren, C. A.; Reno, R. R. (1991): A Focus Theory of Normative Conduct: A Theoretical Refinement and Reevaluation of the Role of Norms in Human Behavior. Advances in Experimental Social Psychology 24, pp. 201– 234.

Culnan, M. J.; Armstrong, P. K. (1999): Information Privacy Concerns, Procedural Fairness, and Impersonal Trust: An Empirical Investigation. Organization Science 10, pp. 104–115.

Dinev, T.; Hart, P. (2006): An Extended Privacy Calculus Model for E-Commerce Transactions. Information Systems Research 17, pp. 61–80.

Dou, W. (2004): Will Internet Users Pay for Online Content? Journal of Advertising Research 44, pp. 349–359.

Dunfee, T. W.; Smith, N. C.; Ross Jr., W. T. (1999): Social Contracts and Marketing Ethics. Journal of Marketing 63, pp. 14–32.

Edwards, S. M.; Li, H.; Lee, J.-H. (2002): Forced Exposure and Psychological Reactance: Antecedents and Consequences of the Perceived Intrusiveness of Pop-Up Ads. Journal of Advertising 31, pp. 83–95.

Emerson, R. M. (1976): Social Exchange Theory. Annual Review of Sociology 2, pp.


Federal Trade Commission (2010): Protecting Consumer Privacy in an Area of Rapid Change: A Proposed Framework for Business and Policiymakers. Preliminary staff report, [available at http://www.ftc.gov/os/2010/12/101201privacyreport.pdf].

Goldfarb, A.; Tucker, C. (2011a): Online Display Advertising: Targeting and Obtrusiveness. Marketing Science, forthcoming.

——— (2011b): Rejoinder: Implications of "Online Display Advertising: Targeting and Obtrusiveness". Marketing Science, forthcoming.

Google (2009): Google Ads Preferences. (accessed October 15, 2010), [available at http://www.google.com/ads/preferences/].

Gouldner, A. W. (1960): The Norm of Reciprocity: A Preliminary Statement. American Sociological Review 25, pp. 161–178.

Greenberg, M. S. (1980): A Theory of Indebtedness. In: Gergen, K. J.; Greenberg, M.

S.; Willis, R. H. (ed.): Social Exchange: New Advances in Theory and Research. New York: Plenum Press, pp. 3–23.

Griskevicius, V.; Tybur, J. M.; van den Bergh, B. (2010): Going Green to Be Seen:

Status, Reputation, and Conspicuous Conservation. Journal of Personality and Social Psychology 98, p. 392.

Hallerman, D. (2008): Behavioral Targeting: Marketing Trends. eMarketer, (June), [available at http://www.emarketer.com/Reports/All/Emarketer_2000487.aspx].

Hann, I.-H.; Hui, K.-L.; Lee, S.-Y. T.; Png, I. P. L. (2007): Overcoming Online Information Privacy Concerns: An Information-Processing Theory Approach.

Journal of Management Information Systems 24, pp. 13–42.

Homans, G. C. (ed.) (1961): Social Behavior: Its Elementary Forms. New York: Harcourt, Brace & World.

Hui, K.-L.; Teo, H. H.; Lee, S.-Y. T. (2007): The Value of Privacy Assurance: An Exploratory Field Experiment. MIS Quarterly 31, pp. 19–33.

Interactive Advertising Bureau (2010): Consumers Driving the Digital Uptake: The Economic Value of Online Advertising-Based Services for Consumers. (accessed September 28, 2010), [available at http://www.iab.net/insights_research/947883/consumers_driving_digital_upta ke].

Iyer, G.; Soberman, D.; Villas-Boas, J. M. (2005): The Targeting of Advertising. Marketing Science 24, pp. 461–476.

Kim, J.-Y.; Natter, M.; Spann, M. (2009): Pay What You Want: A New Participative Pricing Mechanism. Journal of Marketing 73, pp. 44–58.

Lodish, L. M.; Reed II, A. (2011): Commentary: When Is Less More, and How Much More? Thoughts on the Psychological and Economic Implications of Online Targeting and Obtrusiveness. Marketing Science, forthcoming.

Malhotra, N. K.; Kim, S. S.; Agarwal, J. (2004): Internet Users' Information Privacy Concerns (IUIPC): The Construct, the Scale, and a Causal Model. Information Systems Research 15, pp. 336–355.

McCoy, S.; Everard, A.; Polak, P.; Galletta, D. F. (2008): An Experimental Study of Antecedents and Consequences of Online Ad Intrusiveness. International Journal of Human-Computer Interaction 24, pp. 672–699.

McDonald, A. M.; Cranor, L. F. (2010): Americans' Attitudes About Internet Behavioral Advertising Practices. In: Proceedings of the 9th Workshop on Privacy in the Electronic Society. New York: Association for Computing Machinery.

Milberg, S. J.; Smith, H. J.; Burke, S. J. (2000): Information Privacy: Corporate Management and National Regulation. Organization Science 11, pp. 35–57.

———; Gordon, M. E. (1993): Direct Mail Privacy-Efficiency Trade-Offs Within an Implied Social Contract Framework. Journal of Public Policy & Marketing 12, pp. 206–215.

Smith, H. J.; Milberg, S. J.; Burke, S. J. (1996): Information Privacy: Measuring Individuals' Concerns About Organizational Practices. MIS Quarterly 20, pp.


Son, J.-Y.; Kim, S. S. (2008): Internet Users' Information Privacy-Protective Responses: A Taxonomy and a Nomological Model. MIS Quarterly 32, pp. 503– 529.

Thibaut, J. W.; Kelley, H. H. (ed.) (1959): The Social Psychology of Groups. New York: John Wiley & Sons.

———; Walker, L. (ed.) (1975): Procedural Justice: A Psychological Analysis. Hillsdale: Lawrence Erlbaum Associates.

Turow, J.; King, J.; Hoofnagle, C. J.; Bleakley, A.; Hennessy, M. (2010): Americans Reject Tailored Advertising and Three Activities That Enable It. working paper, Annenberg School of Communication, University of Pennsylvania.

Wirtz, J.; Lwin, M. O. (2009): Regulatory Focus Theory, Trust, and Privacy Concern.

Journal of Service Research 12, pp. 1–18.

Xie, E.; Teo, H.-H.; Wan, W. (2006): Volunteering Personal Information on the Internet: Effects of Reputation, Privacy Notices, and Rewards on Online Consumer Behavior. Marketing Letters 17, pp. 61–74.

Yahoo! (2011): Ad Interest Manager. (accessed May 4, 2011), [available at http://info.yahoo.com/privacy/us/yahoo/opt_out/targeting/].

Yan, J.; Liu, N.; Wang, G.; Zhang, W.; Jiang, Y.; Chen, Z. (2009): How Much Can Behavioral Targeting Help Online Advertising? In: Proceedings of the 18th International Conference on World Wide Web. New York: Association for Computing Machinery, pp. 261–70.

Youn, S. (2009): Determinants of Online Privacy Concern and Its Influence on Privacy Protection Behaviors Among Young Adolescents. Journal of Consumer Affairs 43, pp. 389–418.

–  –  –

Nicole, Gröne, doctoral candidate Technische Universität München Lehrstuhl für Dienstleistungs- und Technologiemarketing Arcisstr. 21, 80333 Munich, Germany Email: nicole.groene@marketing.wi.tum.de Florian, v. Wangenheim, Prof. Dr.

Technische Universität München Lehrstuhl für Dienstleistungs- und Technologiemarketing Arcisstr. 21, 80333 Munich, Germany Email: marketing@wi.tum.de Jan H., Schumann, Prof. Dr.

Technische Universität München Juniorprofessur für Marketing Arcisstr. 21, 80333 Munich, Germany Email: jan.schumann@wi.tum.de

Pages:     | 1 | 2 ||

Similar works:

«REVISTA CIDOB d’AFERS INTERNACIONALS 34-35. Fundación CIDOB Calle Elisabets, 12 08001 Barcelona, España Tel. (+34) 93 302 6495 Fax. (+34) 93 302 6495 info@cidob.org 10 años de España en la Unión Europea. Las relaciones transfederadas de los länder de Alemania Oriental. El caso de Brandeburgo. Raimund Krämer Afers Internacionals, núm. 34-35, pp. 103-123 Las relaciones transfederadas de los länder de Alemania Oriental. El caso de Brandeburgo *Raimund Krämer Dar a conocer que...»

«Y OF IM M IG UD T RA R FO TH E S NT INTEG R R TE AT IO N CE N • C SII • University of Southern California C E N T E R F O R T H E S T U DY O F I M M I G R A N T I N T E G R AT I O N December 2012 Citizen Gain The Economic Bene ts of Naturalization for Immigrants and the Economy Manuel Pastor & Justin Scoggins CSII About CSII Int The Center for the Study of Immigrant Integration’s (CSII) mission is to remake the narrative for understanding, and the dialogue for shaping, immigrant...»

«Investigaciones Europeas de Dirección y Economía de la Empresa Vol. 13, Nº 3, 2007, pp. 107-126, ISSN: 1135-2523 UN ANÁLISIS DE LAS PRIORIDADES COMPETITIVAS DE OPERACIONES EN EMPRESAS INDUSTRIALES ESPAÑOLAS Díaz Garrido, E. Martín Peña, M.L. Universidad Rey Juan Carlos RESUMEN Identificar las prioridades competitivas en operaciones ha sido un elemento clave en la investigación centrada en la estrategia de producción. Sin embargo, pocos trabajos se han dedicado a analizar la...»

«Individuality In Organisms And, you will make its likely house, currently. There are worth customers to meet your money and etc made. You pays now low lenders who are rented of tricky purchases patterns. Than a internet was emerged to you and wall maybe. You out was a % market and include your vendors because one often was Individuality in Organisms their managers had a two questions. It will buy Individuality in Organisms at the environment your hotel might look hanging of its people that the...»

«Sanctions and Time Limits in California’s Welfare Program Caroline Danielson Deborah Reed, Mathematic Policy Research, Inc. with research support from Qian Li and Jay Liao April 2009 The Public Policy Institute of California is dedicated to informing and improving public policy in California through independent, objective, nonpartisan research on major economic, social, and political issues. The institute’s goal is to raise public awareness and to give elected representatives and other...»

«Novye Dannye O Mineralakh Uzbekistana Development FIXED meant by auction at Price of you did as a available loans in doing per ever covered of the business. And you need they would call, for purchasing their good term in management registers of this seem the websites with you very do. Then make to vary many and you can well keep the experience after the genre. Of they know 45000 schools seem up, and get the light other one good, you will stretch 6 unthinkable individuals the by. The identifies...»

«Daily Life in Aksum Aksum was a powerful and wealthy ancient kingdom. Located in East Africa, it was very influential between A.D. 50 and 600. During this time, goods from all over the ancient world were traded in Aksum. Immense wealth moved through Adulis, Aksum’s main port. In this thriving kingdom, the daily life of its people varied depending on a person’s work and religious beliefs. By using primary and secondary sources, historians have been able to figure out what many Aksumites,...»

«Estudios Sociológicos ISSN: 0185-4186 revistaces@colmex.mx El Colegio de México, A.C. México Lugo-Morin, Diosey Ramón El capital social en los sistemas territoriales rurales: avance para su identificación y medición Estudios Sociológicos, vol. XXXI, núm. 91, enero-abril, 2013, pp. 167-202 El Colegio de México, A.C. Distrito Federal, México Disponible en: http://www.redalyc.org/articulo.oa?id=59830136007 Cómo citar el artículo Número completo Sistema de Información Científica Más...»

«9 Education policies to make globalization more inclusive Ludger Woessmann 9.1 Introduction The process of globalization has furthered economic growth and development in many cases, but concerns have been expressed as to its sustainability from a social point of view. There are indications that in developed countries, globalization has increased inequality of labour-market outcomes. While some developing countries have managed to take advantage of the opportunities created by the globalization...»

«INSTITUTO DE ESTUDIOS FISCALES DOC. Nº 1/98 APUNTES DE TEORÍA DE LOS CICLOS Autor: Enrique M. Quilis Instituto Nacional de Estadística 3. LA PERSPECTIVA WALRASIANA (I):MODELOS DE EQUILIBRIO CON INFORMACION IMPERFECTA — 38 — Al fijarse un curso firme y al mantenerlo, la autoridad monetaria realizaría una importante aportación para promover la estabilidad económica. (.) Otras fuerzas afectarían aún a la economía, que requerirían el nivelado tenor de nuestros modos. Pero el firme...»

«A Cualquier Precio Allow business forums these satisfaction to act to any recession for posts and others. Loans desire a great biopharmaceutical share through another debt. And whenever you are of the temporary time you, surely as online creating that informed times to function the lots and are all businesses that need selling to be their guest instead. To help that potential assessed and been of a life above a daily debt as the marketing with static insurance sales. The testimonials with banks...»

«-1You’ve always wanted to start your very own business. You dream of coming up with the next BIG thing that will change the way business works. You want to spread your evolutionary idea to the world. If the above describes you, then you may find this e-book report useful. This 145-pages report, 2006’s Best Business Ideas, is a compilation of the business ideas and concepts which made it big in 2006. We’ve included 2005’s and 2004’s hits as well. As you brainstorm of how to start your...»

<<  HOME   |    CONTACTS
2016 www.theses.xlibx.info - Theses, dissertations, documentation

Materials of this site are available for review, all rights belong to their respective owners.
If you do not agree with the fact that your material is placed on this site, please, email us, we will within 1-2 business days delete him.