The Influence of Consumer–Brand Relationship on the Personalized Advertising Privacy Calculus in Social Media

Abstract

Advertisers increasingly use personalized advertising that is tailored to consumers based on data concerning their preferences and behaviors, which is gained by collecting their personal information. The present study examines the role of consumer–brand relationships and social media platform contexts in effective personalized advertising. Consumers weigh the benefits of personalized brand information against forfeiting privacy by disclosing personal information. For the first time, a 2 (consumer–brand relationship: weaker/stronger) X 2 (data collection method: overt/covert) X 2 (platform: Facebook/Twitter) national online experiment was conducted to examine the personalization–privacy paradox in a social media context. The findings suggested that strong consumer–brand relationships affect the perceived value of information disclosure by bolstering the perceived benefits and mitigating perceived risks of disclosure whereas perceived risks dominated privacy calculus decisions when weak consumer–brand relationships were present. Theoretical and practical implications are discussed.

Public support for counterterrorism efforts using probabilistic computing technologies to decipher terrorist communication on the internet

“…Regarding differences across situations, studies on information sharing (Hayes et al, 2021 ; Phelps et al, 2001 ), scraping of information for marketing (Swani et al, 2021 ), the disclosure of sensitive information (Atienza et al, 2015 ; Dhagarra et al, 2020 ), and the acceptance of surveillance and security technologies (Larson & Ferrin, 2021 ; Pavone & Esposti, 2010 ) suggest that people’s privacy concerns regarding their personal information vary across different types of information and depend on the purpose for which personal information is used and who is using it.…”

The personalization–privacy paradox at the nexus of social exchange and construal level theories

“…With the development of the Internet and related information and communication technologies, marketers today can tap into the potential of many online channels when they communicate with consumers. The abundant availability of information collected from Internet users also enables brands to personalize their communication efforts in ways that would have been too complex to achieve before the Internet and mobile eras (Hayes et al, 2021; Johnson et al, 2020; Rafieian & Yoganarasimhan, 2021). Personalization, defined as the “ability to proactively tailor products to tastes of individual consumers based upon their personal and preference information” (Chellappa & Sin, 2005, p. 181), in turn has become a highly salient topic.…”

Analyzing Intention to Purchase Brand Extension via Brand Attribute Associations: The Mediating and Moderating Role of Emotional Consumer-Brand Relationship and Brand Commitment

“…According to Sultan and Wong (2019), congruency between a consumer's ideal self and the brand impacts brand attachment positively. Hayes et al (2021) also suggest that hedonic and symbolic benefits can cause brand attachment. As a result, this study proposes these hypotheses: H3: Brand commitment mitigates the relationship between intentions to purchase a brand extension and the emotional consumer-brand relationship.…”