Abstract: Given the increasing number of personalized ads and the prevalence of media multitasking, understanding the impact of online privacy concern on ad outcomes is important. However, the interaction effects between media multitasking and ad personalization on ad evaluation remain unexplored, including whether multitasking might lower privacy concern (i.e., cognitive performance) and improve ad evaluation and persuasion (i.e., attitudinal performance). Therefore, in the current study, we investigated the interplay between (a) level of ad personalization and (b) media multitasking and the effects of both on level of privacy concern and evaluation of the ad. We used a between-subjects experiment (N = 219) to test the effects of non-personalized and personalized advertising on online news readers, half of whom also attended to a podcast or a movie trailer while reading. Results show that the negative effect of personalized advertising on attitude toward the ad (Aad) and attitude toward the brand (Ab) emerged. Participants exposed to the more personalized ad showed less favorable Aad and Ab than those exposed to the less personalized ad. Moreover, privacy concern mediated the negative impact of the personalized ad message on ad evaluation. The results also revealed that the moderated mediation effect of multitasking on personalized advertising effectiveness through privacy concern was not significant. However, media tasking type significantly moderated the direct relationships between ad personalization and ad effectiveness (i.e., Aad and Ab). Theoretical and managerial implications are discussed.
ABSTRACT: This study examined the effects of two different levels of personalization strategies (individual-level vs. group-level) on consumers’ visual and attitudinal responses to personalized advertising. The study further investigated the moderating role of recipients’ narcissism in the effect of personalization. Results showed that individuals higher in narcissism pay greater and more frequent attention to advertisements personalized on an individual level than those personalized on a group level. while those low in narcissism had no such differences. Regarding attitudinal responses, consumers with a high level of narcissism tended to have more favorable attitude toward the individual-level personalized ad compared to those with a low level of narcissism while consumers with a low level of narcissism tended to have a more favorable attitude toward the group-level personalized ad compared to those with a high level of narcissism. The study shed light on the underlying mechanism of interaction effect by demonstrating the suppressing mediating role of attention, ad creepiness and ad intrusiveness. Theoretical and managerial implications are discussed.
Abstract: A between-subjects experiment tested the effects of medium (location-based) and high (individually tailored) personalized advertising on online news readers, half of whom also paid attention to a podcast while reading. Results showed that the main effect of multitasking was not significant, suggesting that no significant difference in attitude toward the ad emerged between the multitasking and single-tasking conditions. However, in terms of level of ad personalization, a significant main effect on attitude toward the ad was detected. Participants who were exposed to the more personalized ad showed a less favorable attitude toward the ad than those who were exposed to less personalized ad. Moreover, the negative impact of the personalized ad message on ad evaluation was fully mediated by privacy concern. Theoretical and managerial implications are discussed.