Marketing personalization requires firms to collect information that they can use to personalize their products or services, which might raise consumer privacy concerns. Prior studies on construal ...level theory suggest that happier Internet users would likely take future rewards in social exchanges (e.g., personalization–privacy trade‐offs) into greater consideration. Building on both social exchange and construal level theories, this article investigates the extent to which happiness with the Internet drives the personalization–privacy paradox, as well as the moderating role of experience sharing frequency as a proxy for reciprocity. An online survey administered to a representative sample of French consumers (n = 649) largely confirms the predictions. Happiness with the Internet is the strongest driver of willingness to disclose information in exchange for personalization, surpassing conventional privacy‐related constructs (e.g., trust and risk beliefs). In line with social exchange theory, reciprocity has an important influence on online social exchanges too.
The rapid evolution of digital marketing underscores a critical tension between personalization and privacy, exacerbated by advances in data technologies and artificial intelligence. This study ...delves into the personalization‐privacy paradox, emphasizing the dichotomy of consumer behavior—desiring customized interactions while guarding personal data. We explore how happiness with the internet (HWI) influences users' willingness to disclose personal information on social media, employing social exchange theory as our conceptual framework. Our research develops and tests a conceptual model that investigates the psychological mechanisms driving information‐sharing behaviors on social media, including the moderating roles of trust beliefs and information collection concerns. By examining the mediating effect of posting frequency on the relationship between HWI and information disclosure for personalization, our findings contribute to understanding the complex interplay between happiness, trust and privacy concerns, coined as transformative privacy calculus. Our study enriches social exchange and privacy calculus theories, providing valuable implications for marketers aiming to navigate the balance between personalization and privacy, suggesting strategies to enhance user engagement without compromising privacy standards.
Loyalty programs (LPs) are an important marketing instrument used to promote repeat purchases and customer relationships. Although numerous studies have shed light on the adoption, design, and ...outcomes of LPs, research that reviews the accumulated knowledge in a holistic manner is sparse. Against this background, this study reviews 131 LP-related articles following the Theory–Context–Characteristics–Methodology (TCCM) review protocol. By considering the theories, contexts, characteristics, and methodologies used in LP research, this study (1) paints the most comprehensive picture of the field to date and (2) develops a future research agenda to help advance the field further. Our review reveals that existing studies mostly rely on status-based, inertia-based, or relationship-based mechanisms to theoretically explain LP-related effects, while multi-theoretical perspectives are rare. LP research focuses strongly on a few key industries, such as retail, airlines, and hotels, but lacks insights into the design and outcomes of LPs in online and B2B contexts. Furthermore, we diagnose a need for more research on the role of competition among LPs and the impact of recent technological advances on LP management.
Purpose - In the retailing sector, consumers typically patronize multiple outlets, which leaves outlets striving to earn a greater portion of consumer expenditures. The purpose of this paper is to ...improve theoretical and empirical knowledge about the impact of retailing loyalty programmes on customer purchasing behaviour.Design methodology approach - The effects of two loyalty programmes on customer behaviour are studied through marketwide panel data on supermarket purchases.Findings - The impact of loyalty programme membership on customer purchase behaviour is significant.Research limitations implications - All behavioural indicators show that members and non-members of loyalty programmes demonstrate significantly different purchase behaviours, irrespective of other factors. The purchase intensity of cardholders, in terms of total and average shopping baskets, share of purchases, purchase frequency and inter-purchase time, is significantly higher than that of non-members throughout the entire three-year period and the trading areas. The findings require confirmation in other retailing sectors before they may be considered fully generalisable.Practical implications - Retailers may apply the findings in their attempts to segment their target market, which enables them to allocate their marketing expenditures more effectively.Originality value - The study contributes to more "generalisable" knowledge by investigating marketwide scanner panel data about competitive purchasing, loyalty programmes and store locations.
In the retailing sector, consumers typically patronize multiple outlets, which confronts these outlets with an important issue: determining how to gain a greater part of consumer expenditures. One ...potential avenue is to increase consumer lifetime duration and repeat purchases through loyalty cards. This research, using
BehaviorScan single-source panel data, examines the impact of loyalty programs on customer lifetime duration in grocery stores. The findings suggest that loyalty schemes have positive effects on customer lifetimes and share of consumer expenditures. However, multiple loyalty card memberships of geographically close retailers reduce lifetime duration. Furthermore, the higher the share of consumer expenditures in a store, the longer the lifetime duration will be.
This investigation examines consumers' preferred loyalty program (LP) designs across two retail contexts, grocery retailing and perfumery, with varying degrees of personal involvement. The research ...employs in-store full profile conjoint analysis by using the following attributes: timing of the reward, reward compatibility with the store's image, and tangibility.
Our research reveals that the underlying effects of reward types on preferences and intended store loyalty differ depending on the level of consumers' personal involvement. In sectors with high personal involvement, compatibility with the store's image and intangible rewards increase LP preference and loyalty intentions. The time required to obtain the reward (immediate/delayed) has no impact. In sectors with low personal involvement, immediate and tangible rewards increase LP preference and loyalty intentions. Compatibility with the store image has no impact.
•This investigation examines consumers’ preferred loyalty program designs.•It investigates two retail contexts (grocery/perfumery), with varying degrees of involvement.•It uses the timing of the reward, compatibility with the store’s image, tangibility as design factors.•Under strong involvement:○compatibility with the store’s image and intangible rewards increase LP utilities and loyalty.○time required to obtain the reward (immediate/delayed) has no impact.•Under weak involvement:○immediate and tangible rewards have greater utilities and result in increased loyalty.○compatibility with the store image has no impact.
Purpose
– The purpose of this research is to contribute to a better theoretical and empirical knowledge about the way frequent flyer programmes influence customer behaviour. It aims to describe the ...relationships between purchase orientations and personalized rewards on customers
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perceived programme value and subsequent loyalty.
Design/methodology/approach
– The research uses self-determination theory (SDT) and purchase orientations to classify types of rewards in terms of their effect on perceived programme value and loyalty. Scales are developed through exploratory and confirmatory factor analysis. To validate the hypotheses, surveys are realized in a major international airline. Structural equation modelling confirms the research model.
Findings
– Perceived value and loyalty vary according to purchase orientation, in support of the SDT. Intrinsic (extrinsic) rewards motivate customers to act to obtain a benefit within (apart from) the target of their purchase orientation and influences loyalty positively (have low impact on loyalty).
Research limitations/implications
– Further testing of reward types, in(ex)trinsic motivation, SDT, across multiple contexts is necessary for validity enhancement.
Practical implications
– Differentiation through tailored (non-)monetary rewards is possible in markets marked by strong competition to appeal to different segments.
Originality/value
– This is one of the pioneer articles in the use of SDT in marketing research. The development of scales which focus on reward types and the moderating impact of purchase orientations on frequent flyer programmes
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perceived value and loyalty is another contribution.
Artificial intelligence (AI)-powered autonomous vehicles (AVs) are one of the most highly anticipated technological advancements of our time, with potentially wide-ranging social implications in ...terms of driver/passenger safety, equity and environmental aspects. However, most consumers feel reluctant towards the adoption of AI-powered AVs. To analyse user acceptance of AI-powered AVs, we need to understand the related psychological, social and cognitive factors. To do so, we established a conceptual model based on the technology acceptance literature and considered how performance and effort expectancy, social recognition, hedonism technology security and privacy concerns influence both technology trust and user well-being as mediators that subsequently influence the behavioural intention of the use of AI-powered AVs. We used user innovativeness as a moderator, and we performed a survey in France. Our results from the structural equation modelling largely support the positive relationship between the behavioural intention to use AI-powered AVs and performance-/effort expectancy, social recognition, well-being, hedonism and technology trust, as well as security. On the other hand, privacy concerns negatively influence technology trust.
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•Few studies focused on antecedents of behavioral intention to use (BIU) of AI-powered autonomous vehicles' (AV).•Results suggest focusing on AVs' driver well-being, hedonism and social recognition to increase BIU.•It is important to increase both AV technology security and trust to raise BIU.•Data collected by AV should be carefully managed to decrease privacy concerns that negatively influence BIU.
In the retail sector, consumers typically patronize multiple outlets for a variety of products, which raises the important issue of how outlets can gain a greater share of consumer expenditures. One ...such way is to increase repeat purchases through loyalty programs. This article examines the impact of loyalty programs, which target existing customers, on repurchase behavior in grocery stores. It finds that heavier, more frequent customers of a store enroll in the loyalty program earlier; that buying behavior changes only slightly after buyers join the program; and that small changes in loyalty appear to erode 6–9 months after buyers join.
This research investigates the effectiveness of complaint management according to company–client relationship quality (RQ). Interactional recovery efforts are critical for efficient complaint ...management in the hospitality management (restaurant) context; this study addresses the potential compensatory interaction effects of interactional recovery efforts (personal apology vs. impersonal apology via email) and two types of compensatory recovery efforts (voucher vs. refund), as well as their intensity (full vs. partial). A robust cut-off effect emerges, such that a minimum level of interactional effort influences the effectiveness of compensation efforts. Furthermore, RQ influences complaint management effectiveness: For loyal, high-RQ customers, interactional recovery effort (personal apologies) is more important, regardless of compensation intensity (full vs. partial) or type (voucher vs. refund). High- (low) RQ customers are more (less) likely to accept vouchers than refunds; vouchers symbolize their willingness to continue relationships. Thus, interactional effort allows firms to decrease the intensity of customer compensation required.
