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What is personalization? A conceptual framework
Abstract
Purpose
– The object of this paper is to help to understand what it is all about in question when talking about personalization.
Design/methodology/approach
– A conceptual framework of personalization is presented, based on the literature.
Findings
– Marketers are looking increasingly at personalization to help them improve the performance of their efforts. However, personalization seems to be hard to apply. Some of these problems are caused by the fact that personalization means something different to each business and to the different actors in the value chain. This lack of agreement regarding the meaning of personalization limits successful communication between the different actors who produce or buy services and products that are connection with personalized marketing. This hinders co‐operation between service providers and marketers who are willing to apply personalization.
Originality/value
– It is hoped that the framework is useful when discussing and developing the idea of personalization further.
... It argues that for customers, the personalization of the product is inseparable from the personalization of the service received. Personalization often increases or decreases customer WTP (e. g., Arora et al., 2008;Long et al., 2016;Moor & Lury, 2018;Shen & Ball, 2009;Vesanen, 2007). Customers assign a perceived value to each product and service attribute based on their preferences and desires. ...
... To advance the understanding of the relationship between CeoP and WTP, four conceptual dimensions frame the proposed typology: Personalization, WTP, customer philosophy, and novelty-familiarity continuum. This study adopts the types of personalization proposed by Fan & Poole (2006), focusing on information systems and Vesanen (2007), which adopted a socio-marketing perspective. Each personalization type represents a set of core design choices grounded in the strategy, motive, time of use, and customer involvement and describes them as architectural, relation, instrumental, commercial (Fan & Poole, 2006), cosmetic, adaptive, transparent, and collaborative (Vesanen, 2007). ...
... This study adopts the types of personalization proposed by Fan & Poole (2006), focusing on information systems and Vesanen (2007), which adopted a socio-marketing perspective. Each personalization type represents a set of core design choices grounded in the strategy, motive, time of use, and customer involvement and describes them as architectural, relation, instrumental, commercial (Fan & Poole, 2006), cosmetic, adaptive, transparent, and collaborative (Vesanen, 2007). Table 1 depicts the ideal type and motives of personalization. ...
Personalization drives value co-creation and willingness to pay for customers. Consumers are keen to receive personalized services but have various willingness to pay for the personalization process. The willingness to pay is influenced by motives for customer purchase behavior and personalization expectations in a specific context. It also depends on disposable income and the availability of resources, as well as the severity of requirements. The results indicate that customers comprise a heterogeneous market concerning their personalization expectations and willingness to pay. The paper proposes a customer typology based on a conceptual framework that includes personalization, willingness to pay, customer philosophy, and novelty-familiarity continuum. By analyzing data from thirty-eight semi-structured interviews, six customer types are proposed, namely: Budget Adventurer, Family Explorer, Relation Seeker, Relaxation Seeker, Delight Seeker, and Must-Have Customer. The findings suggest that revenue managers should understand customer personalization preferences for each type in order to develop effective pricing strategies.
... Considering that failure to make good purchasing decisions for high-involvement products causes great losses, it is natural for consumers to engage in progressive information searching activities. In addition, the consumers of high-involvement products tend to research the product in detail; thus, they educate themselves with detailed explanations of the product or recommendations from experts [2,3]. ...
... Service standards are a set of guidelines that reflect different situations in customer management and help to reduce the errors caused by individual customers [4]. Setting (1) What are the influencing factors of the standardization of service platforms for highinvolvement products (i.e., real estate) on continuous intention to use? (2) What is the mediating effect of innovation resistance on service platforms? (3) What is the mediating effect of personalization on service platforms? ...
... Notably, PER increases consumer service satisfaction and delivers greater value to consumers. [2]. The personalization of services is a powerful way to retain customers by increasing customer loyalty [50]. ...
In this study, we focus on the innovation resistance that has appeared in the process of accepting changed information technology services after the COVID-19 pandemic. Based on a survey of property technology (PropTech) service users in Korea, this study proposes an extended technology acceptance model that considers the antecedent variables of the information systems success model to implement a standard PropTech service platform, and analyzes the influence of the selected parameters. Service quality was applied as the antecedent variable to define system quality and service standards, considering the establishment of the service standards process suggested by the company. The selected parameters were the demand for the personalization of the service and the resistance to innovation, which implies the degree to which consumers refuse to accept new technologies. To this end, we conducted a questionnaire survey of 524 PropTech users from 11 October 2021 to 15 November 2021. This study analyzes the factors affecting consumers’ continued use intention in order to derive the service standardization of PropTech operations, and presents the mediating effects of innovation resistance and personalization to derive the implications for service standardization. The implications of this study are as follows: first, the possibility of innovation resistance in the PropTech service sector and its mechanisms are presented. Second, the necessity of redefining the quality dimension is proposed. Finally, we identify that additional research on innovation resistance to PropTech services is needed.
... While the increased interest in personalization among researchers is a product of increased adoption of the internet (Montgomery & Smith, 2009) and e-commerce service features (Dangi & Malik, 2017), personalization actually precedes the internet (Montgomery & Smith, 2009). As pointed out by Vesanen (2007), personalization is likely to be as old as trade itself. To demonstrate this, in an offline personalization context, customers are usually approached by the sales representative, who adjusts their behaviour to the features of the customers, such as greeting them by their names (Aguirre et al., 2015). ...
... In marketing literature, different definitions of personalization abound (Strycharz et al., 2019). However, Vesanen (2007) provides a summarised view of these definitions to offer discussions on the numerous faces of personalization. Some of the definitions centre on context to define personalization as an individualised web experience (Allen et al., 2001). ...
0. Abstract Since the advent of artificial intelligence, a number of studies have focused their attention on understanding its importance in the corporate setting. To this effect, this study seeks to assess the influence of artificial intelligence on customer experience and customer loyalty; as well as the mediating effect of personalization on this relationship. A quantitative online survey was conducted and 636 responses were gathered. The gathered data were analysed using IBM's AMO for SEM and a number of findings were made. It was discovered that artificial intelligence yields positive and significant (p<0.05) influence on customer experience, customer loyalty, and personalization. The influence of artificial intelligence on customer experience and customer loyalty is also mediated by personalization. Thus, it was concluded that companies seeking to develop strong customer loyalty and customer experience should integrate artificial intelligence into their product and service delivery process and this should be supported with personalization.
... citations. Noteworthily, the most prolific publications on personalized marketing have elaborated on the concepts of customerization (Wind & Rangaswamy, 2001), one-to-one marketing (Arora, Dreze, Ghose, Hess, Iyengar, Jing, Kumar, et al., 2008), and personalization (Murthi & Sarkar, 2003;Vesanen, 2007), as well as their prospects (Montgomery & Smith, 2009), paradoxes (Aguirre et al., 2015), methods (Linden et al., 2003;Zhang & Krishnamurthy, 2004), and effectiveness (Xu, 2006;Zhang & Wedel, 2009). ...
... Marketing Science and Expert Systems with Applications are among the most productive journals; and Linden et al.'s (2003) item-to-item collaborative filtering, Vesanen's (2007) conceptual framework on personalization, and Wind and Rangaswamy's (2001) customerization are among the most influential publications in the field of personalized marketing. ...
E-commerce has penetrated deep into the milieu of today’s generation and has overtaken traditional commerce. Compared to traditional commerce, a few aspects like the absence of physical products, salespeople, and restricted spaces make it more dependent on the technologies that support consumers to make decisions. Simultaneously, consumers are inundated with a plethora of online information, creating confusion in their minds. Recommender Agents tend to assist customers by decreasing the information overload and presenting focused and curated content known as personalized recommendations (PR). Authors consolidated previous research in the field and thematically categorized them into (1) Technology Acceptance, (2) Persuasion, (3) Attitude formation (4) Human-Recommender interaction (5) Consumer response (6) Consumer decision-making. The present chapter bridges the research gaps by consolidating the extant interactive marketing literature to develop a comprehensive model and identify future research directions by superimposing the framework of customer shopping journey. Due to the growing popularity of personalized recommendations in interactive marketing, literature has grown multifold, but the authors found that their role in purchase and post-purchase stages of customer shopping journey have received scant attention. The literature is silent in understanding the importance of personalized recommendations, offline conversions, interaction between e-commerce and product brands to create a balance between perceived risk and trust, and the role of e-commerce customer service in repeat purchase and customer loyalty.KeywordsRecommender systemPersonalized marketingPersonalized recommendationTechnology marketingInteractive marketingE-commerceCustomer shopping journeyConceptual reviewCustomer purchase journey
... Accordingly, the current research puts music personalization in the spotlight and explores the impact of the congruence between ad music and personal musical taste on advertising effectiveness, as measured by ad view time and attitudes toward the ad and the advertised product. Inspired by both recently developed technological capabilities that facilitate the integration of personalized marketing elements based on large-scale data collection and analysis (Montgomery and Smith 2009;Vesanen 2007) and the unique impact of music, this research aims to expand current knowledge on the effects of music in advertising on consumers' behavior, attitudes, and perceptions. The research is especially important in view of the implications of these technologies, which put forward viewing time as an important determinant of ad effectiveness (Belanch, Flavián, and Pérez-Rueda 2017; Lee et al. 2022). ...
... Consumers' browsing on the internet, their searchers, and their online purchase behaviors are a fertile source of information that can be collected, analyzed, and used to tailor products to each consumer's individual needs (Montgomery and Smith 2009). As a result, by offering a service or product that more accurately matches their needs, personalization can increase the value that a product or service generates for consumers, improve product exposure effectiveness, and increase purchase probability, consumer satisfaction, and consumer loyalty (Ansari and Mela 2003;Linden, Smith, and York 2003;Vesanen 2007). ...
This research examines the effects of ad music personalization, which creates a fit between the ad music and consumer’s music preferences, on responses to ads. Based on the benefits of personalization and music liking, we hypothesized that ad music personalization would positively affect ad view time and attitudes toward the ad. We also explored effects on attitudes toward the advertised product. We further hypothesized that perceived ad duration plays a role in responses to personalized ad music. We conducted two experiments that simulated a natural environment of viewing skippable online ads accompanied by music tracks. Study 1 tested the effects of measured music liking, whereas Study 2 manipulated the music to either match or not match participants’ preferences. As expected, we found a consistent positive effect of ad music personalization on ad view time. Study 1 revealed that this effect counteracts the general trend of diminishing ad view time as a function of later placement in a batch. Study 2 further found that personalized ad music reduces perceived ad duration, positively affecting ad attitudes as well. Effects on attitudes toward the advertised product were less pronounced. Thus, this research, which uniquely focuses on personalization of an ad’s background factor, offers nuanced insights into an instrument that has never been studied before, and may enhance the effectiveness of marketing communications through its impact on consumer reactions.
... The level of personalization can be expressed in terms of differentiation in online communication with the customer and categorized into three forms (Fan & Poole, 2006;Vesanen, 2007). First, mass marketing represents the zero level of personalization, as this strategy involves no differentiation in customer communication. ...
... Individualization goes a step further, with communication and offers tailored to an individual's interests and needs. In general, personalization constructs a superficial understanding of customers (e.g., knowing their names), while individualization is more in-depth in incorporating individual needs and behavior based on the data collected (Fan & Poole, 2006;Vesanen, 2007). ...
E-commerce companies are beginning to use data analytics to individually address their customers, as such firms are strongly dependent on customers’ willingness to disclose (WTD) personal information. Conceptually known as privacy calculus, a cognitive comparison of the predicted benefits and risks of such a disclosure results in subjective expected utility (SEU). As this construct has not been elucidated in the context of situational factors, namely personalization and information sensitivity, this research utilizes a quantitative experimental study design to analyze these factors and evaluate the impact of SEU on customers’ WTD. Based on an online survey, the study reveals a positive but decreasing effect of personalization on SEU, while identifying information sensitivity as a negative influential factor. In general, the results emphasize the importance of a fair and transparent exchange relationship to foster a data disclosure setting without acute data privacy concerns.
... citations. Noteworthily, the most prolific publications on personalized marketing have elaborated on the concepts of customerization (Wind & Rangaswamy, 2001), one-to-one marketing (Arora, Dreze, Ghose, Hess, Iyengar, Jing, Kumar, et al., 2008), and personalization (Murthi & Sarkar, 2003;Vesanen, 2007), as well as their prospects (Montgomery & Smith, 2009), paradoxes (Aguirre et al., 2015), methods (Linden et al., 2003;Zhang & Krishnamurthy, 2004), and effectiveness (Xu, 2006;Zhang & Wedel, 2009). ...
... Marketing Science and Expert Systems with Applications are among the most productive journals; and Linden et al.'s (2003) item-to-item collaborative filtering, Vesanen's (2007) conceptual framework on personalization, and Wind and Rangaswamy's (2001) customerization are among the most influential publications in the field of personalized marketing. ...
In marketing, personalization is the action of designing and producing in ways that resonate with customer preferences. Content and products that are personalized according to customer preferences can reduce customer fatigue and time in making choices, thereby decreasing their cognitive load. Despite its importance, the literature on personalized marketing remains fragmented due to the absence of a comprehensive review that consolidates the intellectual structure of the field. This study bridges this knowledge gap through a bibliometric review using performance analysis and science mapping. Through a comprehensive review of 383 publications, this study reveals the publication and citation trends, the most prolific authors, journals, and publications, and six major themes (i.e., personalized recommendation, personalized relationship, personalization–privacy paradox, personalized advertising, personalization concept and discourse in marketing, and customer insights in personalized marketing) that characterize the body of knowledge on personalized marketing. The study concludes with future research directions as ways forward for personalized marketing, wherein a focus on new-age technologies involving artificial intelligence, big data, blockchain, internet of things, and wearables is encouraged to explore for new ways to curate personalized experiences across online and offline channels.
... In this paper, we point to personalized products which are based on consumers' disclosed information. Based on and extended from the previous product personalization literature (e.g., Arora et al., 2008;Vesanen, 2007), we presume that product personalization refers to consumers' perception of the individualization level of products they can buy via AI-based chatbots. ...
The rise of AI-based chatbots has gradually changed the way consumers shop. Natural language processing (NLP) technology and artificial intelligence (AI) are likely to accelerate this trend further. However, consumers still prefer to engage with humans and resist chatbots, which are often perceived as impersonal and lacking the human touch. While the predominant tendency is to make chatbots appear more humanlike, little is known about how anthropomorphic verbal design cues in chatbots influence perceived product personalization and willingness to pay a higher product price in conversational commerce contexts. In the current work, we set out to test this through one pre-test (N = 135) and two online experiments (N = 180 and 237). We find that anthropomorphism significantly and positively affects perceived product personalization, and that this effect is moderated by situational loneliness. Moreover, the results show that the interaction between anthropomorphism and situational loneliness has an impact on the willingness to pay a higher product price. The research findings can be used for future applications of AI-driven chatbots where there is a need to provide personalized and data-driven product recommendations.
... A message that matches some characteristics of an individual is expected to be more persuasive than a non-matched message and to capture an individual's attention (Petty & Cacioppo, 1986;Tran et al., 2021). Personalization makes individuals feel unique (Vesanen, 2007), it creates strong customer-brand relationships (Goic et al., 2021), it boosts customer brand engagement, which in turn enhances brand equity, brand usage intention, and referral behaviour (Tran et al., 2021). In general, it is suggested to improve the overall customer experience (Tyrvainen, Karjaluoto, & Saarijarvi, 2020). ...
... The term personalization describes a variety of concepts, leading to potential confusion among advertising scholars and practitioners (Vesanen 2007). In the advertising context, personalization can draw on individuals' interests, preferences, and past behaviors (Baek and Morimoto 2012;Bleier and Eisenbeiss 2015) or integrate personally identifiable information (e.g. ...
Recruiters are faced with the challenge of replacing departing skillsets as older workers retire. To tackle this task of attracting new employees, recruiters often use advertising. Various employment platforms offer the option to personalize such employment ads by integrating individuals' names and photographs in their ads. This research examines recruitment ad personalization effects on individuals' responses under consideration of the mediating roles of perceived considerate treatment and reactance to the advertisement between ad personalization and organizational attractiveness, the latter being a means to increase job-pursuit intention and click intention. Across three between-subjects online experiments, we show that personalized job advertisements increase organizational attractiveness via a perception of being treated considerately by an organization. Perceived considerate treatment furthermore mitigates reactance effects on recipient responses and leads to increased click and job pursuit intentions. For some types of personalization, individuals' sense of uniqueness reinforces the positive effect of personalization on perceived considerate treatment.
... Kendilerine özel tekliflere maruz kalan tüketicilerin memnuniyet düzeyi, markalar için karlılığı artıran önemli bir faktördür. Vesanen (2007), kişiselleştirme konusunda ortak bir dilin olmayışının kişiselleştirilmiş pazarlama konusunda ortak bilgilerin gelişimini engellediğine dikkat çekmiştir. Kişiselleştirme Uzmanları Konsorsiyumu (Consortium of Personalization Professionals) (http://www.groundswell.marketing, ...
... There are a variety of definitions that reflect the area of interest and the scope of the studies (Salonen and Karjaluoto, 2019; Vesanen, 2007). For example, in advertising, it is defined as "advertising messages that are tailored to individuals' preferences and characteristics based on specific information about the respective customer" (Schreiner et al., 2019, p. 88), whereas in human computer behaviour as an "automated process including identifying consumer, collecting consumer behavioural records, analysing consumer preferences and tailoring content for each consumer" (Huang and Zhou, 2018, p. 105). ...
Purpose – The purpose of the study is to reach an in-depth understanding of personalization and its components by developing a comprehensive definition of the concept in fashion. Moreover, it aims to clarify the open debate of the use of the terms personalization and customization. Design/methodology/approach – The Delphi method was utilized for this study in order to collect the opinions of experts. This method is considered appropriate for reaching consensus among experts regarding a topic that is subject to debate.
Findings – The study provides a definition of personalization in fashion which is relevant in the current digital context, and it identifies the building components of the concept. By developing a definition of personalization, it also clarifies the meaning of customization in fashion and suggests a possible explanation for the use of the different terminologies among experts.
Originality/value – This study contributes to the personalization and customization debate by providing an expert perspective on the topics specific to the fashion industry and by offering insights into open debates that have limited its advancement. The definition represents an interesting theoretical contribution and offers avenues for further research. Moreover, it can be applied by fashion practitioners to guide the development of personalization strategies.
... Personalisation can also improve customer satisfaction (Rust & Chung, 2006), loyalty (Ansari & Mela, 2003), and intention to purchase (Pappas et al., 2016). However, although customers may have positive responses to personalisation, they may simultaneously have negative responses to it (Chen et al., 2019;Tong et al., 2020) and even exhibit reactance behaviour (Brinson et al., 2018;Vesanen, 2007;White et al., 2008). For instance, although customers may find personalised content relevant, they may also worry about how their data is collected (Chen et al., 2019;Karwatzki et al., 2017). ...
Personalisation enables companies to learn from their customers’ online data and to adapt their content accordingly. However, although customers may value personalisation, they may also have negative perceptions of it. The literature identifies these contradictory but interrelated perceptions as a paradox. This qualitative research investigates the process underlying the triggering and management of the paradoxical tensions of personalisation. In light of paradox theory, our contributions are threefold. First, we identify the different paradoxes that personalisation triggers and their triggering mechanism. Second, we emphasise how customers manage these tensions by adopting resolution and acceptance strategies. Third, we identify the levers that companies can use to mitigate these paradoxical tensions.
... Kendilerine özel tekliflere maruz kalan tüketicilerin memnuniyet düzeyi, markalar için karlılığı artıran önemli bir faktördür. Vesanen (2007), kişiselleştirme konusunda ortak bir dilin olmayışının kişiselleştirilmiş pazarlama konusunda ortak bilgilerin gelişimini engellediğine dikkat çekmiştir. Kişiselleştirme Uzmanları Konsorsiyumu (Consortium of Personalization Professionals) (http://www.groundswell.marketing, ...
... It has been argued that personalized communication could have both benefits and costs for the media user (Awad & Krishnan, 2006;Dinev & Hart, 2006). Examples of benefits are that personalized communication would improve media experiences (McDonald & Cranor, 2010;Vesanen, 2007), saving time finding information or receiving more informative and relevant messages (Strycharz et al., 2019b). On the other hand, it could be considered as a cost because of concerns about one's privacy, or perceived risks of data disclosures (e.g., data breaches; Dinev & Hart, 2006). ...
Data-driven practices, such as personalized communication, computational advertising, and algorithmic decision making, are now commonplace. However, they have been criticized for (mis)uses of personal data and invasions of people's privacy. Recently, scholars have started to examine the concept of perceived surveillance to obtain more insight into the perceptions and effectiveness of data-driven communication. Despite the growing research interest in perceived surveillance, there is no validated scale to measure this concept. This study aimed to validate the Perceived Surveillance Scale. The reliability and validity of the scale were tested in two surveys (N = 137 and N = 1,008) and one experiment (N = 527). In all three studies, the scale showed good reliability. Regarding construct validity, the results showed that, as expected, the Perceived Surveillance Scale was positively related to privacy concerns, privacy risk perception, perceived vulnerability, perceived severity, creepiness, surveillance concerns, and perceived personalization. In line with the predictions, the scale was negatively related to personalization attitudes. The Perceived Surveillance Scale can assess differences in perceptions of or responses to data-driven communication in different communication domains.
... On the one hand, quality often means the possibility to personalize a product or service. Once exclusive to the top-end of the luxury market (e.g., Rolls Royce co-designing with the customers its 5000 cars per year), personalization is now becoming more and more common for goods with a much lower price tag (Torn & Vaneker, 2019;Vesanen, 2007). ...
Digital technologies have transformed every aspect of marketing and have brought consumer privacy front and center of research and discourse over the last two decades. Whereas companies and consumers have arguably benefited through the availability and use of data made possible by digitalization, consumer privacy‐related concerns raise compelling questions that researchers, companies, and policymakers are addressing. In this review paper, we review privacy related to digital technologies in marketing, highlighting the constantly evolving nature of the field. We provide an overview of the rich contributions made by the articles in the special issue on digital technologies and privacy, and the original insights they provide for researchers and practitioners in four domains—communication, retailing, pricing, and product personalization. We identify and outline future research directions in each of these four domains to expand our understanding of privacy at the intersection of psychology and marketing by motivating new scholarly research and providing actionable insights to managers and policymakers.
... In the past years, due to the strong market competition, customization (Ansari & Mela, 2003;Pallant et al., 2020), ondemand production (Anderson, 2004;Li et al., 2019), and personalization (Kotras, 2020;Vesanen, 2007) were extensive discussed to better satisfy the customer demand and control of costs. C2M business model integrates the above thoughts and is already applied in business, which has gradually attracted attentions in recent years. ...
In this paper, the customer to manufacturer (C2M) platform in e-commercial business which connects the customers and the manufacturers is studied. The platform is organized in a centralized collaboration framework where an e-commercial company and multiple manufacturers form a collaborative alliance to satisfy the product orders of multiple customers and maximize a total profit of the alliance. The key issue of the C2M platform is to seek a fair allocation of the profit among the manufacturers. A profit allocation mechanism is proposed for the platform that can assure the stability of the alliance and the sustainability of the platform. The mechanism is based on core allocation and considers each manufacturer’s contribution in fulfilling orders. The effectiveness of the mechanism is evaluated by numerical experiments on 60 instances generated from real data of Alibaba. The experiment results display that the participation of more manufacturers in the C2M platform is profitable. The proposed mechanism can create a profit allocation that keeps in the core in 31 of 60 instances and produce a feasible profit allocation in other 29 instances, which is more reasonable than the current mechanism of C2M platform and easier applied in practice.
... Our study identifies a shift from a more affective-personal approach towards factual-professional over time in this crisis communication setting. These dynamics represent potential contributions to the role of personalization in communications (Vesanen, 2007), specific to such settings. Use of temporality (for instance, the emphasis that the restrictions would only impact a limited, yet uncertain time period) across the closure messages decreased by 84%. ...
This research examines how retail businesses from central England’s Midlands region communicated temporary closure of their brick-and-mortar stores via shop window messages during the first two Covid-19 lockdowns in 2020. These closure notices represent important forms of crisis communication for businesses, which display various levels of information, emotional language, or functional intent, and offer signposts for business continuity. 417 shop window closure notices were photographed - 167 and 250 from the first and second periods of lockdown respectively. In order to analyse the data, a multimodal social semiotic framework was employed, allowing the study to examine the language, design and function of each notice. Interviews were then conducted with selected businesses and customers to generate insights into the nature of messaging used by businesses. The findings detail how businesses adopt corporate/personal voices for their messaging, outline uncertain temporality about reopening, and help to amplify national public health messaging.
... This attribute is recognized to be of utmost importance in online retailing as it provides more tangible experiences and information to consumers. Likewise, online service personalization creates a pleasant shopping environment for customers and also sets up customized individualization, which is generally not available in traditional stores (Vesanen, 2007). Due to data mining and advanced technologies, this is also cost-effective in the online mode compared to traditional stores (Lee and Park, 2009). ...
Purpose- This study conducts a systematic literature review to synthesize the extant literature primarily on "online shopping consumer behavior" and to gain insight into "What drives consumers toward online shopping".
Design/methodology/approach-The authors followed guidelines for systematic literature reviews with stringent inclusion and exclusion criteria. The review is based on 79 research papers published from 2000 to 2020 in 21 reputed peer-reviewed international journals. The papers were analyzed and synthesized based on their defining characteristics, methodologies, major constructs and themes addressed.
Findings-The literature synthesis indicated that consumers have to make a trade-off between 11 perceived benefits and six perceived sacrifices to improve their net perceived value before making the final decision to adopt online shopping. It is important to decode these factors as they could improve both the functional and recreational value of the shopping experience for online consumers, resulting in an improvement in conversion rates from a prospect to the final purchase at e-stores. This could improve turnover as well as profits for the e-tailers.
Originality/value-This study pioneers to consolidate these factors through the lens of the value adoption model. This study also suggests insightful directions for further research perspectives in the online context from both consumers' and retailers' perspectives.
... In law, personalization is substituting a uniform law for one tailored to an individual's preference, characteristics, or circumstances [28]. Other fields have several definitions for personalization as in marketing [29] and ecommerce [30], leading to confusion or ambiguity. Similarly, scholars in political science and communication view personalization from different perspectives. ...
... The customers in industry should be able to produce products best tailored for the customer's needs, tastes and their lifestyle [79]. Even in a big organization, the paradigm of mass production has changed in the last years and we can observe the tendency to produce products tailored to particular customer needs [35,[80][81][82][83][84]. The personalization of the product can allow customers to feel that they are important for us-this is as important on the industrial market as in the steel sector. ...
For the past decade, Industry 4.0 has become the basis for building competitive advantage for business operations. The key technologies of Industry 4.0 are implemented in enterprises of various industries. This paper focuses on presenting the results of research on the influence of the Industry 4.0 concept on the operations of enterprises that are implementing smart manufacturing (SM) projects. The paper analyses the following areas of influence of projects on the enterprises’ operations: productivity, agility and speed, quality, competitiveness and enterprise value, profitability, staff reduction, delivery improvements, vertical and horizontal integration, resource savings, reduction of operating costs, technology adaptability and quality of machine operations. The paper belongs to the research paper category. The research tool was a questionnaire. The research was carried out in the segment of steel enterprises in Poland. The results of the presented research belong to pilot research of a segment of steel industry in Poland. The main conclusion of the study is that implementation of Industry 4.0 in the Polish steel sector had a positive influence on many factors strictly connected with the innovativeness of the company. Especially, the implementation of this conception in the steel sector leads to an increase in the quality of the product and the possibility to achieve a good level of customization of the product. Those factors are very important for the steel sector potential to succeed on the competitive market. The individual SM projects that were evaluated were a form of case study. The participants of the research were employees in managerial positions and operating technological installations in steel sector enterprises. In the opinion of the surveyed (79 people), depending on the type and scope of changes implemented in the company in the direction of Industry 4.0, decision-makers expect a higher quality of processes and products, the ability to meet customer requirements—the direction of the personalization of products and services, agility and flexibility of performed operations with the use of smart technology and accuracy and precision of performance higher than in the case of manual human activities.
... This type of personalization requires a learning relationship built upon on-going firm-customer communication and interaction. TMP is expected to deliver greater convenience and preference match for the recipients, resulting in higher customer perceived value, satisfaction, trust, commitment, actual purchases, and even willingness to pay (e.g., Shen & Dwayne Ball, 2009;Tam & Ho, 2006;Vesanen, 2007). ...
Recognizing the penetration of mobile devices and its transformational impact on travel behavior, tourism and hospitality businesses have been investing on various mobile initiatives to connect with travelers, hoping to influence their decision-making behaviors at different stages throughout the trip. One of these strategies is to provide personalized contents that are more attractive and persuasive. As research regarding the impact of mobile-driven personalization practices on travel behavior is limited, this study investigates the factors affecting travelers' adoption of personalized mobile travel advice. Based on personalization-privacy paradox and self-referencing effect, a 2 (self-reference: high vs. low) × 2 (relevance: high vs. low) between-subjects experiment was carried out. The results demonstrate the mechanism underlying the effects of personalization cues (self-reference and content relevance) on travelers’ intention to adopt personalized mobile travel advice. The competitive mediating roles of perceived personalization and privacy concern on the relationship between personalization cues and adoption intention are highlighted.
... Given the circular dynamics of the framework, it assumes that users' responses to algorithm-recommended communication also function as (data) input for new communication and selection processes (Liu-Thompkins et al., 2020). This is also in line with Vesanen's (2007) model on personalization. For instance, clicks on a recommended news article can serve as useful input of a person's interest in the particular issue or topic. ...
Purpose
The purpose of this study is to introduce a comprehensive and dynamic framework that focuses on the role of algorithms in persuasive communication: the algorithmic persuasion framework (APF).
Design/methodology/approach
In this increasingly data-driven media landscape, algorithms play an important role in the consumption of online content. This paper presents a novel conceptual framework to investigate algorithm-mediated persuasion processes and their effects on online communication.
Findings
The APF consists of five conceptual components: input, algorithm, persuasion attempt, persuasion process and persuasion effects . In short, it addresses how data variables are inputs for different algorithmic techniques and algorithmic objectives, which influence the manifestations of algorithm-mediated persuasion attempts, informing how such attempts are processed and their intended and unintended persuasive effects.
Originality/value
The paper guides future research by addressing key elements in the framework and the relationship between them, proposing a research agenda (with specific research questions and hypotheses) and discussing methodological challenges and opportunities for the future investigation of the framework.
The aim of this study is to examine how Netflix, which makes a big difference in the digital environment compared to its other competitors, affects machine learning, personalization and cultures for countries. In addition, Netflix's attitude to the Covid-19 process, which heavily affects all sectors and businesses in the world, the studies it has done and the situations related to the increase in the number of views are discussed. Within the framework of this situation, Netflix, which carries out many studies such as artificial intelligence, machine learning and so on in today's world, offers personalization services for its audience and target audience. Netflix uses such activities to direct its works and continues its efforts to retain its users and reach new members. Strive to recognize, follow and understand its consumers, Netflix is constantly in search of innovations. It acts with the approach of managing the process correctly, turning the crisis into an opportunity and gaining the appreciation of its consumers. In this study, all these situations are examined and the breakthroughs made by Netflix are handled. Netflix's foresight in its work, the tools it uses, its perspective and approaches are important in terms of encouraging and guiding both its competitors and businesses or brands in other sectors.
Successful retirement planning critically depends on access to accurate and up-to-date information. In this paper, we focus on the Australian Superannuation industry to examine the influence of digital technology in facilitating communication and information flow among its various actors. Using a qualitative research methodology, we conducted 22 semi-structured interviews with various industry actors including Superfunds, fund members, consultants, IT and digital solutions providers, and representatives from industry regulators. Our findings highlight the need for these actors to enhance their resource and knowledge-sharing capabilities, consumer need recognition, and information flow to ultimately enable Superfund members to improve their retirement planning and financial well-being.
JEL Classification: D14 Household Saving • Personal Finance, D15 Intertemporal Household Choice • Life Cycle Models and Saving, J26 Retirement • Retirement Policies and J32 Nonwage Labor Costs and Benefits • Retirement Plans • Private Pensions
Wireless tracking technologies is an emerging technology used in tourism destinations to better understand the movement of tourists and to develop more personalized products. However, little is understood of tourists’ perceptions of these wireless tracking technologies. This study investigated the impact inferences of manipulative intent, privacy concerns, perceived personalization, and personal innovativeness on tourists’ attitudes and intentions towards the technology and destinations. A total of 615 questionnaires were collected under three between-subject’s conditions, namely ‘wireless tracking only’, ‘Wi-Fi wireless tracking’, and ‘app-based tracking’. Structural equation modelling revealed that perceived personalization significantly predicted positive attitudes, while inferences of manipulative intent significantly deterred tourists. Theoretically, this study reveals the different ways in which different wireless tracking technologies are perceived and how these perceptions impact on the destination. Further, the results of this study can assist destination marketing organizations and governing bodies to improve their implementation of such technologies at a destination.
Loyalty programs offer unique opportunities for firms to personalize their marketing communications to consumers. However, limited attention has been paid to how consumers’ actions within a loyalty program can be leveraged to design effective personalized messages. Addressing this gap, the current research investigates how tier level and goal distance in hierarchical loyalty programs can dictate varying responses to cognitive vs. affective message designs. Through two lab experiments and one field study involving real email campaigns from an international frequent flyer program, we show that the two components work jointly through a Boolean-like mechanism to determine a consumer’s mental construal level. A lower construal level results from simultaneous low tier and distance, which leads to a more favorable response to affective message appeals. In comparison, when either or both of tier level and goal distance are of high magnitude, the resulting higher construal level favors more cognitive message appeals.
The Fourth Industrial Revolution was sparked by the emergence of the concept of Industry 4.0, which took advantage of previous human technological achievements in automation, digitization and communication of resources and people. The development of new digital technologies has resulted in a completely new approach to the role of man not only in industry but also in the economy as a whole. Digitally supported manufacturing technologies, data mining, Big Data Analytics and ICT telecommunications are now emerging, enabling machine-to-machine and machine-to-human communication in a virtual environment. Customization and the required rapid response in the market mean that the potential of different companies must be combined. Today, it is possible to create a fully integrated system of suppliers, manufacturers and customers operating in sophisticated open networks. The creation of temporary production networks is an opportunity for the development of the SME sector, which on their own are unable to compete for the modern customer with Smart Factories.
Le problème de la sédentarité représente aujourd’hui un des grands enjeux mondiaux et est considéré par l’OMS et l’ONU comme la première cause de mortalité liée aux maladies non transmissibles. Dans le même temps, bien que l’exercice physique se soit révélé comme la meilleure parade contre ces maux, la plupart des consommateurs évoquent une série de freins pour adopter sa pratique régulière.L’objet de cette thèse est de proposer des approches alternatives basées sur le concept de la valeur perçue en marketing qui s’est révélé dans le cas des autres types de biens et services comme un élément permettant de motiver et de fidéliser les consommateurs.Nous avons abordé les sources de la valeur perçue par le consommateur dans le cas du marketing de la personnalisation, du marketing communautaire et du marketing expérientiel dont nous avons intégré les différentes facettes dans une approche combinatoire pour proposer la notion de composante de l’exercice en tant que trade-off entre les coûts et les bénéfices.Nous avons également validé que, d’une part, les valeurs perçues des différentes composantes liées à la pratique de l’exercice se combinaient pour former la valeur globale perçue de l’exercice, et que, d’autre part, celle-ci influençait in fine l’intention de pratiquer régulièrement l’exercice et de le recommander.Les résultats de la recherche nous ont permis de suggérer que l’offre d’exercice devrait être proposée comme un menu à la carte afin de faciliter le processus décisionnel des consommateurs et ainsi les motiver et les fidéliser à la pratique.
Digital media have become a mainstream source of data for sociolinguistics, reflecting the ubiquity of such media and the centrality of their role in people’s everyday speech as well as changed attitudes towards what constitutes a valid object of study in sociolinguistics. As our personal and professional reality becomes more technologized, there is, however, an urgent need to engage with a deeper understanding of the current and evolving digital economy underpinning this reality in order to assess critically the data that we now encounter. Trends such as personalization, securitization, and hierarchization, for example, mean that the sociolinguistic data we encounter are increasingly shaped by users’ digital identities. In the current digital economy, language is a key tool for steering, recording, and tracking these identities, for example, in the form of algorithms; however, the sociolinguistic dimension to these processes has not yet been explored fully. As well as more integrated approaches to studying digital sociolinguistic data, our increasingly technologized reality demands that we build algorithmic reflexivity into our teaching and our research.
الملخص:
تهدف هذه الدراسة إلى تحديد أثر جودة الخدمة بأبعادها (الملموسية، الاعتمادية، الاستجابة، الأمان، التعاطف) على القيمة المدركة وعلى ولاء العميل ، حيث تم التعامل مع مفهوم الولاء على أنه متعدد الأبعاد (ولاء موقفي وسلوكي). بالإضافة لدراسة الدور الوسيط للمتغيرات العلائقية (رضا العميل، ثقته بالخدمات المقدمة من طرف مؤسسة MOBILIS للاتصالات والتزامه بالتعامل معها) في العلاقة ما بين جودة الخدمة والولاء.
ولقياس كل متغيرات النموذج النظري المقترح للبحث والتأكد من صحة الفرضيات، قمنا باختبار عينة مكونة من 400 مفردة من مستهلكي خدمات شبكة الهاتف النقال MOBILIS ببعض الولايات الممثلة للغرب الجزائري. حيث أن تحليل البيانات مر أولا بالتحليل العاملي الاستكشافي باستخدام برنامج SPSS.V25 ثم التحليل العاملي التوكيدي وطريقة النمذجة باستخدام المعادلات الهيكلية باستخدام برنامج Statistica.V08 وذلك للقيام بالاختبار الإحصائي للفرضيات. حيث تم التأكد من صحة الفرضيات وبالتالي من التأثير الإيجابي لأبعاد جودة الخدمة والقيمة المدركة على ولاء العميل من خلال الدور الوسيط للرضا، الثقة والالتزام. ما عدى تأثير الثقة على الرضا ومن ثم الولاء التي لم تكن معنوية.
الكلمات المفتاحية: أبعاد جودة الخدمة، القيمة المدركة للعميل، الرضا، الثقة، الالتزام، الولاء والنمذجة بالمعادلات الهيكلية.
Abstract:
This study aims to determine the impact of service quality with its dimensions (tangibility, reliability, response, safety, empathy) on perceived value and customer loyalty, where the concept of loyalty was dealt with as a multi-dimensional (attitudinal and behavioral loyalty). In addition to studying the mediating role of relational variables (customer satisfaction, confidence in the services provided by MOBILIS Telecom and his commitment to deal with them) in the relationship between service quality and loyalty.
In order to measure all the variables of the proposed theoretical model for research and to verify the validity of the hypotheses, we tested a sample of 400 individuals from consumers of the mobile network services MOBILIS in some of the representative states of western Algeria. As the data analysis went through first the exploratory factor analysis using the SPSS.V25 program, then the confirmatory factor analysis and structural equations modeling using the Statistica.V08 program in order to perform the statistical testing of the hypotheses. The hypotheses were validated and thus the positive impact of the dimensions of service quality and perceived value on customer loyalty through the mediating role of satisfaction, trust and commitment. Except for the effect of trust on satisfaction and then loyalty, which was not significant.
Keywords: dimensions of service quality, perceived value to the customer, satisfaction, trust, commitment, loyalty and structural equations modeling.
Résumé:
Cette étude vise à déterminer l'impact de la qualité de service avec ses dimensions (tangibilité, fiabilité, réactivité, sécurité, empathie) sur la valeur perçue et la fidélité client, où le concept de fidélité a été traité comme un concept multidimensionnel (fidélité attitudinale et comportementale). En plus d'étudier le rôle médiateur des variables relationnelles (satisfaction client, confiance dans les services rendus par MOBILIS Telecom et son engagement à les traiter) dans la relation entre qualité de service et fidélité.
Afin de mesurer toutes les variables du modèle théorique proposé pour la recherche et de vérifier la validité des hypothèses, nous avons testé un échantillon de 400 individus parmi les consommateurs des services du réseau mobile MOBILIS dans certains des états représentatifs de l'ouest algérien. Au fur et à mesure que l'analyse des données passait par l'analyse factorielle exploratoire à l'aide du programme SPSS.V25, puis l'analyse factorielle confirmatoire et la méthode des équations structurelles à l'aide du programme Statistica.V08 afin d'effectuer les tests statistique des hypothèses. Les hypothèses ont été validées et ainsi l'impact positif des dimensions de qualité de service et de valeur perçue sur la fidélisation client à travers le rôle médiateur de la satisfaction, de la confiance et de l'engagement. Sauf l'effet de la confiance sur la satisfaction puis la fidélité qui n'est pas significatif.
Mots-clés : dimensions de la qualité de service, valeur perçue pour le client, satisfaction, confiance, engagement, fidélité et la méthode des équations structurelles.
This study investigates how serendipitous suggestions enhance user engagement with and sociality perceptions of movie recommendation system (RS). We constructed a mock-up recommendation system that provided either serendipitous or personalised movie suggestions to users. Based on the uses and gratifications theory, entertainment and information-seeking motives were hypothesized to moderate the impact of serendipitous suggestions on users’ sociality perceptions of the system. Results from an experiment (N = 161) showed that even though available genres and the perceived recency and accuracy of suggested motives were kept constant across the conditions, the serendipitous suggestions scored higher on the reward dimension of user engagement than the personalized suggestions. Greater user engagement enhanced participants’ sociality perceptions of the system such as being helpful, friendly, and competent. User motives significantly moderated the effects of serendipitous suggestions; entertainment motives boosted the positive impact of serendipity on user engagement and sociality perception, whereas information-seeking motives mitigated its impact.
This study explores large retailers' exchanges of customer data and personalization through targeted advertising on retail media networks. The Retail Media Networks Model is introduced, and a case illustration is provided with examples from the model illustrating personalization/privacy exchanges from the retailers' perspective. Secondary data and primary data featuring interviews with retail media network managers and technology ad platform providers from large retailers in the US and EU. The size of retail media networks is discussed along with other current managerial implications relevant to personalization and data monetization, including, walled gardens, data privacy controls, and public policy issues.
Purpose
Over the last 50 years, increased attention for personalization paved the way for one-to-one marketing efforts, but firms struggle to deliver on this promise. The purpose of this manuscript is to provide a complete picture on personalization, develop a future research agenda and put forth concrete advice on how to move the field forward from a theoretical, methodological, contextual, and practical viewpoint.
Design/methodology/approach
This research follows a systematic literature review process, providing an in-depth analysis of 135 articles (covering 184 studies) to distill the (1) key building blocks and components of personalization and (2) theoretical, contextual, and methodological aspects of the studies.
Findings
This manuscript uncovers six personalization components that can be linked to two personalization building blocks: (1) learning: manner, transparency, and timing and (2) tailoring: touchpoints, level, and dynamics. For each of these components, the authors propose future research avenues to stimulate personalization research that accounts for challenges in today's data-rich environments (e.g. data privacy, dealing with new data types). A theoretical, contextual, and methodological (i.e. industry, country and personalization object) review of the selected studies leads to a set of concrete recommendations for future work: account for heterogeneity, embed theoretical perspectives, infuse methodological innovation, adopt appropriate evaluation metrics, and deal with legal/ethical challenges in data-rich environments. Finally, several managerial implications are put forth to support practitioners in their personalization efforts.
Originality/value
This research provides an integration of personalization research beyond existing and outdated review papers. Doing so, it accounts for the impact of new technologies and Artificial Intelligence and aims to advance the next generation of knowledge development on personalization.
O objetivo geral da pesquisa foi identificar a influência da conveniência/tempo, interatividade, compatibilidade, esforço/expectativa no engajamento do aplicativo móvel, bem como se o engajamento do aplicativo móvel influencia com as conexões de marca própria mediada pelo relacionamento/comprometimento com base no modelo estrutural de Kim e Baek. Para isso, desenvolveu-se uma survey por meio da modelagem de equações estruturais baseada em PLS. O questionário foi aplicado com 566 consumidores na região nordeste do Brasil. Como resultado, verificou-se que os construtos das hipóteses H1 a H4 influenciam positivamente no engajamento do aplicativo móvel. Os achados demonstraram também que a H5 é confirmada, ou seja, o engajamento de aplicativos para dispositivos móveis tem efeito indireto com comprometimento do relacionamento, tal qual a hipótese H6 que assevera que o engajamento de aplicativos para dispositivos móveis tem efeito indireto com as conexões de marca própria. Por fim, a hipótese H7 também é confirmada ao inferir que o comprometimento do relacionamento se vincula positivamente com as conexões de marca própria e é mediada pelo engajamento do aplicativo móvel.
Smart technologies promise to enhance customer experience to new levels in next-generation retail stores. Offline retailers increasingly employ technology-enabled personalization (TEP) strategies to digitally enhance in-store customer experience. To send personalized messages to in-store customers, retailers can choose from two types of smart devices: customer-owned smartphones or retailer-owned immersive screens. Although these smart devices may largely determine customers’ experiences in future retail, research rarely addresses device-related determinants of the effectiveness of personalized messages in stores. Building on assemblage theory, the authors consider the role of these devices in influencing customer experience and eventually consumer shopping behavior. Through two experiments and a mediated moderation analysis, they investigate the interplay of personalized content and device technology in customers’ response to TEP. The results illustrate that consumers react differently to message content depending on the device through which it is conveyed; that is, personalized (standardized) messages are more effective on customer-owned smartphones (retailer-owned screens) because they become integrated into (remain separate from) the customer's extended self. Relational customer experiences, or the extent to which a customer feels positively connected to store assemblages, mediate the effect on shopping behavior. To build TEP strategies, retailers should therefore use smart devices integrated into customers’ extended selves.
The concept of industry 4.0 has significant potentials to enhance organizational performance so as to cope with industrial change and to ensure market competitiveness in the world coordinated by industrial and scientific organizations using technical, economic, and sociopolitical parameters. The objectives of this research are to investigate the effects of energy efficiency improvement, smart factory, and mass personalization on organizational performance; describe the causality between the independent and the response variables; develop a new model and build theories based on Partial Least Squares Structural Equation Model (PLS-SEM); and generate specific propositions for industrial practitioners to improve their organizational performance. The study validated and assessed the proposed model using discriminant validity, reliability of measures, item loadings, and convergent validity based on the data gathered from employees of various industrial organizations. This study found that energy efficiency improvement, smart factory, and mass personalization were key driving factors on organizational performance in industry 4.0.
The digitization provides mass media with various means to personalize their online offerings. By better meeting user preferences, personalization theoretically allows mass media to counteract declining circulations and revenues. While past research has extensively addressed approaches to personalization, it is unclear to what extent mass media use personalization–a gap we address in this paper. Against empirical evidence from a one-week experiment simulating browsing behaviors on five German newspaper websites, we find little personalization. We discuss this counter-intuitive finding and derive various suggestions for future research. We conclude with a summary and an outlook on personalization systems in mass media.
This study aims to explore the composition of virtual guided tour experience on Airbnb and to develop a formation process of virtual guided tour experience. A case study based on the qualitative analysis was conducted with a dataset of online reviews towards an Online Experience in Beijing, China. A three-stage process of virtual guided tour experience was concluded, including experience encounter, experience evaluation, and behavioral intention. Experience encounter describes the experience composition from four dimensions: interpretation quality, host credibility, tourist-host social contact, and peer interaction; Experience evaluation is involved with benefits mainly gained from the enhanced understanding of local culture and the satisfaction attributed by the sense of telepresence; Further, behavioral intention covers both online and offline willingness to recommend or repurchase the virtual tour, or visit the destination in person after the pandemic. Theoretical and practical implications in navigating tourism recovery were discussed.
We applied four machine learning models, linear regression, the k-nearest neighbors (KNN), random forest, and support vector machine, to predict consumer demand for bike sharing in Seoul. We aimed to advance previous research on bike sharing demand by incorporating features other than weather - such as air pollution, traffic information, Covid-19 cases, and social economic factors- to increase prediction accuracy. The data were retrieved from Seoul Public Data Park website, which records the counts of public bike rentals in Seoul of Korea from January 1 to December 31, 2020. We found that the two best models are the random forest and the support vector machine models. Among the 29 features in six categories the features in the weather, pollution, and Covid-19 outbreak categories are the most important in model prediction. While almost all social economic features are the least important, we found that they help enhance the performance of the models.
This open access book presents the proceedings of the International Federation for IT and Travel & Tourism (IFITT)’s 29th Annual International eTourism Conference, which assembles the latest research presented at the ENTER2022 conference, which will be held on January 11–14, 2022.
The book provides an extensive overview of how information and communication technologies can be used to develop tourism and hospitality. It covers the latest research on various topics within the field, including augmented and virtual reality, website development, social media use, e-learning, big data, analytics, and recommendation systems. The readers will gain insights and ideas on how information and communication technologies can be used in tourism and hospitality. Academics working in the eTourism field, as well as students and practitioners, will find up-to-date information on the status of research.
Nowadays, hotels are adopting high technologies to improve the quality of their facilities and services to build competitive advantages. Although smart hotels are an emerging trend, no known studies have investigated hotel employees’ and guests’ perceptions of this kind of hotel. This research will investigate how hotel employees and guests perceive the benefits and drawbacks of smart hotels using Q methodology.
As global travel emerges from the pandemic, pent up interest in travel will lead to consumers making their choice between global destinations. Instagram is a key source of destination inspiration. DMO marketing success on this channel relies on projecting a destination image that resonates with this target group. However, usual text-based marketing intelligence on this channel does not work as content is consumed first and foremost as a visual projection. The author has built a deep learning based visual classifier for destination image measurement from photos. In this paper, we compare projected and perceived destination images in Instagram photography for four of the most Instagrammed destinations worldwide. We find that whereas the projected destination image aligns well to the perceived image, there are specific aspects of the destinations that are of more interest to Instagrammers than reflected in the current destination marketing.
This paper shows a first analysis of the experiences and challenges of studying tourism during the times of the COVID-19 pandemic. 14 tourism students from two higher education institutions in Europe participated in three focus group discussions. One generation of these students started their education in presence and had to shift online with the start of the pandemic, while the other generation started their education knowing that lessons would be mainly online. Authors used qualitative content analysis to analyze the participants’ statements. As a result of the analysis, several themes emerged, and students contextualized eLearning as an education method for a future without COVID-19.
Customer relationship management (CRM) is proving to be one of the most promising business strategies. However, in the field of destination marketing literature, a problem exists as to how data-supported CRM can be established. While customer data management has already been well exploited in other industries, DMOs lack customer proximity and data sovereignty. The aim of this paper is to fill this research gap and show how a data-based CRM can be deployed by DMOs based on the principles of social exchange theory. In 13 expert interviews, these aspects were examined from the DMO’s point of view. The results show that the exchange relationship must be established taking into account the DMO’s extraordinary conditions and critical success factors. In order to stimulate guests’ desire for dialogue or the willingness to disclose personal data, DMOs should offer high-quality customer benefits. A combination of hedonic and utilitarian benefits are found to be the most effective stimuli. In return, only the most necessary customer information should be requested and subsequently built passively. Only if the cost and benefit ratio of the exchange relationship is positive for both parties, a database for the CRM can be built in order to foster long-lasting relationships with potential and returning guests.
Wide-spread practitioner literature exists for the one-to-one marketing effect from a firm`s perspective; however, limited research discusses the psychological effect of one-to-one marketing from a consumer`s perspective. The authors test a model that integrates the level of consumer-perceived one-to-one marketing effort (OTO-E), instrumental (i.e., perceived usefulness) and affective benefits (Le., pleasure and arousal), and attitude toward the e-store (ATE). The analysis of an online survey (conducted with 195 U.S. undergraduates) confirms the positive effect of level of OTO-E on the benefits that influence ATE. In addition, it reveals the positive effect of the affective benefits on the instrumental benefit. The results expand the current research on the value of one-to-one marketing by presenting a consumer-oriented approach. As the study was conducted in the U.S. market with intense consumer demands for individuation of service, the results should provide useful managerial/ theoretical implications to Korean apparel e-tailers, concerning their future implementation of one-to-one marketing.
Purpose
The purpose of this paper is to investigate the impact of SMS (Short Message Service) advertising on consumer perceptions of Au Bon Pain's brand equity in Thailand.
Design/methodology/approach
The experimental study was based on a 4×2 between‐subjects design, with four levels of message types (personalization, interactivity, general, and no message control) and two levels of permission (with and without permission). Structural equation modeling was utilized to test the hypotheses.
Findings
SMS marketing is found to have a significant positive impact on brand awareness and perceived quality. Personalized, interactive, and general messages are effective for building brand awareness, and general and personalized messages positively influence perceived quality. With the right choice of message, explicit permission enhances the effects of SMS marketing on brand association.
Research limitations/implications
The experiment was conducted over a period of one month, with three SMS ads sent to each subject. Future research could extend the trial period and increase the number and variation of ads to confirm validity of the results.
Practical implications
As text message ads have a strong impact on brand awareness, marketers should focus on using text messages as reminders or updates rather than for complete marketing campaigns. They should also focus on offering permission‐based customers personalized information.
Originality/value
This is among the first mobile marketing experiments in a real‐life setting. Real text‐based promotions from an existing brand (Au Bon Pain) were tested on consumers. This approach creates a natural ad‐processing situation for participants, thus increasing the internal validity of the experiment.
Customized communications have the potential to reduce information overload and aid customer decisions, and the highly relevant products that result from customization can form the cornerstone of enduring customer relationships. In spite of such potential benefits, few models exist in the marketing literature to exploit the Internet's unique ability to design communications or marketing programs at the individual level. The authors develop a statistical and optimization approach for customization of information on the Internet. The authors use clickstream data from users at one of the top ten most trafficked Web sites to estimate the model and optimize the design and content of such communications for each user. The authors apply the model to the context of permission-based e-mail marketing, in which the objective is to customize the design and content of the e-mail to increase Web site traffic. The analysis suggests that the content-targeting approach can potentially increase the expected number of click-throughs by 62%.
Firms have only just begun to use the Internet to obtain customer information in their database marketing processes to enhance customer relationship management. This research uses an action research approach to develop a new framework about how they can do this. The action research project was carried out in a large Australian database company because no other sources of empirical information about the topic were available and it could provide rich findings about an under-researched, practical area. Results showed that integration of the Internet and database marketing enhances the effectiveness of customer relationship management practices. For example, the Internet offers benefits such as increased consumer data collection accuracy and speed, cost savings, greater interaction and better relationships with customers. This research also identifies that organizational culture, top management support and collaboration between marketing and IT teams need to be in place to provide a supportive environment that is critical for the success of the integration.
INTERNET MARKETING, 3RD EDITION provides comprehensive coverage of the rapidly changing field of Internet marketing that is timely and relevant. It relies on extant marketing theory where appropriate and introduces many conceptual frameworks to structure student understanding of Internet marketing issues. Above all, it works on the premise that the Internet--whether used as a medium of communication or as a channel of distribution--is only one component of the contemporary marketer's arsenal. The key issue facing marketers today is how to best integrate this powerful new component, continuing developments in Internet marketing into their strategies and media plans. That ongoing challenge represents the essential theme of this text.
Mass customization entails the mass production of individually customized goods and services. Co-design is a mass customization option where a product's design is based on the customer's selections from a range of design feature offerings. A model comprised of relationships between individual differences, motivations for using co-design, and willingness to use co-design was proposed and statistically supported using 521 university subjects from different regions of the USA and the analysis of moment structures (AMOS) statistic. As hypothesized, optimum stimulation level (OSL) predicted two clothing interest factors: experimenting with appearance (EA) and enhancement of individuality (EI). As proposed, OSL and EA predicted the two motivations, trying co-design as an exciting experience and using co-design to create a unique product, whereas EI only predicted using co-design to create a unique product. Both motives were mediating variables between individual differences and willingness to use co-design, but using co-design to create a unique product had a stronger effect. Theoretical and marketing implications were discussed.
This paper presents an overview and critique of the traditional distinction between retail goods and services. Of particular concern is the use of the “intangibility” criterion as a basis for categorizing and conceptualizing retail and service businesses. The “goods–services continuum” provides little clarification as to the issues of retail classification or strategy development. In place of this continuum, the paper presents a schema based upon the utilities provided to consumers by retail businesses. This retail utility schema functions as a guide for theory and strategy formulation in retail and service businesses.
This paper is a survey of recent work in the ¢eld of web usage mining for the bene¢t of research on the personalization of Web-based information services. The essence of personalization is the adaptability of information systems to the needs of their users. This issue is becoming increasingly important on the Web,as non-expert users are overwhelmed by the quantity of information available online,while commercial Web sites strive to add value to their services in order to create loyal relationships with their visitors-customers. This article views Web personalization through the prism of personalization policies adopted by Web sites and implementing a variety of functions. In this context,the area of Web usage mining is a valuable source of ideas and methods for the implementation of personalization functionality. We therefore present a survey of the most recent work in the ¢eld of Web usage mining,focusing on the problems that have been identi¢ed and the solutions that have been proposed.
Digitization and the growing importance of online environments require specific approaches for analyzing and managing e-brands. With a focus on pure players’ websites, the aim of our study is to analyze the main determinants of users’ e-brand attitudes. In doing so, our study considers three key variables relating to e-brand attitudes: interactivity, personalization and e-trust. A quantitative empirical study was conducted, and data were analyzed using structural equation modeling. The results show that the key determinants of user attitudes toward e-brands are interactivity (indirect) and personalization (direct). To a lesser extent, e-trust is a factor that has a significant effect on e-brand attitudes. Furthermore, it is the interrelationships among these constructs that are of particular interest. This study could serve both as a theoretical reference point for future research and as a managerial tool for the integrated evaluation of the multidimensional relationships among e-brand attitude key drivers.
Although very much in vogue in both academic discourse and practitioner rhetoric, presents a case for a need to be concerned over the use of the “R” (relational) word in marketing. But even this needs to be implemented with caution and sensitivity as evidence on how consumers react to the approach shows. In an era of self service and disintermediation, marketers are increasingly turning to customer data instead of the tacit understanding of customers they used to possess when interaction was on a more personal basis. There are, however, concerns over the nature of the data collected and the way in which it is used, that lead to a proposition that relationship marketing can be an oxymoron. Also, however, suggests a number of compromise solutions in an era in which marketers are unlikely to abandon the paradigm. If marketing reverted to earlier paradigms rather than promising cynical consumers a “relationship”, perhaps all parties might actually start to gain more trust in each other. Personal rather than relational interaction would indeed be more pragmatic.
Three field experiments examined an information processing explanation for the effectiveness of a direct mail persuasion technique. Respondents received an ad in the mail accompanied by a hand-written note of the form, “John, Try this. It works!” and signed using a common initial. In the first experiment, the technique increased (decreased) free sample requests when strong (weak) brand attributes were used. In a second experiment, the attribute quality interaction effect was found only for respondents who could not identify who sent them the ad. Those who knew the sender requested more free samples regardless of the attribute strength of the brand. A third experiment revealed that both the personalization and content of the note contribute to its effectiveness. Theoretical implications are discussed.
This study explores the dynamics of online service personalization in the online apparel retailing context, with regard to customers’ actual online shopping activities. From an empirical study of American Internet shoppers (n=204), three types of widely-used online service personalization, that is (i) offer, (ii) recognition, and (iii) personal advice, were identified. Moreover, grounded by the Theory of Reasoned Action [Fishbein, M., Ajzen, I., 1975. Belief, Attitudes, Intention, Behavior: An Introduction to Theory and Research. Addison-Wesley, Reading, MA], relationships between customers’ online service personalization attitudes and their online shopping activities—regarding apparel items—have been investigated. Findings of this study empirically present the dynamics of online service personalization in the context of online apparel retailing. Also, the results show that customer online shopping experiences may impact on their online service personalization attitudes. Theoretical and managerial implications are also discussed regarding online service management. Based on the results, Internet-based apparel retailers may benefit from developing various types of personalization services by enhancing shopping intentions of their customers, in particular, of those who are loyal to the retailers.
This paper addresses the issue of mass-customisation from the point of view of consumer demand. It aims to develop a framework to examine the demand side of the mass-customisation equation which will allow researchers to identify whether a market of customers who are ready for mass-customised products exists. In doing so it considers in particular three “inconveniences” of mass-customisation: the increased price of customised products; the delay in receipt of custom-made products; and the need for customers to invest time in specifying their preferences before the product can be produced.
Abstract In this conceptual paper, we propose that the next stage of evolution of mass customization is customerization– a buyer-centric company,strategy that combines mass customization with customized marketing. Spurred by the growth of Internet and related technologies, many leading companies (e.g., Dell) are beginning to deploy customerization on a large scale. In this paper we define customerization,and describe how it is different from the related strategies of mass customization, personalization,and one-to-one marketing. We also describe the opportunities and challenges companies,face in deploying a customerization strategy, and the potential benefits that they might realize. ,,,,,,, ,,,,,,,
The trade off between customer privacy and Web site personalisation is currently moving to the forefront of academic and practical debate in marketing. The new Internet applications allow marketers to develop detailed customer databases where personal information is connected with buying patterns, providing a detailed behavioural profile. The collection and use of the data is regulated differently in the European Union and the USA. While Europe considers it important to implement formal legislation for the protection of customers’ privacy rights, the US authorities consider privacy policy to be determined through voluntary regulation by industry. Considering these different approaches, the present study explores and compares the privacy/personalisation dimensions of French, British and US Web sites.
The value and supply chain is an emerging pathway to marketing's emphasis on customers. It integrates a renewed focus on customer value and the economic and behavioral systems of the supply chain. Successful value chains can be developed with emphasis on the four practices that drive a customer orientation. These are: relationships, interactivity, valuing customers over time, and customization. When properly integrated, these practices help to form networks operating as a competitive unit. This paper clarifies the role of value in the value chain, discusses the use of the four major elements in the value chain, and draws implications for marketers.
This paper examines the concept of mass customisation from the point of view of the customer. Although the theory of mass customisation has received considerable attention in recent years, the emphasis has been on identifying and classifying the ways in which mass customisation can be implemented efficiently and effectively. There appears to have been no empirical evidence to support the notion that customers are indeed ready for this approach. The aim of this study is to examine how far customers are “ready” for mass-customised products, using the UK new car market as its basis for analysis. A framework is developed and results presented which suggest that a sizeable section of the market is ready to accept the “inconveniences” of mass-customised products. However, the main inconvenience of mass customisation is identified as increased price, even for “ready” customers. It would seem, therefore, that both global standardisation and mass customisation strategies are appropriate in this market.
The mediatization of politics in general, and of election campaigns in particular, seems to be an obvious consequence of media changes during recent decades and of an increasing interdependence between political processes and mass communication. As in many other European countries, three trends mark such development in Germany: (1) an enormous expansion of supply of new types of media and content genres, (2) the growing importance of television in political communication and (3) the transformation of election campaigning. Based on election studies and content analysis data, this article examines these changes with regard to their impact on voter behaviour. The article looks for evidence of voter mobilization, television dependency and personalization trends, and discusses potential consequences of a changing campaign style. The findings support and, at the same time, modify some implications of the mediatization hypothesis. They concur with recent scepticism about the notion of Americanization. The article discusses the results with reference to changes in campaigning strategies, e.g. tendencies towards the secularization of election research having repercussions on research concepts and results
Investigates the role of brand name in consumers' decision making during a customization process, and develops a conceptual understanding of the factors influencing the role of brand name from a “search vs experience” perspective. Addresses the strategic relationship of brand with perceived product/service/information preference match and the impact of preference match on consumer “willingness to pay for customization”. Brand name was found to be an important decision variable for customization in terms of getting a better preference match. Brand name still holds an important role on consumer communications, as was expected. Therefore, it is reasonable to believe that customization would not “commoditize” brands, but rather increase the effect of brand names in purchase decision making. High-knowledge consumers reported stronger brand name effect in terms of its importance and usefulness in their decision making. The brand name effect varies across product categories, and the effect is stronger in the customization of search products than that in experience products. Thus, brand names have greater impact on choices in a search product where less total quality information on components is available for facilitating consumer choices. Discusses managerial implications of the study's findings.
The traditional system of company-centric value creation (that has served us so well over the past 100 years) is becoming obsolete. Leaders now need a new frame of reference for value creation. In the emergent economy, competition will center on personalized co-creation experiences, resulting in value that is truly unique to each individual. The authors see a new frontier in value creation emerging, replete with fresh opportunities. In this new frontier the role of the consumer has changed from isolated to connected, from unaware to informed, from passive to active. As a result, companies can no longer act autonomously, designing products, developing production processes, crafting marketing messages, and controlling sales channels with little or no interference from consumers. Armed with new tools and dissatisfied with available choices, consumers want to interact with firms and thereby co-create value. The use of interaction as a basis for co-creation is at the crux of our emerging reality. The co-creation experience of the consumer becomes the very basis of value. The authors offer a DART model for managing co-creation of value processes.
One of the key topics in direct marketing via the Internet is personalisation. In the past this way of communicating meant considerable extra costs. The Internet, however, has considerably lowered the incremental costs of personalising messages. E-mail has enabled companies to communicate with customers in a segmented way, without entailing extra physical costs. Personalisation is, therefore, becoming increasingly popular.The underlying assumption behind these personalisation efforts is that `sending the right message to the right customers will (dramatically) increase the effectiveness of communication'. This sounds logical, but little research has been done on the concrete effects of personalisation. This paper sheds more light on the issue, by demonstrating the effects of personalised communication as opposed to generic communication.Although personalisation can be based on many things including behaviour, most companies start out with message differentiation based on preferences or characteristics as given by the customers. This paper examines the effects of this personalisation method in more detail.Journal of Database Marketing (2002) 9, 137-142; doi:10.1057/palgrave.jdm.3240069
It has been suggested that personalization offers an avenue to improve marketing performance; however, there are several organizational and technical hurdles that hinder the efforts of marketers in capitalizing on it. This is largely because personalization has been executed as several disconnected campaigns and operations in many companies. Marketers also may have faced challenges posed by systems integration and organizational processes. In this article, we show how seeing personalization as a process helps marketers manage and execute it more effectively. A process view shows how the different phases of personalization—customer interactions, analyses of customer data, customization based on customer profiles, and targeting of marketing activities—are linked. Process analysis further identifies the key stumbling blocks that arise from ineffective integration of these phases.
During the past century, database marketing techniques have become increasingly important in allowing companies to reach and communicate with customers. An examination of the history of the field suggests that many of the core concepts associated with database marketing date back several decades, but the dissemination of these concepts into different industries and their integration with one another has proceeded slowly. This article presents an overview of how the field of database marketing has developed, with the hope that knowledge of what has happened in the past will enable marketers to find better ways to create relationships with their customers in the future.
This paper investigates the antecedents and consequences of customer loyalty in an online business-to-consumer (B2C) context. We identify eight factors (the 8Cs—customization, contact interactivity, care, community, convenience, cultivation, choice, and character) that potentially impact e-loyalty and develop scales to measure these factors. Data collected from 1,211 online customers demonstrate that all these factors, except convenience, impact e-loyalty. The data also reveal that e-loyalty has an impact on two customer-related outcomes: word-of- mouth promotion and willingness to pay more.
Digital intermediaries and Internet search technologies have commoditized many products, resulting in intense price competition and channel conflict. Firms use decommoditization strategies to regain control over distribution channels, as well as to implement resonance marketing and hyperdifferentiation, which allows them to improve margins through differentiation. We test two hypotheses: the decommoditization hypothesis and the resonance marketing hypothesis. We use data from an airline with a new à la carte pricing mechanism, which allows consumers to tailor airline ticket bundles to suit their individual preferences. We compare à la carte ticket pricing, whose features can be modified by the purchaser, and fixed (bundled offer) sales, which cannot be modified. We found that a significant number of travelers do use à la carte pricing, which allows the airlines to regain some control over distribution. We find that travelers customized standard bundles when it was possible for them to make à la carte ticket bookings, but mainly for low-feature standard bundles. Frequent-flyer members purchased higher-feature bundles more often when they had the opportunity. The findings support the proposed hypotheses. We discuss the implications for distribution strategy and channel conflict management.
We present a review of research studies that deal with personalization. We synthesize current knowledge about these areas, and identify issues that we envision will be of interest to researchers working in the management sciences. We take an interdisciplinary approach that spans the areas of economics, marketing, information technology, and operations. We present an overarching framework for personalization that allows us to identify key players in the personalization process, as well as, the key stages of personalization. The framework enables us to examine the strategic role of personalization in the interactions between a firm and other key players in the firms value system. We review extant literature on the strategic behavior of firms, and discuss opportunities for analytical and empirical research in this regard. Next, we examine how a firm can learn a customer's preferences, which is one of the key components of the personalization process. We use a utility-based approach to formalize such preference functions, and to understand how these preference functions could be learnt based on a customers interactions' with a firm. We identify well-established techniques in management sciences that can be gainfully employed in future research on personalization.
This study uses Markowitz mean-variance portfolio theory with forecasted data for the years 2005 to 2035 to determine efficient electricity generating technology mixes for Switzerland. The SURE procedure has been applied to filter out the systematic components of the covariance matrix. Results indicate that risk-averse electricity users in 2035 gain in terms of higher expected return, less risk, more security of supply and a higher return-to-risk ratio compared to 2000 by adopting a feasible minimum variance (MV) technology mix containing 28 percent Gas, 20 percent Run of river, 13 percent Storage hydro, 9 percent Nuclear, and 5 percent each of Solar, Smallhydro, Wind, Biomass, Incineration, and Biogas respectively. However, this mix comes at the cost of higher CO2 emissions.
Permission Marketing
- S Godin
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- R Hanau
Advertisers seek a narrower audience
- N Howell
Building the Customer-Centric Enterprise, Data Warehousing Techniques for Supporting Customer Relationship Management
- C Imhoff
- L Loftis
- J Geiger
Personalization isn't a product
- T Kemp
Personalization strategies, response rate and response quality in a mail survey
- R Kerin
Personalization bears fruit in satisfied customers
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Suomalaisten asiantuntijoiden kokemukset ja näkemykset digitaalisten kanavien käytöstä markkinoinnissa
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The One to One Fieldbook: The Complete Toolkit For Implementing a 1 to 1 Marketing Program
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Personalization requires better cross-pollination
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Some random thoughts … on personalizing”, The Reporter of Direct Mail Advertising
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- M Vankalo