Investigating The Effect Of Cognitive And Affective Aspects On Consumers' Behavioral Response To Online Behavioral Advertising

Document Type : Research Paper

Authors

1 Business Management Dep.,Faculty of management, kharazmi University, Tehran, Iran

2 Assistant Prof., Faculty of Management, Kharazmi University, Tehran, Iran.

3 MSc., Faculty of Business Management, Kharazmi University, Tehran, Iran

10.22059/jibm.2023.352929.4511

Abstract

Objective

Nowadays, due to the advancement of technology, it is possible to follow the behavior of consumers on the Internet. As a result, marketers can design advertisements according to consumers' needs and characteristics But on the flip side, consumers' privacy concerns will be activated. Some of researchers have focused on positive side of online behavioral advertising (OBA) and others have investigated the negative sides of it . Therefore, the present study aims to investigate the effect of these cognitive and effective factors on the behavioral response of consumers to OBA and tries to investigate both positive and negative sides.

Methodology

This survey research has an applied approach. The study population is Internet users of Tehran Universities. A total of 385 questionnaires were distributed among the sample members In order to find those who have had the experience of viewing such advertisements, a screening question was placed at the beginning of the questionnaire and 299 respondents had seen OBA in the past six months when the survey was conducted and then answered the questions. SPSS 26 and Smart PLS3 software were used for descriptive and inferential statistics respectively.

Findings

The findings show that perceived personalization increases perceived relevance, decreases perceived intrusiveness and increases behavioral response to the advertisement. Also, information control has a negative effect on perceived intrusiveness and privacy concerns. Persuasion knowledge has a positive effect on privacy concern. Consumers with high levels of persuasion knowledge have more privacy concern toward OBA. Reducing privacy concerns improves attitudes toward OBA and subsequently increases behavioral response to the advertisement. Privacy concern does not effect on behavioral response to the advertisement. Also, perceived relevance and perceived intrusiveness mediate the relationship between perceived personalization and behavioral response to the ad. Attitude toward OBA mediates the relationship between privacy concern and Behavioral response to the advertisement.

Conclusion

OBA due to its relevance to the consumer's needs and the reduction of perceived intrusiveness increases the response to the advertisement (a direct and indirect positive mechanism respectively) and this method of advertising is a suitable approach to increase the response rate to online advertisements. Allowing users to control their information will reduce perceived intrusiveness and privacy concerns. Improving consumers' persuasion knowledge by emphasizing on the benefits of OBA will reduce their privacy concerns and improve their attitudes toward it, followed by increasing behavioral response to the advertisement. Oppsosite to some of past researches privacy concern dose not affect on behavioral response; Maybe this is because of the nature of OBA that uses a different data compared to personalized advertising. Also, OBA is known as tow edge sword but the effect of the negative side (privacy concern) is less than the positive side (perceived relevance). This research will contribute to the literature on personalized advertising (specifically online behavioral advertising) and include practical implications for marketers and brand managers and advertising agencies.

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Main Subjects