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Why Am I Seeing This Ad? The Effect of Ad Transparency on Ad Effectiveness.

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Title: Why Am I Seeing This Ad? The Effect of Ad Transparency on Ad Effectiveness.
Authors: Kim, Tami1 (AUTHOR) kimt@darden.virginia.edu, Barasz, Kate2 (AUTHOR), John, Leslie K3 (AUTHOR)
Source: Journal of Consumer Research. Feb2019, Vol. 45 Issue 5, p906-932. 27p. 7 Color Photographs, 1 Diagram, 4 Charts, 1 Graph.
Subject Terms: *Advertising effectiveness, *Marketing strategy, *Targeted advertising, *Privacy, *Advertising campaigns, *Organizational transparency
Abstract: Given the increasingly specific ways marketers can target ads, consumers and regulators are demanding ad transparency: disclosure of how consumers' personal information was used to generate ads. We investigate how and why ad transparency impacts ad effectiveness. Drawing on literature about offline norms of information sharing, we posit that ad transparency backfires when it exposes marketing practices that violate norms about "information flows"—consumers' beliefs about how their information should move between parties. Study 1 inductively shows that consumers deem information flows acceptable (or not) based on whether their personal information was: 1) obtained within versus outside of the website on which the ad appears, and 2) stated by the consumer versus inferred by the firm (the latter of each pair being less acceptable). Studies 2 and 3 show that revealing unacceptable information flows reduces ad effectiveness, which is driven by increasing consumers' relative concern for their privacy over desire for the personalization that such targeting affords. Study 4 shows the moderating role of platform trust: when consumers trust a platform, revealing acceptable information flows increases ad effectiveness. Studies 5a and 5b, conducted in the field with a loyalty program website (i.e. a trusted platform), demonstrate this benefit of transparency. [ABSTRACT FROM AUTHOR]
Database: Energy & Power Source
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  Data: Why Am I Seeing This Ad? The Effect of Ad Transparency on Ad Effectiveness.
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  Data: <searchLink fieldCode="AR" term="%22Kim%2C+Tami%22">Kim, Tami</searchLink><relatesTo>1</relatesTo> (AUTHOR)<i> kimt@darden.virginia.edu</i><br /><searchLink fieldCode="AR" term="%22Barasz%2C+Kate%22">Barasz, Kate</searchLink><relatesTo>2</relatesTo> (AUTHOR)<br /><searchLink fieldCode="AR" term="%22John%2C+Leslie+K%22">John, Leslie K</searchLink><relatesTo>3</relatesTo> (AUTHOR)
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  Data: <searchLink fieldCode="JN" term="%22Journal+of+Consumer+Research%22">Journal of Consumer Research</searchLink>. Feb2019, Vol. 45 Issue 5, p906-932. 27p. 7 Color Photographs, 1 Diagram, 4 Charts, 1 Graph.
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  Data: *<searchLink fieldCode="DE" term="%22Advertising+effectiveness%22">Advertising effectiveness</searchLink><br />*<searchLink fieldCode="DE" term="%22Marketing+strategy%22">Marketing strategy</searchLink><br />*<searchLink fieldCode="DE" term="%22Targeted+advertising%22">Targeted advertising</searchLink><br />*<searchLink fieldCode="DE" term="%22Privacy%22">Privacy</searchLink><br />*<searchLink fieldCode="DE" term="%22Advertising+campaigns%22">Advertising campaigns</searchLink><br />*<searchLink fieldCode="DE" term="%22Organizational+transparency%22">Organizational transparency</searchLink>
– Name: Abstract
  Label: Abstract
  Group: Ab
  Data: Given the increasingly specific ways marketers can target ads, consumers and regulators are demanding ad transparency: disclosure of how consumers' personal information was used to generate ads. We investigate how and why ad transparency impacts ad effectiveness. Drawing on literature about offline norms of information sharing, we posit that ad transparency backfires when it exposes marketing practices that violate norms about "information flows"—consumers' beliefs about how their information should move between parties. Study 1 inductively shows that consumers deem information flows acceptable (or not) based on whether their personal information was: 1) obtained within versus outside of the website on which the ad appears, and 2) stated by the consumer versus inferred by the firm (the latter of each pair being less acceptable). Studies 2 and 3 show that revealing unacceptable information flows reduces ad effectiveness, which is driven by increasing consumers' relative concern for their privacy over desire for the personalization that such targeting affords. Study 4 shows the moderating role of platform trust: when consumers trust a platform, revealing acceptable information flows increases ad effectiveness. Studies 5a and 5b, conducted in the field with a loyalty program website (i.e. a trusted platform), demonstrate this benefit of transparency. [ABSTRACT FROM AUTHOR]
PLink https://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=enr&AN=134760022
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        Value: 10.1093/jcr/ucy039
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        Text: English
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        PageCount: 27
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      – SubjectFull: Advertising effectiveness
        Type: general
      – SubjectFull: Marketing strategy
        Type: general
      – SubjectFull: Targeted advertising
        Type: general
      – SubjectFull: Privacy
        Type: general
      – SubjectFull: Advertising campaigns
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      – SubjectFull: Organizational transparency
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      – TitleFull: Why Am I Seeing This Ad? The Effect of Ad Transparency on Ad Effectiveness.
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              Text: Feb2019
              Type: published
              Y: 2019
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