The economics of advertising and privacy
One of the new realities of advertising is that personal information can be used to ensure that advertising is only shown and designed for a select group of consumers who stand to gain most from this information. However, to gather the data used for targeting requires some degree of privacy intrusion by advertisers. This sets up a tradeoff between the informativeness of advertising and the degree of privacy intrusion. This paper summarizes recent empirical research that illuminates this tradeoff.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Alessandro Acquisti & Hal R. Varian, 2002.
"Contidioning Prices on Purchase History,"
- Alastair R. Beresford & Dorothea KÃ¼bler & SÃ¶ren Preibusch, 2011.
"Unwillingness to Pay for Privacy: A Field Experiment,"
SFB 649 Discussion Papers
SFB649DP2011-010, Sonderforschungsbereich 649, Humboldt University, Berlin, Germany.
- Beresford, Alastair R. & Kübler, Dorothea & Preibusch, Sören, 2012. "Unwillingness to pay for privacy: A field experiment," Economics Letters, Elsevier, vol. 117(1), pages 25-27.
- Beresford, Alastair R. & Kübler, Dorothea & Preibusch, Sören, 2010. "Unwillingness to Pay for Privacy: A Field Experiment," IZA Discussion Papers 5017, Institute for the Study of Labor (IZA).
- Beresford, Alastair R. & Kübler, Dorothea & Preibusch, Sören, 2010. "Unwillingness to pay for privacy: A field experiment," Discussion Papers, Research Unit: Market Behavior SP II 2010-03, Social Science Research Center Berlin (WZB).
- Avi Goldfarb & Catherine Tucker, 2011. "Online Display Advertising: Targeting and Obtrusiveness," Marketing Science, INFORMS, vol. 30(3), pages 389-404, 05-06.
- Kihlstrom, Richard E & Riordan, Michael H, 1984. "Advertising as a Signal," Journal of Political Economy, University of Chicago Press, vol. 92(3), pages 427-50, June.
- Butters, Gerard R, 1977. "Equilibrium Distributions of Sales and Advertising Prices," Review of Economic Studies, Wiley Blackwell, vol. 44(3), pages 465-91, October.
- Avi Goldfarb & Catherine Tucker, 2011. "Search Engine Advertising: Channel Substitution When Pricing Ads to Context," Management Science, INFORMS, vol. 57(3), pages 458-470, March.
- David S. Evans, 2009. "The Online Advertising Industry: Economics, Evolution, and Privacy," Journal of Economic Perspectives, American Economic Association, vol. 23(3), pages 37-60, Summer.
- Avi Goldfarb & Catherine E. Tucker, 2011. "Privacy Regulation and Online Advertising," Management Science, INFORMS, vol. 57(1), pages 57-71, January.
- Benjamin Hermalin & Michael Katz, 2006. "Privacy, property rights and efficiency: The economics of privacy as secrecy," Quantitative Marketing and Economics, Springer, vol. 4(3), pages 209-239, September.
- Richard A. Posner, 1980. "The Economics of Privacy," University of Chicago - George G. Stigler Center for Study of Economy and State 16, Chicago - Center for Study of Economy and State.
- Catherine Tucker, 2010. "Social Networks, Personalized Advertising, and Privacy Controls," Working Papers 10-07, NET Institute.
- Clee, Mona A & Wicklund, Robert A, 1980. " Consumer Behavior and Psychological Reactance," Journal of Consumer Research, University of Chicago Press, vol. 6(4), pages 389-405, March.
- Bharat Anand & Ron Shachar, 2009. "Targeted advertising as a signal," Quantitative Marketing and Economics, Springer, vol. 7(3), pages 237-266, September.
- Tiffany White & Debra Zahay & Helge Thorbjørnsen & Sharon Shavitt, 2008. "Getting too personal: Reactance to highly personalized email solicitations," Marketing Letters, Springer, vol. 19(1), pages 39-50, March.
When requesting a correction, please mention this item's handle: RePEc:eee:indorg:v:30:y:2012:i:3:p:326-329. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.