Give me your data and I’ll dress you: A two-sided messaging approach to address privacy concerns surrounding in-store technologies

In-store technologies can enhance shopping experiences but also might raise privacy concerns. Communication could alleviate these concerns, or it might trigger or exacerbate them. In an attempt to find ways to avoid such double-edged outcomes, we consider a two-sided messaging approach. To test the proposed hypotheses, which are based in social contract theory, we use a series of scenario-based experiments. The data reveal that two-sided advertisements can offset the negative impact of privacy concerns and enhance attitudes and usage intentions toward the technology. Personal information sensitivity constitutes a boundary condition, such that only for less sensitive information do two-sided messages reduce privacy risks, increase source credibility, and enhance usage intentions. For highly sensitive personal information, refutational two-sided advertising is more effective. Retail managers can use these findings to develop more compelling promotional campaigns to encourage the use of innovative, in-store technologies and thereby enhance consumers’ shopping experiences.