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Permission Marketing and Privacy Concerns — Why Do Customers (Not) Grant Permissions?

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  • Krafft, Manfred
  • Arden, Christine M.
  • Verhoef, Peter C.

Abstract

Little is known about the influence of motivators that drive consumers to grant permission to be contacted via personalized communication. In this study, a framework is developed to investigate the effect of select drivers of consumers granting permission to receive personalized messages. The authors distinguish between drivers related to benefit and cost to the consumers. They identify the influence of perceived personal relevance, entertainment, and consumer information control as well as monetary incentives and lottery participation as benefit-related factors. Cost-related factors entail the registration process, privacy concerns, and perceived intrusiveness. The authors find that, except for monetary incentives and lottery participation, the identified drivers significantly influence consumers' decision to grant permission. The strong negative influence of privacy concerns on the probability of granting permission can be lessened by two benefit-related factors, namely message content with entertainment value or personal relevance for the consumer. The study helps to improve firm measures aimed at getting more permissions — granted by customers for interactive campaigns.

Suggested Citation

  • Krafft, Manfred & Arden, Christine M. & Verhoef, Peter C., 2017. "Permission Marketing and Privacy Concerns — Why Do Customers (Not) Grant Permissions?," Journal of Interactive Marketing, Elsevier, vol. 39(C), pages 39-54.
    • Handle: RePEc:eee:joinma:v:39:y:2017:i:c:p:39-54
    DOI: 10.1016/j.intmar.2017.03.001
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    11. Braude-Zolotarev, M. (Брауде-Золотарев, М.) & Voloshkin, I. (Волошкин, И.) & Serbina, E. (Сербина, Е.) & Negorodov, Vitaliy (Негородов. Виталий), 2015. "Development Models of Legal Regulation of the Processing of Personal Data in the Public Sector in the Russian Federation [Разработка Модели Правового Регулирования Обработки Персональных Данных В П," Published Papers madd8, Russian Presidential Academy of National Economy and Public Administration.
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    20. Fehrenbach, David & Herrando, Carolina, 2021. "The effect of customer-perceived value when paying for a product with personal data: A real-life experimental study," Journal of Business Research, Elsevier, vol. 137(C), pages 222-232.
    21. Lucia-Palacios, Laura & Pérez-López, Raúl, 2021. "Effects of Home Voice Assistants' Autonomy on Instrusiveness and Usefulness: Direct, Indirect, and Moderating Effects of Interactivity," Journal of Interactive Marketing, Elsevier, vol. 56(C), pages 41-54.
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    23. Krafft, Manfred & Sajtos, Laszlo & Haenlein, Michael, 2020. "Challenges and Opportunities for Marketing Scholars in Times of the Fourth Industrial Revolution," Journal of Interactive Marketing, Elsevier, vol. 51(C), pages 1-8.

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