Personalized online advertising effectiveness: The interplay of what, when, and where

Marketing Science

Volumn 34, Issue 5, 2015, Pages 669-688

  Bleier, Alexander ^a   Eisenbeiss, Maik ^b  

^a BOSTON COLLEGE   (United States)

^b UNIVERSITY OF BREMEN   (Germany)

Author keywords

Advertising effectiveness; Online advertising; Personalization; Retargeting

Indexed keywords

EID: 84939593412     PISSN: 07322399     EISSN: 1526548X     Source Type: Journal    
DOI: 10.1287/mksc.2015.0930     Document Type: Article

References (68)

1. Abhishek V, Fader PS, Hosanagar K (2013) Media exposure through the funnel: A model of multi-stage attribution. Working paper, Heinz College, Carnegie Mellon University, Pittsburgh.
2. Anand BN, Shachar R (2009) Targeted advertising as a signal. Quant. Marketing Econom. 7(3):237–266.
3. Ansari A, Mela CF (2003) E-customization. J. Marketing Res. 40(2): 131–145.
4. Baker BJ, Fang Z, Luo X (2014) Hour-by-hour sales impact of mobile advertising. Working paper, Fox School of Business and Management, Temple University, Philadelphia.
5. Bettman JR, Luce MF, Payne JW (1998) Constructive consumer choice processes. J. Consumer Res. 25(3):187–217.
6. Bhatnagar A, Papatla P (2001) Identifying locations for targeted advertising on the Internet. Internat. J. Electronic Commerce 5(3): 23–44.
7. Braun M, Moe W (2013) Online display advertising: Modeling the effects of multiple creatives and individual impression histories. Marketing Sci. 32(5):753–767.
8. Campbell MC (1995) When attention-getting advertising tactics elicit consumer inferences of manipulative intent: The importance of balancing benefits and investments. J. Consumer Psych. 4(3):225–254.
9. Chatterjee P (2005) Changing banner ad executions on the Web: Impact on clickthroughs and communications outcomes. Adv. Consumer Res. 32(1):51–57.
10. Chatterjee P, Hoffman DL, Novak TP (2003) Modeling the clickstream: Implications for web-based advertising efforts. Marketing Sci. 22(4):520–541.
11. Cho C-H, Cheon HJ (2004) Why do people avoid advertising on the Internet? J. Advertising 33(4):89–97.
12. Close AG, Kukar-Kinney M (2010) Beyond buying: Motivations behind consumers’ online shopping cart use. J. Bus. Res. 63(9): 986–992.
13. Dalessandro B, Hook R, Perlich C, Provost F (2012) Evaluating and optimizing online advertising: Forget the click, but there are good proxies. Working paper, Stern School of Business, New York University, New York.
14. Drèze X, Hussherr F-X (2003) Internet advertising: Is anybody watching? J. Interactive Marketing 17(4):8–23.
15. Edwards SM, Li H, Lee J-H (2002) Forced exposure and psychological reactance: Antecedents and consequences of the perceived intrusiveness of pop-up ads. J. Advertising 31(3):83–95.
16. eMarketer (2013) Social, digital video drive further growth in time spent online. (May 8). Accessed June 23, 2015, http://www.emarketer.com/Article/Social-Digital-Video-Drive-Further-Growth-Time-Spent-Online/Article/1009872.
17. Goldfarb A, Tucker CE (2011a) Online display advertising: Targeting and obtrusiveness. Marketing Sci. 30(3):389–404.
18. Goldfarb A, Tucker CE (2011b) Privacy regulation and online advertising. Management Sci. 57(1):57–71.
19. Google (2015) Attribution reports and conversion data. Accessed June 23, 2015, https://support.google.com/adwords/answer/1722023?hlDen.
20. Guadagni PM, Little JDC (1983) A logit model of brand choice calibrated on scanner data. Marketing Sci. 2(3):203–238.
21. Guadagni PM, Little JDC (1998) When and what to buy: A nested logit model of coffee purchase. J. Forecasting 17(3/4):303–326.
22. Ha L, McCann K (2008) An integrated model of advertising clutter in offline and online media. Internat. J. Advertising 27(4): 569–592.
23. Hamman D, Plomion B (2013) Chango retargeting barometer. Report, Chango, Toronto. Accessed June 23, 2015, http://www.iab.net/media/file/Chango_Retargeting_Barometer_April_2013.pdf.
24. Helft M, Vega T (2010) Retargeting ads follow surfers to other sites. New York Times (August 29). Accessed June 23, 2015, http://www.nytimes.com/2010/08/30/technology/30adstalk.html?_rD0.
25. Hoeffler S, Ariely D (1999) Constructing stable preferences: A look into dimensions of experience and their impact on preference stability. J. Consumer Psych. 8(2):113–139.
26. Hof R (2011) Can behavioral targeting survive privacy worries? Forbes (July 20). Accessed June 23, 2015, http://www.forbes.com/sites/roberthof/2011/07/20/can-behavioral-targeting -survive-privacy-worries.
27. Hoffman DL, Novak TP (1996) Marketing in hypermedia computermediated environments: Conceptual foundations. J. Marketing 60(3):50–68.
28. Howard J, Sheth JN (1969) A Theory of Buyer Behavior (John Wiley & Sons, New York).
29. Interactive Advertising Bureau (2013) First quarter 2013 Internet ad revenues set new high, at $9.6 billion. Press release (June 3). Accessed June 23, 2015, http://www.iab.net/about_the_iab/ecent_press_releases/press_release_archive/press_release/pr-060313.
30. Jensen JD, King A, Carcioppolo N, Davis L (2012) Why are tailored messages more effective? A multiple mediation analysis of a breast cancer screening intervention. J. Comm. 62(5):851–868.
31. Jones JM, Landwehr JT (1988) Removing heterogeneity bias from logit model estimation. Marketing Sci. 7(1):41–59.
32. Kazienko P, Adamski M (2007) AdROSA—Adaptive personalization of Web advertising. Inform. Sci. 177(11):2269–2295.
33. Lambrecht A, Tucker C (2013) When does retargeting work? Information specificity in online advertising. J. Marketing Res. 50(5):561–576.
34. Lee L, Ariely D (2006) Shopping goals, goal concreteness, and conditional promotions. J. Consumer Res. 33(1):60–70.
35. Lenert L, Muñoz RF, Perez JE, Bansod A (2004) Automated e-mail messaging as a tool for improving quit rates in an Internet smoking cessation intervention. J. Amer. Medical Informatics Assoc. 11(4):235–240.
36. Lewis RA, Reiley DH (2014) Online ads and offline sales: Measuring the effects of retail advertising via a controlled experiment on Yahoo. Quant. Marketing Econom. 12(3):235–266.
37. Li H, Kannan PK (2014) Attributing conversions in a multichannel online marketing environment: An empirical model and a field experiment. J. Marketing Res. 51(1):40–56.
38. Li H, Edwards SM, Lee J-H (2002) Measuring the intrusiveness of advertisements: Scale development and validation. J. Advertising 31(2):37–47.
39. Li S, Chatterjee P (2005) Shopping cart abandonment at retail websites—A multi-stage model of online shopping behavior. Paper presented at the 2005 Marketing Science Conference, Emory University, Atlanta, June 16–18.
40. Lipsman A, Aquino C, Flosi S (2013) 2013 U.S. digital future in focus. Report, ComScore, Reston, VA. Accessed June 23, 2015, http://www.comscore.com/Insights/Presentations-and -Whitepapers/2013/2013-US-Digital-Future-in-Focus.
41. Manchanda P, Dubé J-P, Goh KY, Chintagunta PK (2006) The effect of banner advertising on Internet purchasing. J. Marketing Res. 43(1):98–108.
42. MediaMind (2012) Global benchmarks report—H1 2012. Report, MediaMind, New York. Accessed June 23, 2015, http://www.iab.net/media/file/MediaMind_Benchmark_H1_2012.pdf.
43. Moore RS, Stammerjohan CA, Coulter RA (2005) Banner advertiser- Web site context congruity and color effects on attention and attitudes. J. Advertising 34(2):71–84.
44. Morris B (2013) More consumers prefer online shopping. Wall Street Journal (June 3). Accessed June 23, 2015, http://online.wsj.com/article/SB10001424127887324063304578523112193480212.html.
45. Payne JW, Bettman JR, Johnson EJ (1993) The Adaptive Decision Maker (Cambridge University Press, Cambridge, UK).
46. Perlich C, Dalessandro B, Raeder T, Stitelman O, Provost F (2014) Machine learning for targeted display advertising: Transfer learning in action. Machine Learn. 95(1):103–127.
47. Perlich C, Dalessandro B, Hook R, Stitelman O, Raeder T, Provost F (2012) Bid optimizing and inventory scoring in targeted online advertising. Proc. 18th Internat. Conf. Knowledge Discovery Data Mining 4SIGKDD5 (ACM, New York), 804–812.
48. Peterson T (2013) eBay opens up its data for ad targeting— Follows lead of Amazon, Google and Facebook. Adweek (April 8). Accessed June 23, 2015, http://www.adweek.com/ news/technology/ebay-opens-its-data-ad-targeting-148469.
49. Petty RE, Cacioppo JT, Schumann D (1983) Central and peripheral routes to advertising effectiveness: The moderating role of involvement. J. Consumer Res. 10(2):135–146.
50. PricewaterhouseCoopers (2011) Measuring the effectiveness of online advertising. Report, PricewaterhouseCoopers, London, Accessed June 23, 2015, http://download.pwc.com/ie/pubs/2011_measuring_the_effectiveness_of_online_advertising.pdf.
51. Provost F, Dalessandro B, Hook R, Zhang X, Murray A (2009) Audience selection for on-line brand advertising: Privacyfriendly social network targeting. Proc. 15th Internat. Conf. Knowledge Discovery Data Mining 4SIGKDD5 (ACM, New York), 707–716.
52. Raeder T, Stitelman O, Dalessandro B, Perlich C, Provost F (2012) Design principles of massive, robust prediction systems. Proc. 18th Internat. Conf. Knowledge Discovery Data Mining 4SIGKDD5 (ACM, New York), 1357–1365.
53. Rodgers S, Thorson E (2000) The interactive advertising model: How users perceive and process online ads. J. Interactive Advertising 1(1):42–61.
54. Schneider W, Shiffrin RM (1977) Controlled and automatic human information processing: I. Detection, search, and attention. Psych. Rev. 84(1):1–66.
55. Sengupta S (2013) What you didn’t post, Facebook may still know. New York Times (March 25). Accessed June 23, 2015, http://www.nytimes.com/2013/03/26/technology/facebook -expands-targeted-advertising-through-outside-data-sources.html?pagewantedDall.
56. Shamdasani PN, Stanaland AJS, Tan J (2001) Location location location: Insights for advertising placement on the Web. J. Advertising Res. 41(4):7–32.
57. Simonson I (2005) Determinants of customers’ responses to customized offers: Conceptual framework and research propositions. J. Marketing 69(1):32–45.
58. Simonson I, Winer RS (1992) The influence of purchase quantity and display format on consumer preference for variety. J. Consumer Res. 19(1):133–138.
59. Skinner CS, Campbell MK, Rimer BK, Curry S, Prochaska JO (1999) How effective is tailored print communication? Ann. Behavioral Medicine 21(4):290–298.
60. Stitelman O, Dalessandro B, Perlich C, Provost F (2011) Estimating the effect of online display advertising on browser conversion. Proc. 5th Internat. Workshop Data Mining Audience Intelligence Advertising 4ADKDD5 (ACM, New York), 8–16.
61. Tucker CE (2014) Social networks, personalized advertising, and privacy controls. J. Marketing Res. 51(5):546–562.
62. Urban GL, Liberali G, MacDonald E, Bordley R, Hauser JR (2014) Morphing banner advertising. Marketing Sci. 33(1):27–46.
63. Van Doorn J, Hoekstra JC (2013) Customization of online advertising: The role of intrusiveness. Marketing Lett. 24(4):339–351.
64. Verhoef PC, Neslin SA, Vroomen B (2007) Multichannel customer management: Understanding the research-shopper phenomenon. Internat. J. Res. Marketing 24(2):129–148.
65. White TB, Zahay DL, Thorbjørnsen H, Shavitt S (2008) Getting too personal: Reactance to highly personalized email solicitations. Marketing Lett. 19(1):39–50.
66. Yaveroglu I, Donthu N (2008) Advertising repetition and placement issues in on-line environments. J. Advertising 37(2):31–44.
67. Yoo B, Donthu N (2001) Developing a scale to measure the perceived quality of an Internet shopping site (SITEQUAL). Quart. J. Electronic Commerce 2(1):31–45.
68. Yoon SO, Simonson I (2008) Choice set configuration as a determinant of preference attribution and strength. J. Consumer Res. 35(2):324–336.