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When and whom to retarget?

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When and whom to retarget?

Tienke van Dijk Master Thesis

Msc Marketing Management & Intelligence First supervisor: Prof. dr. P.C. Verhoef

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Introduction (1)

• Growing popularity of banner advertising  hard to stand out from the advertising clutter

• Solution to recent surge in online advertising noise: Retargeting

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Introduction (2)

• Consumers might not unanimously favor personalization, depending on the timing of its appearance

 When to retarget?

• Personalization is found to influence consumer behavior only for consumers with certain consumer characteristics

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Relevance

• Adds insights to the (small amount of) literature on retargeting

 little is known about moderators that strengthen or weaken the effectiveness of personalization

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Method

• Scenario-based online experiment

• 4 (high DCP, medium DCP(brand), medium DPC(category), no

DCP banner) x 3 (information, consideration, post-purchase stage) between subjects design

• Questionnaire

• Data of 166 Dutch participants

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Results

• Personalization increases CTI and PI with relatively high personalization having the most impact

• Personalization works best in the beginning and at the end of the purchase decision process

• Privacy concern inhibits the effects of personalization

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Implications

Retailers should use personalization

• When a consumer is in the beginning and at the end of the purchase decision process

• For consumers that are low in privacy concern  reduce privacy concern by increasing a consumer’s trust

• For consumers that are high in need for uniqueness 

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When and whom to retarget?

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