Title: Determinants of mobile consumers' perceived value of location-based advertising and user responses

Authors: Trisha T.C. Lin; Fernando Paragas; John Robert Bautista

Addresses: Wee Kim Wee School of Communication and Information, Nanyang Technological University, 31 Nanyang Link 637718, Singapore ' College of Mass Communication, University of the Philippines-Diliman, Ylanan Street, Diliman, Quezon City, Metro Manila, Philippines ' Wee Kim Wee School of Communication and Information, Nanyang Technological University, 31 Nanyang Link 637718, Singapore

Abstract: This study examines factors affecting mobile consumers' perceived advertising value of latest location-based mobile advertising (LBA) and its relationship with user responses. Data was collected from a nationally representative web survey of 605 respondents who fit the demographic quotas of mobile consumers in Singapore. Partial least squares results show that privacy concerns have a stronger negative effect on perceived LBA value than perceived sacrifice, while perceived utility, utilisation of contextual information and trust positively predict perceived LBA value. Moreover, perceived LBA value increases consumers' responses to purchase advertised brands, followed by searching for brand information and passing LBA to others. Implications for mobile advertising theories and practices are discussed.

Keywords: location-based advertising; mobile advertising; perceived control; perceived sacrifice; perceived utility; privacy concerns; trust; use intentions; contextual information; mobile consumers; perceived value; user responses; m-advertising; advertising value; Singapore; partial least squares; PLS.

DOI: 10.1504/IJMC.2016.075019

International Journal of Mobile Communications, 2016 Vol.14 No.2, pp.99 - 117

Received: 18 Oct 2014
Accepted: 02 Jul 2015
Published online: 29 Feb 2016 *

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