Title: Empirical analysis of adoption motivations of location-based advertising using partial least squares structural equation modelling

Authors: Mun-Wai Siah

Addresses: Department of Marketing, The University of Edinburgh Business School, 29 Buccleuch Place, Edinburgh, EH8 9JS, UK

Abstract: Location-based advertising is seen as possibly a new type of advertising with the rise of mobile advertising. This study therefore aims to empirically determine the motivations behind the adoption intention of the system. UTAUT2 was used as the basis of variables to explain consumers' acceptance of LBA. Performance expectancy, effort expectancy, social influence, hedonic motivation and perceived risk was used to test the adoption intention of LBA. One hundred data points was collected from the population of the UK using both online and offline questionnaire. The data was analysed using partial least square structural equation modelling. The result shows that only performance expectancy, social influence and hedonic motivations have a positive effect on intention. It was also found that effort expectancy has an indirect effect with intention, which was mediated by performance expectancy. However, effort expectancy and perceived risk were found to have an insignificant effect on intention to use LBA.

Keywords: location-based advertising; LBA; UTAUT2; PLS-SEM; UK; United Kingdom; adoption motivation; partial least squares; PLS; structural equation modelling; SEM; consumer acceptance; performance expectancy; effort expectancy; social influence; hedonic motivation; perceived risk.

DOI: 10.1504/IJMOM.2015.075798

International Journal of Modelling in Operations Management, 2015 Vol.5 No.3/4, pp.177 - 195

Received: 24 Oct 2015
Accepted: 04 Jan 2016

Published online: 05 Apr 2016 *

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