Increasing customers’ purchase and loyalty intentions through data-driven personalization in brick-and-mortar-stores
(A2023-114372)

AUTHORS

Thomas Rudolph, University of St. Gallen, Institute of Retail Management; Nora Kralle, University of St. Gallen; Kristina Kleinlercher, Institute of Retail Management, University of St.Gallen

ABSTRACT

Emergent technologies offer retailers new opportunities for personalized advertising in brick-and-mortar-stores. Drawing on literature on personalization and retail technologies, this research examines data-driven personalization in brick-and-mortar-stores. A field study shall reveal how data-driven personalization affects customer purchase and loyalty intentions and how personalized content should be communicated to maximize positive outcomes. We find that product personalization has a positive impact on customers’ purchase intentions but no effect on their loyalty intentions. Meanwhile, disclosure of data collection (manipulated through a disclaimer) positively impacts customers’ loyalty intentions but has no impact on their purchase intentions.