Rekindling the Old Flame: Reengaging Inactive Customers of Low-Involvement Products Using Targeted Advertisements
(A2025-125716)

AUTHORS

Mengzhou Zhuang, The University of Hong Kong; Mengran Xu, Fudan University; Eric Fang, Lehigh University; Liyin Jin, Fudan University

ABSTRACT

This study investigates the effectiveness of personalized product messaging in reactivating inactive customers of low-involvement products. In doing so, it aims to address two research questions: (1) How does the effectiveness of product message framing vary with the recency of the customer's last purchase? and (2) How does the customer's past purchase frequency moderate the effect of recency of last purchase on the effectiveness of product message framings? Using a large-scale field experiment and a field survey on a mainstream digital platform, the authors investigate three types of targeted promotional messages (standard new product, past favorite, and functional upgrade) and theorize that their effectiveness varies by customer inactivity duration and past purchase frequency. The findings show that the optimal product message framing shifts from standard new product to past favorite to functional upgrade as more time elapses since the customer's last purchase. Past purchase frequency weakens the influence of last purchase recency, delaying the transitions in the optimal message framings. The follow-up clustering analysis offers practical targeted advertising strategies for managers to improve reactivation efficiency and increase revenue.