Acceptance of mobile location-based advertising: a privacy calculus model

Location-based advertising is an innovative means for advertisers to reach consumers by sending messages directly to their mobile phones which have been tailored according to their real-time geographic location. Researchers and practitioners are currently looking to better understand the consumers’ acceptance intentions of location-based mobile advertising due to the drastic growth of mobile in recent years. Drawing upon the privacy calculus theory, this study builds a research model to examine the risks and benefits influencing acceptance intention towards mobile location-based advertising. A standardised survey was designed to test the conceptual model and 252 valid responses confirmed the significance of the constructs proposed: internet privacy concerns, intrusiveness, personalization and monetary rewards.