The effects of customization and permission on location-based advertising toward consumer behavioural intention

This study analyzes the effects of interactive advertising approach (customization, permission, intrusiveness) and sales promotion on Location-Based Advertising (LBA) toward consumer behavioural intention after receiving LBA. This study uses scenario-based online survey which manipulated the timing, location, message content, and the flow of communication through the process of customization and permission. The data was collected from 835 respondents and was analyzed by using PLS-SEM technique with SmartPLS 2.0. The findings of this study indicate that customization, permission, low level of intrusiveness and sales promotion on LBA have positive effects toward consumer behavioural intention through satisfaction and consumer perceived value.