Ethics of mobile behavioral advertising: Antecedents and outcomes of perceived ethical value of advertised brands

The practice of mobile behavioral advertising, which involves monitoring and analyzing customer mobile browsing behavior and location in order to provide behavior-based personalized advertisements, is on the increase. This study investigated consumer perceptions of the ethical value of the brands advertised using mobile behavioral advertising, and the precursors and outcomes of these perceptions. Data was collected in Gauteng, South Africa from 500 consumers who indicated that they had previously been targeted by mobile behavioral advertising. Structural equation modeling was used to analyze the data. The results suggest that perceived privacy control, desire for privacy, privacy concerns, and attitude towards mobile behavioral advertising exert a significant influence on consumers’ perception of brand ethical value. Perceived brand ethical value was found to affect advertisement avoidance and brand customer relationship quality as denoted by brand romance. Marketers can use the study's findings to manage their mobile behavioral advertising practices better.