RESEARCH

Abstract Exploring Gender Influence on Customer’s This study conceptualizes and tests a theoretical framework that investigates Intention to Engage Permission-based customers’ intention to engage in permis- sion-based mobile marketing communica- Mobile Marketing tions with a firm in the hospitality sector and examines the effects of gender. The HEIKKI KARJALUOTO, HEIKKI LEHTO, MATTI LEPPA¨NIEMI AND model proposes that perceived usefulness, CHANAKA JAYAWARDHENA perceived ease of use and perceived trust affect attitude toward advertising, which in turn, together with perceived behavioural control over mobile communications and reference group influence, affects intention to engage in permission based mobile communications with a firm. Data is collected by the means of an online survey (n58,578) and analysis incorporates con- firmatory factor analysis and structural equation modelling. The results support the conceptual model and show specifically that perceived usefulness of mobile communica- tions explains a considerable amount of INTRODUCTION Telecoms and Media (2006) estimates attitude toward advertising. Attitude was that wireless advertising spend will found to explain a considerable amount of With the notion of one-to-one mar- more than double from 2006 levels the intention to receive messages from a keting, which contends that custo- to over US$1.5bn in 2007 (US$ 871 firm. Furthermore, women are found to have a stronger relationship between mobile mers should be addressed individually, million in 2006), although still marketing communications with both inten- one at time (Peppers and Rogers remaining very minor in the overall tions to visit and actual visits compared to 1993, Peppers et al. 1999), marketers advertising landscape. men. The implications of these results are are increasingly shifting away from In this article we focus on per- discussed, together with managerial impli- mass marketing (Barwise and Farley mission-based SMS advertising, cations, study limitations, and future 2005). Similarly, marketing thinking which is the most common form research directions. is experiencing a reconstruction of mobile advertising today and towards service dominant logic, which thus also most relevant to market- Keywords: permission marketing, mobile accelerates relationship marketing by ers. Permission-based mobile mar- advertising, technology acceptance, providing better interactivity and con- keting can be defined as a message behavioural intention

Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 nectivity with the help of technology that has been requested by the in serving customers (Peppers et al. consumer as a part of an opt-in Authors 1999, Vargo and Lusch 2004). system (e.g. a consumer fills in their Companies are nowadays effectively mobile phone number on a website Heikki Karjaluoto utilizing digital marketing channels andagreestoreceiveinformationof ([email protected]) is Professor in Marketing at the University such as e-mail and SMS (text) messa- interest). In effect, the permission of Jyva¨skyla¨, Finland. His research ging to reach their target audiences. to market to the consumer is received by the marketer. interests include electronic business in SMS advertising, where a text message general and mobile business and Permission-based advertising mes- is used as a vehicle for the distribution commerce in particular. of promotional messages, is rapidly sages are powerful because by Heikki Lehto

gaining foothold as an important ([email protected]) is Chief 2008 Electronic Markets direct marketing tool (Barnes and Chanaka Jayawardhena Technology Officer at Brandson, Ltd, ß Scornavacca 2004, Trappey and ([email protected]) is Finland. His research interests are in Woodside 2006). In fact, global Lecturer in Marketing at Loughborough digital marketing communications and University Business School, UK. His consumer behaviour. brands such as McDonald’s, Coca- Copyright Volume 18 (3): 242-259. www.electronicmarkets.org DOI: 10.1080/10196780802265793 research interests are in consumer Matti Leppa¨niemi Cola, Pepsi, MTV, Volvo, Sony behaviour in new technologies and ([email protected]) is Researcher Pictures, Nike, Disney and Adidas service evaluation; he has won numerous in Marketing at the University of Oulu, have already begun to exploit mobile research awards including two Best Finland. His major areas of interests marketing concepts (e.g. Sultan and Paper Awards at the Academy of include mobile commerce, especially Rohm 2005). Globally, Informa Marketing Conference. mobile marketing. Electronic Markets Vol. 18 No 3 243

signing up to an opt-in marketing list, the consumer is Nysveen et al. 2005a). In general, the overall attitude requesting the information from the marketer rather toward technology has been used as a major determinant than simply being exposed to it (Martin et al. 2003). of whether a person is willing to use an information Thus marketers can gain better value for their market- system or not (Davis 1993). Although the attitude ing expenditure, as the message recipients have already toward technology has not been used in the original indicated a level of interest in the messages. TAM model, it acts as a central part of the TAM as an Consumer intention to engage in digital marketing antecedent of intention (Davis 1993, Lee et al. 2006, communications is a fresh topic and it is not surprising that Mathieson 1991). Technology acceptance literature has there is less literature on the subject compared to more not widely recognized the role of familiarity with the established subjects. Moreover, relatively less academic system or object under investigation, and thus most research has been devoted to the topics of examining the studies have not taken into account whether respondents driving forces of consumer intentions to use mobile services are experienced or inexperienced users of the system in general (Jayawardhena et al. forthcoming, Kautonen et (Taylor and Todd 1995a). Therefore it is suggested to al. 2007, Nysveen et al. 2005a) or, more specifically, to the investigate technology acceptance in the light of whether investigation of the antecedents of the intention to use the people have experience with the technology or not. mobile channel as a part of customer relationship manage- There is extant literature on the effects of technology ment (CRM) programmes (Sinisalo et al. 2007). Although experience on Internet use and online shopping the growing importance of mobile media for marketing behaviour (McKechnie et al. 2006, Montoya-Weiss et activities is widely recognized (e.g. Balasubramanian et al. al. 2003). The literature is consistent in proposing that 2002, Nysveen et al. 2005, Watson et al.2002),gapsexist the more experience people have of the Internet, the in our understanding of this emerging marketing phenom- more positive attitudes they hold and therefore the more enon (Jayawardhena et al. forthcoming, Venkatesh 2005). willing they are to use various online services. With Furthermore, the literature also implies that behaviours respect to mobile marketing communications, it can be that result from mobile communications may be a function expected that prior experience is similarly associated with of gender. For instance, research appear to suggest females attitude. value enjoyment, fun and the social dimensions related to mobile service usage (Nysveen et al. 2005b). This is consistent with the view that women behave differently A CONCEPTUAL FRAMEWORK OF INTENTION TO USE from men (Stern 1999). Thus there are theoretical reasons MOBILE MARKETING COMMUNICATIONS to expect that women may experience mobile marketing communications differently to men. The conceptual model displayed in Figure 1 shows the The present study is designed to contribute to the theory causal links mainly established by previous studies of the acceptance of permission-based mobile marketing concerning technology acceptance and use. The model communications as a part of companies’ CRM programmes. is an integration of three theoretical foundations, albeit The main objective of the study is to develop and test a all originating from the Theory of Reasoned Action model of permission-based mobile marketing acceptance in (TRA) (Ajzen and Fishbein 1980, Fishbein and Ajzen relation to a real-life digital marketing campaign drawn from 1975), namely the Technology Acceptance Model Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 the hospitality sector. This research also examines the (TAM) (Davis 1989, Davis et al. 1989, Davis and impact of gender on behavioural intentions. Venkatesh 1996, Mathieson 1991), and its modifica- The remainder of this paper is structured as follows. The tions such as TAM2 (Venkatesh and Davis 2000), the next section outlines the different frameworks regarding Theory of Planned Behavior (TPB) (Ajzen 1991), and the investigation of intention to use new technology, the Unified Theory of Acceptance and Use of particularly mobile services. This will be followed by the Technology (UTAUT) (Venkatesh et al. 2003). presentation of the conceptual model and the hypotheses The literature is full of various modifications of the related to it. Subsequently, we present the methodology theories applied, mobile settings in general (Nysveen et and the analysis of data. The final section of the article al. 2005a), and mobile marketing in particular (Bauer et outlines the contributions of the present study, the al. 2005, Muk and Babin 2006). However, the limitations and suggests avenues for further research. conceptual model also shows new hypotheses not widely confirmed in the relevant literature, such as examining the effect of attitude toward advertising as an explana- FRAMEWORKS OF INTENTION TO USE NEW tory variable of intention to receive mobile marketing TECHNOLOGY communications from a firm. Furthermore, inside the mobile channel, relatively little is known about how the The intention to use mobile services has been investi- intention to receive marketing is associated with the gated in the information systems discipline mostly from behavioural intention to act (in our case, the intention to the perspective of the technology acceptance model visit the nightclub). We argue that there are several (TAM) and its modifications (Hung et al. 2003, factors that explain consumers’ intention to receive 244 Heikki Karjaluoto et al. & Exploring Gender Influence on Customer’s Intention to Engage Permission-based Mobile Marketing

Figure 1. Theoretical model

mobile communications from a firm, and test the link usefulness and ease of use are seen as antecedents of between attitude-intention-behaviour in a mobile consumer attitudes toward advertising: context. In the following sections we outline the theoretical bases for the antecedents of attitude and Hypothesis 1: Perceived usefulness of mobile communications is other concepts of the model and link them to relevant positively associated with attitude toward advertising. theoretical discussions. Hypothesis 2a: Perceived ease of use of mobile communications is positively associated with attitude toward advertising.

Perceived usefulness and perceived ease of use of In the light of the technology acceptance literature, mobile communications perceived ease of use is hypothesized to affect perceived usefulness (Davis 1989, King and He 2006, Venkatesh et al. 2003). Thus, we hypothesize that: The extant literature on technology acceptance and adoption highlights the importance of perceived Hypothesis 2b: Perceived ease of use of mobile communications Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 usefulness and ease of use as the main indicators of is positively associated with perceived usefulness of mobile whether a person is willing to adopt or use new communications. technology, particularly in the case of user acceptance of computers (Davis 1989, Davis et al. 1989, Davis and Venkatesh 1996, Mathieson 1991, Taylor and Todd 1995a). TAM studies have proposed that the effect of Perceived trust perceived ease of use (PEOU) is often less significant on acceptance than is the effect of perceived usefulness Although literature on the role of perceived trust (PTR) (PU) (Davis 1989, Keil et al. 1995). This is explained in the context of mobile communications is still at an by the fact that while users of the information system early stage, trust has been identified as one of the main learn about ease of use, its impact becomes instru- concepts affecting attitudes and intentions in electronic mental via PU. Although the original TAM model and channels (Ba et al. 2003, McKnight and Chervany 2002, its various extensions have been conceptually devel- Siau and Shen 2003, Yang et al. 2006). Trust can be oped further and tested extensively with various defined as a belief or expectation that another party can samples in many settings, and proved valid models of be relied on with confidence to behave in a manner that measuring user acceptance of information technology is beneficial or at least not detrimental to the other (Venkatesh and Davis 1996, Venkatesh and Morris party’s interests (Gambetta 2000, 217, Morgan and 2000), this stream of literature has so far produced Hunt 1994). As trust is a multidimensional concept equivocal results (Karahanna et al. 2006, Legris et al. including various dimensions such as benevolence and 2003). Thus, in line with the TAM literature, perceived competence (Ganesan and Hess 1997, Selnes and Electronic Markets Vol. 18 No 3 245

Grønhaug 2000), there is still considerable conceptual Arndt 2002, Lessig and Park 1978, Mehta, Lalwani and disagreement across disciplines of its different aspects Ping 2001). With respect to the willingness to receive (Poortinga and Pidgeon 2006) and of how it should be mobile marketing communications, peer influence has operationalized (Sargeant and Lee 2004). Generally been identified to positively affect the intention to engage speaking, with respect to electronic environments, trust in mobile marketing (Bauer et al. 2005, Muk and Babin has been accepted to consist of various dimensions such 2006, Rohm and Sultan 2006, Scharl et al.2005).Ina as benevolence, integrity and ability (Chen and Dhillon recent study of over 4,000 online users, peer influence was 2003, Gefen 2002, Lee and Turban 2001, McKnight et found to explain roughly 22% of the variation of the al. 2002). intention to receive mobile advertising (Karjaluoto and Past literature has shown the positive association of Alatalo 2007). On this basis, we propose that reference trust and the acceptance of and attitude toward new group influences both the intention to receive messages technologies (Chen et al. 2004, Eiser et al. 2002, Gefen and the intention to visit: et al. 2003). In general, the more trust there is, or the lower the perceived risk is, the more willing people are to Hypothesis 4a: Reference group influence is positively associated adopt new technologies. In other words, people are with intention to receive messages. assumed to oppose new technologies because of their Hypothesis 4b: Reference group influence is positively associated lack of trust or the risks involved (Huang and Chuang with intention to visit. 2007, Sjo¨berg 2002). Thus we propose that:

Hypothesis 3a: Trust in the marketer is positively related to attitude toward advertising. Perceived behavioural control Hypothesis 3b: Trust in the marketer is positively related to intention to receive messages. In general, perceived behavioural control (PBC) refers to people’s perceptions of their ability to behave in a given way. Perceived behavioural control was added to the Reference group influence TRA ‘in an attempt to deal with situations in which people lack complete volitional control over the behavior In literature, reference groups (REF) have been widely of interest’ (Ajzen 2002: 2). Ajzen (2002) recommends found to affect consumer attitudes, intentions and that PBC be measured indirectly in the same way as behaviour (Bagozzi 2000, Bearden and Etzel 1982, attitude and subjective norm that is, using belief-based Fishbein and Ajzen 1975). Reference group influence or measures that also capture the cognitive foundations subjective norms can simply be defined as what the underlying perceptions of behavioural control. consumer believes other people would think of a given However, most studies have used direct measures in behaviour. When measuring reference group influence, measuring PBC, such as direct questions related to the Fishbein and Ajzen (1975) propose using two measures, three to five controlling factors that are linked to the namely the normative belief (b), referring to doing what behavioural intention in question. Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 other people want one to do, and the motivation to Perceived behavioural control or a concept very similar to comply with different referents (m). In the original TRA it,calledself-efficacyhasbeenusedaspartoftechnology model the relative influence of subjective norms varies acceptance studies to predict the intention to use greatly from situation to situation, and in some circum- (Mathieson 1991, Taylor and Todd 1995b). While stances certain behavioural intentions can be primarily literature on the association of PBC and intention in affected by subjective norms (Peter and Olson 1990: 157). mobile context is fresh, and there is no commonly accepted Literature on subjective norms identifies two types of agreement on whether and how perceived behavioural reference groups, namely normative, such as parents and control affects intention to receive mobile marketing peers, and comparative, such as idols (Childers and Rao communications, preliminary results suggest that control 1992). Reference group influence in the marketing sector has little association with the intention to receive mobile has mostly been studied in the setting of tangible products marketing communications (Jayawardhena et al. Forth- (Hsu et al. 2006), and relatively few studies are available coming, Karjaluoto and Alatalo 2007, Merisavo et al. that have measured the various aspects of reference group 2007, Venkatesh et al. 2003). With the use of focus groups, influence in different social environments. In our study, Carroll et al. (2007) find that permission regarding content reference group influence is related to peer influence, as relevance and control over wireless service provider are many studies have considered the influence of peers on among the critical factors to the acceptance of mobile behavioural intention related to drinking, going out, advertising messages. Although studies have found that entertainment or dining to be more significant than the consumers regard control over mobile marketing as influence of other subjective norms, such as parents, extremely important, no significant associations with it community or comparative referents (Fitzgerald and and intention to use have been established. The main 246 Heikki Karjaluoto et al. & Exploring Gender Influence on Customer’s Intention to Engage Permission-based Mobile Marketing

reason for this is that mobile marketing in almost all Intention to receive messages and intention to visit countries is permission-based and thus requires asking permission from the consumers. Thus, we hypothesize The intention to receive messages (INR) refers to a that: person’s willingness to receive digital marketing communications, such as advertisements or alerts, from Hypothesis 5: Perceived behavioural control of permission-based a company. Receiving communications requires opt-in, messaging will have a positive influence on intention to receive and thus should not be confused with spamming. Prior messages. studies on consumer acceptance of mobile advertising have investigated factors that affect consumers’ intention to receive or adopt mobile advertising (Bauer et al. 2005, Leppa¨niemi et al. 2006). A study by Kim and Attitude toward advertising Hunter (1993) examined the links between attitude- behavioural intention-behaviour with meta-analysis. In general, attitude toward advertising (ATT) has been They found that attitudes are positively associated with studied extensively in the last few decades (Dutta- behavioural intention. On this basis we propose that Bergman 2006) with a wide variety of samples and there is a positive link between the behavioural intention methods (Shavitt et al. 1998). Prior literature on to receive messages and intention to visit: attitude toward advertising has its roots in attitude toward ads (Bauer and Greyser 1968, Lutz 1985), Hypothesis 7: Intention to receive messages is positively perceptions of ads in general (Durvasula et al. 1993) and associated with intention to visit. brand attitude (Muehling 1987). The attitude toward advertising has been defined in a way similar to the attitude toward any objective or behavioural intention as ‘a learned predisposition to respond in a consistently Gender influence favourable or unfavourable manner to advertising in general’ (Lutz 1985: 53). The attitude toward advertis- It has been argued that men and women differ in ing has been conceptualized to consist of at least two relation to how they process information and how they dimensions, such as the attitude toward the institution process environmental cues (Minahan and Beverland and the attitude toward the instrument (Durvasula et al. 2005). Although the impact of gender on mobile 1993, Sandage and Leckenby 1980), or, as pointed out marketing communications is scarce, several studies have by Dutta-Bergman (2006), as informational utility of investigated the link between demographics including advertising and the attitudes toward its regulation. gender and mobile service usage (Karjaluoto et al. 2006, The ultimate outcome of the studies on attitude Nysveen et al. 2005a, 2005b, Pedersen 2005). In terms toward advertising has been the proposition that of gender, studies have found that females are using attitude toward advertising affects consumer purchas- more SMS services such as texting to others than are ing behaviour (Bush et al. 1999). Lutz (1985) was males (Karjaluoto et al. 2006, Pedersen 2005). One among the first to argue that consumer attitudes possible reason for this is that females seem to value Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 toward advertising in general affect their attitudes enjoyment, fun and the social dimensions related to toward individual advertisements (see also Dutta- mobile service usage (Nysveen et al. 2005). In a series of Bergman 2006). Recent literature on online advertis- Finnish surveys on mobile service usage, female respon- ing has measured attitudes toward different online ad dents were found to be more active in ordering mobile formats (Burns and Lutz 2006) and found that the ad services such as logos and ringtones and in participating format is significantly associated with the attitude in mobile marketing in terms of sweepstakes and TV toward the ad. Moreover, the study found that the shows (Hyvo¨nen and Repo 2005, Karjaluoto et al. online ad format is an important characteristic of online 2006). advertising and influences online advertising response. In light of the limited amount of literature in gender The empirical results obtained by Drossos et al. (2007) related work on mobile marketing, it is useful to draw indicate that consumers held negative attitudes towards from previous work in related streams of literature where receiving mobile ads, unless they have specifically influence of gender has been examined in detail. Since consented to receive mobile ads (see also Tsang et al. there is emerging evidence that mobile marketing is a 2004). Furthermore, Drossos et al. propose precursor to mobile retailing (Karjaluoto et al. 2006), that attitudes toward specific mobile advertisements we have drawn from retailing literature to further are influenced by attitudes toward advertising in conceptualize our arguments on how gender roles will general. have an influence on behavioural intentions and actual behaviour in mobile marketing. Hypothesis 6: The more positive the attitude toward advertising, Previous work has identified differences in shopping- the higher the intention to receive messages. related attitudes based upon biological gender (Palan Electronic Markets Vol. 18 No 3 247

2002) and gender roles (Lavin 1993), although distinct likely to participate in mobile marketing communica- gender roles appear to have become somewhat blurred tions. More specifically we argue that the strength of the as evidenced by more recent work (Otnes and McGrath relationship between the customer’s intention to receive 2001). These arguments are based on the Savannah messages and behavioural intention to participate mobile Hypothesis, a theory in Evolutionary Psychology. This marketing communications will be as follows: hypothesis argues that human psychology has been shaped by the need to evolve and adapt to the savannah Hypothesis GEN: The strength of the relationship between the environment (Dennis and McCall 2005). More specifi- customer’s intention to receive messages and the likelihood of cally: ‘selection has favoured preferences, motivations his or her intention to visit will be greater for women than for and cognitions to explore and settle in environments men. abundant with the resources needed to sustain life’ (Buss 1998: 83). While it is outside of the scope of this paper to initiate detailed discussion of the Savannah Hypothesis, authors argue that this evolutionary adapt- METHOD ability may influence the way that we make shopping decisions (Dennis et al. 2005). Indeed, recent research Questionnaire in retailing has begun to present typologies of the respective shopping styles of men and women (Bakewell The majority of the construct items used in this study and Mitchell 2004, Campbell 1997, Dholakia and were adopted from prior mobile marketing and technol- Chiang 2003, Miller 1998, Otnes and McGrath ogy acceptance research. The item measures are listed in 2001). However, despite this work, there remains a Appendix with respective sources. All constructs consist need for further research examining differences across of multiple items, each of which was measured by a five- gender (Otnes and McGrath 2001). point Likert scale, from 1 (completely disagree) to 5 What authors have found thus far is that for most (completely agree) with a ‘do not know’ option. The shopping experiences females are generally characterized questionnaire was pre-tested with university students by: imagining and envisioning the merchandise in use (n515). After the pre-test the wording of some items (Campbell 1997); weighing up of the pros and cons of was modified and the sequence reconsidered. the purchase (Laroche et al. 2000); taking pride in their Furthermore, the revised questionnaire was reviewed ability to shop (Underhill 1999); viewing the shopping by a group of experts consisting of advertising and process as a leisure activity (Bakewell and Mitchell marketing practitioners and academics. No significant 2004); spending longer shopping than men (Campbell modification was suggested. A full breakdown of the 1997); visiting more shops than men; shopping more items is given in the appendix. often than men (Dholakia 1999); including social Perceived usefulness (PU), perceived ease of use interaction as an important part of the shopping (PEOU) and behavioural intention (BI) were measured experience (Otnes and McGrath 2001); including using items adapted from Davis (1989), Davis et al. entertainment in the shopping experience (Haytko and (1989) and Venkatesh and Davis (2000). The measure- Baker 2004); and shopping to express love for families ment scales were developed mainly for IS environment, Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 and social networks (Miller 1998). Men, on the other and, therefore, items were modified for the purposes of hand, generally have their shopping decisions character- this study. Perceived usefulness and perceived ease of use ized by the following: incisiveness, decisiveness, deter- were both measured using four items. The role of mination, and excitement at the ‘moment of the kill’ or intention as a predictor of behaviour is critical and has purchase (Dennis et al. 2005); instrumentality and been well-established in previous studies (Ajzen 1991, product specificity (Campbell 1997); lack of patience Sheppard et al. 1988, Taylor and Todd 1995a). Two and trying to complete the shopping activity in the scales were used in measuring behavioural intention. The shortest possible time (Bakewell and Mitchell 2004); intention to receive messages was measured with two preference for top brands as both symbols of economic items and the intention to visit with three measures power (Underhill 1999) and time savers (Bakewell and adapted from the previous studies mentioned above. Mitchell 2004); and shopping for power and achieve- In measuring perceived trust, the scales used by Chiou ment, so called ‘shopping to win’ (Otnes and McGrath and Droge (2006) having their origins in Smith (1997) 2001). and Harris and Goode (2004), both of these originating To summarize, the above commentary implies that from Hess (1995), were revised and adopted to the women, if they have had experience in digital direct present study. All items were specified after the marketing, have a positive attitude towards it and are questionnaire pre-test, as the respondents required more more likely to participate in such campaigns. On the specific instructions of what aspects of trust were to be other hand, men are characterized by a lack of patience measured. The specifications included, for instance, and a desire to finish digital marketing based activities as modifications like changing ‘XYZ brand is very honest’ soon as possible. Therefore, unlike women, men are less (Chiou and Droge 2006) to ‘X is very honest in its 248 Heikki Karjaluoto et al. & Exploring Gender Influence on Customer’s Intention to Engage Permission-based Mobile Marketing

marketing’ and ‘XYZ brand is very reliable’ to ‘X is a very total, 8,578 responses were received and the effective reliable advertiser’. The items captured the various response rate was 24%. dimensions of trust, including reliability, responsibility, In order to examine possible non-response bias we and motives/intentions. followed the method suggested by Armstrong and Reference group influence/subjective norms were Overton (1977), who propose that early respondents measured with four items. The first measure, social should be compared with late respondents. To this end, influence was adapted from Taylor and Todd (1995a). the first 1,000 respondents were compared with the last The other three measures were modified from scales 1,000 respondents. Mean comparisons revealed no used by Moschis (1976) and Cox et al. (1990). The significant differences (at p,.001) in the study con- modification reflects our interest in peer-based reference structs between the groups. Thus, it seems that groups, as opposed to reference groups in general. More significant non-response bias is not likely to occur in specifically, the subjects were asked about the influence this study. of their friends. Perceived behavioural control refers to ‘a person’s belief as to how easy or difficult performance of the RESULTS behavior is likely to be’ (Ajzen and Madden 1986). In this conception PBC was intended to reflect perceptions Descriptive statistics of factors that are both internal (e.g. knowledge, skills, will-power) and external (e.g. time, availability, the Table 1 summarizes the descriptive statistics of the cooperation of others) to the actor. We acknowledge sample. In terms of gender, 60.7% of the sample was this actual meaning of PCB, but it is not applicable for female, outweighing the male counterparts, who our purpose. Mobile advertising is permission-based in accounted for 39.3%. As expected, most respondents most developed countries and therefore consumers can were under 30 years of age: around 70% belonged to the be seen as having control over whether or not to receive age group 21 to 29. Full sample characteristics are given communications. With this in mind we developed three in Table 1. items for mobile marketing context. Consumers’ attitude toward mobile advertising has previously been studied to some extent by for example Measurement model assessment Tsang et al. (2004) and Bauer et al. (2005). However, the instruments developed in those studies were found Upon collection of data, all scales were subjected to a inappropriate for our purposes. Thus our scale of purification process. This involved recommended assess- attitude toward advertising was measured based on ments of dimensionality, reliability and validity items culled from the literature (Barksdale et al. 1976, (Anderson and Gerbing 1988). First the measures were Gaski and Etzel 1986, Obermiller and Spangenberg subject to an exploratory factor analysis (using maximum 1998, Pollay and Mittal 1993). likelihood) and reliability assessment. Here, items not loading clearly on any of the factors or with low item-to- total correlations were discarded. This resulted in the Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 Data collection elimination of two items. To assess reliability and validity of the model a The survey was planned as a part of the case firm’s direct confirmatory factor analysis (CFA) using LISREL8.7 was marketing campaign (conducted in Finland) in which customers were invited to participate in a typical ‘theme Table 1. Sample characteristics night’. The firm frequently arranges theme nights in their nightclubs, with changing themes. Typically, the Demographics n % case company sends their opt-in customers invitations to these theme nights via email (at the beginning of the Gender week) and SMS (on the night of the event). Male 3,367 39.3 The final version of the questionnaire was sent to ‘opt- Female 5,211 60.7 in’ customers chosen from the firm’s customer database Total 8,578 100.0 via an e-mail link. Opt-in customers were encouraged to Age click the link to jump to the survey site. As an incentive, Below 20 864 10.1 the respondents were invited to participate in a lottery 21–25 years 4,425 51.6 for a MP3 player. To minimize the mortality or 26–29 years 1,692 19.9 abandonment rate of questionnaire completion, we 30–34 years 929 10.8 created a system that required the respondents to 35 years and over 657 7.7 complete each question in order to proceed to the next Total 8,578 100.0 question. The survey site was open for two weeks. In Electronic Markets Vol. 18 No 3 249

conducted. We followed the two-step method recom- extracted (hereafter AVE) of the constructs. A model mended by Anderson and Gerbing (1988). There are can be considered to have good convergent validity if the various ways to test construct validity of a model. Although AVE for each construct is greater than 0.50 as this it is not a necessary requirement to test construct validity indicates that more of each construct is explained by its with separate tests if using covariance-based structural indicators than by other, external influences (Fornell and equation modelling (Gefen et al. 2000), tests of both Larcker 1981). The AVE of the constructs in the model convergent and discriminant validity have become com- ranged from 0.54 to 0.81. Overall, these results mon among researchers. In covariance-based structural indicated that our model had good convergent validity. equation modelling, construct validity is usually tested with The results of the CFA testing are presented in Table 2. an investigation of convergent and discriminant validity To assess discriminant validity of the model, we tested (Gefen et al. 2000). In general, convergent validity can be whether the square root of AVE for each construct is assessed via internal consistency by: 1) looking at the greater than the correlation with other constructs correlations among items which constitute a scale; 2) using (Fornell and Larcker 1981). Table 3 presents the square scales that have been accepted, used and proven valid in the root of the average variance extracted and the correla- field by other researchers; and 3) looking at the strength tions between the constructs. As can be seen, the square and significance of item loadings. root of AVE is greater than the correlation with any The fit indices associated with the CFA exceeded other construct. This indicates good discriminant acceptable thresholds. A combination of fit indices were validity of the model. used because this achieves a good balance between Type As a further test of the convergent validity of the I and Type II error rates when assessing model fit (Hu items in each scale and the discriminant validity and Bentler 1995). Construct validity was then further between each scale, we analyzed each possible pair of assessed by calculating Cronbach’s alpha for each the constructs by comparing their fit in terms of a scales. The alphas for the study constructs exceeded or unidimensional model and a two-factor model equalled the threshold 0.7 (Nunnally 1978) with one (Netemeyer et al. 1990). For all 28 pairs of constructs, exception (INR5.68) (see Table 2). The indicators in the two-factor solution provided a better fit than the the model loaded highly on their hypothesized con- unidimensional solution (i.e. x2 value of . 3.84 with a structs and were significant (factor loadings ranged from change in degrees of freedom of 1) offering support for 0.50 to 0.93). Another test of convergent validity the convergent and discriminant validity of each scale involved an investigation of the average variance (Anderson and Gerbing 1988). Finally, the correlations

Table 2. Confirmatory factor analysis results

n 8578 NFI .992 X2 2503.2 CFI .994 Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 df 283 RMSEA .030 Perceived Usefulness (PU 3 items) Perceived Behavioural Control (PBC 3 items) Composite Reliability/Cronbach’s alpha .86/.81 Composite Reliability/Cronbach’s alpha .83/.75 Average Variance Extracted (AVE) .67 Average Variance Extracted (AVE) .65 Parameter Estimates Range .81–.83 Parameter Estimates Range .68–.90 Perceived Ease of Use (PEOU 4 items) Reference Group Influence (REF 4 items) Composite Reliability/Cronbach’s alpha .90/.81 Composite Reliability/Cronbach’s alpha .85/.79 Average Variance Extracted (AVE) .69 Average Variance Extracted (AVE) .70 Parameter Estimates Range .70–.93 Parameter Estimates Range .65–.90 Perceived Trust (PTR 6 items) Intention to Receive (INR 2 items) Composite Reliability/Cronbach’s alpha .94/.92 Composite Reliability/Cronbach’s alpha .75/.68 Average Variance Extracted (AVE) .81 Average Variance Extracted (AVE) .54 Parameter Estimates Range .77 – .89 Parameter Estimates Range .70–.84 Attitude (ATT 3 items) Intention to Visit (INV 3 items) Composite Reliability/Cronbach’s alpha .73/.70 Composite Reliability/Cronbach’s alpha .91/.81 Average Variance Extracted (AVE) .60 Average Variance Extracted (AVE) .69 Parameter Estimates Range .50–.89 Parameter Estimates Range .73–.93 250 Heikki Karjaluoto et al. & Exploring Gender Influence on Customer’s Intention to Engage Permission-based Mobile Marketing

Table 3. Correlations and square root of average variance extracted

AVE PU PEOU PTR PBC ATT REF INR INV

PU 0.67 .82 PEOU 0.69 0.255 .83 PTR 0.81 0.629 0.227 .90 PBC 0.65 0.203 0.303 0.150 .81 ATA 0.60 0.653 0.173 0.600 0.020 .77 REF 0.70 0.467 0.036 0.511 20.061 0.453 .84 INR 0.54 0.613 0.261 0.677 0.127 0.616 0.561 .74 INV 0.69 0.396 0.131 0.348 20.046 0.377 0.481 0.481 .83

between constructs were in the a priori expected As it can be seen, all the paths except one turned out to directions, supporting the nomological validity of the be statistically significant. There are significant variations constructs used in the study (Hair et al. 2006). These in the strength of the paths, which warrant explanation. results, along with the findings of our earlier CFA Hypothesis 1 contends that there is a positive and analysis, support the psychometric soundness of the direct relationship between perceived usefulness of measures used in our study (Anderson and Gerbing mobile communications and the attitude toward adver- 1988, Netemeyer et al. 1990). tising. The path coefficient (b5.53) is strong with a high t value (30.85) indicating that PU has a strong positive association with attitude. Thus, in line with the extant Structural model assessment and hypotheses tests literature on technology acceptance, hypothesis 1 receives significant support from the data. The model fit was good (x253693.9 (df5295), p5.00; Hypothesis 2a proposes that the perceived ease of CFI50.991; NFI5.990; NNFI50.988; IFI50.991; use (PEOU) of mobile communications is positively RMSEA5.037) (Bollen 1989, Browne and Cudek associated with the attitude toward advertising (ATT). 1993, Hu and Bentler 1995). While the chi-square What we find is that the relationship is negative and statistic becomes problematic with large samples, other insignificant (b52.03, t521.84). Although this find- indices like RMSEA should be used to assess model fit ing is rather unexpected there is some support in the (Diamantopoulos and Siguaw 2000, Ullman and Bentler literature for this finding. Technology acceptance 2004). The RMSEA statistic for the model was below literature point out that PU is typically a stronger the cut-off criteria of .05 indicating a close fit (Browne determinant of attitude toward use and behavioural and Cudek 1993, Byrne 1989). Hypothesized path intention than perceived ease of use. A possible

Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 loadings, their respective t values, and model fit explanation for this is that if people believe that new measures are shown in Table 4. technology lacks in usefulness, even if it is easy to use,

Table 4. Path estimates and fit indices for model test

Path Loading t-value

H1 PU R ATT .53 30.85 H2a PEOU R ATT 2.03 21.84* R2 Fit Indices H2b PEOU R PU .27 19.07 .073 (PU) x253693.9 df5295 H3a PTRR ATT .38 21.25 .436 (ATT) CFI5.991 H3b PTR R INR .42 20.02 .701 (INR) NFI5.990 H4a REF R INR .18 10.37 .265 (INV) NNFI5.988 H4b REF R INV .32 19.92 RMSEA5.037 H5 PBC R INR .05 3.98 H6 ATT R INR .45 25.13 H7 INR R INV .28 15.88

*path not significant at p,0.01, all other paths significant at p,0.01 Electronic Markets Vol. 18 No 3 251

they will not consider using it (Davis 1989, Keil et al. messages and the likelihood of his or her intention to visit 1995). In this vein, there seems to be extant theoretical will be greater for women than for men. In order to assess support for this finding. possible gender differences in the c parameter between Hypothesis 2b argues that perceived ease of use menandwomen,twocompetingmodelswererunvia (PEOU) of mobile communications has a positive multi-group analysis. First, a restricted model was run in influence on perceived usefulness (PU) of mobile which the c value was fixed to be identical between men communications. The path is positive (b5.27, and women. The fit statistics for this restricted model are t519.07) supporting the hypotheses. Thus, perceived shown in Table 5. Following this, a second model was run ease of use seems to influence attitude via perceived in which the c parameter was estimated freely. The fit usefulness. statistics for this unrestricted model are also shown in Hypothesis 3a and 3b hypothesize that trust in the Table 5. As can be seen, the fit statistics for the unrestricted marketer is positively related to the attitude toward model show an improvement over the restricted model. advertising and to the intention to receive messages. The This confirms that there is a difference, across gender, in path coefficients for these hypotheses are quite similar the strength of the relationship between intention to (Hypothesis 3a: b5.38, t521.25; H3b: b5.42, receive and intention to visit. More specifically, in the t520.02). Both associations are positive and significant. unrestricted model, x2 increases by 93.98 with an Thus, both hypotheses are accepted. associated decrease of one degree of freedom, which is Hypothesis 4a argues that reference group influence is significant at p,.05 (to be significant at the 5% level, the positively associated with the intention to receive messages, critical value for a Chi-square change with one degree of whereas hypothesis 4b proposes that reference group freedom is 3.84). The RMSEA and CFI improved influence is positively associated with the intention to visit. marginally. All other fit indices, namely the NNFI and Support for both hypotheses is found (Hypothesis 4a: the GFI remain the same across both models. Therefore, b5.18, t510.37; hypothesis 4b: b5.32, t519.92). These based upon these results we used the unrestricted model to findings are in line with the theories of Reasoned Action inform our hypotheses. and Planned Behaviour, both of which propose that reference groups influence behavioural intentions. Hypothesis 5 argues that the perceived behavioural DISCUSSION control of permission based messaging will have an influence on behavioural intention. The path is sig- The objective of this paper has been to introduce a nificant although quite low (b5.05, t53.98). Thus, the conceptual framework with an empirical test for hypothesis supported. explaining several aspects of customers’ intention to Hypothesis 6 asserts that the more positive attitude engage in permission-based mobile marketing commu- toward advertising a person has, the higher his or her nications. The conceptual model is based on the intention to receive messages is. This relationship was theories of Reasoned Action (TRA), Planned found to be positive and strong (b5.45, t525.13). Behaviour (TPB), Technology Acceptance Model Thus, there is enough support evident in the data in (TAM) and its modifications, and the Unified Theory

Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 order to declare hypothesis 6 confirmed. of Acceptance and Use of Technology (UTAUT). In Hypothesis 7 argues that the intention to receive line with Benbasat and Barki (2007), the conceptual messages is positively associated with the intention to model was developed on the basis of the original visit. We find the association positive (b5.28, t515.88). theories TRA and TPB, rather than using the TAM as a Thus, hypothesis 7 is accepted. starting point. The model is differentiated from Hypothesis GEN proposed that the strength of the existing models, as studies examining the associations relationship between the customer’s intention to receive between the proposed constructs in this context are

Table 5. Model Comparison across gender

x2 df RMSEA NNFI CFI GFI

Model 1 Factor loadings forced to be equal across males and 9538,79 646 0,057 0,963 0,968 0,915 females Model 2 Factor loadings free to vary across males and 9444,81 645 0,056 0,963 0,969 0,915 females 252 Heikki Karjaluoto et al. & Exploring Gender Influence on Customer’s Intention to Engage Permission-based Mobile Marketing

scarce. The findings of the study support the theore- manner similar to traditional retail environments. tical framework developed. Perhaps, for women, enjoyment is related to the use Our main findings indicate, in line with several of mobile (for example, texting) as a leisure activity technology acceptance studies (Davis 1989, Venkatesh (Nysveen et al. 2005). Some women enjoy the social et al. 2003) that perceived usefulness (PU) of mobile dimensions of texting and investing time in text communications is the main mediator of consumer conversations. A therefore question arises, is a receipt attitudes toward behavioural intentions related to the of a message from an organization perceived in the intention to receive messages and the intention to visit. same manner, and could this explain their relatively The effect of PU on attitude was greater than the effect stronger resulting behaviours compared to men? of the other two proposed factors, namely perceived ease of use of mobile communications and perceived trust. When examining the effects of the components of the Theoretical contributions Theory of Planned Behaviour, the findings indicate that normative reference groups, such as the influence of This research contributes to the literature on consumer friends, explain a considerable amount of the intention attitudes and intentions toward permission-based to visit and intention to receive messages. These mobile marketing in several ways. First, our results findings, being in line with previous studies looking at underscore the importance of perceived usefulness of the the antecedents of behavioural intentions to receive communications as the main mediator of consumer mobile advertising (Bauer et al. 2005, Karjaluoto and attitudes toward advertising. In literature, perceived Alatalo 2007, Muk and Babin 2006, Rohm and Sultan usefulness has been found to explain a considerable 2006, Scharl et al. 2005), receive merit, as the role of amount of variance of attitude and intention (Davis references was, in our study, even more significantly 1989, Davis et al. 1989, Davis and Venkatesh 1996, associated with the intention to visit than with the Gefen and Straub 2000, Mathieson 1991), and that its intention to receive messages. With respect to other effect is typically stronger than the effect of perceived constructs in the TPB, perceived behavioural control ease of use (Davis 1989, Pikkarainen et al. 2004). and attitude had very different effects on behavioural Perceived usefulness in the context of mobile marketing intentions. PBC influenced the intention to receive and advertising has typically been related to monetary messages only weakly, whereas attitude toward advertis- benefits and relevant information provided in the right ing significantly explained the intention to receive time and context. Therefore, the results obtained messages. Finally, the model showed that the intention contribute strongly to the mobile marketing literature to receive messages has a direct significant relationship (Bauer et al. 2005, Drossos et al. 2007, Gopal and with the intention to visit. Tripathi 2006, Haghirian et al. 2005, Scharl et al. 2005, In line with our expectations, the relationship Scornavacca and McKenzie 2007). Second, we showed between the constructs (intention to receive with that perceived trust is positively associated with the intention to visit) appears to be stronger for females attitude toward advertising and the intention to receive than for males. With respect to the relationship messages. This finding confirms the previous findings of between intention to receive and intention to use, the role of trust as a mediator of consumer attitudes and Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 when considering the results of the multi-group intention in electronic channels (Ba et al. 2003, analysis, the results show that there is a stronger McKnight and Chervany 2002, Siau and Shen 2003, relationship (c parameter) between intention to receive Yang et al. 2006). The impact of trust in mobile and intentions to visit for females than for males. For marketing context receives much attention, as the e-mail males, c5 .0.23 (t value59.91) and for females c50.28 and mobile channels can be considered to be the most (t value513.21). Hence, the findings provide support personal and intimate marketing channels. Third, our for Hypothesis GEN. results contribute to the Theory of Planned Behaviour These results are in keeping with the arguments put by confirming the links between attitude-intention, forward in support of Hypothesis GEN. We assumed in reference group influence-intention and intention-use. our arguments that men, due to impatience, are An additional contribution to TAM-based models is that unlikely act upon receipt of mobile marketing messages we used the TPB as the base theory and modelled PU to the same extent as females. Predominantly, we and PEOU as antecedents of attitude as suggested in hypothesized that this was as a result of women’s literature (Benbasat and Barki 2007). predisposition towards enjoyment in receiving mobile From a gender-related perspective, our results confirm messages, and as retailing literature suggested, an the notion of the Savannah Hypothesis and emerging increased involvement in shopping. We extrapolated, mobile literature. Based upon this hypothesis, we out this superior involvement, the conclusion that expected the relationship between enjoyment and women should have a stronger disposition towards behavioural intentions to be stronger for women than actual use and intention to visit. Our tentative results men, as women enjoying mobile marketing commu- support the notion that men and women behave in a nications should see intention to visit as an opportunity Electronic Markets Vol. 18 No 3 253

to extend their mobile marketing communications consumer attitudes toward behavioural intentions experience, whereas men generally seek to keep time related to the intention to receive messages and the spent to a minimum. The results confirm our expecta- intention to visit. This suggests that consumers will tions that women respond more positively to direct adopt mobile marketing communication services when mobile marketing communications. they identify that using the services could be beneficial to them. While this may sound intuitive, this suggests that marketers should not provide such mobile services ‘just Managerial contributions because technology makes it possible’. Consumers will adopt services when they identify a clear benefit in Our findings provide several specific managerial insights adopting them. By extension this also suggests that under two sections, which can be classified as general when a new service is introduced it is paramount that managerial implications related to the campaign and its marketers educate customers as how they could benefit innovativeness and as specific contributions related to from the new service. It was also seen that the influence the survey findings. Since the reported research is based of friends, explains a considerable amount of the on a real-life digital marketing campaign, the campaign intention to visit and intention to receive messages. design and its innovativeness deserve merit as well as Because the influence of reference groups is significant in further investigation in terms of, for instance, describing receiving messages, we could speculate that this suggests the campaign and its results in detail from the points of mobile marketing services could be particularly suitable view of the agency and the marketer. A detailed candidate for viral marketing campaigns. Finally, the examination shows that the use of almost purely strong association of the intention to receive messages to electronic channels in advertising has proved to be a actual use provides the conclusion that it is important to great success to company X. The case company has mediate intention with its strong indicators, such as reduced its marketing expenses to one third, created a perceived usefulness and attitude. large SMS and e-mail opt-in database mostly via word- The gender role findings in this research could raise of-mouth and made the mobile channel a very attractive potential issues for mobile marketing communications and interactive channel among its opt-in users. Thus, management. The results suggest that it may be prudent there is strong evidence that mobile marketing works if for marketing management to be predisposed to ensure the target audience is suitable. that women enjoy their digital direct marketing experi- In terms of specific contributions, to managers, based ence and target advertising and promotional activities on the survey, at least three important implications can more towards women than men. Our work confirms be made. In general, managers in this field are mostly earlier work that show the existence of well-defined interested in the factors that: a) make consumers come gender shopping roles (Fischer and Arnold 1994, Lavin to visit; and b) make them active users/receivers of 1993) and are at odds with recent literature that favour digital marketing communications from the firm. As it relaxed gender roles (Otnes and McGrath 2001). was shown, the intention to receive messages is strongly explained by attitude toward advertising, perceived usefulness, trust, and peer influence. Therefore, when Limitations Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 using mobile and e-mail channels, marketers should first think of the right target group. The group should be As with any empirical study, our study is characterized by receptive to digital communication channels but that certain key limitations that must be evaluated before alone is not sufficient, as the communications should making further implications or generalizations about the also clearly show the direct benefits associated to being results. Similar studies using a theoretical model and an opt-in customer. Since the beginning of its digital testing it with structural equation modelling typically marketing campaigns the case company has offered clear recognize two main limitations that are applicable in this benefits in terms of good discounts to its entrance fee study as well. The first of these is usually related to the and drink prices, as well as organized several special use of the particular constructs and the causal links nights to opt-in customers. This is in turn expected to obtained between them, which in fact cannot be generate trust and positive word-of-mouth about the regarded as definite evidence of causality (Harris and service. Another specific contribution drawn from the Goode 2004). Moreover, in explaining intention to survey relates to the importance of peers’ on the receive mobile messages, our framework focused on the intention to visit. As going out as such is a social event, effect of certain constructs validated in literature but not friends normally have a great influence on where to go. previously tested within this context. Thus our study Thus one implication for managers might be to identify provides evidence of how the chosen constructs affect the referents that typically make the decisions as to intention but does not look at the other possible factors where to go and target specific advertising to them. that might explain behavioural intentions. Second, We demonstrated that perceived usefulness (PU) of generalizations of the findings must be made carefully, mobile communications is the main mediator of as we only used one sample that was characterized by 254 Heikki Karjaluoto et al. & Exploring Gender Influence on Customer’s Intention to Engage Permission-based Mobile Marketing

prior experience of mobile and e-mail direct marketing expected to copy at least part of the campaign elements. from the firm. Therefore our results might differ when Thus novel ways of reaching the target audience are changing the sample for example to a less experienced constantly needed in order to stay ahead of competitors. group of population. Another limitation with our study The research conducted here was part of this develop- is that we measured all constructs in our study with one ment programme, and in the future it is expected that survey conducted at the same time. Although we we will see more developed media use in targeting minimized the common method variance problem information and invitations to the customers than just through our survey design (e.g. all constructs were SMS and e-mailing. Finally, if managed the right way, separated and the order was mixed) and found no the constantly growing and developing customer opt-in evidence of it in our data analysis (reliability and validity database is expected to give the case firm even more of a tests) its impact can be ruled out only if we were able to competitive edge over competitors. collect data through different sources or through a longitudinal survey. ACKNOWLEDGEMENTS

Future work The financial support of the Finnish Funding Agency for Technology and Innovation is gratefully acknowl- Additional research is needed to enhance the validity of edged. the hypothesized model and its implications. Future studies could use a longitudinal evaluation model with data collected from several time points. Our pre-analysis of the customer database confirmed that, typically, the References newer the customer is the more willing and enthusiastic Ajzen, I. (1991) ‘The Theory of Planned Behavior’, he or she is to receive e-mail and mobile communica- Organizational Behavior and Human Decision Processes tions. Therefore a comparison of new and old customers 50(2): 179–211. in the light of the model might be an important future Ajzen, I. (2002) ‘Perceived Behavioral Control, Self-efficacy, research project. Furthermore, other multi-group ana- Locus of Control, and the Theory of Planned Behavior’, lyses on the model might produce results of interest. Journal of Applied Social Psychology 32(4): 1–20. Given the weight of evidence that appears to suggest Ajzen, I. and Fishbein, M. (1980) Understanding Attitudes that differences between genders should be expected in a and Predicting Social Behavior, Englewood Cliffs, NJ: mobile context, further work in this area could be useful Prentice Hall. to either confirm or question the current finding. Ajzen, I. and Madden, T. J. (1986) ‘Prediction of Goal- Perhaps future work could investigate other relation- directed Behavior: Attitudes, Intentions, and Perceived ships in our model for gender variation. In particular, it Behavioral Control’, Journal of Experimental Social might be interesting to examine the influence of Psychology 22: 453–74. specifically-targeted advertising on the shopping beha- Anderson, J. C. and Gerbing, D. W. (1988) ‘Structural viour of both men and women. In addition to these, the Equation Modeling in Practice: A Review and Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 conceptual model could also be developed in terms of Recommended Two-step Approach’, Psychological Bulletin adding elements of satisfaction and loyalty, which in turn 103(3): 411–23. might affect the study constructs as well. Armstrong, J. S. and Overton, T. S. (1977) ‘Estimating Nonresponse Bias in Mail Surveys’, Journal of Marketing Research 16(3): 396–403. CONCLUSION Ba, S., Whinston, A. B. and Zhang, H. (2003) ‘Building Trust in Online Auction Markets Through an Economic Incentive To conclude, although this research was anchored to Mechanism’, Decision Support Systems 35(3): 273–86. well-established theories that all attempt to explain Bagozzi, R. P. (2000) ‘On the Concept of Intentional Social behavioural intentions, the study can be seen as a Action in Consumer Behavior’, Journal of Consumer starting point in examining these links of the constructs Research 27(3): 388–96. in permission-based mobile marketing context among Bakewell, C. and Mitchell, V.-W. (2004) ‘Male Consumer experienced customers. Marketers should focus on Decision-making Styles’, International Review of Retail, developing innovative advertising campaigns in the Distribution and Consumer Research 14(2): 223–40. hospitality sector to increase customer involvement in Balasubraman, S., Peterson, R. A. and Ja¨rvenpa¨a¨, S.-L. (2002) the campaigns. Our results clearly show that the kind of ‘Exploring the Implications of m-Commerce for Markets digital direct marketing the case company does works and Marketing’, Journal of Academy of Marketing Science with their opt-in customers. However, as the company is 30(4): 348–61. among the first to effectively utilize digital direct Barksdale, H. C., Darden, W. R. and Perreault, W. D., Jr. marketing on a weekly basis, competing brands are soon (1976) ‘Changes in Consumer Attitudes toward Marketing, Electronic Markets Vol. 18 No 3 255

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Appendix A

List of items PBC1. I find it important that I can choose the form of the messages (e.g. SMS, MMS, e-mail) PU - Perceived usefulness of mobile communications PBC2. I find it important that I can easily control the PU1. Receiving messages gives me topical information* number of messages I receive PU2. Receiving messages saves me time PBC3. I find it important that I can easily stop receiving PU3. Receiving messages gives me monetary benefits messages PU4. Receiving messages gives me personal information This scale is based on items represented by Mathieson This scale is adapted from Davis (1989), Davis, (1991), Taylor and Todd (1995b), and Merisavo et al. Bagozzi and Warshaw (1989), and Venkatesh and (2007). Davis (2000) ATT - Attitude toward advertising PEOU - Perceived ease of use of mobile communica- ATA1. In general I like advertising tions ATA2. In general, there is too much advertising PEOU1. It is easy for me to use a mobile phone around* PEOU2. I learn fast to use new mobile services ATA3. In general, advertising affects my buying PEOU3. I know what m-services I can use on my phone behaviour PEOU4. I find it easy to download m-services on my ATA4. I receive marketing messages with pleasure on my phone phone This scale is based on items represented by Davis This scale is based on items represented by Barksdale, (1989), Davis, Bagozzi and Warshaw (1989), and Darden and Perreault Jr (1976), Gaski and Etzel (1986), Venkatesh and Davis (2000) Obermiller and Spangenberg (1998), and Pollay and Mittal (1993) PTR - Perceived trust PTR1. I think X is very honest in its marketing INR - Intention to receive messages PTR2. X is very reliable advertiser INR1. I believe I will receive messages from X in the PTR3. X is very responsible future PTR4. X takes its customers’ interests into account in its communications INR2. I believe that in the future, I am likely to receive PTR5. I think X’s marketing is truthful messages other than text messages from X PTR6. X’s promises of various services (e.g. special This scale has been developed based on intention nights) are mostly true measures taken from Ajzen (1991), Sheppard, Hartwick This scale is adapted from Chiou and Droge (2006) and Warshaw (1988), and Taylor and Todd (1995a) and Harris and Goode (2004) INV - Intention to visit

Downloaded By: [Schmelich, Volker] At: 14:47 24 March 2010 REF - Reference group influence INV1. I had an intention to visit REF1. People who are important to me think that I INV2. After receiving the ad I planned to visit in two should be a regular customer of the X weeks REF2. I am receiving messages from X because my INV3. The ad I received affected my intention to go friends are receiving them This scale has been developed based on intention REF3. Regular customers of X are appreciated among measures taken from Ajzen (1991), Sheppard, my friends Hartwick and Warshaw (1988), and Taylor and Todd REF4. I am visiting X because it is popular among my (1995a) friends All items were measured by a five-point Likert scale This scale is adapted from Taylor and Todd (1995a), ranging from 1 (completely disagree) and 5 (completely Moschis (1976), and Cox, Cox, and Moschis (1990) agree). An item marked with * was deleted during the PBC - Perceived behavioural control measurement purification process