Seizing the commuting moment : contextual targeting based on mobile transportation apps

Despite the average daily commuting time of commuters increasing by the day, the way marketers can benefit from our commuting behaviors has not yet been examined. In collaboration with one of the largest global mobile telecom providers, this study investigates how contextual targeting with commuting...

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Main Authors: Ghose, Anindya, Kwon, Eric Hyeokkoo, Lee, Dongwon, Oh, Wonseok
Other Authors: Nanyang Business School
Format: Journal Article
Language:English
Published: 2020
Subjects:
Online Access:https://hdl.handle.net/10356/142846
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author Ghose, Anindya
Kwon, Eric Hyeokkoo
Lee, Dongwon
Oh, Wonseok
author2 Nanyang Business School
author_facet Nanyang Business School
Ghose, Anindya
Kwon, Eric Hyeokkoo
Lee, Dongwon
Oh, Wonseok
author_sort Ghose, Anindya
collection NTU
description Despite the average daily commuting time of commuters increasing by the day, the way marketers can benefit from our commuting behaviors has not yet been examined. In collaboration with one of the largest global mobile telecom providers, this study investigates how contextual targeting with commuting impacts user redemptions of mobile coupons. The analysis is based on a rich field study in which 14,741 mobile coupons were sent to 9,928 public transit app users consisting of commuters and noncommuters. The key findings indicate that commuters are about 3× as likely to redeem their mobile coupon compared with noncommuters. However, a multiple-coupon distribution strategy is more effective in increasing redemption among noncommuters than commuters. Moreover, the redemption rate of commuters is higher for coupons with shorter expiration periods, whereas that of noncommuters is higher for coupons with longer expiration periods. On the basis of theories from psychology and physiology, we argue that stress, which is exacerbated by commuting, increases commuters' coupon redemption rate. We provide empirical support for this argument and show that marketers can increase response rates by focusing on specific periods of the day when commuting stress is relatively high (e.g., rush hours). By carefully exploiting commuting, which is easily identifiable and occurs throughout the world, managers may improve their mobile marketing effectiveness.
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spelling ntu-10356/1428462023-05-19T07:31:15Z Seizing the commuting moment : contextual targeting based on mobile transportation apps Ghose, Anindya Kwon, Eric Hyeokkoo Lee, Dongwon Oh, Wonseok Nanyang Business School Business::Advertising Commuting Contextual Targeting Despite the average daily commuting time of commuters increasing by the day, the way marketers can benefit from our commuting behaviors has not yet been examined. In collaboration with one of the largest global mobile telecom providers, this study investigates how contextual targeting with commuting impacts user redemptions of mobile coupons. The analysis is based on a rich field study in which 14,741 mobile coupons were sent to 9,928 public transit app users consisting of commuters and noncommuters. The key findings indicate that commuters are about 3× as likely to redeem their mobile coupon compared with noncommuters. However, a multiple-coupon distribution strategy is more effective in increasing redemption among noncommuters than commuters. Moreover, the redemption rate of commuters is higher for coupons with shorter expiration periods, whereas that of noncommuters is higher for coupons with longer expiration periods. On the basis of theories from psychology and physiology, we argue that stress, which is exacerbated by commuting, increases commuters' coupon redemption rate. We provide empirical support for this argument and show that marketers can increase response rates by focusing on specific periods of the day when commuting stress is relatively high (e.g., rush hours). By carefully exploiting commuting, which is easily identifiable and occurs throughout the world, managers may improve their mobile marketing effectiveness. Accepted version 2020-07-03T08:16:34Z 2020-07-03T08:16:34Z 2019 Journal Article Ghose, A., Kwon, E. H., Lee, D., & Oh, W. (2019). Seizing the commuting moment : contextual targeting based on mobile transportation apps. Information Systems Research, 30(1), 154-174. doi:10.1287/isre.2018.0792 1047-7047 https://hdl.handle.net/10356/142846 10.1287/isre.2018.0792 2-s2.0-85065436818 1 30 154 174 en Information Systems Research © 2019 Institute for Operations Research and the Management Sciences. All rights reserved. This paper was published in Information Systems Research and is made available with permission of Institute for Operations Research and the Management Sciences. application/pdf
spellingShingle Business::Advertising
Commuting
Contextual Targeting
Ghose, Anindya
Kwon, Eric Hyeokkoo
Lee, Dongwon
Oh, Wonseok
Seizing the commuting moment : contextual targeting based on mobile transportation apps
title Seizing the commuting moment : contextual targeting based on mobile transportation apps
title_full Seizing the commuting moment : contextual targeting based on mobile transportation apps
title_fullStr Seizing the commuting moment : contextual targeting based on mobile transportation apps
title_full_unstemmed Seizing the commuting moment : contextual targeting based on mobile transportation apps
title_short Seizing the commuting moment : contextual targeting based on mobile transportation apps
title_sort seizing the commuting moment contextual targeting based on mobile transportation apps
topic Business::Advertising
Commuting
Contextual Targeting
url https://hdl.handle.net/10356/142846
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