A Cross Cultural Study on Customers’ Engagement on Value Co-creation in Big Data Concept: The Moderating Effect of Privacy Concerns: An Abstract

Abstract

Marketers are using mobile technologies to target individuals by creating personal offers and experiences that respond to individual needs and desires with the help of big data technologies (Versanen, 2007). Whereas big data provides companies with insights and patterns about consumer preferences for strategic advancement and competitive advantage, privacy concerns have been a major issue in the collection and use of big data, as the nature of the data is derived from customer engagement processes. Likewise, the use of technological advances offers a significant opportunity for companies to engage with customers due to the ability to capture, analyze and exchange an enormous amount of customer information through big data processes (MSI, 2016). Such big data processes develop opportunities to obtain value as a result of customer engagement and allow firms to sustain their value creation over time (Kunz et al., 2017). The aim of this study is to investigate the relationship between customers` engagement and value co-creation with moderating effect of privacy concerns deriving from Social & Exchange theory and Communication Privacy Management theory. Based on the social exchange theory (SET), this study investigates the customer engagement that leads to value co-creation in the big data context. On the other hand, communication privacy management (CPM) theory identifies privacy regulation in mutual communication (Petronio, 2002), securing a theoretical framework for understanding how people develop rules and set boundaries in mutual communication (Xie & Karan, 2019, p. 189). In this research, a convenience sample of 200 respondents were collected. This research aims to further investigate the relationship between customers` engagement and value co-creation and privacy concerns in two distinctive consumer markets: Spain as the developed market and Turkey as the developing market. The results reveal that there is a positive relationship between customer engagement and value co-creation, although privacy concerns may restrict this result in both countries.