Comparison of product personalization and product customization in digital marketing and a research on customer personalization sensitivity

In this study, product personalization (personalization by customer) and product customization (personalization by business) strategies were compared by analyzing the data collected from two different groups. In this context, first of all, customer personalization sensitivity was examined and the effect of this sensitivity on the product customization value was examined. Afterwards, the effects of product customization on purchase intention, willingness to pay more and customer satisfaction were tested. Then, the same process was applied to product personalization for the second group of data. In addition, the moderator role of privacy concern on the relationship between product customization and purchase intention/customer satisfaction, and between product personalization and purchase intention/customer satisfaction was examined. After the analysis of moderator variables with SPSS, it was seen that for the first group of data, privacy concern did not have a moderating role on the relationship between product customization and purchase intention, but had a negative effect on the relationship between product customization and customer satisfaction. For the second group of data, it was concluded that the privacy concern has a moderating role on the relationship between product personalization and purchase intention, and it reduces the effect of product personalization on purchase intention. After the moderator variable analysis with SPSS, the other hypotheses in the model were tested with SEM, and all hypotheses were accepted. Accordingly, personalization sensitivity has been found to affect both product customization and product personalization, product customization and product personalization positively affect purchase intention, willingness to pay more, and customer satisfaction.