Algorithmic personalization and brand loyalty: An experiential perspective

Obiegbu, James; Larsen, Gretchen

Abstract

This article explores the relationship between algorithmic personalization and brand loyalty by examining how personalization experiences are articulated within the context of music streaming consumption. Despite previous acknowledgement of the link between personalization and brand loyalty, an experientially grounded understanding of how this works has yet to be articulated. Building upon the concept of ‘experiential brand loyalty’, the Algorithmic Personalization/Depersonalization Loop highlights the development of brand loyalty through consumers interactions with algorithm-backed brands. Being seen and understood by the algorithm sets off an iterative, two-way learning relationship that ultimately heightens the consumers’ experience, activates positive emotions, and deepens the relational bond with the brand, leading to brand loyalty. If, however, the algorithm is unsuccessful in personalizing the service experience, a ‘de-personalization’ process can occur that erodes brand loyalty and can lead to brand switching or even consumer activism.

Citation

Obiegbu, J., & Larsen, G. (2024). Algorithmic personalization and brand loyalty: An experiential perspective. Marketing Theory, https://doi.org/10.1177/14705931241230041

• Journal Article Type: Article
• Acceptance Date: Jan 10, 2024
• Online Publication Date: Jan 29, 2024
• Publication Date: Jan 29, 2024
• Deposit Date: Jan 11, 2024
• Publicly Available Date: Feb 2, 2024
• Journal: Marketing Theory
• Print ISSN: 1470-5931
• Electronic ISSN: 1741-301X
• Publisher: SAGE Publications
• Peer Reviewed: Peer Reviewed
• DOI: https://doi.org/10.1177/14705931241230041
• Public URL: https://durham-repository.worktribe.com/output/2119059