Privacy & Enhanced Personalization

It seems that an increase in personalization results in a decrease of privacy, but that isn’t always the case. There is an entire field dedicated to privacy-enhanced personalization that aims to create the best method of personalization within privacy boundaries. This article summarizes this field and its findings.

            The current theory is that potential risks of disclosing personal information is weighed against the benefits of giving out information, but it is believed that internet users lack the information needed to make those decisions. For example privacy statements are difficult to understand and, considered by most, too lengthy to read. There are several traits examined about internet users that affect their privacy concerns such as age, attitude, and personality. Most internet users can be placed into one of three groups: privacy fundamentalist, privacy unconcerned, and privacy pragmatists. Privacy fundamentalists express extreme concern about use of their information and do not disclose any information even when privacy protection mechanisms are in place. The privacy unconcerned express some concern about privacy and are somewhat anxious about how information about them is used. Privacy pragmatists are generally concerned, but not as much as the other groups. They are much more willing to disclose information when they understand reasons for use, have benefits for doing so, and see privacy protections in place.

            While internet users do have privacy concerns, surveys have found that 80% of users are interested in personalization. Two researchers, Chellappa and Sin, found that the consumer’s desire for personalization is almost two times more influential than their desire for privacy. When they do decide to disclose information they are much more likely to disclose demographic an lifestyle information including hobbies and personal tastes. Financial information, contact information, and credit card information are much less likely to be revealed

            So in an era when consumers want to express their personal interests online, but are concerned about their privacy, how can websites encourage them to do so?  Findings suggest that websites should explain to users exactly what information they are giving up and exactly how they are going to use it. By doing so they will gain a consumer’s trust. It is also suggested that websites include a privacy seal, a privacy statement, and can be navigated easily. There are many questions regarding privacy including is it necessary or ethical responsible for websites to include a simple version of their privacy. The question I purpose is: Is it the government’s role to regulate internet privacy or the independent website?