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Consumer privacy in an online world - Ericsson

Consumer privacy in an online world - Ericsson

Social media usage

Social media usage increases awareness When asked a direct question – all consumers say privacy is important. But when comparing with other issues and needs a slightly different picture emerges. A majority of the consumers in the survey are conscious about privacy issues online – but only a minority is very concerned. However, among younger respondents – who also are on social networking sites the most – the number is much higher. More than 4 out of 5 between the ages of 20 and 24 say they worry a lot about their privacy when using the internet. This suggests the usage of social networking sites in fact increases privacy concerns. Consumers who are using location based services to check in worry more about their privacy online than people who don’t use these features. Sharing your location with your smartphone thus increases the awareness of possible privacy harm among its users. At the same time a lot of people feel uncomfortable about sharing their current whereabouts with others in their social network. Privacy online not a key concern – yet Even though the awareness of online companies using consumer data for commercial purposes is growing, there still is little change in behavior when it comes to sharing information online. Consumers trust the system and con- Attitudes towards different statements on a scale from 1 to 7 where 1 means “I don’t agree at all” and 7 means “I agree completely” I don’t agree (1–2) Middle (3–5) I very much agree (6–7) My family is more important to me than my career To me, it is important to stay up-to-date with news and headlines It’s important to me to always be reachable wherever I am To me it’s important to be able to access the Internet wherever I am I worry about my privacy when using the Internet Even when I can afford them, I’m not willing to pay much for new technical gadgets or services I spend a lot of time organizing and planning my and my family’s activities I’m constantly on the lookout for the most high-tech products avaliable Carrying the latest model of moblie phone gives a good impression to others The design of a mobile phone is more important than its features CONSUMER PRIVACY IN AN ONLINE WORLD – AN ERICSSON CONSUMER INSIGHT SUMMARY REPORT 0% venience prevails as long as no harm on a personal level is inflicted. Despite the fact that consumers are aware of threats and issues, they either don’t think they will get in jeopardy themselves, or they simply think the benefits of the internet outweighs the risks of being subjected to privacy harm. The awareness of privacy issues is increasing, but there is still no sense of immediate urgency. 100% Base: 3818 internet users in US, UK, Germany, Sweden & India. 4

not connecting the dots People claim to be aware that companies have the right to use their information – no less than 80 percent think online companies can access and use their personal data for commercial purposes. Yet they fail to make the connection between their personal information, for example in emails, and the targeted ads appearing on their screens. As many as 54 percent in the survey answered they would share less if they received personalized ads about something they discussed in an email. This is curious considering that for example Gmail automatically scans emails to add context-sensitive advertisements to them. Do you think the following companies can access and use your personal data for commercial or other purposes? Share of respondents who say they know or believe companies can do this. Social networking sites Online companies Internet service providers Mobile phone operators IP telephony and chat providers Government authorities Operating system providers Financial institutions Individuals not acquainted with you Joseph Turow, professor of Communication at the University of Pennsylvania’s Annenberg School of Communication, expresses it as consumers not connecting the dots. They do not understand that their personal information is being used in a way that they themselves find unacceptable. He argue people in general are not aware of what data mining means, whereby a company can get a complete picture of you from all of the fragmented pieces that are out there on the web and use it, for example, to tailor ads to fit your profile on a social networking site. 65% 64% 75% 75% 73% 73% 72% 80% 86% “People know they’re being followed, but they really don’t understand what data mining is. They don’t understand the links that take place, the connections of the dots and all of that. And when that is brought to their attention… They get concerned.” — Joseph Turow 80% of all people sharing information on social networking sites are selective with whom they share personal information Base: 3818 internet users in US, UK, Germany, Sweden & India. Base: 3818 internet users in US, UK, Germany, Sweden & India. CONSUMER PRIVACY IN AN ONLINE WORLD – AN ERICSSON CONSUMER INSIGHT SUMMARY REPORT 5

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