Privacy by design and customers’ perceived privacy and security concerns in the success of e-commerce

• Published in: Journal of enterprise information management 2013-01, Vol.26 (6), p.702-718
• Main Authors: Mubarak Alharbi, Ibraheem, Zyngier, Suzanne, Hodkinson, Christopher
• Format: Article
• Language: English
• Subjects: Competition; Competitive advantage; Computer information security; Computer privacy; Customer services; Customers; Data integrity; Data security; Design engineering; Design specifications; Electronic commerce; Information & knowledge management; Information systems; Internet; On-line systems; Online; Perceptions; Personal information; Privacy; Studies; Success; Technological change; Technology; Users
• ISSN: 1741-0398; 1758-7409
• DOI: 10.1108/JEIM-07-2013-0039

Purpose – The purpose of this paper is to gain a deeper understanding of customers’ perceived privacy and security (CPPS) by investigating privacy concerns, data security, and exploring the factors that elevate or minimise these concerns in relation to organisations’ practices. Design/methodology/approach – The research study utilises an explanatory research design. Data were collected from six organisations from different industry sectors through in-depth interviews with managers and from customers’ through four focus groups of a high-user demographic segment. Findings – The paper identified Privacy by Design (PbD) in the area of organisations’ practices as well as identifying the main areas of CPPS. These themes were used as the basis for an analysis of customer concerns instrumental to the success of e-commerce. Practical implications – The findings will inform the development of a general conceptual model. This will provide a better understanding of CPPS in general and in relation to the success of e-commerce web sites and transactional sites in particular. Originality/value – The value and the originality of the paper comes from the adoption of the “PbD” paradigm. Organisations have to explore the factors that elevate or minimise customers’ concerns in relation to adopting and continuing to use online transactions. It is necessary for organisations to do this because when privacy and security practices are clearly disclosed, customers increase their intention to use, or continue to use online transactions.