SXSW 2014: Do Consumers Really Care About Online Privacy?

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Do consumers really care about online privacy? They sure say they do - but to what extent do their actions reflect those concerns?

Do consumers really care about online privacy? They sure say they do - but to what extent do their actions reflect those concerns?

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  • Who is concerned about online privacy?Who has done something about it?

Transcript

  • 1. Do Consumers Really Care About Online Privacy? Core Conversation Saturday, March 8, 2014 #PrivacyNow @BlairReeves
  • 2. A little about me (and a disclaimer) • I work for IBM. • I don’t speak for IBM. • I live in Durham, North Carolina, and we have better barbecue than Texas. • This is Abby! #PrivacyNow @BlairReeves
  • 3. Thought prompt: Is privacy online important to you? Why? #PrivacyNow @BlairReeves
  • 4. Consumers say one thing… 66% of Americans say they do not want to receive targeted ads 1 64% of Americans say they are less likely to vote for a political candidate who buys information about their online behavior 3 92% of U.S. internet users say they worry about privacy online 4 … but do another. Behaviorally-targeted ads have 240%+ higher conversion rates 5 80% of internet users do not “always” read privacy policies, and only half bother logging out 6 1, 2, 3 - Turow, King, Hoofnagle, Bleakley, Hennessy, “Americans Reject Tailored Advertising,” Annenberg School for Communication and Berkeley Law School, September 2009. http://graphics8.nytimes.com/packages/pdf/business/24adco.pdf 4 – TRUSTe, “TRUSTe Privacy Index.” December 2013. http://www.truste.com/us-consumer-confidenceindex-2014/ 5 – Beales, “The Value of Behavioral Targeting,” Network Advertising Initiative, March 2010. http://www.networkadvertising.org/pdfs/NAI_Beales_Release.pdf 6 – The Internet Society, “Global Internet User Survey, 2012.” 2012. http://www.internetsociety.org/surveyexplorer/key_findings 53% of Americans want websites they visit to offer discounts tailored to their interests 2 #PrivacyNow @BlairReeves
  • 5. Online privacy is a constant headline “Facebook Privacy Change Is Subject of F.T.C. Inquiry” (9/11/13) http://www.nytimes.com/2013/09/12/technology/personaltech/ftc-looking-into-facebook-privacy-policy.html “Some Quitting Facebook As Privacy Concerns Escalate” (5/13/10) http://www.cnn.com/2010/TECH/05/13/facebook.delete.privacy/ “Google’s Data-Trove Dance: Internal Debates Over Protecting Privacy” (6/30/13) http://online.wsj.com/news/articles/SB10001424127887324170004578635812623154242 “Google Privacy Missteps A Boon For Rivals” (2/24/12) http://www.huffingtonpost.com/2012/02/24/google-privacy-policy-private-data_n_1297672.html #PrivacyNow @BlairReeves
  • 6. But consumers can’t stay away #PrivacyNow @BlairReeves
  • 7. Social networks pale in comparison • Google records ~1.17bn unique searchers (400% more than 2nd place) • 425M Gmail users in 2012, growing ~37.5M per quarter. Largest in the world. • 120M active users of Google Drive (Nov 2013) • … and it’s all free. #PrivacyNow @BlairReeves
  • 8. Consumers have conflicting desires 1. High-quality digital services and content – for free. Discussion Point: Agree? Disagree? Are these inevitably in conflict? 2. No ads. No tracking. Anonymity (except when I choose). #PrivacyNow @BlairReeves
  • 9. Advertising has always been with us Discussion Point: Does it always matter what the consumer wants? #PrivacyNow @BlairReeves
  • 10. The world has changed More and more of our lives are lived digitally Discussion Point: Via systems infinitely more How has the meaning of “privacy” measureable than ever before changed? The “new normal?” #PrivacyNow @BlairReeves
  • 11. A look ahead #PrivacyNow @BlairReeves
  • 12. Thank you for coming! Let me know what you thought! #PrivacyNow @BlairReeves My blog: BullishData.com #PrivacyNow @BlairReeves