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Getting users to trust your Mobile Apps and Mobile Web sites
This document outlines a presentation by TRUSTe officials discussing mobile privacy certification, trends in the mobile app market, and privacy concerns associated with mobile technologies. It highlights the rapid growth of mobile commerce, the importance of privacy in user engagement, and recent privacy breaches involving apps. The document also promotes TRUSTe's mobile privacy certification program and offers insights on best practices for enhancing consumer trust through transparent data handling and privacy policies.
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Getting users to trust your Mobile Apps and Mobile Web sites
- 1. Janet A. Jaiswal,Mobile Product Management Joanne Furtsch, Privacy Policy Architect TRUSTe October 28, 2010 Bringing Confidence to Mobile TRUSTe Mobile Privacy Certification
- 2. Speakers Janet A. Jaiswal,Director of Enterprise BU at TRUSTe As the General Manager of the Enterprise Business Unit at TRUSTe, Janet has responsibility for the Mobile Privacy Certification program. She possesses more than a decade of experience building products in the eCommerce and Internet space that specifically increase the trust and safety of its users. Her industry knowledge was formed from previous positions held at eBay, Scient and PayPal where she was responsible for protecting more than 110 million users worldwide. In addition to her numerous publications, Janet blogs regularly on privacy and its rapidly growing impact in the area of mobility. Follow Janet at @JJaiswal_Mobile Joanne Furtsch, Policy & Product Architect at TRUSTe Joanne is a proven expert in online privacy practices, COPPA and European Union Safe Harbor compliance. She has helped build standards for many of TRUSTe’ certification programs. Joanne has also served on the Advisory Committee to develop the Recommended Practices on California Information-Sharing Disclosures and Privacy Policy Statements for the California Office of Privacy Protection. She is CIPP and CIPP/C certified.
- 3. • Mobile IndustryBackground • Key risks w/ mobile expansion • TRUSTe’ mobile certification program for privacy • Mobile Resources • Questions & Answers • Copy of this presentation will be made available • Special offer for webinar attendees only at the end Agenda
- 4. The smartphone markethas entered a new phase 1 6 5 4 3 2 6 Trends Shaping the App Market in 2010 Increased absolute market growth Companies are getting there Smartphone shipments remain key market driver Omnipresence of Android Apple’s competitors increased market share Slow down of price decline Source: research2guidance global developer survey
- 5. The mobile appsvs. mobile web battle continues 80% of companies were planning or had already deployed a mobile website. 8% of respondents were interested in applications. -Adobe’s “Scene7 Rich Mobile Commerce Survey” Jul. ‘10 Apple’s iTunes Store has approx. 300,000 apps Google’s Android marketplace has approx. 100,000 apps 2009 (full year) 2010 (1H) App Market Revenue $1.7 B US $2.2 B US No. of Apps Downloaded 3.1 B 3.9 B Source: Research2guidance
- 6. Mobile usage andmobile commerce is experiencing tremendous growth
- 7. On any givenday, 57.8 million Americans consumers access the web via mobile devices. 82% of adults are cell phone users & 35% of US adults with cell phones have apps. -The Pew Internet Project Survey (Feb’10)
- 8. 15% of consumershave made purchases with a mobile device. -AT&T’s Sterling Commerce & Demandware, Inc
- 9. US mobile commercesales will be $2.4 Billion in 2010 (100% growth YOY) and $119 Billion by 2015 (total ecommerce in the US in 2010 is $132 Billion) -ABI Research
- 10. Mobile retail continuesto grow and early adopters are already reaping rewards
- 11. 40% percent ofglobal subscribers are predicted to pay for physical and digital goods by 2014 with the mobile phone. -Juniper Research
- 12. 530 million usersbrowsed the mobile web on their handset in 2006. 1 Billion are expected to browse the mobile web by 2015. -Strategy Analytics
- 13. Mobile retail continuesto grow and early adopters are already reaping rewards
- 14. Percent of cellphone users who used a map or other service that used location data: 26 percent -Wireless Week
- 15. Percent of iPhoneowners who use location services at least 1/week: 63 percent -Mobile Marketing Association
- 16. Amount of moneyestimated to be spent by businesses on location-based advertising campaigns in 2015: $1.8 Billion
- 17. Privacy Concerns withMobile
- 18. Despite its popularity& growth there are some concerns
- 19. 66% of USconsumers are not comfortable with using their mobile device for financial transactions. – KMPG (2009)
- 20. 55% of Smartphoneusers fear loss of privacy through mobile apps w/ geo-location services. -Webroot (Jul. ‘10)
- 21. 52% of mobileusers are “very or extremely concerned” about loss of privacy from using location-aware mobile apps. -Poynter Online (Jul. ’10)
- 22. 71% of consumerslook for trust seals before doing business online. -Yankee Group (Feb’09)
- 23. Mobile privacy issues •Exploding mobile application use • High consumer privacy concerns • Unique privacy issues: – Use of geo-location technology – High potential for intrusive marketing (think geo-location + advertising) – Increasing “Social” experience – Sensitive data is highly “mobile” – Extends internet privacy concerns on advertising and analytics • Form factor constraints typical presentation of privacy policy and choices 8% 44% 69% 73% 0% 50% 100% I have no data privacy/security concern Receiving unsolicited promotional material The potential for credit card information to be intercepted by an unauthorized party The threat of unauthorized parties accessing PII When using a mobile device, which of the following concerns do you have about data privacy/security? Source: KPMG Mobile Banking Survey 2009. Scope: Global, 4190 mobile device users
- 24. Recent privacy breaches 1Study by Eric Smith, Asst. Director of Info. Security & Networking at Bucknell University in Lewisburg, PA, Oct 1, 2010 2 TaintDroid study by researchers from Duke University, Penn State University, and Intel Labs on September 30, 2010 iPhone Apps Sending Out Devices' Serial Numbers, Log-In ID 1 A study of 57 of the most popular iPhone apps found that 68% transmitted the devices' unique serial numbers to remote servers owned by either the developer or an advertiser. Furthermore, many applications -- including Amazon, Facebook and Twitter -- also collected users' log-in data.
- 25. Recent privacy breaches 1Study by Eric Smith, Asst. Director of Info. Security & Networking at Bucknell University in Lewisburg, PA, Oct 1, 2010 2 TaintDroid study by researchers from Duke University, Penn State University, and Intel Labs on September 30, 2010 Some Android apps were caught covertly sending GPS data to advertisers 2 • A study tested 30 popular free Android applications and found that half were sending private information to advertising servers, including the user's location and phone number. • In some cases, the apps were relaying GPS coordinates to remote advertising network servers as frequently as every 30 seconds, even when not displaying advertisements.
- 26. Another privacy breach:Facebook & 3rd party apps What happened? October 18th, The Wall Street Journal found that many of the most popular applications, or "apps," on Facebook have been transmitting identifying information—providing access to people's names and, in some cases, their friends' names—to dozens of advertising and Internet tracking companies” Who was involved? • The Journal examined the 10 most popular apps on Facebook include Zynga’s FarmVille, Texas HoldEm Poker and FrontierVille. • Three of the top 10 apps also have been transmitting personal information about a user's friends to outside companies. • In all, 12 companies were involved in the most recent shut down • 10s of millions of users were affected What was the result? •LOLapps Media Inc. was shut down suddenly and unexpectedly by Facebook as the Journal found them to be transmitting user IDs. •Facebook made several other apps unavailable.
- 27. Example of aprivacy issue: Use of geo-location • Many mobile devices sold today are capable of pinpointing users within 30 feet of their actual location. Location-aware apps can: – Bring discounts and promotions directly to users at the point of purchase – Provide valuable, real-time data about customer preferences. – Help Marketers to target offers and advertisements through increased relevance, accuracy, and timeliness. • Company benefits: This data, in aggregate, is used to provide data on key market trends, or integrated into a customer profile to provide a more personalized experience. • Consumer benefits: Gains access to information that can be instantly relevant to a purchasing decision including location- specific discounts and services
- 28. Example best practices Provide users with transparency and remain accountable – Use clear messaging re: use of location data – Secure this data through encryption etc. – Ensure adequate consumer redress mechanisms for those who want to remove their location data Provide users with choice (i.e. ask users permission to use their location information before you collect it) – Meaningful choice is when consumers understand the implications of sharing their data. Have a privacy trust mark– Users will reward companies who make strong commitments to their privacy – Users recognize established trust marks (like TRUSTe) means a company has undergone rigorous vetting by an independent 3rd party Trust # of downloads # of registrations # and purchase amount
- 29. Mobile App andMobile Web Certification for Privacy
- 30. • Extension ofTRUSTe’s Privacy Certification for Mobile Web and Mobile Applications – Offers consumers the same privacy commitment as web site certification – Express consent required for the collection and use of geo-location data • Features unique and accessible Layered Short Privacy Notice – Calls out most significant privacy concerns for enhanced consumer transparency and access TRUSTe Mobile Certification for Privacy
- 31. • All keyplatforms are supported • Certification Deliverables: – Mobile App and/or Mobile Web Certification – Short Notice with Layered Privacy Policy – Unified policy for mobile and PC web site – Dispute Resolution / Consumer Feedback system – Small Device-Optimized • TRUSTe seal • Validation page • Dispute Resolution – Listing in TRUSTe Mobile Certification Directory TRUSTe Mobile Certification for Privacy
- 32. Mobile Certification Benefits •Business value proposition – Address consumer privacy concerns – Convey privacy commitment – Enjoy download and registration lift – More easily deliver privacy information and choices on space constrained device – Part of comprehensive and unified privacy program START PAGE W/ APP CERTIFICATION SEAL EXAMPLE
- 33. Key Element: NewLayered Short Privacy Notice • User Benefits – Improves transparency – Icons for increased understanding and access – Empowers consumers to make informed decisions • Expected Results – Increased Trust – Higher Downloads – Greater Consumer Engagement – Improved Compliance Link to Interactive Example: www.truste.com/mobile LAYERED PRIVACY POLICY DETAILED PRIVACY POLICY PAGE: Location Services DETAILED PRIVACY POLICY PAGE: Tracking & Ads
- 34. Form-Factor Optimized DisputeResolution CERTIFICATION VALIDATION PAGE DISPUTE RESOLUTION PAGE FOR CONSUMERS TO PROVIDE FEEDBACK
- 35.
- 36. Client Example #1:Yelp iPhone App SETTINGS SCREEN CERTIFICATION VALIDATION PAGE PRIVACY POLICY SUMMARY PRIVACY POLICY PAGE – Location Services HOME PAGE
- 37. Client Example #2:Thumbspeak’s iPhone App APP HOME SCREEN ABOUT SECTION SHORT NOTICE PRIVACY POLICY CERTIFICATION VALIDATION PAGE
- 38. Select mobile privacyprogram clients
- 39. Key Takeaways • Moreand more users are becoming mobile: Demand for a mobile presence will become more and more critical to business success • Given the crowded app marketplace, the high cost and resources investment involved, do not risk user distrust & associated backlash. Instead: – Convey privacy commitment which will increase user engagement, registration and download rates – Differentiate your app based on user trust – Avoid getting into trouble re: user privacy • Mobile privacy certification is especially critical if a mobile app or web utilizes any of the following: • Geo-location • Advertising especially if combined with geo location or behavior • Social media technologies (i.e. sign in with your Facebook account ID) • Collection of Personally Identifiable Information (PII)
- 40. Why TRUSTe’s MobilePrivacy Certification Program? Privacy Expertise Only Mobile privacy certification provider 100% privacy-focused since 1997 Comprehensive privacy services • Mobile • Advertising • Downloadable software • eMail • Lead Generation Forms • Service platforms • Web site Most Recognized Privacy Trustmark Leading Customers: >40% of the Top 50 most trafficked websites; 13 of Fortune 100 Brand Awareness: More than 1 in 3 consumers report having seen the TRUSTe seal Results: Average of 5 – 20+% uplift for customers Customer Service Dedicated Client Services Manager (CSM) for each account CIPP-certified CSMs (Certified Info. Privacy Professional) Online Account Access Ongoing advice on all things privacy Privacy library access
- 41. Special Offer forToday’s Webinar Attendees • 10% discount for anyone that signs up for a Mobile App or Mobile Web certification by November 30th • Must mention code: 1028JJ
- 42. • Interactive shortnotice demo & mobile program information: www.Truste.com/Mobile • White Papers: Mobile Privacy and Location & Privacy • Blogs series on mobile and privacy (http://www.truste.com/blog/?cat=114) 1. Overview of the mobile space & privacy 2. Privacy implications on the use of location technology 3. Mobile app vs. mobile web 4. Incorporating privacy into good design 5. Mobile commerce plan that addresses consumer privacy concerns 6. Using advertising successfully requires paying attention to privacy issues 7. Using social networking technologies successfully on mobile while navigating privacy issues (coming soon!) • Chetan Sharma, GigaOm Pro Analyst: Blog on Privacy as a Competitive Advantage in Mobile Mobile Privacy Resources
- 43. Questions and Answers Don’tforget to fill out the survey Janet A. Jaiswal Director & Mobile Product Manager jjaiswal@truste.com Twitter: JJaiswal_Mobile Access Resources at www.truste.com/mobile
- 44.
Editor's Notes
- #4 Survey at the end of the webinar include a drawing for an itunes giftcard
- #5 According to Ralf Jahns of Resarch2Guidance 1. Increased market growth: The pace at which the market is growing has accelerated again. Combined download numbers as well as revenue of all major application stores reached 2009 levels in only five months. App revenue for 2010, which will almost triple in relation to 2009 figures, is set to reach almost $US5bn. 2. Deceleration of price decline: During the first two years until the end of 2009 the average price of an application dropped from US$20 to almost US$4. The first half of 2010 saw this erosion almost halted. At the same time this trend is accompanied by major price movements within app stores which demonstrate price increases of as much as +30%, and similarly declines as steep as -30%. This might indicate greater market transparency and simpler arbitrage processes. 3. Apple’s competitors increased their market share: Not surprisingly the sheer volume of new competitors had an impact on the market dominance of Apple in the applications business. In 2010 developers and smartphone users started to focus on platforms alternative to Apple, who lost almost 10% of market share in the first half of 2010. 4. Omnipresence of Android: At the end of 2009 only six devices used the Andoid operating system. During the first six months of 2010, however, smartphone device manufacturers released a new Android device every 2-3 days. In 2010 the number of smartphone models using an Android system overtook the number with other OS platforms like Windows and Symbian for the first time since the launch of the Apple App Store in 2008. 5. Smartphone shipments remain the main market driver: The shipment of smartphones has already reached almost 30% in some industrialized countries. Furthermore the number of smartphones shipped in the first HY 2010 was already 70% of that reached throughout 2009. All of these smartphones provide easy access to application stores, and this in turn drives application download numbers. 6. Companies are getting in on the act: By the end of 2009 less than 10% of global companies had a presence in one or more app stores. The latest analysis shows that over the last few months the activity levels of major brands has increased. In addition to branding, companies are also increasingly using applications to link to their core products or to build transaction business.
- #6 The app market is growing so is the # of mobile websites including revenue from mobile web Great debate: Mobile App or Mobile Web? “With mobile usage exploding, it may not matter but you have to be in at least one.”
- #8 Now its about 45% of us adults with smart phones (those that have apps)
- #15 Number of devices forecast to be shipped with GPS in Q4 2011:318 million or 80% of all shipments by Wireless Week
- #22 Most consumers’ mobile security & privacy concerns are related to providing PII & the financial transaction itself.
- #23 Examples: sign up for a newsletter, complete a form, make a purchase etc.
- #24 · Growing use of GPS / geo-location based services; Location makes features on mobile devices & advertising more relevant · Advertising - - primary way to support free or low cost mobile apps which are the majority of apps available; some use behavioral advertising · Social networking technologies enhance mobile users’ experience (upload your Facebook address book) . Your rich bank of personal data goes everywhere you go . User tracking / mobile analytics and its tie to the mobile device which is a unique identifier of a person · Marketing to children under the age of 13 (same as PC web site) · Concerns are partially due to newness mobile technology but many are new
- #25 Does a game developer really need to know where you live? -------------------------- October 1st. Apple makes the Unique Device ID (UDID) available to all app developers; The intended role of the UDID as a unique token to remotely store local application preferences is a convenient tool for programmers (example: store the scores & last level completed for a player so when they return, they can pick up from where they left off) However, the potential for the abuse of privacy is remarkably high. For example, some of these developers do NOT encrypt this information during transmission Users have very little control over who has access to their UDID. Our position is that we want to protect our clients and ensure that such type of data is collected, strored and transmitted as safely as possible. Any tie of UDID to profile data from Facebook, for example is a ticking time bomb. We help make sure that if this is done, it in line with industry best practices and compliance with privacy rules and regulations. ------------------ Another study whose results published on 9/30/10 found: Google too has from time to time disabled applications in response to knowledge about privacy invasions -------------------------------------- While there was no assertion or admission of wrong doing, these findings raise concern about the extent to which mobile platforms can insulate users from unwanted invasions of privacy. Bottom line, most companies don’t want to be in the news for this reason which is why its in company’s best interest to seek out an expert when it comes to these matters rather than going it alone and hoping for the best.
- #26 Does a game developer really need to know where you live? -------------------------- October 1st. Apple makes the Unique Device ID (UDID) available to all app developers; The intended role of the UDID as a unique token to remotely store local application preferences is a convenient tool for programmers (example: store the scores & last level completed for a player so when they return, they can pick up from where they left off) However, the potential for the abuse of privacy is remarkably high. For example, some of these developers do NOT encrypt this information during transmission Users have very little control over who has access to their UDID. Our position is that we want to protect our clients and ensure that such type of data is collected, strored and transmitted as safely as possible. Any tie of UDID to profile data from Facebook, for example is a ticking time bomb. We help make sure that if this is done, it in line with industry best practices and compliance with privacy rules and regulations. ------------------ Another study whose results published on 9/30/10 found: Google too has from time to time disabled applications in response to knowledge about privacy invasions -------------------------------------- While there was no assertion or admission of wrong doing, these findings raise concern about the extent to which mobile platforms can insulate users from unwanted invasions of privacy. Bottom line, most companies don’t want to be in the news for this reason which is why its in company’s best interest to seek out an expert when it comes to these matters rather than going it alone and hoping for the best.
- #27 DO YOU WANT THIS TO HAPPEN TO YOUR COMPANY? The issue was with an app or a browser in which the referrer URLs were including Facebook IDs inadvertently BTW-anyone can use an ID number to look up a person's name, using a standard Web browser, even if that person has set all of his or her Facebook information to be private. For other users, the Facebook ID reveals information they have set to share with "everyone," including age, residence, occupation and photos. ------------------------------------- This past spring, the Journal found that Facebook was transmitting the ID numbers to advertising companies, under some circumstances, when a user clicked on an ad. Facebook subsequently discontinued the practice.
- #31 In summary
- #33 TRUSTe mark can be placed on web site and mobile application stores to drive increased downloads Many TRUSTe clients have mobile apps & mobile web and are extending the TRUSTe trust mark
- #35 TRUSTe pages are optimized device regardless Smartphone, Feature (low resolution) phone, a Notebook or a Personal Computer
- #37 Best practice: Provide access to privacy policy usually through About, More or Settings page
- #38 Privacy-sensitive app; best practice is to provide info about info gathering and sharing upfront (home page)
- #42 Companies that are interested should sign up before 11/30/10 to get the special rate