Certificate of Declaration
This is certify that project report entitled “Perceptual Study of Privacy Issues in E marketing” , which is submitted by Butta Singh , School of Management Studies, Punjabi university, Patiala is an authentic record of candidate’s own work and is completed under my guidance. This report is with regard to MBA project and not to be submitted for any other degree.
Lec. Satinder Kumar (Project guide)
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PREFACE
This report pertains to the making of Major Project report of M.B.A. curriculum . The purpose of this project is to make the students have thorough knowledge of the topics given to them. I learned a lot from the hard work I put in to collect information regarding the same, which would be of great use in my near future as a professional. Justification cannot be done to whatever I have learn t within a few pages but I have still tried my best to cover as much as possible about “Perceptual Study of Privacy Issues in E marketing” in this report.
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Acknowledgement Before we get into the thick of thing, I would like to say that it was a great pleasure & privilege for me to have the opportunity of undertaking this project. I have the honor to express my sincere thanks to my esteemed project guide Lecturer Mr. Satinder Kumar who has guided me in this project and also guided me to write an efficient e fficient report. I would also like to thanks my friends and colleagues who have helped me in collection of relevant data and helped me in completing the project. I am sure that the knowledge & information that I have gained during this project would be of immense value for my future.
Butta Singh
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TABLE OF CONTENTS
LIST OF CHARTS EXECUTIVE SUMMARY
NO. CHAPTER NAME
I
INTRODUCTION
II
REVIEW OF OF LI LITERATURE, RA RATIONALE
5-6 7
PAGE NO.
8-28 29-34
AND OBJECTIVE OF THE STUDY III
RESEARCH METHODOLOGY
35-36
IV
DATA ANALYSIS AND INTERPRETATION
37-58
V
FIND INDINGS, SUG SUGGESTIONS, LIM LIMITATIONS,
59-63
CONCUSION
BIBLIOGRAPHY
64
ANNEXURE
65
List of Charts No.
Name
Page No.
4.1
Access Internet facilities for any activity
38
4.2
Having Email Account
39
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4.3
E marketing caters to the computer literate person only
40
4.4
Often do shopping
41
4.5
Frequency of buying things online
42
4.6 f Greatest benefit of E marketing to marketer and consumer
43
4.7
Read privacy policies of the company while sharing personal information
44
4.8
Reasons for not reading privacy policy
45
4.9
Types of privacy issues faced due to E-marketing
46
4.1
Customer is concerned about his privacy in E marketing
47
Customer personal details are safe with online companies
48
0 4.1 1 4.1
Online marketers are able to find out personal information through the customer 49
2
activities on their websites
4.1
E marketers manipulate the information of the customer according to their use
50
Online marketers keep confidential the personal information of the customer
51
Name
Page
3 4.1 4
No.
No.
4.1
Privacy and security of the Credit card and account is very important in E
5
marketing
4.1
E marketing interferes in the children privacy through exposure of vulgarity and
6
obscenity
52
53
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4.1
Privacy policies are explained thoroughly on the websites
54
E marketers practice what they state in their privacy policy
55
The privacy of internet user is greatly violated
56
Consumer is aware of the legal and other implications on violation of his privacy
57
7 4.1 8 4.1 9 4.2 0 4.2
Custo Custome merr shoul should d be give given n more more opti option on regar regardi ding ng the the use of his his person personal al 58
1
information
EXECUTIVE SUMMARY The project is all about the study of customer perception about the privacy issues related to E marketing. marketing. Firstly there is the introduction introduction to the E marketing. marketing. E-marketing E-marketing means using digital technologies to help sell your goods or services. These technologies, like e-mail and
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websites, are a valuable complement to traditional marketing methods whatever the size of your company or your business model. This rapid growth of internet has been accompanied, however, by concerns regarding the collection and dissemination of consumer information by marketers who partic participa ipate te in online online retail retailing ing.. These These concer concerns ns pertai pertain n to the privac privacy y and securi security ty of accumulated consumer data and the perceived risks that consumers may experience with respect to these issues. Next to the introduction there are certain previously carried out studies related to the topic which serve as Review of Literature. These studies guided the theme and scheme of the project. Next there is the rationale of the study and objectives. The main aim of this research is to study the customers’ perceptions regarding the privacy in e-marketing, the ethical issues related to privacy and factors behind it. Then is Research Research Methodology Methodology,, which includes justificati justification on about the topic and it also contain the sampling design, sources of information (primary as well as secondary)and scope of study. Next there is data analysis analysis and interpretat interpretation. ion. After it findings, findings, suggestions and conclu conclusio sion n is there. there. In conclu conclusio sion, n, privacy privacy protec protecti tion on on the Intern Internet et demands demands a multi multi-ti -tier er approach, involving organizations, governments and individual consumers.
CHAPTER I Introduction E-Marketing and Privacy Issues
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E-marketin E-marketing g means using digital technologies technologies to help sell your goods or services. services. These technol technologie ogies, s, like like e-mail e-mail and website websites, s, are a valuab valuable le comple complemen mentt to tradit tradition ional al market marketing ing methods whatever the size of your company or your business model..
Benefits of e marketing:-
•
Global Reach
If you build a website you can reach anyone, anywhere in the world, provided they have internet access. This allows you to tap new markets and compete globally with only a small investment. This can be particularly useful for niche providers, companies whose products can be posted easily, or businesses who are looking to expand geographically but cannot afford to invest in new offices or businesses.
•
Lower Cost
A properly planned and effectively targeted e-marketing campaign can reach the right customers at a much lower cost than traditional marketing methods. You can build a website for as little as a few hundred pounds or send e-mail for a fraction of a penny.
•
Trackable, Measurable Results
Marketing by e-mail or banner advertising makes it easier to establish how effective your campaign has been. If someone clicks on a banner advert, or a link in an e-mail or on a website, you can see how they arrived at your website. This detailed information about customers’ responses to your advertising allows you to assess the effectiveness of different campaigns.
•
24-Hour Marketing
With a website your customers can find out about your products even if your office is closed.
•
Shorter Lead Times
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If you have a website or an e-mail template, you can react to events much more quickly – giving your marketing a much more contemporary feel. If one of your products is in the news or something important happens in your industry, you can capitalize on it without having to print or post anything.
•
A Level Playing Field
With a well-designed website, you can show yourself to be as professional and credible as your larger competitors.
•
Personalisation
If your customer database is linked to your website, then whenever someone visits the site, you can greet them with targeted offers. The more they buy from you, the more you can refine your customer profile and market effectively to them. A great example of this is Amazon’s website which suggests products based on your and other people’s previous purchases.
Marketing Ethics:Ethics has been termed the study and philosophy of human conduct, with an emphasis on the determination of right and wrong. For marketers, ethics in the workplace refers to rules (standards, (standards, principles) principles) governing governing the conduct of organizati organizational onal members members and the consequences of marketing marketing decisions. decisions. Therefore, Therefore, ethical marketing from a normative normative perspective perspective approach approach is defined defined as “practices “practices that emphasize transparent, transparent, trustworth trustworthy, y, and responsible responsible personal and organi organizati zationa onall market marketing ing polici policies es and action actionss that that exhibit exhibit integr integrit ity y as well well as fairne fairness ss to consumers and other stakeholders. Marketing ethics focuses on principles and standards that define acceptable marketing conduct, as determined by various stakeholders and the organization responsible for marketing activities. While many of the basic principles have been codified as laws laws and regula regulati tions ons to requir requiree market marketers ers to confor conform m to societ society’ y’ss expect expectati ations ons of conduct conduct,, market marketing ing ethics ethics goes goes beyond beyond legal legal and regula regulator tory y issues. issues. Ethica Ethicall market marketing ing practi practices ces and principles are core building blocks in establishing trust, which help build long-term marketing
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relationships. In addition, the boundary-spanning nature of marketing (i.e. sales, advertising, and distribution) presents many of the ethical issues faced in business today. Both marketing practitioners and marketing professors approach ethics from different perspectives. For example, one perspective is that ethics is about being a moral individual and that personal values and moral philosophies are the key to ethical decisions in marketing. Virtues such as honesty, fairness, responsibility, and citizenship are assumed to be values that can guide complex marketing decisions in the context of an organization. On the other hand, approaching ethics from an organizational perspective assumes that establishing organizational values, codes, and train training ing is necessar necessary y to provid providee consist consistent ent and shared shared approa approache chess to making making ethica ethicall decisions.
Need for Private Data:Why is privacy of concern to e-commerce?
The Internet has grown considerably during the past decade, particularly with respect to its use as a tool for communication, entertainment, and marketplace exchange. This rapid growth has been accompanied, however, by concerns regarding the collection and dissemination of consumer information by marketers who participate in online retailing. These concerns pertain to the privacy and security of accumulated consumer data (Briones 1998; Culnan 1999) and the perceived risks that consumers may experience with respect to these issues (Ernst & Young 1999; Milne and Boza 1999; Milne 2000). There are many business opportunities in the changing technical environment. The use of digital systems allows data capture at a much larger rate and scope than previously; e-commerce sites could potentially collect an immense amount of data about personal preferences, shopping patterns, patterns of information search and use, and the like about consumers, especially if aggregated across sites. Not only is it easier than ever to collect the data, it is also much easier to search these data. New computational techniques allow data mining for buying patterns and other personal trends. These data can be used to personalize a customer’s e-commerce experience, augment an organization’s customer support, or improve a customer’s specific e-site experience.
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The data are valuable for reuse, for example, in finding potential sales to existing customers. As well, the data are also valuable to aggregators (who may look for other personal trends and patterns) or for other types of resale. Indeed, reuse and resale are simultaneously both potential opportunities and problems Information security : -
Protec Protecti ting ng inform informati ation on and infor informati mation on system systemss from from unau unauth thor oriz ized ed acce access, ss, use, use, disclosure, disruption, modification, perusal, inspection, recording or destruction. The terms terms inform informati ation on securit security, y, comput computer er securi security ty and infor informati mation on assuran assurance ce are frequently incorrectly used interchangeably. These fields are interrelated often and share the common common goals goals of protec protectin ting g the confidentiality confidentiality,, integrity and availability of informatio information; n; however, there are some subtle differences between them. These differences lie primarily in the approach to the subject, the methodologies used, and the areas areas of concent concentrat ration ion.. Inform Informati ation on securi security ty is concern concerned ed with with the confid confident ential iality ity,, integrity and availability of data regardless of the form the data may take: electronic, print, or other forms. Computer security can focus on ensuring the availability and correct operation of a computer system without concern for the information stored or processed by the computer. Governments,, military Governments military,, corporations corporations,, financial institutions, institutions , hospitals hospitals,, and private businesses amass amass a great great deal deal of confide confidenti ntial al inform informati ation on about about their their employ employees, ees, custome customers, rs, product products, s, research, and financial status. Most of this information is now collected, processed and stored on electronic computers and transmitted across networks to other computers. Should confidential informatio information n about a business' business' customers or finances or new product line fall into the hands of a competitor, such a breach of security could lead to lost business, law suits or even bankruptcy even bankruptcy of the business. Protecting confidential information is a business requirement, and in many cases also an ethical and legal requirement. For the individual, information security has a significant effect on privacy on privacy,, which is viewed very differently in different cultures Type of information can be misused
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1. Perso Personal nal infor informa matio tion. n. 2. Demo Demogra graph phic ic info inform rmat ation ion.. 3. Cont Contac actt infor informa mati tion on.. 4. Cred Credit it card card no./ no./ac ac no 5. Taste Taste and and prefe prefere renc nces. es.
Security classification for information
An important aspect of information security and risk management is recognizing the value of information and defining appropriate procedures and protection requirements for the information. Not all information is equal and so not all information requires the same degree of protection. This requires information to be assigned a security classification. classification. The first step in information classification is to identify a member of senior management as the owner of the particular information to be classified. Next, develop a classification policy. The policy should describe the different classification labels, define the criteria for information to be assigned a particular label, and list the required security controls for each classification. Some factors that influence influence which classificat classification ion informati information on should be assigned assigned include include how much value that information has to the organization, how old the information is and whether or not the information has become obsolete. Laws and other regulatory requirements are also important considerations when classifying information. The type of information security classification labels selected and used will depend on the nature of the organisation, with examples being: •
In the business sector, labels such as: Public, Sensitive, Private, Confidential.
•
In the govern governmen mentt sector sector,, labels labels such as: Unclas Unclassif sified ied,, Sensit Sensitive ive But Unclassi Unclassifie fied, d, Restricted, Confidential, Secret, Top Secret and their non-English equivalents.
•
In cross-sectoral formations, the Traffic Light Protocol, Protocol, which consists of: White, Green, Amber and Red.
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All employees in the organization, as well as business partners, must be trained on the classification schema and understand the required security controls and handling procedures for each classification. The classification a particular information asset has been assigned should be reviewed periodically to ensure the classification is still appropriate for the information and to ensure the security controls required by the classification are in place. Access control
Access to protected information must be restricted to people who are authorized to access the information. The computer programs, and in many cases the computers that process the information, must also be authorized. This requires that mechanisms be in place to control the access to protected information. The sophistication of the access control mechanisms should be in parity with the value of the information being protected - the more sensitive or valuable the information the stronger the control mechanisms need to be. The foundation on which access control mechanisms are built start with identification and authentication. Identification is an assertion of who someone is or what something is. If a person makes the statement "Hello, my name is John Doe" they Doe" they are making a claim of who they are. However, their claim may or may not be true. Before John Doe can be granted access to protected information it will be necessary to verify that the person claiming to be John Doe really is John Doe. Authentication
It is the act of verifying a claim of identity. When John Doe goes into a bank to make a withdrawal, he tells the bank teller he is John Doe (a claim of identity). The bank teller asks to see a photo ID, so he hands the teller his driver's license. The bank teller checks the license to make sure it has John Doe printed on it and compares the photograph photograph on the license against the person claiming to be John Doe. If the photo and name match the person, then the teller has authenticated that John Doe is who he claimed to be. There There are three three differ different ent types types of inform informati ation on that that can be used for authentic authenticati ation: on: something you know, something you have, or something you are. Examples of something something you
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know include such things as a PIN, a password, or your mother's maiden name. Examples of something you have include a driver's license or a magnetic swipe card. card. Something you are refers to biometrics. Examples of biometrics include palm prints, finger prints, voice prints and retina (eye) scans. Strong authentication requires providing information from two of the three different types of authentication information. For example, something you know plus something you have. This is called two factor authentication. On comp comput uter er syst system emss in use toda today, y, the the User Usernam namee is the the most most comm common on form form of identification and the Password is the most common form of authentication. Usernames and passwords have served their purpose but in our modern world they are no longer adequate. Usernames and passwords are slowly being replaced with more sophisticated authentication mechanisms. After a person, person, program program or computer has successfully successfully been identifie identified d and authenticat authenticated ed then it must be determined what informational resources they are permitted to access and what actions they will be allowed to perform (run, view, create, delete, or change). This is called authorization. Auth Author oriz izat atio ion n to acce access ss info inform rmat atio ion n and othe otherr comp comput utin ing g servi service cess begi begins ns with with administrative policies and procedures. The policies prescribe what information and computing services can be accessed, by whom, and under what conditions. The access control mechanisms are then configured to enforce these policies. Diff Differ eren entt comp comput utin ing g syst system emss are are equip equipped ped with with diff differ erent ent kind kindss of acce access ss cont contro roll mechanisms - some may even offer a choice of different access control mechanisms. The access control mechanism a system offers will be based upon one of three approaches to access control or it may be derived from a combination of the three approaches. The non-di non-discr screti etionar onary y approach approach consol consolida idates tes all access access contro controll under under a centra centraliz lized ed administration. The access to information and other resources is usually based on the individuals function function (role) in the organization organization or the tasks the individual individual must perform. perform. The discretionary discretionary approach gives the creator or owner of the information resource the ability to control access to
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those resources. In the Mandatory access control approach, access is granted or denied basing upon the security classification assigned to the information resource. Examples of common access control mechanisms in use today include Role-based access control available in many advanced Database Management Systems, simple file permi permissions ssions provided in the UNIX and Windows operating systems, Group Policy Objec Objects ts provided in Windows network systems, Kerberos Kerberos,, RADIUS RADIUS,, TACACS TACACS,, and the simple access lists used in many firewalls and routers routers.. To be effective, policies and other security controls must be enforceable and upheld. Effect Effective ive polici policies es ensure ensure that that people people are held held account accountable able for their their action actions. s. All failed failed and successful authentication attempts must be logged, and all access to information must leave some type of audit trail. Cryptography
Information security uses cryptography to transform usable information into a form that renders it unusable by anyone other than an authorized user; this process is called encryption encryption.. Inform Informati ation on that that has been encrypt encrypted ed (rende (rendered red unusabl unusable) e) can be transf transform ormed ed back back into into its original usable form by an authorized user, who possesses the cryptographic key, key, through the process of decryption. Cryptography is used in information security to protect information from unauthorized or accidental disclosure while the information is in transit (either electronically or physically) and while information is in storage. Crypto Cryptogra graphy phy provid provides es inform informati ation on securit security y with with other other useful useful applica applicatio tions ns as well well including improved authentication methods, message digests, digital signatures, non-repudiation non-repudiation,, and encrypted network communications. Older less secure application such as telnet and ftp are slowly being replaced with more secure applications such as ssh that use encrypted network comm communi unicat catio ions. ns. Wire Wirele less ss commu communi nica cati tions ons can can be encr encryp ypte ted d using using prot protoco ocols ls such such as WPA/WPA2 or the older (and less secure) WEP WEP.. Wired communications (such as ITU-T G.hn G.hn)) are secured using AES for encryption and X.1035 for authentication and key exchange. Software applications such as GnuPG or PGP or PGP can be used to encrypt data files and Email.
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Cryptography can introduce security problems when it is not implemented correctly. Cryptographic solutions need to be implemented using industry accepted solutions that have undergone rigorous peer review by independent experts in cryptography. The length and strength of the encryption key is also an important consideration. A key that is weak or too short will produce weak encryption. The keys used for encryption and decryption must be protected with the same degree of rigor as any other confidential information. They must be protected from unauthorized disclosure and destruction and they must be available when needed. PKI solutions address many of the problems that surround key management. management. Defense in depth
Information security must protect information throughout the life span of the information, from the initial creation of the information on through to the final disposal of the information. The information must be protected while in motion and while at rest. During its life time, information may pass through many different information processing systems and through many different parts of information processing systems. There are many different ways the information and information systems can be threatened. To fully protect the information during its lifetime, each component of the information processing system must have its own protection mechanisms. The building up, layering on and overlapping of security measures is called defense in depth. The strength of any system is no greater than its weakest link. Using a defense in depth strategy, should one defensive measure fail there are other defensive measures in place that continue to provide protection.
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Security vulnerabilities in electronic commerce
1. There are many many points points of failure, failure, or vulnerabili vulnerabilities, ties, in an e-commerc e-commercee environment. environment. Even in a simplified e-commerce scenario – a single user contacts a single web site, and then gives his credit card and address information for shipping a purchase – many potential security vulnerabilities exist. Indeed, even in this simple scenario, there are a number of systems and networks involved. Each has security issues: A user must use a web site and at some some point point identi identify, fy, or authen authentic ticate ate,, himsel himselff to the site. site. Typica Typically lly,, authent authentica icatio tion n begins on the user’s home computer and its browser. Unfortunately, security problems in home computers offer hackers other ways to steal ecommerce data and identification data from users. Some current examples include a popular home-banking system that stores a user’s account number in a Web “cookie” which hostile web-sites can crack, ineffective encryption or lack of encryption for home wireless networks and, mail-borne viruses that can steal the user's financial financial data from the local disk or even from the user's keystrokes. keystrokes. While these specific security problems will be fixed by some software developers and web-site web-site administrat administrators, ors, similar problems problems will continue to occur. Alternatives Alternatives to the home computer include Point-of- Sale (POS) terminals in brick-and-mortar stores, as well as a variety of mobile and handheld devices.
2. The user’s user’s web browser browser connects connects to to the merchant merchant front-e front-end. nd. When a consumer consumer makes an onlin onlinee purc purcha hase, se, the the merc mercha hant nt's 's we webb-ser server ver usual usually ly cache cachess the the orde order' r'ss pers persona onall information in an archive of recent orders. This archive contains everything necessary for credit-car credit-card d fraud. Further, Further, such archives often hold 90 days' worth of customers' customers' orders. Naturally, hackers break into insecure web servers to harvest these archives of credit card numbers. Several recent thefts netted 100,000, 300,000, and 3.7 million credit-card data, respectively respectively.. accordingly, accordingly, an e-commerce e-commerce merchant's first security security priority priority should be to keep the web servers' archives of recent orders behind the firewall, not on the front-end web servers Furthermore, sensitive servers should be kept highly specialized, by turning off and removi removing ng all inessen inessenti tial al servic services es and applica applicatio tions ns (e.g., (e.g., ftp, ftp, email email). ). Other Other practical suggestions to secure web servers can be found found in, and among many others.
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3. The merchant merchant back-end back-end and and database. database. A site’s site’s servers servers can weaken weaken the company company's 's internal internal netw networ ork. k. This This not not easi easily ly reme remedi died ed,, beca because use the the web serve servers rs need need admi admini nist stra rati tive ve connect connection ionss to the internal internal network, network, but web server server software software tends tends to have have buggy buggy security. Here, the cost of failure is very high, with potential theft of customers’ identities or corporate data. Additionally, the back-end may connect with third party fulfillment centers and other processing agents. Arguably, the risk of stolen product is the merchant's least-important security concern, because most merchants' traditional operations already have careful controls to track payments and deliveries. However, these third parties can release valuable data through their own vulnerabilities.
Social networking sites and privacy
Social networking sites have become very popular within the last five years. With the creation of Facebook and the continued popularity of MySpace many people are giving their personal information out on the internet. These social networks keep track of all interactions used on their sites and save them for later use.[14] Most users are not aware that they can modify the privacy settings and unless they modify them, their information is open to the public. On Facebook privacy settings can be accessed via the drop down menu under account in the top right corner. There users can change who can view their profile and what information can be displayed on their profile. In most cases profiles are open to either "all my network and friends" or "all of my friends." Also, information that shows on a user's profile such as birthday, religious views, and relationship status can be removed via the privacy settings. If a user is under 13 years old they are not able to make a Facebook or a MySpace account, however, this is not regulated.
Facebook Case:- November 2007. Facebook got into hot water regarding its new beacon
advertisements which displayed items that your friends bought on third-party partner sites. While the data usage may have been legal (Facebook offered options for opt out and had written provisions permitting these actions in its privacy policy), the public response overwhelmingly was one of betrayed trust, condemnation; forcing a public apology.
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Wiki leak case:- Hackers rushed to the defense of WikiLeaks on Wednesday, launching
a new attack on Visa after shutting down MasterCard, Swedish prosecutors, a Swiss bank and others who have acted against the site and jailed founder Julian Assange. Internet "hacktivists" operating under the label "Operation Payback" claimed in a Twitter message, "we are attacking www.visa.com in an hour! Get your weapons ready and stay tuned," NBC News reported.
Privacy Policy:-
A privacy policy is a legal document that discloses some or all of the ways a party gathers, uses, discloses and manages a customer's data. The exact contents of a privacy policy will depend upon the applicable law and may need to address the requirements of multiple countries or jurisdictions. While there is no universal guidance for the content of specific privacy policies, a number of organizations provide example forms or online wizards.
Privacy Policy of Google:Privacy Policy
This Privacy Policy Policy applies to all of the products, the products, services and websites offered by Google Inc. or its subsidiaries or affiliated companies except Postini (Postini ( Postini Privacy Policy). Policy). Sometimes, we may post product specific privacy notices or Help Center materials to explain our products in more detail. If you have any questions about this Privacy Policy, please feel free to contact us through our website or write to us at Privacy Matters c/o Google Inc. 1600 Amphitheatre Parkway
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Mountain View, California, 94043 USA
Information we collect and how we use it
We may collect the following types of information: •
Googlee Account Account,, we ask you for Information you provide – When you sign up for a Googl personal information. information. We may combine the information you submit under your account with information from other Google services or third parties in order to provide you with a better experience and to improve the quality of our services. For certain services, we may give you the opportunity to opt out of combining such information. You can use the Google Dashboard to learn more about the information associated with your Account. If you are using Google services in conjunction with your Google Apps Account, Google provides such services in conjunction with or on behalf of your of your domain administrator . Your administrator will have access to your account information including your email. Consult your domain administrator’s privacy policy for more information.
•
Cookies – When you visit Google, we send one or more cookies to your computer or
other device. We use cookies to improve the quality of our service, including for storing user preferences, improving search results and ad selection, and tracking user trends, such as how people search. search. Google Google also also uses uses cookie cookiess in its its advert advertisi ising ng servic services es to help help advertisers and publishers serve and manage ads across the web and on Google services. •
Log information – When you access Google services via a browser, application or other
client our servers automatically record certain information. These server logs may include informati information on such as your web request, request, your interaction interaction with a service, service, Internet Protocol address, browser type, browser language, the date and time of your request and one or more cookies that may uniquely identify your browser or your account. •
User communications – When you send email or other communications to Google, we
may retain those communications in order to process your inquiries, respond to your
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requests and improve our services. When you send and receive SMS messages to or from one of our services services that that provid provides es SMS functi functional onality ity,, we may collect collect and mainta maintain in information associated with those messages, such as the phone number, the wireless carrier associated with the phone number, the content of the message, and the date and time of the transaction. We may use your email address to communicate with you about our services. •
Affiliated Google Services on other sites – We offer some of our services on or through
other web sites. Personal information that you provide to those sites may be sent to Google in order to deliver the service. We process such information under this Privacy Policy. •
Third Party Applications – Google may make available third party applications, such as
gadgets or extensions, through its services. The information collected by Google when you enable a third third party application application is processed processed under this Privacy Privacy Policy. Informati Information on collected by the third party application provider is governed by their privacy policies. •
Location data – Google offers location-enabled services, such as Google Maps and
Latitude. If you use those services, Google may receive information about your actual location (such as GPS signals sent by a mobile device) or information that can be used to approximate a location (such as a cell ID). •
Unique application number – Certain services, such as Google Toolbar, include a
unique application number that is not associated with your account or you. This number and information about your installation (e.g., operating system type, version number) may be sent to Google when you install or uninstall that service or when that service perio periodic dicall ally y contact contactss our server serverss (for (for exampl example, e, to request request automa automatic tic updates updates to the software). •
Other sites – This Privacy Policy applies to Google services only. We do not exercise
control control over the sites displayed displayed as search results, results, sites that include Google applications, applications, products or services, or links from within our various services. These other sites may place their own cookies or other files on your computer, collect data or solicit personal information from you. •
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In addition to the above, we may use the information we collect to: •
Provide, maintain, protect, and improve our services (including advertising services) and develop new services; and
•
Protect the rights or property of Google or our users.
If we use this information in a manner different than the purpose for which it was collected, then we will ask for your consent prior to such use. Google processes personal information on our servers in the United States of America and in other countries. In some cases, we process personal information outside your own country. Choices
You can use the Google Dashboard to review and control the information stored in your Google Account. Most browsers are initially set up to accept cookies, but you can reset your browser to refuse all cookies or to indicate when a cookie is being sent. However, some Google features and services may not function properly if your cookies are disabled. Google uses the DoubleClick advertising cookie on AdSense partner sites and certain Google services to help advertisers and publishers serve and manage ads across the web. You can view and manage your ads preferences associated with this cookie by accessing the Ads Preferences Manager . In addition, you may choose to opt out of the DoubleClick cookie at any time by using DoubleClick’s opt-out cookie. cookie.
Information sharing
Google only shares personal information with other companies or individuals outside of Google in the following limited circumstances:
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•
We have have your your consent consent.. We requir requiree opt-in opt-in consent consent for the sharing sharing of any sensitive sensitive personal information.
•
We provide such information to our subsidiaries, affiliated companies or other trusted businesses or persons for the purpose of processing personal information on our behalf. We require that these parties agree to process such information based on our instructions and in compliance with this Privacy Policy and any other appropriate confidentiality and security measures.
•
We have have a good good fait faith h beli belief ef that that acce access, ss, use, use, prese preserv rvat atio ion n or discl disclosu osure re of such such information is reasonably necessary to (a) satisfy any applicable law, regulation, legal process or enforceable governmental request, (b) enforce applicable Terms of Service, including investigation of potential violations thereof, (c) detect, prevent, or otherwise address fraud, security or technical issues, or (d) protect against harm to the rights, property or safety of Google, its users or the public as required or permitted by law.
If Google becomes involved in a merger, acquisition, or any form of sale of some or all of its asset assets, s, we will will ensur ensuree the the conf confid ident entia iali lity ty of any any pers persona onall info inform rmat atio ion n invo involv lved ed in such such transactions and provide notice before personal information is transferred and becomes subject to a different privacy policy. Information security
We take take approp appropria riate te securit security y measur measures es to protec protectt agains againstt unauth unauthori orized zed access access to or unauthorize unauthorized d alteration alteration,, disclosure disclosure or destruction destruction of data. These include include internal internal reviews of our data collection, storage and processing practices and security measures, including appropriate encryption and physical security measures to guard against unauthorized access to systems where we store personal data. We restrict access to personal personal information information to Google employees, contractors contractors and agents who need to know that information in order to process it on our behalf. These individuals are bound by confidentiality obligations and may be subject to discipline, including termination and criminal prosecution, if they fail to meet these obligations. Accessing and updating personal information
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When you use Google services, we make good faith efforts to provide you with access to your personal information and either to correct this data if it is inaccurate or to delete such data at your request if it is not otherwise required to be retained by law or for legitimate business purposes. We ask individual users to identify themselves and the information requested to be accessed, corrected or removed before processing such requests, and we may decline to process requests that are unreasonably repetitive or systematic, require disproportionate technical effort, jeopar jeopardiz dizee the privac privacy y of others others,, or would would be extrem extremely ely imprac impractic tical al (for (for instan instance, ce, request requestss concerning information residing on backup tapes), or for which access is not otherwise required. In any case where we provide information access and correction, we perform this service free of charge, except if doing so would require a disproportionate effort. Because of the way we maintain certain services, after you delete your information, residual copies may take a period of time before they are deleted from our active servers and may remain in our backup systems. Please review the service Help Centers for more information.
Enforcement
Google adheres to the US Safe Harbor Privacy Principles of Notice, Choice, Onward Transfer, Security, Data Integrity, Access and Enforcement, and is registered with the U.S. Department of Commerce’s Safe Harbor Program. Program . Google regularly reviews its compliance with this Privacy Policy. When we receive formal written complaints, it is Google’s policy to contact the complaining user regarding his or her concerns. We will cooperate with the appropriate regulatory authorities, including local data protection authorities, to resolve any complaints regarding the transfer of personal data that cannot be resolved between Google and an individual. Changes to this Privacy Policy
Please note that this Privacy Policy may change from time to time. We will not reduce your rights under this Privacy Policy without your explicit consent. We will post any Privacy Policy changes on this page and, if the changes are significant, we will provide a more prominent notice
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(including, for certain services, email notification of Privacy Policy changes). We will also keep prior versions of this Privacy Policy in an archive for your review
Indian law regarding misuse of information:-
Under the Information Technology Act 2000 Chapter IX Sec 43 (b)
“
If any person without permission of the owner or any other person who is incharge of a computer, computer system or computer network, (b) downloads, copies or extracts any data, computer data base or information from such computer, computer system or computer network including information or data held or stored in any removable storage medium; he shall be liable to pay damages by way of compensation not exceeding one crore rupees to the person so affected.
Ways To Secure Yourself Customer Security: Basic Principles
Most ecommerce merchants leave the mechanics to their hosting company or IT staff, but it helps to understand the basic principles. Any system has to meet four requirements: •
privacy: information must be kept from unauthorized parties.
•
integrity: message must not be altered or tampered with.
•
authentication: sender and recipient must prove their identities to each other.
•
non-repudiation: proof is needed that the message was indeed received.
Digital Signatures and Certificates
Digital signatures meet the need for authentication and integrity. To vastly simplify matters (as throughout throughout this page), a plain text message is run through a hash function function and so given a value:
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the message digest. This digest, the hash function and the plain text encrypted with the recipient's public key is sent to the recipient. The recipient decodes the message with their private key, and runs the message through the supplied hash function to that the message digest value remains unchanged (message has not been tampered with). Very often, the message is also time stamped by a third party agency, which provides non-repudiation. What about authentication? How does a customer know that the website receiving sensitive information is not set up by some other party posing as the e-merchant? They check the digital certificate. This is a digital document iss ued by the CA (certification authority: Verisign, Thawte, etc.) that uniquely identifies the merchant. Digital certificates are sold for emails, e-merchants and web-servers. Secure Socket Layers
Information sent over the Internet commonly uses the set of rules called TCP/IP (Transmission Contro Controll Protoc Protocol ol / Intern Internet et Protoc Protocol) ol).. The inform informati ation on is broken broken into into packet packets, s, number numbered ed sequent sequential ially, ly, and an error error control control attach attached. ed. Indivi Individua duall packet packetss are sent by differ different ent routes routes.. TCP/IP TCP/IP reassembles them in order and resubmits resubmits any packet showing errors. SSL uses PKI and digital certificates to ensure privacy and authentication. The procedure is something like this: the client sends a message to the server, which replies with a digital certificate. Using PKI, server and client negotiate to create create session keys, which are symmetrical symmetrical secret keys specially created for that particular transmission. Once the session keys are agreed, communication continues with these session keys and the digital certificates. PCI, SET, Firewalls and Kerberos
Credit card details can be safely sent with SSL, but once stored on the server they are vulnerable to outsiders hacking into the server and accompanying network. A PCI (peripheral component interc interconne onnect: ct: hardwar hardware) e) card card is often often added added for protec protectio tion, n, theref therefore ore,, or another another approac approach h altogether is adopted: SET (Secure Electronic Transaction). Developed by Visa and Mastercard, SET uses PKI for privacy, and digital certificates to authenticate the three parties: merchant, customer and bank. More importantly, sensitive information is not seen by the merchant, and is not kept on the merchant's server.
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Firewalls (software or hardware) protect a server, a network and an individual PC from attack by viruses and hackers. Equally important is protection from malice or carelessness within the system, and many companies use the Kerberos protocol, which uses symmetric secret key cryptography to restrict access to authorized employees. Transactions
Sensitive information has to be protected through at least three transactions: •
credit card details supplied by the customer, either to the merchant or payment gateway. Handled by the server's SSL and the merchant/server's digital certificates.
•
credit card details passed to the bank for processing. Handled by the complex security measures of the payment gateway.
•
order and customer details supplied to the merchant, either directly or from the payment gatewa gateway/c y/cred redit it card card process processing ing company company.. Handle Handled d by SSL, SSL, server server securi security, ty, digita digitall certificates (and payment gateway sometimes).
Practical Consequences
1. The merchant is always responsible for security of the Internet-connected PC where customer detail detailss are handle handled. d. Virus Virus protec protecti tion on and a firew firewall all are the minimum minimum requir requireme ement. nt. To be absolut absolutely ely safe, safe, store store sensit sensitive ive inform informati ation on and custome customerr detail detailss on zip-di zip-disks, sks, a physic physicall ally y separat separatee PC or with with a commer commercial cial file storag storagee servic service. e. Always Always keep keep multip multiple le back-up back-upss of essential information, and ensure they are stored safely off-site. 2. Where customers order by email, information should be encrypted with PGP or similar software. Or payment should be made by specially encrypted checks and ordering software. 3. Where credit cards are taken online and processed later, it's the merchant's responsibility to check the security of the hosting company's web server. Use a reputable company and demand detailed replies to your queries. 4. Where credit cards are taken online and processed in real time, four situations arise:
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1. You use a service service bureau. bureau. Sensitive Sensitive informa information tion is handled handled entirel entirely y by the service service bureau, bureau, whic which h is respo responsi nsibl blee for for its its secur securit ity. y. Other Other cust custom omer er and order order deta detail ilss are are your your responsibility as in 3. above. 2. You possess possess an ecomme ecommerce rce merchan merchantt account account but use the digital digital certific certificate ate supplied supplied by the hosting company. A cheap option acceptable for smallish transactions with SMEs. Check out the hosting company, and the terms and conditions applying to the digital certificate. 3. You possess possess an ecomme ecommerce rce merchan merchantt accoun accountt and obtain obtain your own digit digital al certific certificate ate (costing some hundreds of dollars). Check out the hosting company, and enter into a dialogue with the certification authority: they will certainly probe your credentials. 4. You possess possess a merchant merchant account, account, and run the business business from from your own server server.. You need trained IT staff to maintain all aspects of security — firewalls, Kerberos, SSL, and a digital certificate for the server (costing thousands or tens of thousands of dollars). Security is a vexing, costly and complicated business, but a single lapse can be expensive in lost funds, records and reputation. Don't wait for disaster to strike, but stay proactive, employing a security expert where necessary.
CHAPTER II
REVIEW OF LITERATURE
Numer Numerous ous studie studiess have been conduct conducted ed to study study the custome customerr percep perceptio tion n about about the privacy issues in E marketing many parts of the world. An effort has been made to study the customer perception in the preview of the studies or researches were carried out before.
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Wang, Wang, Huaiqing Huaiqing,, Matthew, Matthew, Chen (1998). (1998). In their their resear research ch identi identifie fied d that that the term term
privacy is usually described as "the right to be let alone," and is related to solitude, secrecy, and autonomy. However, when associated with consumer activities that take place in the arena of the electr electronic onic market marketpla place, ce, privac privacy y usuall usually y refers refers to persona personall inform informati ation on and the invasi invasion on of privacy is usually interpreted as the unauthorized collection, disclosure, or other use of personal information as a direct result of electronic commerce transactions. When it comes to the invasion of personal information privacy, the types of personal information that are involved can be classified into two major categories based on their nature. growth of business-tobusiness-to Belanger, Hilleri, Smith (2002). This study stated that while the growth consumer electronic commerce seems phenomenal in recent years, several studies suggested that a large number of individuals individuals using the Internet had serious privacy concerns, and that winning winning pub publi licc trust trust wa wass the the prim primar ary y hurdl hurdlee to cont contin inued ued grow growth th in e-com e-comme merc rce. e. This This rese resear arch ch investigated the relative importance, when purchasing goods and services over the Web, of four common trust indices (i.e. (1) third party privacy seals, (2) privacy statements, (3) third party security seals, and (4) security features). The results indicated consumers valued security features signif significa icantl ntly y more more than than the three three other other trust trust indice indices. s. We also also investi investigat gated ed the relati relationsh onship ip between between these trust indices and the consumer's perceptions perceptions of a marketer's marketer's trustworthines trustworthiness. s. The findings findings indicated indicated that consumers' consumers' ratings of trustworth trustworthiness iness of Web merchants did not parallel experts' evaluation of sites' use of the trust indices. This study also examined the extent to which consumers were willing to provide private information to electronic and land merchants. The results revealed that when making the decision to provide private information, consumers rely on their perceptions of trustworthiness irrespective of whether the merchant is electronic only or land land and electr electronic onic.. Finall Finally, y, it invest investiga igated ted the relati relative ve import importanc ancee of three three types types of Web attributes: security, privacy and pleasure features (convenience, ease of use, cosmetics). Privacy and securi security ty featur features es were were of lesser lesser import importance ance than than pleasur pleasuree featur features es when conside considerin ring g consumers' intention to purchase. A discussion of the implications of these results and an agenda for future research are provided.
Brown M., Muchira R., (2004). This study was carried out in the background that many
organizations now emphasize the use of technology that can help them get closer to consumers
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and build ongoing relationships with them. The ability to compile consumer data profiles has been made even easier with Internet technology. However, it is often assumed that consumers like to believe they can trust a company with their personal details. Lack of trust may cause consumers to have privacy concerns. Addressing such privacy concerns may therefore be crucial to creati creating ng stable stable and ultima ultimatel tely y profit profitabl ablee custome customerr relati relationsh onships. ips. Three Three specifi specificc privac privacy y concerns that have been frequently identified as being of importance to consumers include unauthorized secondary use of data, invasion of privacy, and errors. Results of a survey study indicate that both errors and invasion of privacy have a significant inverse relationship with online purchase behavior. Unauthorized use of secondary data appears to have little impact. Managerial implications include the careful selection of communication channels for maximum impact, impact, the maintenance maintenance of discrete discrete permission-based permission-based contact with consumers, consumers, and accurate accurate recording and handling of data. Keywords: privacy, trust, Internet, consumer, confidentiality.
Friberg A. (2007). (2007). This study stated that Internet has become an essential tool in the
personal and professional lives of millions of people. Despite this pervasiveness, there is a downside to using the web. When individuals go online, they leave behind digital footprints. These data trails provide detailed information that can be captured, manipulated, and potentially misused misused by public public and privat privatee agenci agencies, es, often often without without one’s knowle knowledge dge or consent consent.. Thus, Thus, individual privacy is threatened at an unprecedented level. As recognition of this phenomenon grows, the issue of privacy has increased in salience. Although online privacy research had appeared regularly in the literature, there are still many issues left to explore. This dissertation determined a link between individual concern for online privacy, information transparency, and personality type. Researcher adopted a quantitative approach and derives the hypotheses from previous studies. Empirical data was collected from a web based survey given to students at Lule Luleåå Univ Univer ersi sity ty of Tech Technol nolog ogy. y. Resu Result ltss showe showed d that that priv privac acy y conce concern rnss we were re linke linked d to information transparency. This presented a new reliable uni-dimensional scale that indicated how much an individual valued the importance of information transparency. Using a brief personality inventory also uncovered differences among personality types in terms of perception of privacy and information transparency.
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Castaneda, Castaneda, Montoso, Luque, (2007). This study attempted to carry out an approximation
both to the conceptual delimitation and to the measuring of customer concern for privacy on the electronic market. To complete the objective of this research, an overview of the literature was made in an attempt to summarise the main proposals as regards dimensions of the construct analysed. Furthermore, two studies were carried out with the aim of evaluating the instruments to measure concern for privacy on the internet and which supported the conclusion concerning the construct's dimensionality, reached following the aforementioned literature overview. From the main results reached, it was highlighted that the concern for privacy on the internet construct had a structure consisting of two dimensions, which are confirmed through the scales evaluated for different contexts of use of the internet. These dimensions were: concern for control over the collect collecting ing of persona personall inform informati ation, on, and its use on the electr electroni onicc market market.. The paper' paper'ss main main contributions were threefold: a conceptual revision of the construct; a proposal of the dimensions for the construct; and an evaluation of two scales to measure the construct in different situations.
Matthew W. Vail, Julia B. Earp. (2008) carried out a research to study the customer perception and comprehension of Web site privacy policies. U.S. legislation at both the federal and state levels mandates certain organizations to inform customers about information uses and disclosures. Such disclosures are typically accomplished through privacy policies, both online and offline. Unfortunately, the policies are not easy to comprehend, and, as a result, online consumers frequently do not read the policies provided at healthcare Web sites. Because these policies are often required by law, they should be clear so that consumers are likely to read them and to ensure ensure that that consume consumers rs can compre comprehend hend these polici policies. es. This, This, in turn, turn, may increase increase consumer trust and encourage consumers to feel more comfortable when interacting with online organizations. In this paper, we present results of an empirical study, involving 993 Internet users, which compared various ways to present privacy policy information to online consumers. Our findings suggest that users perceive typical, paragraph-form policies to be more secure than other forms of policy representation, yet user comprehension of such paragraph-form policies is poor as compared to other policy representations. The results of this study can help managers create more trustworthy policies, aid compliance officers in detecting deceptive organizations, and serve legislative bodies by providing tangible evidence as to the ineffectiveness of current privacy policies.
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Jiang X., Ji S. (2009) study stated that with the rapid development of e-commerce and
increa increased sed number number of online online transac transactio tions ns in the develo developin ping g countr countries ies,, consume consumerr privacy privacy has become become an important issue for e-commerce e-commerce adoption. adoption. Although the issue had been addressed addressed in many previous studies, however, these studies studies were typically typically conducted in developed developed countries countries in differ different ent cultur cultural al and instit instituti utiona onall contex contexts. ts. The purpos purposee of this this paper paper was to provid providee a theore theoretic tical al model model of consum consumer er online online privac privacy y concern concern and behavi behavior or intent intention ion to adopt adopt ecommerce taking into the consideration of demographic, cultural, and institutional factors based on case analysis in a developing country.
Yang, Chao, Hung-Yi . , , (2009). The study was carried out to study the effect of perceived
ethical performance of shopping websites on consumer trust. Trust is a key factor to the success of electronic commerce (EC). Websites facilitate enterprises selling online but also generate many problems, problems, especially ethical issues that make customers customers hard to trust the sites. This study aimed aimed at invest investiga igati ting ng the effect effect of shoppi shopping ng websit websites' es' percei perceived ved ethica ethicall perfor performan mance ce on consumer trust. Through an experimental study of the simulated shopping website, the result showed that consumers will trust the website if they feel the site keeps a good EC ethical performance such as practicing the privacy policies and stating it explicitly, describing products or serv servic ices es in an appr approp opri riat atee wa way. y. This This find findin ing g sugg sugges este ted d EC vend vendor orss have have a bett better er underst understandi anding ng of the relati relationsh onship ip between between websit websitee ethics ethics and consum consumer er trust. trust. It may also encouraged EC vendors to enhance their websites' ethical performance so they could gain trust from customers. her stud study y refe referr rred ed that that inte intern rnet et bank bankin ing g is a form form of self self servi service ce Datta Datta (2010), (2010), in her technology. The numbers of Internet users have increased dramatically, but most of them are reluctant to provide sensitive personal information to websites because they do not trust ecommerce security. This paper investigated the factors which were affecting the acceptance of e banking banking services services among adult customers and also indicated level of concern concern regarding regarding security and privacy issues in Indian context. Primary data was collected from 200 respondents, above the age of 35, through a structured questionnaire. Statistical analysis, descriptive statistics was used to explain demographic profile of respondents and also Factor and Regression analyses were
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used to know trend of internet use and factors affecting e-banking services among adult customer in India. India. The findin finding g depict depicted ed many many factor factorss like like securit security y & privac privacy, y, trust, trust, innova innovativ tivene eness, ss, famili familiari arity, ty, awaren awareness ess level level increa increase se the accept acceptanc ancee of e-banki e-banking ng servic services es among among Indian Indian custome customers. rs. The findin finding g showed showed that that in spite spite of their their securit security y and privacy privacy concern, concern, adult adult customers are willing to adopt online banking if banks provide him necessary guidance. Based on the results of current study, Bank’s managers would segment the market on the basis of age group and take their opinion and will provide them necessary guidance regarding use of online banking.
RATIONALE OF THE STUDY Due to the advancement in technology, e-marketing is becoming very much popular these days. Customers are also attracted towards the various services provided by the e-marketing and the use of internet but some people do not feel comfortable in using e-marketing because of the privacy and security issues. There are often some cases that come into light regarding the breach of customers’ privacy. The main aim of this research is to study the customers’ perceptions regarding the privacy in e-marketing, the ethical issues related to privacy and factors behind it.
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Objectives of the study •
To study the perception of customers regarding Privacy in e-marketing.
•
To study the ethical issues relate of privacy in E-Marketing.
•
To find out the factors behind the privacy issues.
•
To study the different steps as remedy for the privacy concerns.
CHAPTER III Research Methodology Research Problem
Perceptual Study of Privacy issues in E marketing.
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Research Design
The research design was exploratory and descriptive which helped me to explore the Perception of customers and describe the ethical issues related to privacy in e- marketing.
Sampling Design
The study aimed at to survey from the respodents of Punjabi University University Campus. So the universe in the study is Patiala. And from the universe 100 samples were chosen. Sample is any person who may or may not have the knowledge of E marketing. The respondents were selected on the basis of convenience sampling.
Data Collection
Both primary and secondary data have been collected for meeting the objectives of the current study. For the purpose of the collection of the primary data, On the basis of Review of
literature, certain statements were short listed, which are related to privacy issues or which can define the ‘Title’. After it certain statements were clubbed together, redundant statements were deleted and a final unbiased, undisguised structured questionnaire was made. It was administered to the respondent for the purpose p urpose of getting the information. For the purpose of secondary data, secondary sources of information like magazines,
newspapers, journals; studies conducted in past etc. had been referred. The main sources of secondary data in the study are 1. Websites 2. Books 3. Journals Analysis Techniques
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The questi questionn onnair airee was having having the altern alternati ative ve choices. choices. Questi Questions ons having having altern alternati ative ve choices have been analyzed by taking percentages.
Scope of the Study
Scope of the study is limited to Patiala.
CHAPTER IV Demographic Analysis of Data
4.1 4.1 Age Age
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Age
Below 25
25-35 yrs
35-45 yrs
45-55 yrs
Above 55 yrs
33
41
22
4
0
Response
Total 100
4.2 Ge Gend nder er Gender
Male
Female
59
41
Response
Total 100
4.3 Profess Profession ion
Profession
Private sector
Public sector
Businessman
Student
Response
employee 37
employee 21
9
30
Any other Total 3
100
4.4 Qualifi Qualificat cation ion
Qualification
Response
10+2
Graduate
Post-Graduate
Doctorate
3
32
49
16
Total
100
Analysis of the Responses
4.1 Access Internet Internet facilities facilities for any activity. activity.
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Yes No Total
100
0
100
Analysis and Interpretation: All the respondents are Computer literate and internet users so all
the respondents use internet facility for some or other purpose.
4.2 Having Email Account
Yes No Total
100
0
100
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Analysis and Interpretation: As all the respondents use the internet facilities for their different
activities so all the respondents are having the email account. Many of the respondents are having more than one email account.
4.3 E marketing caters caters to the computer literate literate person only. only.
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Yes No
Total
88
100
12
Analysis and Interpretation: All the respondents are computer literate and use internet facility
so a large majority of the respondents think that E marketing caters to Computer literate persons only because the term can be well understood by that person who uses internet facilities. Even the internet users have not sufficient knowledge of E marketing.
4.4 Often do shopping. Page | 40
Retail Sto Stores Tele-Sh -Shoppin ping E-Shop hopping All
Total
70
100
6
8
16
Analysis and Interpretation: Interpretation: Most of the respondents often do their shopping in Retail Stores
as compared to other sources. There is no doubt retail stores are the most convenient and traditional way of purchasing things. So Online shopping and Tele-Shopping are very much lacking in the popularity.
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4.5 Frequency Frequency of buying buying things online. online.
More than once in month
Once nce a mon month th
At least east once once in six months
In a year
Never
Total
5
30
10
3
52
100
Analysis and Interpretation: More than half of the respondents have never purchased anything
online. This shows lack of popularity of E marketing among the customers. Various reasons can be given for it. Next response is favoring buying the things once in a month.
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4.6 Greatest Greatest benefit of E marketing to marketer marketer and consumer. consumer.
Time Sa Saving Awareness
Easy accessible
All
Total
39
5
40
100
16
Majori rity ty of the the respo respond nden ents ts feel feel that that E mark market etin ing g is easy easy Analysis and Interpretation: Interpretation: Majo accessible, spread awareness and time saving from the point of view of both the marketer and customer. However next majority is favoring that the greatest benefit of E marketing is time saving.
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4.7 Read privacy policies policies of the company while sharing personal personal information. information.
Yes No
Total
44
100
56
Analysis and Interpretation: Majority of the respondents stated that they do not read the
privacy policies of the company while sharing their personal information online. Less than half of the respondents read the privacy policy.
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4.8 Reasons for not not reading privacy privacy policy. policy.
Too hard to understand
Too long
Not organized well
No interest in reading it
Total
39
16
5
40
100
Analysis and Interpretation: Out of the respondents who do not read the privacy policies of the
company company while sharing their personal information, information, majority of the respondents gave the reason
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that it is often too long and time consuming. Rest of the respondents stated that they are not interested in reading it and it is hard to understand.
4.9 Types of privacy issues faced due to E-marketing.
Too much Unauthorized collection of secondary use data of information
Improper alteration of data
Unwanted Communication
Total
26
12
26
100
36
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Analysis and Interpretation: Majority of the respondents feel that they major privacy issue that
they face due to E marketing is the unauthorized use of the information they share. It is the most common privacy issue that is faced by an individual. Next type of privacy issues are the too much collection of data by the online companies, unwanted communication and then improper alteration of the data respectively.
Level of preference to the statements 4.10 4.10
Cust Custom omer er is conc concer erne ned d abo about ut his his pri priva vacy cy in E mar marke keti ting ng..
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
4
12
12
32
40
100
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Analysis and Interpretation: Interpretation: A large majority majority of the respondents respondents strongly strongly favors the response response
that that cust custom omer er is conc concer erne ned d about about his his priv privac acy y in E mark market etin ing. g. Reaso Reason n is simp simple le beca because use everybody has some privacy which no one wants to get violated in any way. Customer share his personal information online, it is obvious that he will be concerned about its safety.
4.11 4.11
Cust Custom omer er pers person onal al deta detail ilss are are safe safe with with onli online ne comp compan anie ies. s.
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
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5
40
35
17
3
100
Analysis and Interpretation: Interpretation: Majority of the respondents disagree that the personal details of
the customers are safe with the online companies while other majority is giving neutral response. As per the experience of the many respondents personal information is violated and it is used for some other purposes in addition to the stated purpose. As a result customer personal information is not safe.
4.12 4.12
Onli On line ne mark market eter erss are are able able to find find out out per perso sona nall inf infor orma mati tion on thro throug ugh h the the
customer activities on their websites.
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Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
2
10
34
44
10
100
Analysis and Interpretation: More than half of the respondents favors that online marketers are
able to find out personal information through the customer activities on their websites. They are able to find out this information by certain programs and through cookies. Next is the neutral response because they had no idea about it how they find out personal information.
4.13
E marketers manipulate the information of the customer according to their
use.
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the respo respond nden ents ts agree agree to the the stat statem ement ent that that E Analysis and Interpretation: Interpretation: Majority of the marketers manipulate the information of the customer according to their use. As it is known that ultimate aim of the marketing is to market the product and E marketers do the same by manipulating personal information according to their best possible use.
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4.14 4.14
Onli On line ne mark market eter erss kee keep p con confi fide dent ntia iall the the pers person onal al info inform rmat atio ion n of of the the
customer.
Analysis and Interpretation: Major response deny the statement that online marketers keep
confidential the personal information of the customer. Reason may be interpreted that mostly there is unauthorized secondary access to the personal information which is given by the E marketers to the other companies violating the privacy of the customer.
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4.15 4.15
Priv Privac acy y and and secu securi rity ty of the the Cre Credi ditt car card d and and acco accoun untt is is ver very y imp impor orta tant nt in E
marketing.
Analysis and Interpretation: Interpretation: Very large portion of the customers admits that the security and
privacy of credit card and bank account is very important in E marketing. There is no doubt in the privacy and security of these two because online transactions are made through these.
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4.16 4.16
E mar marke keti ting ng int inter erfe fere ress in the the chil childr dren en priv privac acy y thro throug ugh h exp expos osur uree of of vulg vulgar arit ity y
and obscenity.
Analysis and Interpretation: Majority of the respondents feel that E marketing interferes in the
children privacy through exposure of vulgarity and obscenity. Sometimes the unwanted and vulgar vulgar informat information ion is commun communica icated ted to the internet internet user, who may be a child, child, through through E marketing which affect the children privacy.
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4.17 4.17
Priv Privac acy y pol polic icie iess are are expl explai aine ned d tho thoro roug ughl hly y on on the the web website sites. s.
Analysis and Interpretation: Majority of the respondents admits that Privacy policies are
explained thoroughly on the websites. These respondents are those respondents who read the privacy policies of the company while sharing their personal information. Next response is the neutral response regarding it.
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4.18
E marketers practice what they state in their privacy policy.
Analysis and Interpretation: Majority of the respondents deny that E marketers do not practice
what they state in their privacy policy. It is violated through unwanted communication, improper alteration of data and unauthorized use and in many other ways. Next majority is giving neutral response regarding the statement that is not sure about it.
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4.1 4.19
The priva ivacy of of int inteernet net us user is is gr greatly tly vio viollated ted.
Majority ty of the respon respondent dentss are giving giving the neutral neutral response response Analysis and Interpretation: Interpretation: Majori regarding it. Perhaps they think that it is clear that the privacy of the internet user is violated but up to some possible extent. Others think that the privacy is greatly violated in many ways.
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4.20
Consumer is aware of the legal and other implications on violation of his
privacy.
Analysis and Interpretation: About half of the respondents favor that consumer is aware of the
legal legal impli implicat cation ionss on violat violation ion of the privacy privacy.. Many Many implic implicati ations ons may be the feedback feedback or customer grievance procedure or the other legal assistance based on various laws to protect customers.
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4.21 4.21
Cust Custom omer er shou should ld be give given n mor moree opt optio ion n reg regar ardi ding ng the the use use of his his per perso sona nall
information.
Analysis and Interpretation: Interpretation: About two third of the respondents feel that customer should be
given more option regarding the use of personal information by the E marketers so that customer can have the eye on the use and misuse of his personal information and improper violation of privacy can be curbed.
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CHAPTER V MAJOR FINDINGS OF THE STUDY 1. All the the respon respondent dentss use intern internet et facili facilitie ties. s. 2. All the the respondent respondentss are having at least least one one email email account. account. 3. Majority Majority of the the respondents respondents feel that that E marketing marketing caters caters to the computer computer literate literate persons persons only. 4. Majority Majority of the respondent respondentss often often do their their shopping shopping from retail retail stores. stores. 5. Most of the the respondent respondentss have never purchased purchased online online.. 6. Customers Customers agree that that E marketing marketing is easy easy accessible, accessible, time time saving and and spread awareness. awareness. 7. More More than half half of the respon responde dent ntss do not read read the the priv privac acy y poli policy cy while while shari sharing ng the personal information. 8. Major reason reason for for not reading reading privacy privacy policy policy is that that it is is too long long to read. read. 9. Unwanted Unwanted Communicati Communication on is the major major privacy privacy issue that that is faced faced by the customers. customers. 10. A large large majori majority ty of the respondent respondentss strong strongly ly favors favors the response response that that custome customerr is concerned about his privacy in E marketing. 11. Majority Majority of the respondents disagree disagree that the personal details of the customers are safe with the online companies. 12. More More than than half half of the respond respondent entss favors favors that online online market marketers ers are able able to find out personal information through the customer activities on their websites. respondent entss agree agree to the statem statement ent that that E market marketers ers manipu manipulat latee the 13. Majority of the respond information of the customer according to their use.
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14. Major response response denies the statement that online marketers marketers keep confidenti confidential al the personal personal information of the customer. 15. According According to very large portion of the customers admits admits that the security security and privacy privacy of credit card and bank account is very important in E marketing.
16. Majority of the respondents feel that E marketing interferes in the children privacy through exposure of vulgarity and obscenity. 17. Majority Majority of the respondents respondents admits that Privacy policies policies are explained explained thoroughly on the websites. 18. Accord According ing to majori majority ty of the responden respondents, ts, they deny that E market marketers ers do not practice practice what they state in their privacy policy. 19. Majority of the respondents are giving the neutral response about the violation violation of privacy of internet users. 20. About half of the respondents respondents favor that consumer is aware of the legal implication implicationss on violation of the privacy. 21. About About two third third of the respon respondent dentss feel feel that that custome customerr should should be given given more option option regarding the use of personal information by the E marketers.
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RECOMMENDATIONS AND SUGGESSTIONS
1. E marketers need to manage perceptions of privacy regulation. Policy efforts to improve privacy protection should be clearly communicated to the customers. Managerss should should look look carefu carefully lly at the concep conceptt of inform informati ation on transp transpare arency ncy and its 2. Manager relevant items.
3. Online marketers should provide sufficient privacy policy statements in a prominent place on the website.
4. Privacy policy should include information about what kind of information the company is collecting in the databases, how long they keep this information etc. Privacy- and security-r security-relate elated d to the third-part third-party y use of data may also reduce privacy and 5. Privacysecurity concerns.
6. Managers should also consider using multiple strategies to suit various audiences with different levels of privacy concerns.
7. The company could offer assessments of risk in clear and simple terms, provide evidence of past perfor performan mance ce in terms terms of securit security y and predic predictab tabili ility ty,, includ includee indica indicator torss of credentials or competence, and display customer feedback and/or testimonials.
8. It is important to offer easy ways to give control to users, which increases the likelihood that the individual will provide the information needed for personalization.
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9. It is suggested to improve and develop the legal and other measures to protect the consumers’ privacy.
10.
The gap exists between user perceptions of privacy policy representations and
how well users comprehend the policies should be reduced.
LIMITATION OF THE STUDY
The findings of this study are based on the expressed opinion of the respondents.
Some respondents were hesitant in providing complete information.
The sample of the respondents is not representative of the total universe.
Another limitation lies in the measurement of attitudes toward online privacy in general. Consumers may behave differently when making purchase decisions concerning specific Web sites or product categories.
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CONCLUSION
The internet has created a new avenue for organizations to leverage technology to create new revenue streams, lower the cost of doing business, improve customer satisfaction, and attract new customers. Objectives such as these often compel managers to collect large amounts of cust custom omer er info inform rmat atio ion n to aid aid in thei theirr stra strate tegi gicc deci decisi sion on maki making ng proc process esses. es. Incr Increas easin ingl gly, y, consumers are concerned that their information will be disclosed to third parties or used for purposes purposes other than those for which it was collected. Consumer concerns have only heightened heightened as media coverage of consumer privacy issues has increased over the past decade.
The research was conducted to have a perceptual study of privacy issues in E marketing. On the basis of review of literature questionnaire was develo developed ped for the colle collecti ction on of primar primary y data. data. This This resear research ch contrib contribute utess to the emerging emerging body of research on privacy privacy issues to address consumer privacy concerns involved involved in online transactions. Privacy issues are very important from the point of view of customers as well as marketer. The growth of business to consumer electronic commerce seems to be nonstoppable. Yet, online shopping accounts very much less as compared to overall retail revenues. For the future growth electronic marketing, barriers such as security and privacy concerns must be torn down. The best way to get over barriers is to clearly understand how they work and why
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they exist. Privacy policies are an effective way of establishing trust with consumers, but policies that are incomprehensible may deter potential consumers. In concl conclusi usion, on, priv privac acy y prot protec ecti tion on on the the Inte Intern rnet et dema demands nds a mult multii-ti tier er appr approa oach ch,, involving organizations, governments and individual consumers. The conceptual framework can be used as a general general guidel guideline ine for conductin conducting g compre comprehen hensiv sivee researc research h into into online online privacy privacy concern and behavior intent from the consumer’s point of view.
BIBLIOGRAPHY Books
1. Savino, William M., “Protecting Online Privacy”, Marketing Management , Vol. 11, No. : 49-51, 2002 Journals 1. Brown, Brown, Muchira Muchira (2004) (2004).. “Invest “Investiga igatin ting g the Relati Relationsh onship ip between between Intern Internet et Privac Privacy y
Concerns and Online Purchase Behavior”, Journal of Electronic Commerce Researcs, Volume 5, Issue 1, Pt. 62-70 Peterson, on, R.A., R.A., Balasub Balasubram ramani anian, an, S. and Bronnen Bronnenber berg, g, B.J. B.J. (1997) (1997),, “Explo “Explorin ring g the 2. Peters Implic Implicati ations ons of the Intern Internet et for Consume Consumerr Market Marketing ing”, ”, Jou Journa rnall of the the Acade Academy my of Marketing Science, Science, Vol. 25, No. 4, pt. 329-46. 3.
Sheehan, K. B., & Hoy, M. G. (1999). “Flaming, Complaining, Abstaining: How online users respond to privacy concerns.” Journal concerns.” Journal of Advertising , 28 (Fall), pt. 37–51.
Garb rbar arin ino, o, E., E., Johns Johnson, on, M., M., 1999. 1999. “The “The diff differ eren entt role roless of satis satisfa fact ctio ion, n, trust trust and and 4. Ga commitment in customer relations”, Journal relations”, Journal of Marketing, Vol 63 (2), pt 70–87.
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5. Cheu Cheung ng,, C.M. C.M.K. K.,, Lee, Lee, M.K. M.K.O. O.,, 2001 2001.. “Tru “Trust st in inte intern rnet et shop shoppi ping ng:: inst instru rume ment nt
develop development ment and valida validatio tion n through through classi classical cal and modern modern approa approache ches”, s”, Journa Journall of Global Information Management, vol 9 vol 9 (3), pt. 23–46. Books
Websites
http://www.sciencedirect.com/science?_ob=ArticleURL&_udi=B6VG3-475RJF61&_user=10&_coverDate=12%2F31%2F2002&_rdoc=1&_fmt=high&_orig=gateway &_origin=gateway&_sort=d&_docanchor=&view=c&_searchStrId=1721143547&_re runOrigin=google&_acct=C000050221&_version=1&_urlVersion=0&_userid=10&m d5=9626fdcbb8036b35d11b d5=9626fdc bb8036b35d11bf4e9c6758a9b& f4e9c6758a9b&searchtype=a searchtype=ahttp://www.emeraldinsigh http://www.emeraldinsigh t.com/journals.htm?articleid=856480&show=html
ANNEXURE
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QUESTIONNAIRE
Dear Sir/Madam, I would be extremely thankful if you spare some time to answer the following questions. All the facts disclosed by you will be used for academic purpose only.
1. Do you access internet facilities for any activities? Yes
No
2. Do you you have have an Email Email account account /addres /address? s?
Yes
No
3. Do you think that that E marketing marketing caters to the computer computer literate literate person person only? only?
Yes
No
4. Whe Where re do you you ofte often n go for for shopp shopping ing? ?
Retail Stores
Tele-Shopping
E-Shopping
All
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5. How freq frequent uently ly do do you you bu buy y thing thingss online? online?
a) More More than than once once a mont month h b) b) Once Once a mon month th c) At leas leastt once once in in six six mont months hs d) At leas leastt once once in in a yea year r e) Never
6. What do you think is the greatest benefit for both the marketer and consumer of E marketing? Time saving
Awareness
Easy accessible
All
Any other…………………
7. Do you read the the privacy privacy policies policies of the company company while while sharing sharing personal personal informati information on on the web?
Yes
No
8. If not then then why why don’t don’t you read read the the entire entire privac privacy y policy? policy?
a) Policy is too long hard to understand. b) It is too long. c) It is not organized well. d) No interest in reading it.
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9. What type type of privacy privacy issues issues do you you mostly mostly face due due to E-market E-marketing? ing?
a) Too Too much much col colle lect ctio ion n of dat dataa b) Unauthorize Unauthorized d secondary secondary use of informati information on c) Improp Improper er altera alteratio tion n of of data data
d) Unwanted Communication
Please indicate your level of p reference to the following statements. Strongly
Statements
Disagree
Disagree
Neutral
Agree
Strongly Agree
1. Cust Custom omer er is conc concer erne ned d abou aboutt his privacy in E marketing. Customer er persona personall detail detailss are 2. Custom safe with online companies. 3. Online market keters are able to find find out persona personall inform informati ation on through the customer activities on their websites. 4. E
marketers
manipulate
the
info inform rmat atio ion n of the the cust custom omer er according to their use. 5. Online
marketers
confidential
the
keep personal nal
information of the customer. 6. Privacy and security of the Credit card and account is very important in e marketing. 7. E marke arketi ting ng int interf erferes eres in the children exposur sure
privacy of
through
vulgarity
and
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obscenity. 8. Priv Privac acy y poli polici cies es are are expl explai aine ned d thoroughly on the websites.
9. E marketers practise what they state in their privacy policy. 10. The privac privacy y of Intern Internet et user is greatly violated. 11. Consume Consumerr is aware aware of the legal legal implications on violation of his privacy. 12. Customer Customer should should be given more more option regarding the use of his personal information.
PERSONAL INFORMATION
Name: _________________________ _____________________________________ _________________________ __________________________ __________________________ ________________ ___ Email: _________________________ _____________________________________ _________________________ __________________________ __________________________ ________________ ___ Age:
< 25 yrs
25 – 35 yrs
35 – 45 yrs
45 – 55 yrs
> 55 yrs Page | 70
Gender:
Male
Female
Profession:
Private Sector Employee Student
Qualification: 10+2 _______
Public sector Employee
Businessman
Any other, _________ Graduate
Post-Graduation Doctorate Any other,
Thanks for your Cooperation
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