Modelling Online Security and Privacy to Increase Consumer Purchasing Intent

Michael Milloy, Dieter Fink, Robyn Morris
InSITE 2002  •  Volume 2  •  2002
This paper investigates the concerns consumers have with respect to security and privacy when determining purchasing intent in the Web environment. The online retailing environment (e-retailing) is examined and various issues relating to security and privacy are identified as potential inhibitors for e-retailing. The paper then presents a model of the interaction between online security and online privacy taking into account the online experience levels of consumers and the role that symbols and statements have on security and privacy considerations. Based on the theoretical foundations of the paper, a number of research propositions are developed which can be tested by subsequent empirical research. The paper concludes that security and privacy are evolving issues both requiring continuing research. It can however be postulated that consumers will, albeit slowly, come to terms with online security and privacy, possibly due to different reasons. An improved understanding of how these issues impact on consumer purchasing intent will enhance e-retailers’ ability to formulate strategies to overcome inhibitors and incorporate promoters of trust with respect to security and privacy issues into their website designs. This may well speed up the process of consumers coming to terms online security and privacy and can only serve to foster the growth of e-retailing in the future.
e-retailing, online security, online privacy, consumer trust
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