Privacy Signals: Exploring the Relationship between Cookies and Online Purchase Intention
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Main Article Content
Ana Paula Merenda Richarde
Paulo Henrique Muller Prado
Jorge Brantes Ferreira
Abstract
Objective: This study examined the role of transparency in opt-in marketing strategies, assessing the influence of cookie acceptance and consumer perception of risks and benefits on online purchasing intention. Theoretical approach: Previous studies have shown that consumers are concerned about privacy but feel uncertain about the consequences of their online behaviors. Drawing upon signaling theory applied to consumer behavior, we analyzed the influence of privacy signals on purchasing intention. Method: We employed a quantitative methodology comprising a descriptive study and four experimental studies. Results: Cookie acceptance positively affects purchasing intention only when consumers accept cookie collection and have a need for the product, resulting in a greater perception of benefits. Risks do not exhibit significance in this process. However, providing more information on data collection proves advantageous as it increases purchasing intention, even for those who do not accept cookies. Conclusions: We contribute to signaling theory by demonstrating that the product need is a determining factor for cookie acceptance. Furthermore, both notice and choice options are insufficient in protecting consumer privacy in online purchases.
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How to Cite
Richarde, A. P. M., Prado, P. H. M., & Ferreira, J. B. (2023). Privacy Signals: Exploring the Relationship between Cookies and Online Purchase Intention. Journal of Contemporary Administration, 27(4), e220311. https://doi.org/10.1590/1982-7849rac2023220311.en
Section
Theoretical-empirical Articles
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References
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Boulding, W., & Kirmani, A. (1993). A consumer-side experimental examination of signaling theory: Do consumers perceive warranties as signals of quality? Journal of Consumer Research, 20(1), 111-123. https://doi.org/10.1086/209337
Brough, A. R., & Martin, K. D. (2020). Consumer privacy during (and after) the COVID-19 pandemic. Journal of Public Policy and Marketing, 40(1), 108-110. https://doi.org/10.1177/0743915620929999
Chawla, N., & Kumar, B. (2022). E-commerce and consumer protection in India: The emerging trend. Journal of Business Ethics, 180, 581-604. https://doi.org/10.1007/s10551-021-04884-3
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Hayes, A. F. (2018). Introduction to mediation, moderation, and conditional process analysis: A regression-based approach (Methodology in the Social Sciences) (2nd ed.). The Guilford Press.
Johnson, E. J., Bellman, S., & Lohse, G. L. (2002). Defaults, framing and privacy: Why opting in-opting out. Marketing Letters, 13, 5-15 https://doi.org/10.1023/A:1015044207315
Kehr, F., Kowatsch, T., Wentzel, D., & Fleisch, E. (2015). Blissfully ignorant: The effects of general privacy concerns, general institutional trust, and affect in the privacy calculus. Information Systems Journal, 25(6), 607-635. https://doi.org/10.1111/isj.12062
Kierkegaard, S. M. (2005). How the cookies (almost) crumbled: Privacy & lobbyism. Computer Law & Security Review, 21(4), 310-322. https://doi.org/10.1016/j.clsr.2005.06.002
Ku, H., Kuo, C., Wu, C., & Wu, C. (2012). Communicating green marketing appeals effectively: The role of consumers’ motivational orientation to promotion versus prevention. Journal of Advertising, 41(4), 41-50. https://doi.org/10.1080/00913367.2012.10672456
Lei n. 13.709, de 14 de agosto de 2018. (2018). Lei Geral de Proteção de Dados Pessoais (LGPD). http://www.planalto.gov.br/ccivil_03/_ato2015-2018/2018/lei/l13709.htm
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Lu, B., & Chen, Z. (2021). Live streaming commerce and consumers’ purchase intention: An uncertainty reduction perspective. Information & Management, 58(7), 103509. https://doi.org/10.1016/j.im.2021.103509
Martin, K. D., Borah, A., & Palmatier, R. W. (2017). Data privacy: Effects on customer and firm performance. Journal of Marketing, 81(1), 36-58. https://doi.org/10.1509/jm.15.0497
Martin, K. D., & Murphy, P. E. (2016). The role of data privacy in marketing. Journal of the Academy of Marketing Science, 45(2), 135-155. https://doi.org/10.1007/s11747-016-0495-4
Maseeh, H. I., Jebarajakirthy, C., Pentecost, R., Arli, D., Weaven, S., & Ashaduzzaman, M. (2021). Privacy concerns in e-commerce: A multilevel meta-analysis. Psychology & Marketing, 38(10), 1779-1798. https://doi.org/10.1002/mar.21493
Maslow, A. H. (1943). A theory of human motivation. Psychological Review, 50(4), 370-396. https://doi.org/10.1037/h0054346
Mavlanova, T., Benbunan-Fich, R., & Koufaris, M. (2012). Signaling theory and information asymmetry in online commerce. Information and Management, 49(5), 240-247. https://doi.org/10.1016/j.im.2012.05.004
Mavlanova, T., Benbunan-Fich, R., & Lang, G. (2016). The role of external and internal signals in e-commerce. Decision Support Systems, 87, 59-68. https://doi.org/10.1016/j.dss.2016.04.009
Miyazaki, A. D. (2008). Online privacy and the disclosure of cookie use: Effects on consumer trust and anticipated patronage. Journal of Public Policy & Marketing, 27(1), 19-33. https://doi.org/10.1509/jppm.27.1.19
Nielsen, E. (2021). Relatório sobre comércio eletrônico no Brasil (Webshoppers 44a Edição). https://eyagencia.com.br/wp-content/uploads/2021/09/Webshoppers_44-relatorio-2021-resultados-ecommerce-ebit.pdf
Oghazi, P., Karlsson, S., Hellström, D., & Hjort, K. (2018). Online purchase return policy leniency and purchase decision: Mediating role of consumer trust. Journal of Retailing and Consumer Services, 41, 190-200. https://doi.org/10.1016/j.jretconser.2017.12.007
Palmer, D. E. (2005). Pop-ups, cookies, and spam: Toward a deeper analysis of the ethical significance of internet marketing practices. Journal of Business Ethics, 58, 271-280. https://doi.org/10.1007/s10551-005-1421-8
Park, Y. J. (2011). Digital literacy and privacy behavior online. Communication Research, 40(2), 215-236. https://doi.org/10.1177/0093650211418338
Scarpi, D., Pizzi, G., & Matta, S. (2022). Digital technologies and privacy: State of the art and research directions. Psychology & Marketing, 39(9), 1687-1697. https://doi.org/10.1002/mar.21692
Schmidt, L., Bornschein, R., & Maier, E. (2020). The effect of privacy choice in cookie notices on consumers’ perceived fairness of frequent price changes. Psychology & Marketing, 37(9), 1263-1276. https://doi.org/10.1002/mar.21356
Simon, H. A. (1955). A behavioral model of rational choice. Quarterly Journal of Economics, 69(1), 99-118. https://doi.org/10.2307/1884852
Spence, M. (1973). Job market signaling. The Quarterly Journal of Economics, 87(3), 355-374. https://doi.org/10.2307/1882010
Thaichon, P., Liyanaarachchi, G., Quach, S., Weaven, S., & Bu, Y. (2019). Online relationship marketing: Evolution and theoretical insights into online relationship marketing. Marketing Intelligence and Planning, 38(6), 676-698. https://doi.org/10.1108/MIP-04-2019-0232
Wedel, M., & Kannan, P. K. (2016). Marketing analytics for data-rich environments. Journal of Marketing, 80(6), 97-121. https://doi.org/10.1509/jm.15.0413
Acquisti, A., Brandimarte, L., & Loewenstein, G. (2020). Secrets and likes: The drive for privacy and the difficulty of achieving it in the digital age. Journal of Consumer Psychology, 30(4), 736-758. https://doi.org/10.1002/jcpy.1191
Addo, P. C., Akpatsa, S. K., Nukpe, P., Ohemeng, A. A., & Kulbo, N. B. (2022). Digital analytics approach to understanding short video advertising in digital marketing. Journal of Marketing Theory and Practice, 30(3), 405-420. https://doi.org/10.1080/10696679.2022.2056487
Akdeniz, M. B., & Talay, M. B. (2013). Cultural variations in the use of marketing signals: A multilevel analysis of the motion picture industry. Journal of the Academy of Marketing Science, 41, 601-624. https://doi.org/10.1007/s11747-013-0338-5
Al-Adwan, A. S., Alrousan, M. K, Yaseen, H., Alkufahy, A. M., & Alsoud, M. (2022). Boosting online purchase intention in high-uncertainty-avoidance societies: A signaling theory approach. Journal of Open Innovation: Technology, Market, and Complexity, 8(3), 136. https://doi.org/10.3390/joitmc8030136
Altman, I. (1976). Privacy: A conceptual analysis. Environment and Behavior, 8(1), 7-29. https://doi.org/10.1177/001391657600800102
Bandara, R., Fernando, M., & Akter, S. (2019). Privacy concerns in e-commerce: A taxonomy and a future research agenda. Electronic Markets, 30, 629-647. https://doi.org/10.1007/s12525-019-00375-6
Beke, F. T., Eggers, F., & Verhoef, P. C. (2018). Consumer informational privacy: Current knowledge and research directions. Foundations and Trends in Marketing, 11(1), 1-71. http://dx.doi.org/10.1561/1700000057
Bornschein, R., Schmidt, L., & Maier, E. (2020). The effect of consumers’ perceived power and risk in digital information privacy: The example of cookie notices. Journal of Public Policy & Marketing, 39(2), 135-154. https://doi.org/10.1177/0743915620902143
Bhattacharya, S., Sharma, R. P., & Gupta, A. (2023). Does e-retailer’s country of origin influence consumer privacy, trust and purchase intention? Journal of Consumer Marketing, 40(2), 248-259. https://doi.org/10.1108/JCM-04-2021-4611
Boulding, W., & Kirmani, A. (1993). A consumer-side experimental examination of signaling theory: Do consumers perceive warranties as signals of quality? Journal of Consumer Research, 20(1), 111-123. https://doi.org/10.1086/209337
Brough, A. R., & Martin, K. D. (2020). Consumer privacy during (and after) the COVID-19 pandemic. Journal of Public Policy and Marketing, 40(1), 108-110. https://doi.org/10.1177/0743915620929999
Chawla, N., & Kumar, B. (2022). E-commerce and consumer protection in India: The emerging trend. Journal of Business Ethics, 180, 581-604. https://doi.org/10.1007/s10551-021-04884-3
Culnan, M. J., & Armstrong, P. K. (1999). Information privacy concerns, procedural fairness, and impersonal trust: An empirical investigation. Organization Science, 10(1), 104-115. https://doi.org/10.1287/orsc.10.1.104
Culnan, M. J., & Bies, R. J. (2003). Consumer privacy: Balancing economic and justice considerations. Journal of Social Issues, 59(2), 323-342. https://doi.org/10.1111/1540-4560.00067
Dinev, T., Xu, H., Smith, J. H., & Hart, P. (2013). Information privacy and correlates: An empirical attempt to bridge and distinguish privacy-related concepts. European Journal of Information Systems, 22(3), 295-316. https://doi.org/10.1057/ejis.2012.23
Godin, S. (1999). Permission marketing: Turning strangers into friends and friends into customers. Simon & Schuster.
Guo, X., Deng, H., Zhang, S., & Chen, G. (2020). Signals of competence and warmth on e-commerce platforms. Data and Information Management, 4(2), 81-93. https://doi.org/10.2478/dim-2020-0010
Hair, J. F., Black, W., Babin, B. J., Anderson, R., & Tatham, R. L. (2009). Análise Multivariada de Dados (6th ed.). Bookman.
Han, S. H., Nguyen, B., & Simkin, L. (2016). The dynamic models of consumers’ symbolic needs: In the context of restaurant brands. European Journal of Marketing, 50(7-8), 1348-1376. https://doi.org/10.1108/EJM-03-2015-0144
Hayes, A. F. (2018). Introduction to mediation, moderation, and conditional process analysis: A regression-based approach (Methodology in the Social Sciences) (2nd ed.). The Guilford Press.
Johnson, E. J., Bellman, S., & Lohse, G. L. (2002). Defaults, framing and privacy: Why opting in-opting out. Marketing Letters, 13, 5-15 https://doi.org/10.1023/A:1015044207315
Kehr, F., Kowatsch, T., Wentzel, D., & Fleisch, E. (2015). Blissfully ignorant: The effects of general privacy concerns, general institutional trust, and affect in the privacy calculus. Information Systems Journal, 25(6), 607-635. https://doi.org/10.1111/isj.12062
Kierkegaard, S. M. (2005). How the cookies (almost) crumbled: Privacy & lobbyism. Computer Law & Security Review, 21(4), 310-322. https://doi.org/10.1016/j.clsr.2005.06.002
Ku, H., Kuo, C., Wu, C., & Wu, C. (2012). Communicating green marketing appeals effectively: The role of consumers’ motivational orientation to promotion versus prevention. Journal of Advertising, 41(4), 41-50. https://doi.org/10.1080/00913367.2012.10672456
Lei n. 13.709, de 14 de agosto de 2018. (2018). Lei Geral de Proteção de Dados Pessoais (LGPD). http://www.planalto.gov.br/ccivil_03/_ato2015-2018/2018/lei/l13709.htm
Lei n. 13.853, de 8 de julho de 2019. (2019). Altera a Lei nº 13.709, de 14 de agosto de 2018, para dispor sobre a proteção de dados pessoais e para criar a Autoridade Nacional de Proteção de Dados; e dá outras providências. http://www.planalto.gov.br/ccivil_03/_Ato2019-2022/2019/Lei/L13853.htm#art2
Lu, B., & Chen, Z. (2021). Live streaming commerce and consumers’ purchase intention: An uncertainty reduction perspective. Information & Management, 58(7), 103509. https://doi.org/10.1016/j.im.2021.103509
Martin, K. D., Borah, A., & Palmatier, R. W. (2017). Data privacy: Effects on customer and firm performance. Journal of Marketing, 81(1), 36-58. https://doi.org/10.1509/jm.15.0497
Martin, K. D., & Murphy, P. E. (2016). The role of data privacy in marketing. Journal of the Academy of Marketing Science, 45(2), 135-155. https://doi.org/10.1007/s11747-016-0495-4
Maseeh, H. I., Jebarajakirthy, C., Pentecost, R., Arli, D., Weaven, S., & Ashaduzzaman, M. (2021). Privacy concerns in e-commerce: A multilevel meta-analysis. Psychology & Marketing, 38(10), 1779-1798. https://doi.org/10.1002/mar.21493
Maslow, A. H. (1943). A theory of human motivation. Psychological Review, 50(4), 370-396. https://doi.org/10.1037/h0054346
Mavlanova, T., Benbunan-Fich, R., & Koufaris, M. (2012). Signaling theory and information asymmetry in online commerce. Information and Management, 49(5), 240-247. https://doi.org/10.1016/j.im.2012.05.004
Mavlanova, T., Benbunan-Fich, R., & Lang, G. (2016). The role of external and internal signals in e-commerce. Decision Support Systems, 87, 59-68. https://doi.org/10.1016/j.dss.2016.04.009
Miyazaki, A. D. (2008). Online privacy and the disclosure of cookie use: Effects on consumer trust and anticipated patronage. Journal of Public Policy & Marketing, 27(1), 19-33. https://doi.org/10.1509/jppm.27.1.19
Nielsen, E. (2021). Relatório sobre comércio eletrônico no Brasil (Webshoppers 44a Edição). https://eyagencia.com.br/wp-content/uploads/2021/09/Webshoppers_44-relatorio-2021-resultados-ecommerce-ebit.pdf
Oghazi, P., Karlsson, S., Hellström, D., & Hjort, K. (2018). Online purchase return policy leniency and purchase decision: Mediating role of consumer trust. Journal of Retailing and Consumer Services, 41, 190-200. https://doi.org/10.1016/j.jretconser.2017.12.007
Palmer, D. E. (2005). Pop-ups, cookies, and spam: Toward a deeper analysis of the ethical significance of internet marketing practices. Journal of Business Ethics, 58, 271-280. https://doi.org/10.1007/s10551-005-1421-8
Park, Y. J. (2011). Digital literacy and privacy behavior online. Communication Research, 40(2), 215-236. https://doi.org/10.1177/0093650211418338
Scarpi, D., Pizzi, G., & Matta, S. (2022). Digital technologies and privacy: State of the art and research directions. Psychology & Marketing, 39(9), 1687-1697. https://doi.org/10.1002/mar.21692
Schmidt, L., Bornschein, R., & Maier, E. (2020). The effect of privacy choice in cookie notices on consumers’ perceived fairness of frequent price changes. Psychology & Marketing, 37(9), 1263-1276. https://doi.org/10.1002/mar.21356
Simon, H. A. (1955). A behavioral model of rational choice. Quarterly Journal of Economics, 69(1), 99-118. https://doi.org/10.2307/1884852
Spence, M. (1973). Job market signaling. The Quarterly Journal of Economics, 87(3), 355-374. https://doi.org/10.2307/1882010
Thaichon, P., Liyanaarachchi, G., Quach, S., Weaven, S., & Bu, Y. (2019). Online relationship marketing: Evolution and theoretical insights into online relationship marketing. Marketing Intelligence and Planning, 38(6), 676-698. https://doi.org/10.1108/MIP-04-2019-0232
Wedel, M., & Kannan, P. K. (2016). Marketing analytics for data-rich environments. Journal of Marketing, 80(6), 97-121. https://doi.org/10.1509/jm.15.0413