Consumer Privacy Insights and Trends – Q1 2012

TRUSTe, a leading privacy management solutions provider, recently issued the first Consumer Confidence Edition (Q1 2012) of its ongoing TRUSTe Privacy Index Series. The Consumer Confidence Edition measures privacy concerns and sentiments of online U.S. adults and the impact on businesses. The study, conducted online on behalf of TRUSTe by Harris Interactive, reveals: 90 percent of online adults worry about their privacy online in general; 41 percent of online adults don’t trust most businesses with their personal information online; and 88 percent of online adults avoid doing business with companies who they believe do not protect their privacy.

“TRUSTe’s findings reveal an alarming lack of consumer confidence online which can have serious negative consequences for businesses,” said Chris Babel, CEO of TRUSTe. “That said, the research also revealed that nearly 60 percent of online adults trust most businesses with their personal information online — proof that many companies take privacy seriously and are rewarded as a result.”

“Mobile, apps, social media and behavioral targeting are all making privacy issues increasingly front of mind for consumers,” said Jules Polonesky, Director of the Future of Privacy Forum. “By providing a high-level ongoing pulse on the market — through the viewpoint of the consumer — TRUSTe’s Consumer Confidence Privacy Index yields valuable insights into how customers are responding to changing privacy issues and, in turn, businesses’ efforts to address them.”

Click through for results from a study on consumer privacy confidence, conducted by Harris Interactive on behalf of TRUSTe.

Consumer concern is extremely high this quarter; 90 percent of U.S. adults worry about their privacy online.

Of the 90 percent, 23 percent of online adults "always" worry about online privacy; 21 percent worry about it "frequently;" and 46 percent worry about it "sometimes."

Consumer mistrust is high this quarter; 41 percent of U.S. adults do not trust businesses with their personal information.

An overwhelming 95 percent of online adults believe companies have a responsibility to protect their privacy online.

Business impact is extremely high this quarter; 88 percent of U.S. adults say they avoid companies that do not protect their privacy.

The tendency to avoid companies with bad privacy practices is higher among older online adults.