University of Twente Student Theses


The influence of privacy perceptions on online shopping behavior : a comparison between millennials and baby boomers

Brüseke, L. (2016) The influence of privacy perceptions on online shopping behavior : a comparison between millennials and baby boomers.

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Abstract:Purpose – Privacy and security perceptions are growing topics in e-commerce. To develop a successful marketing strategy, it is crucial to know and address privacy concerns to prevent them from negatively influencing the online shopping behavior of customers. Perceived risk and trust are chosen to measure privacy perceptions. This study focuses on two generational cohorts, the millennials (18-24 years old) and baby boomers (55-65 years old). The aim of the research is to investigate differences in privacy perceptions influencing their online shopping behavior. The research question is answered by analyzing data from German respondents. Methodology – Data is obtained with an online survey collecting 217 responses in Germany. The data is analyzed by independent t-test, regression analysis and ANCOVA analysis. Results & Conclusion – The study reveals five main findings. Firstly, contrary to the previous assumption, trust has no significant influence on online shopping stable over age. Secondly, privacy risk is the strongest perceived risk among the respondents, however, it has no influence on their online shopping behavior. Thirdly, transaction risk has a significant negative influence on online shopping behavior for both generational cohorts. Fourthly, Source risk has a significant influence on online shipping behavior for both generational groups, but higher for baby boomers and lower for millennials. Lastly, baby boomers are more careful in their privacy behavior and their actual risk perceptions fit to their privacy behavior. The results show that transaction and source risk are the main influencers of online shopping behavior for both age groups, which should consequently be addressed in practice. Theoretical & Practical Implications – This study strengthen the existing literature on the influence of risk and trust on online shopping. The added variable “generational cohorts” turn out to have a significant influence and thus, should be included in future research. For the retail industry the results implicate that especially transaction risk and source risk need to be addressed. This can be done by alignment of payment methods and visual design of the online shop.
Item Type:Essay (Bachelor)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:International Business Administration BSc (50952)
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