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Introducing new products that affect consumer privacy: A mediation model

Author

Listed:
  • Caroline Lancelot Miltgen

    (Audencia Recherche - Audencia Business School)

  • Jörg Henseler

    (ULISBOA - Universidade de Lisboa = University of Lisbon)

  • Carsten Gelhard

    (University of Twente)

  • Aleš Popovič

    (Faculty of Economics - University of Ljubljana, ULISBOA - Universidade de Lisboa = University of Lisbon)

Abstract

Many innovative products can only fully deploy their value if they rely on consumers' personal information. This issue challenges the confidence that consumers have in new innovations, and revolutionizes marketing practices. Malhotra, Kim, and Agarwal's (2004) framework provides the theoretical basis for hypotheses on the consequences of privacy concerns. An empirical study in the context of four pervasive IT innovations involving various privacy issues helps to test these hypotheses. The findings consistently show that privacy concerns have an adverse effect on consumers' intention to accept IT innovation. However, trust and risk perceptions both mediate this relationship. By understanding the underlying mechanism, firms can alleviate the potential downsides of their products and increase the odds of their market success.

Suggested Citation

  • Caroline Lancelot Miltgen & Jörg Henseler & Carsten Gelhard & Aleš Popovič, 2016. "Introducing new products that affect consumer privacy: A mediation model," Post-Print hal-01528464, HAL.
    • Handle: RePEc:hal:journl:hal-01528464
    DOI: 10.1016/j.jbusres.2016.04.015
    Note: View the original document on HAL open archive server: https://audencia.hal.science/hal-01528464
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    References listed on IDEAS

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    Cited by:

    1. Slepchuk, Alec N. & Milne, George R. & Swani, Kunal, 2022. "Overcoming privacy concerns in consumers’ use of health information technologies: A justice framework," Journal of Business Research, Elsevier, vol. 141(C), pages 782-793.
    2. Martin, Kirsten, 2018. "The penalty for privacy violations: How privacy violations impact trust online," Journal of Business Research, Elsevier, vol. 82(C), pages 103-116.
    3. Pizzi, Gabriele & Scarpi, Daniele, 2020. "Privacy threats with retail technologies: A consumer perspective," Journal of Retailing and Consumer Services, Elsevier, vol. 56(C).
    4. Wernaart, Bart, 2021. "Developing a roadmap for the moral programming of smart technology," Technology in Society, Elsevier, vol. 64(C).
    5. Zheng Shen & Armida de la Garza, 2019. "Developing a Digital Artifact for the Sustainable Presentation of Marketing Research Results," Sustainability, MDPI, vol. 11(23), pages 1-22, November.
    6. Mwesiumo, Deodat & Halpern, Nigel & Budd, Thomas & Suau-Sanchez, Pere & Bråthen, Svein, 2021. "An exploratory and confirmatory composite analysis of a scale for measuring privacy concerns," Journal of Business Research, Elsevier, vol. 136(C), pages 63-75.
    7. Dominique Carry & Valérie-Inès de La Ville, 2021. "Process of adopting a personal data portability service: highlighting the ambiguity perceived by young users [Processus d’adoption d’un service de portabilité des données personnelles : mise en lum," Post-Print hal-03328025, HAL.
    8. Del Bucchia, Céline & Lancelot Miltgen, Caroline & Russell, Cristel Antonia & Burlat, Claire, 2021. "Empowerment as latent vulnerability in techno-mediated consumption journeys," Journal of Business Research, Elsevier, vol. 124(C), pages 629-651.
    9. Fehrenbach, David & Herrando, Carolina, 2021. "The effect of customer-perceived value when paying for a product with personal data: A real-life experimental study," Journal of Business Research, Elsevier, vol. 137(C), pages 222-232.
    10. Niousha Shahidi & Silvia Cacho-Elizondo & Vesselina Tossan, 2021. "Cross-Cultural Effects in Adoption Patterns of a Mobile Coaching Service for Studies : A Comparison Between France and Mexico," Post-Print hal-03233537, HAL.
    11. Gentina, Elodie & Huarng, Kun-Huang & Sakashita, Mototaka, 2018. "A social comparison theory approach to mothers' and daughters' clothing co-consumption behaviors: A cross-cultural study in France and Japan," Journal of Business Research, Elsevier, vol. 89(C), pages 361-370.
    12. Ying, Shiyi & Huang, Youlin & Qian, Lixian & Song, Jinzhu, 2023. "Privacy paradox for location tracking in mobile social networking apps: The perspectives of behavioral reasoning and regulatory focus," Technological Forecasting and Social Change, Elsevier, vol. 190(C).
    13. Pantano, Eleonora & Pizzi, Gabriele & Scarpi, Daniele & Dennis, Charles, 2020. "Competing during a pandemic? Retailers’ ups and downs during the COVID-19 outbreak," Journal of Business Research, Elsevier, vol. 116(C), pages 209-213.

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    Keywords

    Structural equation modeling; New product adoption; Technological innovation; Consumer privacy concerns;
    All these keywords.

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