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Relevance of individual preferences in website data collection when maximizing utility

Written by Johannes Danielmeyer

Grade 1.3

Paper category

Bachelor Thesis






Bachelor Thesis: As many different determinants and environmental factors must be considered when investigating users' preferences for website data collection topics, each influencing factor must be explained in detail for readers in order to improve the ability of reproducing argumentation. To this end, definitions will be given and the connections between different concepts will be drawn. 2.1.1 Data and its purpose Data can express, describe and communicate various things. Data are facts, numbers, measurements, quantiles, and observations expressed in a comparable format. In short, data is transformed into information. The use of data is multifaceted, the data itself has different structures and formats, and there are many tools to collect, clean and structure the data (Peacock, 2014). In addition, taking into account the research topics, especially personal data will be addressed. It is the most valuable to marketers and can be defined by the European Parliament and the Council of the European Union (2016) as "(...) any information related to an identified or identifiable natural person ('data subject')" (Article GDPR Chapter 1, Article 4) (1)). Marketers want to follow a data-driven approach (Becerril, 2018) and encourage the collection of personal data. Data helps reduce uncertainty by predicting future consumer behavior patterns (Zuboff, Möllers, Murakami Wood, and Lyon, 2019). Personal data enables consumers to locate and collect opinions and behaviors to help design marketing campaigns. When talking about the topic of personal data, the introduction of the term big data technology is inevitable. It is difficult to find a specific, universally accepted definition of big data because the concept is neither formalized nor unified (Kubina, Vermus, and Kubinova, 2015). But it can be described as the process of extracting economic value from a very large and diverse data set through rapid capture, classification and analysis (Gantz & Reinsel 2011). 2.1.2 The value of personal data Even if there is no established or commonly used data evaluation system, it is considered a new form of capital in the current market (Erevelles, Fukawa & Swayne, 2016). The direct value of data is not fixed, but depends on who collects the data and gains control. In addition to the use of normal resources, the value of data will not decrease when used. It can be used for similar or multiple use, multiple use. The value of data can be defined by all possible gains in use (Mayer-Schönberger & Cukier, 2013). 2.1.3 The topic of the use of personal data in the legal framework (GDRP) has attracted much attention in recent years. Research not only focuses heavily on privacy and personalization topics on the web (for example: Sheehan, 2002; Buchanan, Joinson, Schofield, and Reips, 2007; Bélanger and Crossler, 2011) agencies have also seen actions and restrictions on companies online and offline Reasons for data activation. Most regions have enacted privacy laws, such as CAN-SPAMin in the United States or planned, such as C-11 in Canada. This research will focus on the GDPR (General Data Protection Regulation) approved by the European Parliament in 2016, which provides compliance rules for companies. From May 25th, 2018, the bill will come into force legally, compelling all companies operating within the European Union to comply. The main difference between the previous frameworks is the type of consent users accept in collecting their personal data. Although implicit consent is accepted in most frameworks, the GDPR clearly requires explicit consent. Five factors determine the appropriateness of consent. Consumer consent must be freely given and specific to the included allowances, and the issue of consent must be clear, informative, and require clear affirmative action (GDPR 2016 Chapter 1, Article 4(11)). The new regulations have severely affected technical designs that rely on the processing of personal data (Greengard 2018). Internal processes must be adjusted in accordance with the new regulations to prove user consent (Article 7) and designate a person responsible for compliance. In addition, an interface for consumer consent and refusal must be developed and used as the first pop-up site when you want to collect data. It must be possible to withdraw consent at any time and is as easy as giving consent in advance (Article 7(3)). The European Court of Justice decided in 2019 that pre-sale tickets are invalid in the data statement. Customers should actively choose to participate in website data collection (Schmidl, Lutz, Kaufmann, Nebel and Tannen, 2019). 2.1.4 Collection of personal data on the website In order to collect personal data, a so-called data infrastructure must exist. There are a variety of technologies that can collect personal data, such as "HTTPCookies", and track consumer behavior, such as "Mouseflow". For simplicity, this study will be named Collecting Personal Data. According to Article 1.2.3, websites are obliged to obtain the active consent of consumers for the collection of personal data. The solved DCD can be implemented in different ways on the website. They usually appear as the consumer's first pop-up window, so they are usually the first thing they recognize. They can implement different formats: full screen, center circle or banner. Read Less