Web personalization enables companies to learn from their customers’ online data and to adapt their website content accordingly. With personalization, they expect to improve online customer experiences. However, although customers may value personalization, they may be concerned about the way companies collect and use their data at the same time. In this context, companies expect that information transparency about data collection and use will help reduce negative responses to personalization. Drawing on the signaling theory, a first experiment shows that information transparency about implicit data collection and use may decrease the effect of personalization on behavioral intentions. A second experiment further investigates the role of information transparency and examines the effect of the length of information transparency. It shows that the length of the signaling message doesn’t reduce the effect of personalization on online customer experience.
Lambillotte, L., Poncin, I., & Bart, Y. (2020). Web Personalization: Mastering Transparency Messages (Louvain Research Institute in Management and Organizations Working Paper Series 2020/05). https://hdl.handle.net/2078.5/117975