Differences of millennials and non-millennials privacy and security perceptions and their influence on online shopping behavior.

Purpose - Internet is entrenched in our daily lives and more and more people are buying online. With the increase in online shopping, privacy and security concerns increased. These in turn negatively affect online shopping behavior as research shows. What is not observed yet is how age groups relate to this relationship. Aim & Method - This paper investigates the impact the two age groups, Millennials and Generation X, have on the relationship of the independent variable privacy and security perceptions and the dependent variable online shopping behavior. This is done by an online survey which is shared with family, friends and on Facebook. Results & Conclusion - Millennials perceive risks different than Generation X’ers as the correlation table shows. A significant negative relationship between perceived risk and online shopping behavior was found. The relationship between all three variables is not significant. Further no significant relationship between the age groups and perceived trust could be found as well as between perceived trust and online shopping behavior. Theoretical & Practical Implications - This is the first paper to observe the relationship between the age groups, Millennials and Generation X, and privacy and security perceptions. Therefore it adds to the already existing literature of perceived risk and perceived trust. Companies which offer online shops should take their (potential) customers’ security and privacy perceptions, in terms of perceived risk, into account. If they are able to address these properly and give their customers a safe feeling, customers are more willing to shop online.