Balancing Social Convenience with Privacy

May 10, 2010 · Posted in Articles, Social Media, Strategy, Technology, Web 
Evolution of Facebook Privacy

Evolution of Facebook Privacy - Matt McKeon 2010

In a world where being able to connect with old friends, family, co-workers, and connections is now the “norm” it surprises me when we start to see backlash as we are with Facebook recently. Especially when these are FREE services. However, everyone in the Internet age has been foregoing bits and pieces of their privacy for the convenience of connecting with each other and interacting in a social way online.

The thing is that when we interact online we are always leaving a little digital signature of who we are, where we came from, what we did, etc. Part of this is an aspect of the Web in general through cookies and GPS coordinates. Another part is just by virtue of how the Web works and how analytics are tracking site behavior. While Web sites may not know who you are specifically (unless you log in), they will certainly get a good idea of what you like and deliver better content next time.

Free sites have to make money. Running Web servers, development costs, etc all costs money and no investor or venture capitalist is going to invest in a company without the potential to get their money back. So for companies like Facebook, Twitter, Hulu, (insert name of cool website with free service), they all have the same issue; how will they make money? For many, it will be in online advertising. Google does this with most of its products from Google Search to Gmail to YouTube. Facebook does it with ads and virtual gifts. Even LinkedIn does it with their online recruiting (job board), research arm, and advertisements. However, nobody really seems to care about it when it is advertising because most often it is what keeps the service free to use. Do you remember when Google first rolled out ads that were contextual to your search, or your email messages? Everyone was outraged, yet millions of people still use those services. When you go onto Amazon and you see products that are based on your behavior, your information you have shared and more. No matter what we do online, the more we want convenience of personalized information and use of free services we will have to give up a piece of our privacy. When you check-in at a restaurant using Yelp, Foursquare or Gowalla, you are sending out your location over the web. “I’m here!”

Surprisingly I?ve seen little mention of the possible reasons why Facebook has shifted their privacy policy. I was recently at Facebook?s HQ and the light bulb went off for me when it came up in conversation. Facebook doesn?t want to be a social network anymore, they want to be a single source of your online presence. They want to provide you, the user, with news, communications, and ability to interaction with all your social graphs (friends, family, co-workers, and brands). Facebook has become a platform and stopped being a social network.

The easiest way that Facebook, and other social networks, are integrating your personal information is via their authentication tools. In Facebook?s world this is Facebook Connect. It allows you, the user, to log into another website with your Facebook credentials. In some cases, like a registration for a site, you can populate certain fields and share your activity with this new site with your Facebook friends. This is where everyone is getting their arms up air over this privacy invasion. But if you want the convenience of not having to remember dozens of usernames and passwords, using one, like what you use for Facebook becomes convenient.

The other big discussion is around Facebook?s social widgets. These are actually less intrusive as one might think. They are what we call iframes, which means the ?Like? button that they just rolled out is actually a page within a page. The Web site that the ?Like? button is on actually doesn?t get any information about that person. So for me, I have the ?Like? button on this blog post. If you see other people who ?like? this post, I get none of that data. It doesn?t go into a database of mine, or into an email to me. Zip. Nada. What makes them attractive to Web site administrators, like me, is that it provides a level of personalization that I couldn?t achieve otherwise. And because Facebook is 500M strong, the chances are of that personalization working on my Web site is pretty good. The same goes for CNN and thousands of other sites which have integrated these new features into them.

The next time you think about your privacy and where your information is being shared, or even sold, think about he conveniences you have online when you use Web sites. You are giving up your privacy every day, but you are also willing to do so. In fact, if you really want to know who else is using your personal information just look into the fine print of the following:

  • Your Bank
  • Your Credit Cards
  • Your Loyalty Cards (Grocer, Movie Rental, Book Store)
  • Google Account (Oh, how quickly we forget about them)
  • Professional Association or Trade Association

You may be surprised on what you read.

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