Survey Shows Privacy Concerns a Major Roadblock for the Adoption of Location-based Services and Presence Technology

ROCHESTER, N.Y., Feb. 23 -- A December 2006 survey by Harris Interactive(R) shows that most U.S. mobile phone users worry about privacy when it comes to next-generation telecommunications technologies. Known collectively as location-based services (LBS) and presence technology, these services, some of which are already on the market, can tell other contacts where a person is physically located, what communication devices they are using, and how to reach them at any given moment.

About one in four mobile phone owners would like to be able to find out the availability of their contacts (available, busy on a call, unavailable), with 27 percent of them rating this a very appealing option. Eighteen percent would be very interested in the ability to determine the current location of persons on their contact list and 14 percent would like to be able to find out where their contacts had been recently. When asked how they feel about other people having this information about them, the majority of those surveyed say such services are an invasion of privacy (see Table 6).

These are just some of the results of a recent survey of 1,028 U.S. adults conducted online by Harris Interactive(R) between November 30 and December 11, 2006.

Just over half (58%) would want their spouse or significant other to know where they are and whether they are available, while fewer would want children (46%) or other family members (43%) to have this information, and only a handful would want their co-workers (6%) or employers (5%) to have it (see Table 4).

Currently, awareness and immediate purchase intent for LBS and presence services are low. In all, only 4 percent would switch wireless carriers tomorrow to have these features. But three in ten consumers say they would be interested in more information.

"We expect these technologies eventually to catch on," said Joe Porus, VP and Chief Architect with Harris Interactive's Technology and Telecom Practice. "But providers must give users control over location-based features to allay privacy concerns." Milt Ellis, VP and Sr. Consultant with the practice, added, "For marketers of these services, the key initially is to target groups of users -- such as teenagers, busy executives, delivery and emergency service personnel -- who value the benefits of being connected more than they worry about privacy."

Selected results from the survey are shown in the tables below. To view the complete February 2007 issue of The Harris Report(R) that elaborates these data, go to http://www.harrisinteractive.com/news/harrisreport.asp.

About Harris Interactive

Harris Interactive is the 12th largest and fastest-growing market research firm in the world. The company provides innovative research, insights and strategic advice to help its clients make more confident decisions which lead to measurable and enduring improvements in performance. Harris Interactive is widely known for The Harris Poll, one of the longest running, independent opinion polls and for pioneering online market research methods. The company has built what it believes to be the world's largest panel of survey respondents, the Harris Poll Online. Harris Interactive serves clients worldwide through its United States, Europe and Asia offices, its wholly-owned subsidiary Novatris in France and through a global network of independent market research firms. The service bureau, HISB, provides its market research industry clients with mixed-mode data collection, panel development services as well as syndicated and tracking research consultation. More information about Harris Interactive may be obtained at http://www.harrisinteractive.com/.

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