Lack of trust in internet will impact digital economy

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A global study has shown that internet users are increasingly concerned about their online privacy. The 2017 (Centre for International Governance Innovation) Cigi-Ipsos global survey on internet security and trust, released on Monday at the UN Conference on Trade and Development (UNCTAD) E-Commerce Week in Geneva, examined the views of 24 225 internet users from December 23 last year to March 21. The survey was conducted in 24 countries: Australia, Brazil, Canada, China, Egypt, France, Germany, Hong Kong (China), India, Indonesia, Italy, Japan, Kenya, Mexico, Nigeria, Pakistan, Poland, Republic of Korea, South Africa, Sweden, Tunisia, Turkey, the UK and the US. “Nearly 50% of internet users surveyed do not trust the internet and this lack of trust is affecting the way they use it. The findings of this year’s Cigi-Ipsos survey underscore the importance of taking action now to build stronger online trust by addressing users’ concerns and using technologies such as encryption to secure communications,” said the vice-president of Global Policy for Internet Society, Sally Wentworth. The top sources of concern for the users polled were cybercrimi- nals (82%), internet companies (74%) and governments (65%).

The propensity to use online payment systems on mobile phones varied greatly by country, with most G-8 countries near the bottom of the list, and emerging economies near the top.

South Africans are 68% more likely to use their phones for online payments.

Trust in the government to act responsibly online also varied, with Indonesia and India leading the pack.

About 39% of South Africans trusted the government to act responsibly online.

“The survey results suggest that the resulting impact on trust is hindering further development of the digital economy,” said the researchers.

The director of Cigi’s global security and politics programme, Fen Osler Hampson, said trust was the lifeblood of the internet, and when that was damaged, the consequences for the digital economy were nearly irreparable.

“The results of this global survey offer a glimpse into why policymakers should be concerned, and why there is a strong link between user trust and the health of e-commerce,” he said.

Lack of trust is most likely to keep people off e-commerce platforms in the Middle East, Africa and Latin America, suggesting that the potential gains of e-commerce are not spread evenly around the globe.

The survey also revealed great differences in e-commerce behaviour when it came to how users are purchasing goods online.

“For example, in China, India and Indonesia, more than 86% of respondents expect to make mobile payments on their smartphone in the next year, compared with less than 30% in France, Germany and Japan.”

The director of the DUT-based National Electronic Media Institute of South Africa (Nemisa) KZN e-Skills Colab, Dr Surendra Thakur, said that potential customers needed “compelling incentives” to use online interfaces.

“Many South Africans prefer to do their interactions in line as opposed to online because they are afraid of losing out.”

He explained that companies needed to invest in better security measures so that people would use their sites.

“In South Africa, data charges are also an impediment to people using e-commerce facilities.”