Sunday, November 9, 2008

What do you think about Consumer Panopticon?

Through the advances of technology, many systems has been invented to make our life becomes easier. One of the systems that I learnt recently is the Consumer Panopticon system. From my understanding of reading Hull’s, Consumer Panopticon is a system that records the customer’s purchases to construct a profile of consumption preferences for the use of a variety of marketers. The information that is obtained from the customers is being used by the marketers to produce new things that are believed, can attract the customers. The existence of this system might not bother some people but as for me, I personally do not like this system. I do not like any information about me such the things that I bought, types of clothes I like or any information that relates with me is being tracked, stalked or recorded by other people. However, its existence is undeniable and I admit that Consumer Panopticon has helped the consumer’s needs and desires to be fulfilled. This system helped the marketers to create new products based on the needs of the consumers. For instance, if we browse through products in eBay or Amazon.com, there is a section that display a few lists of things that another buyers that has more or less or even same interest like I do. The things that we browsed and bought also being recorded and our interests could be tracked by the companies. As the marketers know about our interest and conclude what type of buyers we are, they tend to make a number of strategies and sending out a lot of junk e-mails promoting their new products which are more likely the same as our interests. For me, I find out that this is very annoying and feels that my privacy has been invaded as they keep sending junk e-mails to me. At the same time, the advertisements make me tend to waste my money frequently as the marketers promote new products that satisfy my desires.

4 comments:

Hikaru said...
This comment has been removed by the author.
Hikaru said...

While I am reading this posting, one question pop-out in my head. What exactly is privacy? When the author makes the claim that her privacy has been invaded as she keep receiving junk e-mails, then is privacy the right to be left alone? Or is it the right to control the collecting distribution of OUR data for unlimited use? Some people may think that this phenomenon is fine as the companies do not do anything unlawful. But, is it really fine?
In class, Professor exposed us to an alternative when it comes to protect privacy here in the U.S -the European Union's approach. There are some pros and cons between the two, but I am more in favor of the EU's regulation. Obviously, the EU approach protects privacy of the individual better than the U.S. Furthermore, the data collected in the EU countries is much more accurate as every individual have the right to their personal information. They can edit these info if they find that it is not true, which can be a bit troublesome, but useful in terms of accuracy. I think it is better to be bothered by companies asking for my permission to collect data about me than being forced to delete all that junk e-mails (which I never want in the first place) every day. On the other hand, the data collected through U.S companies practice may not be as accurate. Think about it. If they collect data based on IP address, and in reality, a single IP address may be shared among a number of people. Let's use my family as an example. So, these companies are gathering info about 7 different people with different interest. It is not so-called targeted ads if I start see ads on sports equipment every time I use the computer. In fact, my brother might be interested with the sports equipment, but by the time he surf the web, he sees nothing but ads on books, which is my dad's favorite. Get the idea?

Ryan Hamilton said...

I also do not like the idea of this and also feel that my privacy is being invaded by this. I am not currently working for any companies marketing campaigns and therefore do not care one bit what people are purchasing. I can see how this is helpful for these companies to come with new products to sell, but I personally do not want people tracking what I am buying and what I am into. This makes me feel vulnerable and people should not have to worry about what they are buying because they know that someone, somewhere is keeping track of this. This like many other privacy issues creates paranoia across the public and we should not have to be afraid of such things like this. I also am annoyed by the junk emails I constantly receive from companies. If I am interested in buying something I will go out and get it. I do not need to be constantly told about new products and how they can better my life. I know how to better my life and will take care of that myself.

KG THE KID said...

In response to Hasnur, I believe that consumer panopticon is something that I honestly believe can be very rewarding for a consumer. Sometimes when I shop for presents for people or for clothes for myself I spend more time looking for things than buying things. Even though this new technology records what I buy and where I buy it, I feel that it would help in suggesting products and services that I would enjoy. This would decrease the amount of time that I walk around the mall aimlessly looking for things. Sometimes when I walk around the mall I don’t even know what I am looking for. For example people who consume medical care are very price inelastic because they don’t have the time to look for the right doctor. People are too busy these days. Everything is go go go. Because people do not look for the best prices, doctors are given monopolistic power which enables them to charge higher prices. That is why I feel like this sort of technology would be something that everyone would appreciate. Maybe consumer panopticon could suggest products, but also where you could find that product at the lowest price. In addition, I feel that the better companies are able to market to their customers the more products will be purchased. Economically speaking this is a great thing for our company, the more products people buy the better our economy will be as a whole.