Privacy intrusiveness and web audiences: Empirical evidence

• This article investigates how website performance measured by the web audience, is affected by intrusions on privacy.
• We analyze an original dataset of the 197 most visited websites in France.
• Our study shows that a high level of firm intrusiveness is associated with better economic performance.
• Internet users tend to visit websites associated with high levels of intrusiveness.
• Regulatory authorities should inform individuals about the possible theft of their private data.

The development of Internet technologies and personalized advertising has amplified public concern about privacy, but there is little empirical analysis of how firms exploit personal data. This article investigates how website performance, measured by web audience, is affected by intrusions into privacy. We analyze an original dataset of the 197 most visited websites in France. Our study shows that a high level of firm intrusiveness is associated with better economic performance. The results shows that consumers do not respond negatively to overly intrusive data requirements since intrusiveness is associated with higher website traffic, industry self-regulation may not be the most efficient regulation mechanism.