The Social Dynamics of Trust in the Digital Economy: A Quantitative Analysis of Personalization and Transparency in European E-Commerce

Abstract

In an era of pervasive data collection, the relationship between consumers and e-commerce firms is increasingly complex. This study investigates the social dynamics of trust within this digital environment. It moves beyond a purely commercial framework to empirically test a structural model quantifying how data-driven personalization and perceived data transparency influence consumer purchase intention, mediated by the crucial construct of system trust. A quantitative, cross-sectional survey was conducted with 450 adult e-commerce users from Germany, France, and Poland, representing diverse European markets under the General Data Protection Regulation (GDPR). The survey utilized validated scales for Perceived Personalization, Perceived Data Transparency, Consumer Trust, and Purchase Intention. The hypothesized relationships were tested using Structural Equation Modeling (SEM). The SEM analysis confirmed an excellent model fit. Both Perceived Personalization (β = .35) and Perceived Data Transparency (β = .42) were strong, significant predictors of Consumer Trust. Notably, transparency emerged as a slightly more powerful antecedent. Consumer Trust, in turn, was a powerful predictor of Purchase Intention (β = .58) and fully mediated the effects of both personalization and transparency. This highlights trust as the central mechanism governing consumer behavioral responses to corporate data practices. This study provides a robust empirical model that integrates marketing concepts with sociological theories of trust. It demonstrates that the benefits of personalization and the ethics of transparency are not opposing forces but complementary pillars for building system trust in the digital economy. The findings offer critical insights for creating more trustworthy and sustainable digital ecosystems, with implications for corporate strategy, data governance, and public policy in the post-GDPR landscape.