Privacy Concerns in Digital Marketing: A Systematic Literature Review

Abstract

The rapid growth of digital marketing has highlighted both the potential of personalization and data-driven strategies and the intensifying concerns surrounding consumer privacy. This study conducts a systematic literature review of recent research to analyze how personalization, online behavioral advertising, and regulatory frameworks interact with consumer trust, transparency, and data protection. The findings reveal that while personalization improves engagement, it can also generate perceptions of vulnerability when data practices are opaque, thereby undermining brand relationships. Online behavioral advertising is frequently viewed as intrusive, with additional concerns regarding algorithmic bias, fairness, and manipulative interface designs that weaken informed consent. Furthermore, despite the introduction of regulations such as the GDPR and CCPA, evidence suggests that their effectiveness is limited by confusing consent mechanisms and consent fatigue among users. This review concludes that managing privacy concerns is both a regulatory obligation and a strategic necessity for firms, requiring transparency, ethical design, and consumer empowerment to sustain trust and marketing effectiveness in the digital era.