With internet users frequently sharing their personal data and web cookies with every click, digital marketers and businesses have been able to gain invaluable insight into their potential consumers and offer solutions tailored to their personal needs. This might all be about to change.
According to a new survey by SAS, 73 percent of consumers said their concerns over personal data privacy were increasing. As consumers become more aware of how their data is being used, they’re becoming less trusting of companies and their potential misuse. The lack of trust that has stemmed from previous misuses is bad news for organizations. The opportunities for innovation and ad targeting rely heavily on people trusting organizations with their data, confidence is crucial. With digital marketing still becoming more invasive, there is a greater need than ever to tighten up control of data and prepare new marketing tactics.
The trend of growing awareness of data protection is growing at a fast rate and it shows no signs of slowing. The majority of online uses feel as though they have lost control over their private information that is collected online and how it’s used. Through this new awareness, consumers are realizing their own data protection rights and they are seeking to regain control of their data. The law could be a positive influence here as enforcing something similar to the GDPR would demand fairness and transparency for the consumer.
While consumers are busy regaining their control, businesses and marketers have their work cut out for them when it comes to putting their consumer’s minds at ease and the security of their data. Digital marketers are right to have their own concerns about being more transparent about the information they’re collecting and how it will be used. Businesses need to prepare to be more upfront as a recent study showed that brands who are honest and communicate about how they use the data to target ads can boost engagement levels by up to 40%. There are a few factors that, if taken into account, will help marketers continue to gain the data they require for personalized advertisement but in an acceptable manner. These factors are maintaining trust, giving the consumer control over their personal data, and justifying why personal data is being used.
This digital era is still ever-changing and we can’t predict exactly how internet users will respond or how data privacy may change but for the time being, focus on the service you are offering creating value for the consumer. Instead of looking at new laws or regulations for transparency as a burden, see it as you fulfilling your responsibility as a business owner to position yourself for a successful relationship with your consumer.