Privacy is on everyone’s agenda today.
Consumers are concerned about sharing their personal information and how it is used. Marketers are concerned about collecting customer data and navigating the changes taking place around them.
Despite these concerns, both sides share a common goal: more relevant experiences that also respect privacy.
Consumers have high expectations
The collection of customer data is becoming increasingly common in marketing departments. However, companies need to be clear about why they collect data and how it will be used.
According to Think with Google, consumers have increasingly high expectations when it comes to digital advertising. Research shows that 74% of customers want ads that are relevant to them. At the same time, they remain concerned about how their information is used. In particular, three questions matter:
- What information is being collected? For example, browsing behavior, email address, or gender
- How is the information being collected? For example, is something offered in return, and is there a clear incentive?
- Why is the information being collected? How will it be used?
Consumers are increasingly reluctant to share information that feels intrusive or personally identifying, such as gender, age, address, interests, or previous purchases.
One in three users is willing to share their email address without an incentive. But with the right incentive, such as a discount or lead magnet, willingness can increase significantly, with as many as 90% of users willing to share their email address.
There is clearly a demand for relevant content and experiences, but trust matters even more. When consumers trust a brand, product, or company, they are twice as willing to share their information.
If a brand has a reputation for handling data poorly, consumers are also less likely to share their email address. This is important to consider when trying to attract customers. 29% of users generally distrust companies across all industries when it comes to sharing personal information, while 64% distrust companies in at least one industry. Around 60% of consumers also believe that companies sell their data, although research suggests that relatively few brands actually do so.
Successful data collection
Today’s marketers understand the value of data and the trust customers place in them. They also understand how customer-centric, data-driven marketing can support success across business objectives. The best marketers make data collection a win-win for both the customer and the business by offering relevant experiences and transparency. They focus in particular on three areas:
- Transparency
- Creating relevant experiences with first-party data
- Building a data-centric organization
Transparency
The best marketers ensure transparent use of customer information by delivering clear benefits directly to customers and actively building trust. They also explain how customer information is handled and for what purpose. In addition, they invest in partnerships and solutions that support privacy compliance and help ensure that data is processed in accordance with GDPR. And that matters – not least to avoid fines.
Creating relevant experiences with first-party data
Good marketers focus on collecting first-party data that is relevant to their customers. They create personalized and meaningful experiences that help customers understand the value of giving consent to data collection.
Building a data-centric organization
CMOs can play an important role in educating internal teams about the company’s privacy policies and data strategies, including how a shift from third-party to first-party data collection can affect the business. The CMO should take an active role in data governance. This makes it possible to take greater ownership of data protection, consent management, and communication with customers about how their data is used.
We can help you
With RubiqCloud, you can collect first-party data easily and securely. RubiqCloud manages all types of permissions and consents across every touchpoint and supports data requests in accordance with GDPR. With RubiqCloud, you get a centralized view of your data, making it easier to use that data strategically in your marketing and business activities.
We work with businesses, membership organizations, and public institutions to support the collection and responsible use of customer and member data.
If you would like to learn more about RubiqCloud, you are always welcome to contact us: 👉 Contact os here
Source: Think with Google