The report from data marketers Intent found brands who were upfront about data use were more likely to gain the trust and loyalty of consumers – over three-quarters (79 per cent) of respondants said they’d respect a brand that asks for data upfront, i.e. when the user registers.
84 per cent of participants said they were concerned about online privacy, reflecting the widespread focus on data privacy and abuses of consumer data.
86 per cent per cent said they dont like online advertising personalised through anonymous data collection, and 59 per cent said that login details like name and address in return for personalised offers and information is a fair deal.’
Intent describes this as value exchange – the exchange of data for personalisation. These results indicate consumers overwhelming value their data privacy – but are aware of the disadvantages of withholding personal information.
Jonathan Lakin, CEO of Intent, said Advertisers and publishers are now increasingly using permission-based social logins to collect this information.
“By combining this with online behavioural data and then applying sophisticated new methods involving artificial intelligence to target ads and content more accurately, they are enjoying a dramatic rise in conversion rates,”
Consumer knowledge of the effectiveness of these techniques are important – even if we’ve still got a long way to go in terms of personalising advertising with data.
The bottom line is data privacy is a massive concern for consumers, and brand values suffer when businesses don’t communicate what they intend to do with consumer data. Lakin says: “This survey underlines that consumers really do value brands that gather and use data responsibly, knowing that their actions will have a long-lasting effect on customer relationships.”