sharing personal data with marketers
Consumers are increasingly aware just how much personal data they’re sharing with marketers. Whether browsing online or shopping in a store with a loyalty card, consumers reveal a lot of themselves every time they interact with a brand.
In a recent Communispace study (PDF), 86% of consumers would click a “Do Not Track” button if one existed and 30% would pay a 5% premium for a guarantee that their personal data would not be captured.
Yet 52% of consumers would share their personal data with marketers for discounts, with younger consumers more comfortable sharing personal data. A majority of Millennials and Gen X-ers would share data for discounts, while a majority of Boomers and Silents would not.
As I cartooned a couple of months ago, it will be interesting to watch how different brands navigate the tradeoffs of consumer privacy with personalization and relevance. I think that the brands that do best will be the ones that let consumers have a say in what data they share and how that data is used.
The Communispace study raised some interesting takeaways for marketers:
“Our research suggests serious risks for companies who don’t respect their customers’ wishes for privacy and control, and who continue to push messages – even personalized messages – without providing corresponding means for customers to seek them out and signal their intentions…
“While people increasingly accept some loss of privacy as a cost of doing business, or a way to earn perks, the majority say they do not appreciate the covert tracking that takes place in the name of “added value” and “customized experiences.”
“It … suggests a real opportunity for companies ready to engage with consumers on their terms and re-negotiate power in the vendor-customer relationship.”
I’d love to hear your thoughts on how marketers should navigate personal data.
(Marketoonist Monday: I’m giving away a signed print of this week’s cartoon. Just share an insightful comment to this week’s post by 5:00 PST on Monday. Thanks!)