The use of private data to personalize user interactions with brands is quite widespread, with many consumers coming to expect a highly detailed level of personalization in all of their interactions. In spite of the fact that this is the case, there seems to be a wide gulf between the number of users that want personalization and those that are actually comfortable with allowing a brand to hold onto their private data in a secure and trustworthy way.
Twilio/Segment just released report that compiles survey results which reveal some interesting factoids about the state of personalization and the average consumer’s willingness to give brands access to their private information. With all of that having been said and now out of the way, it is important to note that the reliance of brands on data collected by third parties might be causing this current paradox. Consumers are usually hesitant to trust brands that use third party data because of the fact that this is the sort of thing that could potentially end up getting collected without their consent.
Expanding regulations pertaining to user privacy are also hindering brands, and this is leading to many of them switching to first party data. This is data that they acquire themselves after asking users for consent beforehand. Since so many consumers want personalization, it stands to reason that they would consent if they are asked since the main issue is with them being tracked without their knowledge.
Around 53% of the companies that participated in this survey said that they will be investing in new platforms to compile customer data in. That would allow them to collect data during every step of the customer journey with all things having been considered and taken into account. Since customers will have already consented to data collection, this much data mining will not be unethical nor will it violate any regulations.
It is important for brands to start building trust with their consumers since this would be in the best interests of all parties involved. First party data collection helps make that happen.
Read next: Here’s How Companies Use Your Location Data
Twilio/Segment just released report that compiles survey results which reveal some interesting factoids about the state of personalization and the average consumer’s willingness to give brands access to their private information. With all of that having been said and now out of the way, it is important to note that the reliance of brands on data collected by third parties might be causing this current paradox. Consumers are usually hesitant to trust brands that use third party data because of the fact that this is the sort of thing that could potentially end up getting collected without their consent.
Expanding regulations pertaining to user privacy are also hindering brands, and this is leading to many of them switching to first party data. This is data that they acquire themselves after asking users for consent beforehand. Since so many consumers want personalization, it stands to reason that they would consent if they are asked since the main issue is with them being tracked without their knowledge.
Around 53% of the companies that participated in this survey said that they will be investing in new platforms to compile customer data in. That would allow them to collect data during every step of the customer journey with all things having been considered and taken into account. Since customers will have already consented to data collection, this much data mining will not be unethical nor will it violate any regulations.
It is important for brands to start building trust with their consumers since this would be in the best interests of all parties involved. First party data collection helps make that happen.
Read next: Here’s How Companies Use Your Location Data