While “marketers walk the ‘personalization vs. privacy’ tightrope,” the value proposition for consumers in sharing their data is to receive some benefits, likely in the form of tailored services, offers, and/or communications. But do consumers think they’re getting those? A new report [download page] from Treasure Data finds that while 6 in 10 agree they’d be more willing to share their personal data with brands if it meant they could personalize their service/communications as a result, fewer have seen such benefits.
Indeed, only half either strongly (22%) or slightly (28%) agreed that they have seen benefits from sharing their data with brands in the form of tailored services and/or communications. There’s a strong age skew in these perceptions: 60% of 18-34-year-olds agree to some extent that they’ve benefited from sharing their data, while only 35% of those ages 55 and older concur.
Marketers will need to be careful not to let down their customers: two-thirds (68%) of consumers surveyed agreed to some extent that they expect more from brands they have shared their accurate personal data with. That figure rises to 75% among 18-34-year-olds.
While many people feel that they have little control over the data that companies are collecting, relatively few consumers seem to try to avoid sharing their data. Only 41% agreed to some extent that they deliberately try and withhold their personal data from brands. Even fewer (35%) say they don’t use their primary email address for signing up to emails from brands, and only 23% sometimes give false data about themselves.
Despite providing accurate data, consumers estimate that only about 40% of the content they receive from brands is relevant and appropriate and makes them click through.
What’s clear from the results is that data privacy and loyalty are connected: 82% said that when thinking of the brands they purchase from frequently it’s important that they trust them with their personal data. Likewise, majorities feel it’s important that they receive incentives and offers from the company (73%) and that they feel recognized and rewarded for being a loyal customer. This aligns with previous research which has found consumers saying that their favorite brands reward them for their loyalty.
For more, check out the study here.
About the Data: The results are based on an August-September survey of 2,000 US adults (18+).