In the digital age, the interests and behaviors of modern day consumers are hard to predict as they continue to evolve immeasurably over time. Over the past decade, there has been a steep rise in the internet-consuming population owing to the rapid expansion of digital channels. With the growing consumer base on digital platforms, marketers are leveraging big data analytics to personalize user's marketing experience and convert potential audiences into customers. Be it an email address, credit card information, geographical location, or any other aspect, marketers are utilizing retrieved information of users to better understand pain points, develop new products and services, and customize marketing as per user's interests and preferences.
Why Value Consumer's Data Privacy?
Since data is highly valuable for marketers and customers alike, its usage has become a big concern. Consumers are reluctant to share personal information with any business unless it is a necessary part of the interaction. The increased awareness towards the breach in data privacy has led to a drastic shift in the data sharing behavior of the consumers. In an effort to protect their privileged data, many consumers are becoming intentional about what types of data they share and with whom. Therefore, the combination of privacy control and personalization is forcing new trends in the marketing domain. As part of an ethical organization, marketers must ensure the protection of customers' data by collecting them in a way that is deemed to be legally right and safe.
To be successful in the fast-paced world, one needs to be aware of the trends of tomorrow. Here are some of the emerging marketing trends that value customers and their privacy.
Data Transparency
Embrace transparency in new and meaningful ways for collecting and using consumer data responsibly. Build first-party relationships with consumers by asking them for consent directly before retrieving personal information or opinions about a product/service. The organizations should inform the respondents how their data sharing can create value for the business. This way the marketers can empathetically engage with consumers at scale and preserve them for the long term. For instance, one can ask for the user's geographical location in exchange for push notifications to inform him/her about any upcoming sales or other lucrative deals on products or services they offer.
“While working with a third-party vendor, an organization cannot afford to take any chances when it comes to protecting valuable consumer data”
Third-Party Risk Assessment
While working with a third-party vendor, an organization cannot afford to take any chances when it comes to protecting valuable consumer data. Third-party risk assessment helps the organizations to gauge the level of risks associated with a third-party vendor providing them products or services. Assessing outsourced third parties will help the organizations to determine specific areas of risk that need to be monitored thoroughly for implementing additional controls and mitigate the risks.
Data Privacy Laws
Over 70% of countries have data privacy laws in place or are drafting new laws for the same. The primary goal of data privacy laws is to ensure the protection of collected consumer's data and any agency that violates these laws are liable for a hefty fine. For marketers, the challenge with data privacy laws is using the retrieved data responsibly and ensuring unauthorized parties do no access it. Therefore, good digital marketers must put certain measures in place to avoid unnecessary liability such as creating a page for security policy, informing customers on how their data will be utilized, and complying with customer requests to access their data or requests for not using it. These new regulations have created an opportunity for B2B marketers to bring life into practices that would lead to impactful engagements with the users. For a more proactive approach to compliance, the companies must have a high degree of communication and coordination within the ecosystem.
Compliance Programs
Compliance programs are designed to ensure that the marketing, advertising, or sales content follows the set rules and standards to protect the consumer from false claims and abuse of data. Businesses need to follow national and international guidelines while sharing product specifications in their marketing collaterals that are truthful and evidence-based. Also, they need to share appropriate warnings on physical products to ensure customer safety and protect themselves from a legal perspective. Besides, the marketers must understand that if any user does not want to accept cookies while visiting their website then they are not someone who would be interesting in buying their offered products or services so compliance is instrumental not only from a legal perspective but also from a business standpoint.
The brands that put consumer data privacy at priority are reciprocated with consumer trust, higher purchase intent, and brand favorability. The future of advertising would depend on the responsible use of data therefore the marketers should follow an ethical approach while requesting personal information from the user. Educating and empowering consumers by helping them to make informed decisions can help the brand to target their audiences in a more significant manner and enjoy the benefits.
