How Empowering Consumers Leads to Stronger Brands
As concerns over online privacy continue to grow, companies are racing to find new ways to provide their customers with reassurance. In this age of privacy, it’s essential for companies to take a privacy by design marketing approach to build trust with their customers and protect their personal information.
Having a privacy policy or being compliant with regulations isn’t enough anymore as this article by Deloitte confirms. Consumers want to know that companies treat their personal information with the respect and care it deserves.
As online privacy becomes a growing concern for consumers. Pew Research Center shared that 79% of US adults are concerned about the way their data is being used by companies. Companies need to implement strategies to protect and respect the personal information of their customers. Companies need to embrace ‘Privacy by Design marketing’ to put consumers in control of their data and empower them to make informed decisions about its use.
According to research by Google/Ipsos, a privacy-centric approach to marketing can actually enhance brand trust, instead of reducing it. The majority of internet users surveyed across Asia Pacific, North America, and Europe stated that they were more likely to do business with companies that offer them control over their personal information. Additionally, many respondents also said that they would be more inclined to recommend these companies to their friends and family.
Companies that embrace Privacy by Design marketing also enjoy a competitive advantage. Over 70% of online participants in Europe and North America stated they would choose a company that offers them control over their personal information, rather than one that doesn’t.
Marketing ideas from our experts:
A study by Accenture found that 83% of consumers are willing to share their data in exchange for a more personalized experience ( from communication to conversation for greater personalization). This suggests that there is a balance to be struck between privacy and personalization and that companies can use privacy by design principles to find that balance. Although consumers believe that digital experiences have fallen short of their expectations, they are more likely to make purchases from a company that shows them a personal touch.
Privacy by Design marketing can take on many forms, such as offering easy-to-use privacy tools and settings, providing transparency about data collection, and allowing consumers to opt-in or opt-out of data collection practices. By adopting these practices, companies can demonstrate their commitment to protecting the personal information of their customers and build brand trust.
For example, a B2B growth marketing agency could work with a financial services company to develop a mobile app that uses data to provide personalized financial advice. By implementing privacy by design principles such as allowing users to opt out of data collection, using analytics, and Martech to influence the whole organization into a user-focused organization by creating a continuous cycle of listening to users, testing, and iterating, and being transparent about how data is used, the company could build trust with users and increase engagement with the app.
Deloitte found out, that companies that implement privacy by design principles can see a return on investment of up to 40 times the initial cost. This suggests that investing in privacy can have tangible benefits for companies in terms of customer loyalty, brand reputation, and revenue.
For example, a B2B growth marketing agency could work with an e-commerce company to develop a privacy-focused marketing campaign that emphasizes the company’s commitment to protecting customer data. By using targeted ads and social media posts that highlight the benefits of shopping with a privacy-focused company, the agency could help the company attract new customers and build loyalty with existing ones.
Respecting people’s online safety and privacy, delivering relevant ad experiences, and providing positive privacy experiences that go beyond basic privacy tools. A positive privacy experience can improve people’s perception of a brand, while a poor privacy experience can be as severe as a data breach.
Marketers can improve privacy practices by asking people about their privacy settings, being transparent with privacy policy updates, and seeking consent before personalizing experiences. Implementing all three steps can lead to a 37% increase in feelings of control and improve trust, marketing effectiveness, and brand resilience.
Conducting Privacy Audits: A B2B growth marketing agency can help companies assess their current data privacy practices, identify areas of improvement, and develop an action plan to address any gaps.
Implementing Opt-in Strategies: A B2B growth marketing agency can help companies implement opt-in strategies, where customers have to explicitly consent to the collection and use of their personal data. This approach empowers customers to make informed decisions and ensures that companies are only collecting data that is necessary for their business operations.
Providing Privacy-Centric Tools: A B2B growth marketing agency can help companies provide easy-to-use privacy tools and settings, such as allowing customers to view and delete their personal data, or giving them the ability to control the types of marketing messages they receive. This helps to build trust with customers and shows that the company is committed to protecting their privacy.
Developing Opt-In Campaigns: A B2B growth marketing agency can help companies develop targeted opt-in campaigns that allow consumers to control what data is being collected and how it’s being used. This could involve creating custom landing pages that clearly explain the benefits of opting-in and providing a seamless user experience that makes it easy for consumers to make informed decisions about their data.
Creating Personalization Strategies: Personalization is a key component of privacy by design marketing, as it allows companies to deliver relevant content and offers to consumers while respecting their privacy. A B2B growth marketing agency can help companies develop effective personalization strategies that use data in a responsible and ethical way, while still delivering value to the consumer.
Implementing Transparent Data Practices: Companies that are transparent about what data is being collected and how it’s being used are more likely to build trust with consumers. A B2B growth marketing agency can help companies implement transparent data practices by developing clear and concise privacy policies, using plain language that’s easy for consumers to understand, and providing regular updates on any changes to data practices.
Developing Privacy-Centric Products: A B2B growth marketing agency can work with companies to develop privacy-centric products that put consumers in control of their data. This could involve creating products that allow consumers to easily delete their data, providing granular privacy settings that allow consumers to control what data is being collected, or implementing security features that protect consumer data.
Conducting Privacy Audits: A B2B growth marketing agency can help companies conduct privacy audits to identify any potential privacy risks and ensure that data practices are aligned with current regulations. This could involve reviewing data collection practices, assessing data security measures, and developing action plans to address any areas of concern.
In conclusion, embracing Privacy by Design marketing is essential for companies looking to establish brand trust and resilience. A privacy-centric approach to marketing can lead to a competitive advantage, an increase in brand trust and preference, and a positive impact on ad relevance.
By empowering consumers and putting them in control of their personal information, brands can build trust, enhance their reputation, and ultimately, drive business growth. Would you like to discuss in detail this topic? Let’s book a time and chat!