The Data Privacy Paradox
From shopping to banking to dating, the perks of a personalized experience go hand in hand with sharing our data. And while convenience is everything, data privacy is becoming more of a concern for people and organizations alike.
So how can brands strike a better balance? How can we honor personal boundaries while creating highly personalized experiences?
To learn more, we studied the changing attitudes around online privacy. Partnering with research firm GWI, we developed an online survey sent to 1,672 respondents aged 16 to 64.
When it comes to data privacy, at least one thing is clear: purpose, trust, and transparency rule the day. Let’s dig into a few key findings:
People are willing to share data when it contributes to a higher purpose
With our own mission of turning brand purpose into business performance, it’s no surprise that people are more inclined to share data with a company whose purpose runs deeper than profits. In fact, it was the leading incentive reported. Now more than ever, brands must know exactly what they stand for and communicate it with clarity.
#1 motivator for sharing data is company purpose
Sharing data without authorization can doom your business
When asked how they’d react to a company sharing personal data without authorization, there was little room for forgiveness. Half of respondents said they’d sever ties for good. Today, data circulates among third parties in ways that are already confusing to consumers. Companies caught sharing data without permission are playing with fire.
50% would cut ties if data is shared unethically
Transparency is a leading accelerator for building trust
On the flip side, brands that go the extra mile to be open and transparent are more likely to establish trusted relationships with their customers. The majority of respondents said that a brand’s honesty around how data is being used engenders trust, ranking higher in importance than great products or positive reviews.
66% say honesty around how data is used matters a lot
“The Data Privacy Paradox” reveals steps people are taking to safeguard their data, why legacy brands have a leg up, and the role Web3 may play in the future of privacy protection.