Could you attract more customers with a different approach to data privacy? Research carried out by B2B software search website Software Advice suggests that how you deliver and communicate your data privacy policy to online consumers can affect the way they spend.
The survey suggests that today’s customers are increasingly concerned about how their data is stored and used. Only around half of the Australian respondents (51%) are confident that their personal information is secure when they provide it to an online company – and they’re also worried about what companies may do with their information.
Just over half (51%) said they were reluctant to share any financial information and 48% wouldn’t share their location data online. However, 80% said they would provide information about their age or occupation and 92% would share their gender identification.
20% said they had stopped doing business with one or more companies because they weren’t comfortable with their data practices.
Checking out as a guest
When making an online purchase, 55% of respondents said would prefer to remain anonymous or check out as a guest rather than set up an account or allow the retailer to save their personal information.
It also appears that a majority consumers consider a company’s reputation for data privacy reputation before doing business with them, sometimes by reading reviews and sometimes by reading company policies.
“Data privacy remains a concern for consumers in Australia when it comes to sharing their information with an online retailer with an unclear view of privacy laws,” says Andrew Blair, Content Analyst at Software Advice.
This suggests that a clear, easy-to-read and reassuring policy statement could encourage customers to do business with you.
