Despite a series of recent, high-profile data breaches and consumer concerns over data collection, shoppers are still open to sharing their personal information, reveals a new survey released today by Aimia Inc. (TSX: AIM).
According to the Aimia Loyalty Lens report, when asked to rank types of businesses by the degree to which they are comfortable with those businesses handling an individual’s personal data, an overwhelming majority of consumers (82 per cent) put banks in the top four (out of ten), along with supermarkets (64 per cent), mobile phone providers (56 per cent) and their places of work (50 per cent). Conversely, 65 per cent of consumers place online search engines in the bottom two of institutions they trust and 58 per cent of consumers place social networks in the bottom two.
Despite the perception that some industries are doing a better job at protecting data than others, more than half of shoppers internationally (55 per cent) are willing to share personal information with companies in exchange for relevant rewards. That willingness is uneven across international markets. Close to three-quarters (74 per cent) of respondents from India are open to providing their personal details, compared to only one-third of more skeptical Germans (39 per cent). This may be because German consumers value their personal information the most amongst the 10 markets surveyed (36 per cent versus 29 per cent internationally).
“Consumers are increasingly required to trust companies to handle their personal details,” said David Johnston, Group Chief Operating Officer, Aimia Inc. “Transparency about how data is being collected and used will become a key differentiator for businesses going forward. Those that are clear and offer a better customer experience by how they use that information will build greater trust and loyalty.”
The Aimia Loyalty Lens report looked at trends around consumer loyalty to industries, engagement with technology and attitudes towards data privacy. Additional findings are available here: www.aimia.com/loyaltylens.