In commemoration of Data Privacy Day, we’re exploring the implications of social data as both an instrumental marketing tool and a privacy concern for businesses.
Trust is paramount for any business looking to establish a loyal customer base. A study from the SDA Bocconi revealed a direct correlation between customer trust, advocacy, and spend.
Below are three simple principles that businesses can live by to establish trust and credibility.
1. Communicate the terms of use early on.
For businesses that offer social login, it’s important that users understand exactly how their information is being shared and used. By integrating a security seal into the sign-in process and displaying clearly how users’ information will be used, companies communicate that they’ve taken precautions to fully inform and protect customers against privacy violations. For instance, Gigya offers a SocialPrivacy seal for businesses that states how user information will be used and ensures that its corresponding web properties are meeting standard data protection practices. Initial tests reveal that users are responding positively to the seal: a reported 15 percent more people sign in with social login when the security seal is displayed.
2. Show that data privacy is a priority.
By demonstrating an awareness of and respect for customers’ privacy rights, businesses assure users that their information is valued and protected. One way of communicating a commitment to data privacy protection is to appoint a dedicated privacy professional such as a Chief Privacy Officer to oversee the management of users’ personal information. Companies should also hold themselves accountable to a privacy policy that outlines the terms of usage for sensitive data. The privacy policy should be displayed on the company’s website and open to public access.
3. Let users make their own choices.
Give customers the space to decide for themselves which social networks they want to connect their accounts to and the option to revoke permissions at any time. Empowered customers translate to loyal users, so it’s important to establish a foundation that supports personal decision-making.
As more and more businesses exercise discernment and responsibility when handling user data, the hope is that users understand just how their profile information is being protected and leveraged to provide direct value for them. After all, big data is something to be respected, not feared.
To learn more about why customer trust is so important for businesses to establish, read the first part of this series here.
-Emma Tzeng, Marketing @gigya