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Brands losing consumer trust over data handling

Recent high-profile data breaches that occurred in the past year have put the fear of data loss into consumers, a new study suggests, adding that more than half of those who have shared info with brands and businesses are now reclaiming it.

What's more, they plan to share less data in the future.

Those are the results of a survey conducted by software provider Informatica. The report, entitled ‘The State of the Data Nation’, surveyed more than 2,000 UK adults and revealed that 73 per cent of consumers are concerned about the way brands and businesses use the data they share with them.

More than half (56 per cent) are now reclaiming the data given, and plan to give less data in the future, while 38 per cent said "nothing could incentivise them” to share their data with businesses.

Looking into what businesses can do change people’s minds about sharing data, a few things are worthy of consideration. First – being transparent about how businesses are using data is crucial, together with having a proper privacy policy in place.

Being fast to react to any issues has also been labelled as very important by 38 per cent of respondents.

“It’s clear from this survey that there is a worrying disconnect between UK businesses and consumers when it comes to how their personal data is stored, shared and secured,” explained Greg Hanson, vice president business operations EMEA, Informatica.

“Brands and organisations need to address this as a matter of priority. That means putting strong data governance practices at the heart of their customers’ digital experience in order to win back their confidence. Data security is a crucial differentiator for organisations looking to redress the balance and offer maximum protection for personal information in the event of a breach.”