The European Union adopted exhaustive consumer data privacy regulations in 2018. And although the U.S. hasn’t enacted similar federal legislation, 20 states currently have such comprehensive laws on their books. That trend is sure to continue.
Companies are faced with finding new ways to gather and use data to target their marketing efforts. But with third-party cookies up in the air and data sharing without consumer consent widely available for purchase, that landscape is changing. That leaves marketers scrambling to find new ways to gather and use data to outdo their competition.
Privacy regulations don’t mean marketing has to return to focus solely on the masses. Brands will simply need to up their marketing games to use data while protecting consumer privacy. Here’s how they can.
Engage With Customers With Their Consent
The obvious way to collect information about customers without running afoul of privacy regulations is to ask them for it. That might seem like a laborious task to many marketing pros. But it’s not, if they know how to get the job done. Technology that provides a way to gather data without consent can also be used to gather it with permission.
Collecting and compiling zero party data is easy and efficient with the right tech partner. By making their content and ads interactive, brands can engage customers personally. Those customers can, of course, opt out of these opportunities to interact when they arise. But if they opt in, companies collect extremely valuable information.
Zero party data shouldn’t be confused with first party data. Although the latter, too, requires consent, it comprises basic information like name, contact information, and purchase history. The former, however, lets companies ask for specific input that can inform highly personal and laser-focused marketing efforts.
For example, a company posts a poll on its website. Questions could be, “What’s your favorite type of vacation?” or “What’s your go-to beverage?” Offering multiple-choice answers makes it easy for consumers to opt to respond. And they’ll do so willingly, truthfully, and with their consent. Those responses help marketers develop ad campaigns to large audiences as well as communication with individuals.
Zero party data can be collected as easily across all social media platforms as it can on a brand’s website. Polls, comments, and requests for ratings and reviews will engage audiences in meaningful ways. And that can build the level of trust and intimacy with a company that breeds customer loyalty.
Make Data Privacy Job One
Because data used to be so easy to collect without consent, any attention given to it was largely an afterthought. A company could roll out a campaign designed to gather consumer data. But it would only address privacy-related concerns if they arose or if the company received a lackluster response. It’s high time for brands to get out ahead of privacy, not catch up.
A business may not consider its data privacy policies as personalized marketing tools. But in a world where consumers are concerned about their data, it’s a useful and effective one. After all, honesty and transparency work their magic on loyal customers.
Companies should review their current data privacy policies, particularly at the granular level. Perhaps data gathered in a particular campaign should only be retained for a limited period, then wiped. Moreover, rather than trying to collect as many data points as possible, companies should be more intentional. They should collect only what they need to achieve their goals.
Consumers want personalized experiences, so they’re likely to agree to provide information that makes those possible. Asking for opinions and preferences are far more personal than capturing a customer’s email address. And offering a deadline to delete data and even providing the option for anonymity puts customers at ease.
Once companies develop detailed and specific data privacy policies, they should market them. Place them front and center on websites, on social media accounts, and throughout their content. Accountability, concern, transparency, respect and honesty will go a long way toward building trust.
Empower Consumers
Everybody likes to feel empowered to make decisions, particularly about their own lives. Marketers need data to do their jobs, but gathering it doesn’t have to be cloaked in darkness. It’s personal when brands put consumers in charge of their own data decisions. Empowerment is part and parcel of the customer experience.
People remember the early days of digital marketing, when it was all very Big Brotherish. They pulled up a search engine and saw ads that only a stalker would know were relevant to them. Just because most consumers now understand how that all works doesn’t mean they feel any more in control of what they see. Control, in fact, is what they feel they’ve lost. But companies can give it back if they choose to.
Consider the “unsubscribe.” Consumers may be happy to give companies their email addresses to get a discount on a first order. But they aren’t happy when they’re deluged by constant emails and content. Having the power to unsubscribe from some or all of what’s landing in their inbox in a couple of clicks is heady.
Companies should allow consumers to decide what data they want to provide for what purpose. They should allow customers to opt in and out of emails and text messages at will and with minimal effort. They should make every line of information requested on digital forms optional. Consumers will appreciate the lack of reprimanding messages when a “required field” is left blank.
Since education and empowerment are inexorably linked, data privacy policies should be very clear. Moreover, consumer questions and concerns about how their data is used should be addressed quickly, directly, and in terms people can understand. Putting customers in charge of their relationship with a company takes it to a whole new and highly personal level.
Privacy Is Personal
There’s no doubt that privacy regulations are putting guardrails up between customers and traditional digital marketing strategies. But customers demanding control over their privacy shouldn’t be surprising. Companies that figure out how to juggle privacy and personalization will win the day.
