Digital Consumers and Data Collection
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Transcript of Digital Consumers and Data Collection
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3rd October 2012
Dealing with the digital consumerDavid Reed, editor, Journal of Direct, Data and Digital Marketing Practice
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Know your rights
What do you think is the main purpose of the Data Protection Act?
Rights, not preferences
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From carefree to careful
DMA Data Privacy study:
✤ Pragmatists - will exchange reasonable amounts of data for better services
Fundamentalists - unwilling to exchange data regardless
Unconcerned - carefree (careless?)
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Shifting balance of power
Marketers need to make sure they are not ahead of the consumer in technology and not behind them in their understanding of the data value exchange
Vanilla services for the fundamentalists v fully-featured for the adventurous?
Get ready for greater dynamism around consent - opt-out/opt-in will not be valid for ever
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Likers vs Haters
When a company asks for your contact details, describe your attitude
Less Trust
Less Hate
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Truste cookie audit
Website compliance with ePrivacy Directive (231 sites)
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Data Capture and Risk Reward
The SCARF Model:
Status
Certainty
Autonomy
Relatedness
Fairness
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Certainty, Fairness and Privacy 1 - lead on user experience (BT)
2 - making it personal (Silktide)
3 - lead on trust (BBC)
4 - making it general (Channel 4)
5 - avoid confrontation (Barclays)
6 - be formal (Financial Times)
7 - use humour (Best Western)
sticky-content.co.uk (http://goo.gl/NRxgB)
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Certainty, Fairness and Privacy
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Reason and emotion
Aligning policies and data capture techniques with the brand personality could positively influence permission-to-market rate
Consumers are far less rational than we believe - 6/10 can not explain why they make decisions they do
Risk of dissonance between brand appeal that draws consumer in and sudden rational demands of permissioning
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Impact of choice
When an organisation asks for permission to use your data,are you given enough choice about how it will be used?
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Choice and Opt Out
(Source: DMA Data Tracker Wave 3 April 2011)
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Growth of consumer choice
Presence of cookies notices and privacy policies is growing awareness of choices, rights and controls
Data Protection Regulation proposals may require consent to everything - processing, marketing, profiling
Presumption of data absence may need to inform way services and marketing are developed and delivered
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Social media and privacy
If you are on Facebook, which of these statements do you agree with?
Less fear
Less trust
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Uses of Facebook
Status seeking
“Haters”
Virality
(Source: Gothernberg Research Instute - “Sweden’s Largest Facebook study”n = 1011)
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DDDMP 14.1 - The Case of Facebook
An investigation into the extent to which social networks influence purchasing decisions through a quantitative analysis.
Researches beyond usage into Facebook-mediated marketing communication.
“Facebook promotes a consumer-to-consumer approach, exploited by consumers to share experiences and create a common knowledge of products and services...provides managers a direct channel for communicating with clients through a business-to-consumer approach.”
Hypotheses:
Ease of use of FB influences role as support tool in decision-making.
Ease of use has a direct influence on gathering information through this source.
Usefulness of messages influences attitude towards using FB for information about purchases.
Attitudes towards FB influence intention to use it as a support tool for purchasing decisions.
Enjoyment of FB influences perceived usefulness.
Enjoyment influences attitude towards role as support tool for purchasing decisions.
Enjoyment of FB influences behaviour in using it for this purpose.
Ease of use has a direct influence on enjoyment.
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DDDMP 14.1 - The Case of Facebook
Anonymous survey among students in Southern Italy, generating 187 responses.
Proved all hypotheses (except number 1)
“Users appreciate the presence of firms/products...and take into account recommendations and suggestions.”
“Managers could improve the fun provided by pages by adding games, contest and applications.”
“Marketers would consider the link between a high level of enjoyment...for positively affecting consumer purchasing decisions.”
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The pleasure principle
Is your data collection screen and privacy policy “fun and enjoyable”?
Opportunity to be part of the social network and leverage earned media, but only with a softer, yet reassuring approach
Data capture, management and compliance needs a dose of creativity!