Consumers today expect increased data security and increased personalization. The overabundance of available customer data provides organizations with new opportunities to understand, predict and deliver the kinds of personalized experiences their customers expect. It also increases an organizations vulnerability to data security.
In fact, high profile data breaches are on the rise. According to the Risk Based Security report published in August of this year, 2019 is on track to being the “worst year on record” for breach activity. Compared to midyear 2018, the number of breaches was up 54% with 3,813 breaches reported exposing over 4.1 billion records.
Consumers have long been aware of the vulnerability of their personal information. With the implementation of GDPR, the California Consumer Privacy Act and the missteps by Google, Facebook and other organizations, especially the ones that monetize user data, data privacy has now become one of consumers’ top concerns.
According to the January, 2019 article, Do US Consumers Want GDPR-Like Data Protection Rights?, 67 percent of U.S. consumers are ready for stricter data privacy regulations like GDPR. Almost three-fourths (73 percent) said their concerns over personal data privacy were increasing, and in another Harris Poll, 65 percent of respondents said data privacy is their most pressing issue, coming in even higher than healthcare.
When so much business is conducted online and the number of breaches are on the rise, customer trust is eroding. If businesses don’t act on improving data privacy and rebuilding customer trust, customers will respond by taking their business elsewhere.
Businesses are caught in a challenging balancing act. In addition to improved data privacy, consumers also want increased personalization. They want relevant information, experiences and offers that meet their personal needs at the right time and the right place over their preferred channels.
The wealth of available customer information collected by organizations that enables them to offer more personalized experiences also creates increased risks. Any compromise of personal information can have real and lasting consequences.
How can businesses increase personalization and increase security?
Sophisticated big data and customer analytics software available today can help organizations surface deep understandings and predictions about customers’ behavioral patterns, goals, sentiments and propensities. These insights make it possible for enterprises to deliver the personalized experiences, products and services in the right context.
Not all customer analytics software, however, is designed alike. To keep up with consumers demands for increased personalization and privacy requires software designed to support both key needs.
Here are some key questions to consider.
Does your customer analytics software include these features to engage customers with personalized journeys to deliver superior experiences?
- Digital Shopper Persona Discovery: Leverages customers’ multi-channel and multi-device interactions, based on demographic, psychographic and transactional customer data
- Journey Discovery: Discover popular and profitable customer journeys, and key drop off points.
- Journey Canvas: Model optimal customer journeys that offer superior customer experience.
- Next Best Actions/Offers: sequential pattern matching and integrated shopping basket analysis surfaces next best actions. Users can create rule-based offers according to persona shopper journeys.
- Scalable All-data Environment: Simplified Hadoop data lake integrates all relevant data, including emerging IoT sources.
- Low-code platform plus built-in use case approach: Flexible, open source components and packaged use cases enables fast, cost-effective deployments with maximum ROI.
- APIs: Common APIs, platform services and data models make partner integration easy and fast with a lower cost of deployment.
Does your customer analytics software include these data privacy features to support data privacy?
- Natively supported data privacy and consent driven personalization
- PII (Personally identifiable information) attribute classification and encrypted storage for PII attributes?
- Customer consent management capabilities including withdrawal of consent
- Audit trail management for PII access
- Authorized access, masking and anonymization
If you cannot answer yes to these questions, you may want to explore TCS’ Customer Intelligence & Insights software with solutions designed specifically for banking, retail and communications.
Consumers want security and personalized experiences. Companies that address both needs can build deeper trust, loyalty and long-term competitive advantage.