A study produced by Forrester Research shows that customers do care and are increasingly concerned about data collection methods. More than 37,000 US and Canada residents were surveyed and more than 70% said they were concerned about sensitive data such as social security numbers and credit cards. The number drops to less than half when it is about phone numbers and the results finally taper at 17% when the data in question is about online reviews. Customers are able to discern qualitative differences about types of data.
The age of the customer is also relevant to the concern about data collection. Almost half of 55-64 year olds are concerned about data collection of their online behaviors. The percentage of 18-24 year olds concerned is a third. These numbers are increasing when compared on the long view from year to year.
The most important issue for the digital agency is that almost half of customers have cancelled a purchase because of something they read in an online privacy policy. This is the easy lesson for the digital agency. Customers do read these and do make use their privacy as a factor in deciding with whom to shop.
Brands need to be careful what they do with data. They need to be vocal about what is done with their data and they need to be careful to abide by those statements. It is too easy these days to run afoul of the right person with the right Klout score if privacy concerns are handled haphazardly. The SOPA protests should reaffirm the power of symbolic protest on the internet when privacy is concerned.