Big data provides huge opportunities for business and marketing professionals to unlock vital confirmation on what drives their customers and prospects. Customers are well aware of the value of their personal information and do understand how this information can be utilised in a manner to improve the overall customer experience. Some customers even believe that analytics and other insights can reveal unknown motivations and interests that an individual may not have considered. For these types of people, the benefits of data analytics when used in the correct manner is capable of generating new opportunities that may not have been previously realised.
People understand that a business needs to generate a profit, something which only happens through engagement with the public. Most individuals also have a preferred business that they intend to support and see it continue operating for the future. If customers believe a business is working ethically and honestly then loyalty will strengthen and business is likely to improve.
Implementing a transparent and ethical approach to data is vital in building loyalty. A business should continue to inform and communicate with clients whenever data is being collected. Instead of just informing someone that their data is being used, a business should explain why it is being used and how it will positively improve the customer experience.
Safety and security is a top priority
Businesses need to ensure that customer data and information remains private and secure from any unexpected data breaches. The potential impact of cyberattacks can reduce trust in business competence. If in the unfortunate scenario that a business does experience a security issue then the business should actively engage with all members affected. This should include details on the protective measures in place to eliminate the chances of this happening again.
Providing transparency on business processes will strengthen your credibility. Displaying how data is used to improve customer expectations provides clarity to the consumer.
Businesses need to consider all of the regulations and applicable laws that apply to each region where they have customers or prospects. With rising pressure to manage data privacy, many businesses are implementing a ‘privacy by design’ framework and integrating additional ethical values into any process involving data. This pre-planned approach towards data ethics is far more effective than trying to integrate or update plans at a later stage.
One of the most important factors to consider in terms of data ethics is ensuring the subject is clearly in the minds of business leaders and executives. Once a business leader understands the principles and benefits of implementing these techniques with big data, then rolling out the processes across the wider business will become more effective.