According to research by Gartner, by this year ‘more than 60% of large organisations will have a privacy management program fully integrated into the business.’
Customer demands are increasing, and in order to secure their loyalty, it’s imperative that your organisation make them feel protected.
The digitally-driven world of today requires organisations to think about cybersecurity and privacy transformation in all aspects of the business. These not only protect your brand, but if your customers feel safe, they are more likely to be loyal.
Not too long ago, members of your team were probably a bit fed up of hearing time and time again about the importance of cybersecurity and privacy to the company. But now they’ve come to realise that customers want to feel protected and it is the correct decision for your company and customers alike.
A focus on cybersecurity and privacy practices will help your company stand out from the competition by demonstrating to your customers you give importance to this issue.
Customer Loyalty in Mind
Cybersecurity and privacy practices are not just for your customers – they are also important for your company as a whole. The way you use your customers’ data may be the difference in your organisation’s customer retention levels.
Customers worldwide have an opinion on how their information is used. Large percentages surveyed across Europe say they would prefer that their data be deleted, and those in Canada, Australia and Japan state they are uncomfortable with their data being shared or sold.
In some cases, customers are likely to move on from a company if they feel their data is being overused, which in turn hurts your organisation.
In Forrester’s words, ‘63% of US online adults did not think it was okay for companies to track their activities across multiple devices to send them more-relevant ads.’
The Risks at Hand
It is not only the customers that your organisation should keep in mind. Suppliers are also highly influenced by your company’s use of cybersecurity and data protection.
According to Forrester, just over 25% of security breaches are caused by third-party incidents, resulting in many organisations’ decisions to invest in third-party risk management. These breaches are also why internal security requirements have taken top priority in future strategies.
Breaches in data protection come at a cost. ‘Regulators will penalise you if you don’t protect customer data properly,’ the report says. In fact, the EU GDPR can impose heavy fines on offending companies – either up to 4% of their global revenue or a fine of €20 million, whichever is higher.
Protection laws are spanning the globe, and customers, suppliers and regulators are paying close attention.
Four Key Factors
Although cybersecurity and data protection is serious, it’s not something to fear.
While post-transaction surveys are a good starting point, they only measure sentiment at a given moment. Frequent, short surveys are a better bet, combined with text analytics tools to assess how customers are feeling in online forums or chat groups.
Some loyalty vendors are going further still, with Jakala’s Experience Lab testing responses to offers, creative campaigns, user interfaces and brand messaging. Forrester’s advice is to build a clear picture of customer behaviour if you intend to influence it. Give the customer a voice and analyse how they’re using it, and use the data to build what Forrester calls a ‘baseline metric of emotional loyalty’.
With 15 years of deep technological expertise behind us, redk has the know-how and insight to enhance customer satisfaction while increasing engagement. Talk to us about CRM Transformation, Marketing Automation or any of our services, and learn more about our tangible business outcomes.
