Permission: time to pledge to get your data right

Some descriptionWith low consumer trust over data usage and the demands of GDPR, we’ve launched a new campaign, Data Right, to urge our members to lead the way in responsible management of customer data. Whilst for many, robust data collection and management is simply business as usual, recent CIM studies show that poor practice remains a huge concern. In London, 41% of consumers receive marketing materials which they consider irrelevant.

A matter of trust

Our ‘Whose data is it anyway?’ study revealed that 92% of consumers don’t fully understand where and how marketers, brands and organisations use their personal information and data. More than half of all consumers (57%) don’t trust an organisation to use their data responsibly – the biggest issue being that their information may be passed on to others without consent (40%). So, are brands doing enough to follow correct data marketing practices and reassure consumers?

Of all data capture options, consumers nationally feel most uncomfortable sharing their real-time location (71%), information from social media platforms (68%) and their personal phone number (62%). This presents a disparity between what we in the marketing profession and consumers believe to be acceptable forms of data capture, since 44% of marketers collect personal data from social media platforms and 20% from geo-location tracking.

New data protection laws

The General Data Protection Regulation (GDPR), applies in the UK from 25 May 2018. The government has confirmed that the UK’s decision to leave the EU will not affect the commencement of the GDPR. GDPR is a legal requirement and every organisation that processes the personal data of EU citizens will need to comply. So, brands will need to be GDPR-ready.

Lend your support to get Data Right

At CIM, we’re committed to working with organisations to ensure best data practice is embedded, standards raised and customer trust rebuilt. Our new campaign entitled Data Right calls on all businesses to be more responsible with the way they manage data, in order to improve the relationship between businesses and customers. This is an opportune moment to audit your own organisation’s practices, and provide a positive example for partners, suppliers and clients to follow. 

Pledge to do four things

  1. Be clear – tell consumers how you will use their data 
  2. Show the benefits – explain to consumers the many positive benefits of data collection
  3. Show respect – make sure trust, honesty and transparency are at the heart of the relationship between your business and your customers
  4. Be in the know – continually familiarise yourself with the dos and don’ts of data rights, the law, including new GDPR legislation and best practice 

Why it matters

Some descriptionJenna Tiffany, Communications Ambassador for CIM’s Greater London Region and the Founder and Strategy Director at Let’sTalk Strategy explains:

“These insightful results from CIM should serve as a wakeup call to all London marketers. It is alarming to discover that 38% of people in London doubt where brands obtain their contact details. We can all do better to instil trust and respect in how we use consumer’s data.

All marketers have a duty to respect consumers’ data. When a consumer provides their email address or telephone number, they are trusting us as marketing professionals to not abuse it. This research clearly highlights that if we continue to abuse data, consumers’ trust will diminish entirely. The GDPR is a step in the right direction towards reinforcing rules for the use of consumer’s data. As best practise, every marketer in London should look to ensure their organisation is compliant today, and not wait until 25th May 2018 when the GDPR comes into effect.”

Consumer trust by sector

Whilst the argument to raise data standards is compelling, the research into levels of trust reveals that practices vary widely by sector. The study shows financial services, healthcare and pharmaceuticals and professional services are the most trusted, whilst fast moving consumer goods gained the lowest trust rating.

Responsible data management ranking by industry:

Rank Sector Consumer trust
1 Banking/ financial services/ insurance 34%
2 Healthcare and pharmaceuticals 25%
3 Professional and business services 16%
4 Not for profit/ public sector/ education (including charities) 14%
5 Travel/ hotels/ leisure 8%
6 Technology 6%
7 Energy/ petrochem/ mining/ utilities 6%
8 Retail 5%
9 Agriculture/ forestry/ fishing 5%
10 Telecoms 5%
11 Manufacturing/ construction/ engineering 4%
12 Automotive 3%
13 Fashion/clothing 3%
14 Marketing services (including agencies and research) 2%
15 Media (including publishing) 2%
16 Fast-moving consumer goods 1%

Consumer attitudes in London

Whilst people surveyed in the London region receive plenty of marketing communications, much of it is seen as irrelevant. Of those who receive promotional materials, 67% receive marketing about a hobby or interest they don’t have and 31% receive promotions for offers in areas they neither live in nor visit.

More concerning is that over a third of people (38%) receiving promotional material in London believe the majority of these organisations obtained their contact details without their consent. Nationally the picture is even worse at 55%.

  • 47% receive social media marketing more than once a day
  • 30% receive promotional calls more than once a week
  • 41% of people say the marketing materials they receive are irrelevant to them 
  • 67% are targeted with marketing for a hobby or interest they don’t have
  • 31% received marketing for a location they neither live in nor visit
  • Over a third (38%) believe organisations obtained their details without their consent

See more in the ‘Whose data is it anyway?’ report