Crossing the line

Crossing the line

Staying on the right side of consumer privacy.

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Companies know more about their consumers than ever before

The digital economy has allowed organizations to collect more information about their customers than ever before. Consumers benefit from this closeness by receiving an easier, better, and more customized experience.

But while consumers understand their data is being collected and the organizations they deal with on a daily basis are potentially using it in a number of unknown ways, indiscriminate personal data collection risks alienating consumers and 'creeping them out'.

KPMG asked almost 7,000 consumers in 24 countries a series of questions to understand in what circumstances they felt comfortable or uneasy about the use of their personal data – to understand what is considered ‘crossing the line’.

A guide for organizations to understand consumer sensitivities

Understanding consumers’ sensitivities around the use of their personal data is central to establishing and maintaining trust between consumer and company:

  • Less than 20 percent were happy to disclose information on their online search history, income, location, address or medical records.
  • 55 percent of people said they had decided against buying something online due to privacy concerns.
  • Respondents in most countries say control over privacy is more important than convenience.
  • In all markets but one, at least 75 percent of respondents said they were uneasy with their online shopping data being sold to third parties.
  • Over two-thirds of people are not comfortable with smart phone and tablet apps using their personal data.
  • Half of survey respondents already delete their internet browser cookies or manage their social media privacy settings.
  • Almost one-third use incognito or ‘do not track’ modes when browsing the web.
  • 25 percent use encryption to protect their personal data.
  • Almost half would accept free or cheaper products in exchange for less privacy.

Adapt to survive

Understanding consumers’ sensitivities around the use of their personal data is central to establishing and maintaining trust between consumer and company.

For companies seeking to use consumer data to personalize their marketing and services to the individual, build brand loyalty and develop better products, it is important they understand that although opinions on privacy vary around the globe, it is clear that, more than anything, consumers value privacy over convenience.

© 2017 KPMG, a group of Bermuda limited liability companies which are member firms of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

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