Trust in the Digital Age
Who can blame them? Technology’s become such an important part of our lives that it’s hard to escape from it, whether we’re hard at work or relaxing at home.
It’s not just users who have to stay on top of data privacy news, though. In addition to coming up with solutions that users love, businesses need to make sure that they keep their users’ data safe and comply with regulations. Even a single privacy violation could ruin a brand’s reputation in the blink of an eye.
While this could happen by accident, it’s far worse if a company misuses user data on purpose.
Facebook is a perfect example of this, misusing user data several times in the past year. One incident caught them sharing user data to business partners without express consent. As a result, Facebook lost a million of its European users in three months. To make matters worse, the company experienced its biggest intraday drop in stock by the end of 2018.
The Value of Data—and User Trust
If there’s anything we can learn from the Facebook fiasco, it’s that people care more about their data than we’d like to think. In fact, 79 percent of users choose to leave a company if it uses their personal data behind their backs. When shopping around for options, 9 out of 10 users take good data security into account.
It’s no longer enough for businesses to offer a value-packed service or product. Now, companies also have to make proper handling of user data a top priority.
But users also want assurance that a brand has their best interests at heart. And to assure consumers, businesses will have to work on gaining their trust. After all, users are more willing to share sensitive data with trusted brands.
Building User Trust
User trust isn’t easy to gain, but it isn’t impossible to achieve, either.
Businesses can start building user trust by implementing security measures. This could mean investing in cybersecurity software or hiring a dedicated IT team. It’s also best to invest in educating employees on the best cybersecurity practices.
Businesses also have to put in the effort of keeping users engaged with what’s happening to their data. If they have to tweak policies to address new security issues, they have to let their users know. This transparency will keep users from assuming that companies are taking advantage of them.
Today’s businesses definitely know the value of their users’ data. But if they fail to see the value in their users’ trust, they might end up losing their user base altogether. As a business owner, make sure to do everything you can to keep users loyalty to your brand. It’s incredibly difficult to build trust with users from the ground up. Once it’s broken, it’s even harder to get it back.
About the Author:
Timen Baart is an entrepreneur that has founded three startups and sold one. At Denkfabrik Digital (DDX), he focuses on helping businesses understand the value of trust and how they can build their company for and around trust.