According to a report by ZDNet, 73% of the US population is more concerned about their online privacy than they were a few years ago while a similar report by Deloitte establishes that 4 out of 5 people running businesses anywhere in the European Union are having privacy concerns.Clearly, with the protrusion of the data, placing of power in wrong hands or misappropriation of data utilization is certainly not an option. Hence, a decoupled data regulation & customer experience (CX) framework is something unsought of. Governments across the globe have set new standards for the use of customer data. The most important data protection regulations across the globe include General Data Protection Regulation (GDPR) in the European Union & the California Customer Privacy Act (CCPA) & Brazilian General Data Protection Law (LGPD). The perils of not coupling data regulation & customer experience can show up in the form of loss of transparency in the processing of customer data & loss of control of customers’ data. Customers need to define their own experiences to build trust & missing on coupling data regulation & customer experience can have the following adverse repercussions:
1. Personalization & Transparency will be Adversely Affected:Improper or no use of customer data means that customers would be deprived of hyper-personalized experiences & would face difficulty with the selection of a particular product or service as enough information isn’t available about customer preferences. Not processing customer data properly may adversely impact transparency & would inspire enough trust in customers to make a buying decision. This may adversely affect branding. Without enough details about customer preferences, styles to speak to them, marketers would be able to speak to customers as individuals to scale-up personalization or customer experiences (CX).
2. Failing to Comply with the Data Protection Regulations Results in Hefty Fines:A dissociated data regulation & customer experience (CX) architecture can often resonate with the failure to comply with the data protection norms. Failure to comply with GDPR may lead to a fine to up to €20 million, or up to 4% of the annual worldwide turnover of the preceding financial year, whichever is greater. The maximum fine imposed for the violation of CCPA can be $7,500 which applies to the intentional violations of the law. Read more on How CCPA will Impact your Business & Privacy Operations Whether it be “explicit consent” requirement of GDPR or the “right to opt-out” clause under CCPA, the underlying regulatory trend empowers customers with the right to sign up for & engage with the brands in specific ways they prefer. A decoupled data regulation & customer experience framework can be subject to all sorts of speculations for violation of international data protection regulations. This not only adversely impacts omnichannel reputation management endeavors but will also derogate the element of trust between brands & prospects.
3. No Predictive Insights Can be Traced With Customer Data:A coupled data regulation & customer experience framework means that marketers wouldn’t be able to create a centralized & intuitive portal for enabling the customers to manage their won data. When customers have a say over the collection, processing & transfer of their personal data for business purposes this inspires trust by sending the implicit message that brands prioritize customers’ experiences and take it as seriously as the customers themselves. Thus, trust & control over data optimizes customers’ experiences. Also, having a centralized platform for collection & processing of personal data of the customers, allows marketers to better understand their customers. This becomes possible when the vital data points such as demographic, firmographic, technographic, psychographic, cookie-data, fit-data & the past browsing histories & the purchase habits of the prospects are inspected in the light of first & third-party intent data to deliver hyper-personalized experiences to the prospects & adopt an integrated strategy to boost the predictive marketing strategies, to scale-up the sales conversions. Read more on 10 Powerful B2B Marketing Strategies to Optimize Sales Conversions
4. Data-Driven Decision Making to Boost Customer Experiences (CX) Wouldn’t be possible:Businesses across the globe have become data-driven & data-driven spectrum extends to the spectrum of customer experiences & relationships to aid to its kaleidoscopic view. A decupled data regulation & customer experience framework means ignoring customers’ needs & falling short of enough insights to deliver the level of hyper-tailored experiences as desired by the customers. Read more on How Customer Experience Management (CXM) will become Smarter in 2020 Wrapping Things Up Having a coupled data regulation & customer experience framework is essential for B2B organizations as it positively impacts customers’ opinions of branding. With a positive brand, resonance comes improved customer retention, increased aftersales revenue & an increase in the overall sales revenue for the brands. Contravening the data regulation & customer experience framework may disrupt the trust between your brand & customers established over years within a few seconds. So be mindful to couple your data regulation & customer experience framework in a way that doesn’t automate customers’ bad data. Remember, customer data management is crucial to inspire trust in B2B business relationships. Valasys Media leverages data-driven insights to help its B2B clients hyper-personalize their CX-indexes. Our tailored services such as lead generation services, appointment setting services, business intelligence services, content syndication services & account-based marketing services keep you on the forefront to deliver exemplary customer experiences (CX).