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Study: Companies Need to Better Educate Privacy-Wary Consumers

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Study: Companies Need to Better Educate Privacy-Wary Consumers

January 20, 2016

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By Laura Stotler,
TMCnet Contributing Editor
 


A very important component of engaging customers and maintaining their satisfaction is earning their trust. Unfortunately, it appears that a growing number of consumers are distrustful and suspicious when it comes to their data and how it is being used by companies throughout the world.


New research commissioned by Verint (News - Alert) Systems, a company specializing in workforce optimization as well as customer engagement and management, found that nearly half of consumers are suspicious about how their data is being used. Verint conducted a poll through research firms Ovum (News - Alert) and Opinium and surveyed 18,000 consumers in nine countries. It found 48 percent of those queried disclosed being suspicious about how their data was being used by businesses, with an additional one in five consumers admitting distrust of all businesses when it comes to keeping their information safe.

The findings point to a glaring problem in terms of customer relationship management and engagement. That sentiment was certainly echoed at last week’s FTC (News - Alert) PrivacyCon event, which revealed there’s plenty of confusion when it comes to consumers’ perceptions and understanding of privacy and data protection.

“Recent high-profile, data-related business cases have shed new light on the importance consumers attach to data protection,” said Nick Nonini, managing director, EMEA, Verint Enterprise Intelligence Solutions. “In today’s environments, organizations need to focus on laying foundations for customer relationships that are based on trust. This comes down to getting the basics right, leveraging technology and analytics to better understand what is really on the minds of customers, and then working to help ensure the right resources are in place to address evolving needs, issues and requirements.”

Verint is helping companies with this endeavor, and is offering guidance via the company’s New Rules of Customer Engagement. Created in tandem with its privacy research, the rules are designed to help businesses ensure transparency over the use of customer data as well as to build trust and confidence when dealing with anxious or suspicious customers.

Ultimately, companies around the globe have their work cut out for them when it comes to assuring their customers about data privacy and security. That assurance is a key component of customer engagement and satisfaction as well as an integral part of the overall workforce optimization and management process.

 
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