Data privacy fears 'scupper plans for personalisation'

UK marketers are increasingly grappling with how to balance personalisation and privacy, amid fears brands simply do not have the right consents in place to get up close and personal to their customers.

That is one of the key findings of the latest Braze Customer Engagement Review – now in its fifth year – which reveals that 45% of UK marketers are worried about using personal data without consumer consent, with regulatory and compliance issues (39%) and internal team concerns (38%) also cited as major hurdles.

The report combines data from the Braze platform with the results of a global survey developed in partnership with Wakefield Research, surveying 2,300 senior marketing executives in 18 countries.

This research shows that industry leaders are unable to decipher what is and isn’t ethical use of customer data.

Google’s introduction of technology such as fingerprinting and IP address collection, for example, are methods that enable brands to better target consumers. However, some argue this is a blow to privacy, making it harder for users to control what data is collected about them.

With the rush to adopt AI tools within marketing teams, the study reveals that more than a third (37%) are using AI-informed data collection tools to identify patterns and combinations in data sets to help with personalisation. Marketers play a crucial role in fostering consumer trust through transparency of how data is being collected and used, and the consumer benefits.

Customer retention is yet again the priority for marketers this year, with nine out of ten (92%) allocating between up to 75% of marketing budgets to this effort, a similar figure to 2024.

However, marketers also admit they are finding it challenging to connect with consumers to achieve this goal. With 95% struggling to craft emotionally resonant messaging to forge those connections, UK marketers are the most concerned in Europe.

To address this, the top tactics being deployed include using humour, pop culture, and social causes to connect emotionally (38%), AI-driven tone adjustments for each recipient (37%), and personalised messaging based on customer data and channel preferences (36%).

This is where the collection of first-party data and consumer consent to its use can help brands maximise the information they collect to create more intentional customer engagement, the study maintains.

Tactics for emotional resonance across industries also vary. Media and entertainment brands leverage community-focused initiatives to encourage a sense of belonging (40%) through tactics such as regionally most watched programs, and watch-party mode. Health and wellness and financial services apps capitalise on time-sensitive features such as using countdown timers and send-time optimisation (41%) to connect with their customers.

Braze SVP of customer success James Manderson said: “While marketers are increasingly leveraging AI, they face a dilemma. Consumers want unique personalised experiences, but it’s clear from the research that marketers are concerned about misusing personal data without consent.

“The key to success lies in balancing personalisation with transparency. While customers desire relevant and emotionally resonant experiences, they also expect control over their data.

“By prioritising first-party data strategies and leveraging AI transparently to show customer benefit, brands can foster deeper trust and long-term connections. Marketers can also play a crucial role in fostering consumer trust and confidence by being clear about how data is collected and used, as well as how it will ultimately benefit the consumer.”

Be the first to comment on "Data privacy fears ‘scupper plans for personalisation’"

Leave a comment Cancel reply