First-Party Data Privacy, Personalization, and Benefits

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As data privacy concerns rise, brands are turning to first-party data to protect customer experience and drive personalization.

For businesses, data comes with stress. While consumers now consistently express a preference for personalized content and services, they are also very suspicious of how companies use their personal data.

A recent report found that only 40% of consumers trust brands to use our data responsibly. Another study found that 94% of consumers believe it is important to control their data, as well as understand how it is used.

This widespread public concern has already resulted in the instantiation of new privacy regulations around the world, with an estimated 75% of the world's population soon to be covered by a GDPR-like ruling.

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Put simply, this problem is not one that brands can afford to ignore.

“Listen” Strategy

In order to adapt to this new environment, a number of companies are developing strategies for collecting and managing their proprietary data. With full access to this information (which is collected from their own customers), any brand has the power to control privacy settings and transparently communicate how this data is used, as well as who can see it.

More than a third of businesses (37%) now exclusively use first-party data to personalize the customer experience, and evidence tells us that's what consumers want. In surveys, a majority said they were ok with personalization – provided brands use their own data which has been acquired voluntarily.

Answers like this make it clear that customers want a seamless, one-to-one relationship with their favorite brands. And that means companies developing a voice AI strategy really need to listen.

When voice AI is fully owned and custom-built for a specific business, it puts that business in control of their customer data. This allows them to define the rules for managing data, operating confidentiality and communication. It also grants full access to valuable data insights that enable businesses to develop an effective product to meet their customers' needs.

When voice AI is outsourced to Big Tech voice assistants, that control is entirely relinquished. This means that data visibility becomes opaque and privacy, transparency, and ultimately brand trustworthiness are left to another company with an entirely different set of goals.

Develop trust and relationships

With the use of voice technology growing exponentially, companies that choose Big Tech voice assistants can expect customers across voice channels to be kept at bay. And without the ability to grow that channel through their own ideas, or any way to dissect pain points, there's a high chance of undetected customer frustration and missed opportunities.

Equally critical, the big tech option leaves brands with no way to control the customer experience when it comes to privacy and how their data is used, stored and...