Lessons from offline retail: Privacy

by Nigel Fenwick

OK, I admit it! I hate going into Radio Shack and buying something only to be faced with the sales assistant asking me for my address. I find this intrusive. They don't ask if I would like to be added to their mailing list. This is a question that could be answered with a simple "no thank you". The question always seems to be presented as if having your address is a pre-requisite to buying something at the store. I always have to refuse. I usually respond with a simple  "no thank you". I'm sure there must be other people who refuse to shop at the store because they find this kind of questioning intrusive.

Many shoppers are fiercely protective when it comes to giving retailers their personal information.

Imagine the reaction if retailers started asking customers for their names and addresses as they enter the store! I'm sure retailers like WalMart would love to be able to capture that information. However, they don't ask because to do so would be intrusive and deter people from coming into the store. 

So why do so many eRetailers insist on asking shoppers to "sign-in" before they can browse the store? Perhaps they believe Internet shoppers lack the same concern over intrusive questioning as the offline population.

Typically, people don't want to part with personal information unless they can get something of perceived value in return. Offline retailers have started to recognize this fact. Many supermarkets are now offering frequent shopper programs or points rewards systems to registered customers.

These examples show that customers are more than willing to share personal information with retailers in return for lower cost shopping through special offers and promotions. Supermarkets are effectively buying shopper's personal data. Customers can see their data has a perceived value in the savings they make on their weekly shopping.

By following the example from offline retail, eRetailers can combat concerns over data privacy by demonstrating to customers that they receive value by sharing their personal information.

Can you keep a secret? eRetail Association Privacy Recommendations

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