Customer Experience x Data Privacy — a symbiotic relationship
How can Customer Experience (CX) professionals navigate the delicate balance between creating outstanding experiences and respecting privacy? This article explores this crucial challenge, offering practical tips for building trust through transparency and data control.
With great power comes great (data) responsibility
Picture this: You’ve just delivered an outstanding experience to a new customer and you’re eager to follow up. Perhaps you’re considering sending personalised promotions, requesting feedback or engaging them through WhatsApp. It seems like standard practice in CX or marketing. After all, a seamless and personalised customer experience that is relevant can make or break your business.
Not so fast … your data privacy officer (DPO) might break into a cold sweat at the mere thought!
The Kenyan Data Protection Act emphasises the importance of data privacy, making it essential for brands to find the delicate balance between leveraging data to enhance CX and safeguarding trust.
To Personalise or Not to Personalise
Personalisation hinges on data. Understanding customer preferences, behaviours and needs is paramount to delivering experiences that set your brand apart.
However, the line between personalised and intrusive can be dangerously thin.
Consider McDonald’s UAE, which sent a thoughtful note and a free meal to a customer who ordered from a hospital. While this might seem like a great example of personalisation, it raises eyebrows on privacy boundaries.
Closer to home both the Office of Data Protection Commissioner and the Communications Authority of Kenya are reporting increased confidentiality and privacy complaints (click on the links to read more about these complaints). This trend underscores the growing concern among Kenyan consumers about how their data is being used.
The CX practitioner’s role in building trust through clarity and transparency
Clarity and transparency are crucial as consumers become more conscious of their data privacy rights. Here are a few practical steps to help you build trust while complying with data regulations (let your DPO and technical teams worry about the implementation details):
1. Be transparent about data collection
- Be upfront with customers about what data you’re collecting and why. An example of this could be displaying clear, jargon-free privacy notices on your website and app.
- Obtain consent or other legal basis for processing their data.
- Disclose the use of AI in automated decision-making, such as credit scoring, to your customers.
2. Be honest about retention and data sharing
- Let your customers know how long you will keep their data.
- Inform them if you’re sharing their data with any third parties and why.
- An example of this could be to include a simple infographic explaining your data lifecycle and sharing practices within your privacy notice.
3. Offer control
- Limit the amount of personal data you collect.
- Empower your customers with control over how they opt in or out of services and data usage.
- Allow customers to request copies of their data, make updates, or even delete their information. This empowers your customers and helps reinforce trust in your brand.
4. Demonstrate data security
- Data breaches can erode trust quickly. Continuously reassure customers that their data is protected with strong security protocols.
- If customers trust your brand to safeguard their information, they’ll be more likely to share their data, creating opportunities for personalisation.
CX and Privacy: A symbiotic relationship
It’s easy to think of data privacy and customer experience as opposing forces, but they don’t have to be. They work best when they support each other. Here’s how you can turn this challenge into an opportunity:
- Collaborate with your DPO: Have a regular coffee with your DPO and talk about how your brand can create experiences that are both personalised and privacy-compliant.
- Educate your team: Ensure your CX team understands the importance of data privacy and how to handle customer data responsibly. Ensure data privacy and reputation management are agenda items in your CX huddles and a component of your CX strategy.
- Use privacy to differentiate your brand: Communicate your commitment to data privacy as a key brand value.
- Continuously improve: Regularly review and update your data practices based on customer feedback and evolving regulations. Do this with your DPO — remember you wear the customer’s hat while your DPO wears the regulator’s hat!
Now is the time to re-imagine CX — not just as an avenue for personalisation, but as a pathway to to create privacy-conscious experiences that elevate your brand and build enduring relationships. Remember, trust is valuable … protect it wisely.
Disclaimer: This article provides practical tips to help you navigate the tricky waters of data privacy. But remember, we’re not your legal lifeguards! For a deep dive, consult your trusted legal counsel before making any waves.
We’d love to hear your thoughts! What other practical tips do you have for balancing CX and data privacy? Share in the comments below.
