How to Use Retail Customer Data to Build Trust

Customer data if used correctly can be great tools for companies to build customer loyalty. However, if wrong in use, it will risk losing customers. Recent research from Transactis, which conducted the survey of 1,000 UK consumers, found that 95% of them will not do business with a company again if their personal data is used irresponsibly or abusing their trust.

However, the study also found that 83% of respondents were more likely to continue to buy from a company, not a competitor, if their personal information is used responsibly and use it to provide good service.

These results confirmed that the error in the handling of customer data can undermine customer trust towards the brand but use information wisely will further strengthen the relationship.

Tracing the customer journey

The initial step is to gain the trust of customers really understand individual consumers like you are in a relationship, which means making sure that you have the correct data.

This is so that the company can effectively communicate with customers and offer products and services that are right for them, the company should be able to build an accurate profile of each individual. That means understanding their behavior patterns - and the best way to do this is to look at what, where, when and how they buy.

Organizing Data

Build relationships with customers requires the company to talk to customers with one voice and have a complete picture of their involvement with the brand.

This requires the integration of information gathered from all channels and platforms - Purchase in stores, online, mail orders, web form, service calls, loyalty activity, delivery notes and other sources - into a single database / core.

To build trust, companies must demonstrate the understanding about customer preferences in terms of channel, frequency of communication, and timing. Consumers also expect company to recall the information they had been told. By creating a database of existing SCV in all channels, companies can avoid unnecessary and unwanted, correspondence with customers.

Keep the data

Fundamental way to maintain consumer trust is looking after consumer information submitted.

Failure to securely store data or use it in a way that is not valid is the fastest path to destroy customer confidence.

Using customer data effectively

It takes more than just collect data and store it safely to win the trust of customers. Companies should use data to improve interaction with customers.

Customers have high expectations at this time. Using customer data to tailor communication effectively, supply and services is essential to ensure confidence. Research shows 76 percent of consumers said that if companies use their personal data to improve services and offers they are more likely to remain a loyal customer and not switch to a competitor.