Sunday, February 25, 2024

Survey: Retail ranks low for digital trust from consumers

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Nearly nine-in-10 consumers said they are willing to share their data with organizations, but that does come with some non-negotiable rules.

Fewer than one-in-10 consumers say they trust retailers enough to share their personal information with them, according to a new study.

Thales, a leading global technology and security provider, detailed which sectors have the most digital trust from consumers in its new 2024 Thales Digital Trust Index. In a survey of more than 12,400 consumers, 89% said they are willing to share their data with organizations, but that does come with some non-negotiable rules.

More than four-in-five (87%) expect some level of privacy rights from the companies they interact with online. The biggest expectation is the right to be informed that their personal data is being collected (55%), followed by the right to have their personal data erased (53%). Banking (44%), healthcare (41%) and government services (37%) were the top-three most-trust segments, followed by insurance (24%) and education (18%). Retail and hospitality both came in at 8%, signaling a significant lack of trust from consumers.

“While businesses are subject to international data privacy laws no matter the sector, those further down the rankings have been subjected to fewer directives directly addressing both data security and privacy,” said Danny de Vreeze, VP of identity and access management at Thales. “As more businesses grow their digital presence, there are lessons to be learnt for non-regulated industries too, as consumer preferences are evolving.”

Over a quarter of consumers (29%) said they have abandoned a brand in the past 12 months because it demanded too much personal information. Over a quarter (26%) also abandoned a brand or service because of concerns about how their personal data was being used.

Other privacy rights identified in the Thales report include:

  • 39% expect the right to correct their personal data
  • 33% expect the right to request a copy of their personal data
  • 26% expect the right to move data from one platform to another

“The relationship between trust and user experience is the foundation of successful online interactions,” said de Vreeze. “The imperative is clear: organizations must uphold an unwavering commitment to both data security and user experience to build a future where trust enables digital interactions.”

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