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Sixty-two percent of British online consumers check a company’s data privacy reputation before making a purchase

Capterra UK surveyed over 1000 British consumers to analyse their attitude towards data protection in online shopping

Sharing personal data online isn’t British shoppers’ main concern; it is how companies are using it. According to the latest study by Capterra UK, the UK’s leading software advisory service for British businesses, 63% of British shoppers are confident that their personal information is secure when they provide it to an online company but 44% are concerned about how their data is used. In fact, a total of 62% of British buyers check a company’s data privacy reputation before making an online purchase.

With uncertainty behind GDPR being replaced by the UK Government’s Data Reform Bill, combined with Apple’s new data privacy features and Google phasing out third-party cookies, the reputation of British online brands is being put to the test.

Capterra UK’s report surveyed more than 1000 British shoppers to find out how companies’ online data privacy practices affect customer loyalty. The study reflects the importance for brands to be clear about how they handle buyers’ personal data to gain consumer trust, with 91% of respondents somewhat or strongly agreeing with the statement, “The way a company treats my data reflects how they treat me as a customer”.

Britons check a company’s data privacy reputation before purchasing a product

British shoppers want to know who they are dealing with before proceeding to checkout.  Results from the study found that 62% of the respondents research a company’s data privacy reputation before making an online purchase. When asked how, checking customer reviews about the online brand was the most common way, chosen by 67%.

Data privacy regulations are important to British consumers

The survey results also suggest consumers’ concerns about online companies’ compliance with data protection regulations. As many as 77% of the respondents express the need for regulations to control online companies’ use of their personal data. This is followed by the desire to have regulations around how companies protect their data (70%), and whether companies may sell their data.

Most are happy to share personal data for a better customer experience

Despite speculation surrounding the use of their collected data, 69% of British shoppers agree to share their personal information with a company or brand if it means getting better and more efficient products or services in return, or for personalising products and services (66%).

That said, more than half (55%) are willing to pay extra for a private version of the product or service so they do not have to share their personal data with the online company.

Sukanya Awasthi, Content Analyst for Capterra UK, comments:

“The study indicates that most of the surveyed online shoppers trust the companies using their personal information. It is now the responsibility of the SMEs to live up to that trust and bring more transparency to how they use the personal data they are collecting from the consumers.

Moreover, British shoppers are also comfortable sharing their personal information with the companies if they get better services. Businesses can thus make use of this data to not only improve the customer experience but also ensure the safety and security of that personal information.”