The new General Data Protection Regulations (GDPR) have led most companies to review not only their marketing consents and processes, but, based not least on the veritable explosion of requests in my email inbox just before, on and indeed after, May 25th 2018, to more fundamentally consider the state and value of data as an asset.
This is the real positive of the regulation in my opinion. I wonder if it may, in time, lead to a balance sheet thought around data equity in the same way as ‘Brand Equity’ was considered in the 90s as something that had a tangible and quantifiable GBP value.
The challenge facing marketers post GDPR strikes me as being initially straightforward, but time will tell if the impact of the changes makes this more complex.
In my view the single view of a customer (SCV) is becoming paramount in ensuring the valuable asset that is personal data, works for the benefit of the business concerned post GDPR, and does not adversely jar with customers. It is trying to create the dreaded ‘win win’ scenario in a landscape where the value paradigm has shifted significantly, and that is never an easy balance to strike.
In my view the twin and very simple benefits of a SCV of customers are:
– the customer enjoys a consistent experience with the company concerned that they attach a value to, and
– a ‘knowing’ personalisation level is possible and can be expressed in communication which the business can attach a value to (relating to relationship or sales and so on). The key word here for me is knowing.
The SCV should demonstrate the company knows the customer in a positive and unobtrusive manner. GDPR empowers the customer to manage their relationships more proactively and transparently. The value of an individual’s data to any company is more visible and obvious post regulation to the customer. For some the value of their data may be surprise, but the volume of email and white mail will have fuelled that understanding (or at least awareness) in a way that if not acknowledged is a risk for business success.
The emails, direct mail, calls and texts we have all received have created a long-term impact in changing the dynamic of the relationship, the paradigm shift is that SCV should now be read as Single Company View not single customer view: The dominant partner is now the more educated customer or prospect, one who will recognise on some level the value of their personal data.
To not recognise this shift is a high risk strategy for any data led business. Customers are choosing to ‘freely’ interact with a company and this choice can be reversed easily and quickly if the company forgets the customer is dealing with a single company in that moment. If the SCV acronym we know and love as marketers is to stand, it must recognise the power shift to customers and be read as both single customer and single company view.
My thoughts on some post GDPR imperatives are below:
Seek to acknowledge the value of data
reassure the customer or prospect by dint of action, value offered and by not overusing the data. Thinking of the data as fragile and easily damaged is more likely to be a winning formula.
Make sure the personalisation is appropriate
a fine balance to strike and however good the marketing asset the best way to monitor this is likely to be opt out rates within the campaign decay curve and customer feedback. Thinking of the data as an asset to be retained for longer term value becomes more important, cherish it!
Make sure the personalisation has a test (and then test some more)
and use a control cell, this will give a quicker read on the level of personalisation that resonates and will protect the single view of the company by the customer (but make sure it is statistically significant).
Make the content rich and relevant and balance sales to service
Post GDPR service contacts can be an opportunity to drive marketing consent, but be careful, it is possible to damage consent levels if legitimate interest is abused for the sake of a quick sale. Remembering the customer may not have freely volunteered marketing consent for a reason …making the service contacts valuable may reverse that.
Remember the data has a value and that can be eroded
This mind-set change here is as important as thinking SCV is a single view of the company (in the moment) for the customer or prospect. Thinking of data like this should ensure the business considers its actions more deeply post GDPR and not lose long-term value by short termism. Remember a chipped china cup might still function but it’s value is much less than the perfect version.
These thoughts are my own, and I would love to know yours, if you get chance send me a comment or two and thanks for reading.
01 June 2018
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