Trust the tracking: 3 strategies for getting customer buy-in

These days, customers are incredibly skeptical of how companies handle their personal information. A recent study found that 83% of consumers are aware of recent data breaches with major retailers. Since consumer awareness of hacking is so high, there’s a palpable fear that someone could use personal information to do harm.

Even though the customer-tracking field uses anonymity measures to avoid personal information being shared, 69% of consumers are worried about getting unwanted, invasive product information. Most consumers don’t want software programs analyzing their demographics, social media postings, online search history, and emails to recommend products.

In short, they don’t want to feel like they’re being stalked.

One of the major reasons customers do not want to be tracked is because companies haven’t been transparent about how they use personal information. And who can blame them when companies such as RadioShack are trying to sell customers’ personal data.

Yet tracking can be highly valuable in terms of creating better customer service and incorporating better marketing decisions. That’s why transparency is a key element to making your customers understand that their data is protected as you track their activity.

How tracking works

The most common tracking method is a store’s mobile app. When a customer with the app enters your store, you can track movements and send notifications based on his or her location. For example, you can deliver push notifications alerting customers to coupons and promotions related to the departments they are near.

Companies also provide free Wi-Fi to customers to track store location and browsing history. Although there are other tracking methods that don’t require a customer to opt in — such as video tracking and virtual beacons, for example — the typical tracking practices all require customer interaction.

When you provide privacy policies and transparency to your customers, you’ll be able to put them at ease about your tracking methods. Here are three strategies that will help you disclose tracking and allow customers to understand its benefits:

1. Offer loyalty-based promotions

Customers already provide their personal information to get discounts through store loyalty programs. When you offer promotions to customers who allow you to track them, you’ll be able to explain the process and give something back in return.

When your employees hand out information about the loyalty program, they can provide leaflets or QR codes with a link that explains how the data is handled. When you explain how secure your database is, customers will be more willing to let you track their activity.

2. Provide personal treatment

Customers love personalized treatment because it makes them feel like VIPs. Try offering a customized service and more personal treatment in return for consent to track. When customers see that they’re getting an enhanced shopping experience, they’re more likely to opt in.

For example, you can add features to your mobile app that offer customers better deals. One way to do this is to set up the app so that customers who visit a certain department more than once in a visit will get unique deals based on their browsing history. Coupons based on pages a customer has visited deliver both an incentive to opt in and proof of the benefits of tracking.

3. Dispense wi-fi wisdom

When customers want to save some data on their phone plans, they’re going to connect to your store’s Wi-Fi network. Have the network set up to display a landing page with information about tracking technology. If customers can see how much tracking improves the shopping experience, they might even use the Wi-Fi connection to download your company’s app.

Customers have some trust issues with personal data and tracking, but you can earn their loyalty by telling it like it is. Being transparent about the anonymity of tracking will educate your customers and improve your bottom line.

How do you plan on explaining the safety and benefits of tracking to your customers?