• Industry: Media, Telecommunications
  • Type: Survey report
  • Date: 12/5/2011

Companies are using ‘Privacy Walls’ to collect valuable customer data 

privacy walls
Consumers seem to be increasingly comfortable with being tracked online, but are also concerned about the security of their personal data. The answer may be privacy walls.

“Those companies that can accurately track and manage their customer information are increasingly looking to monetize their data assets by selling their findings to others”

Tudor Aw, KPMG’s Head of Technology for Europe

Your data may be your business’ most valuable asset. For some, access to rich customer data offers opportunities to revitalize their brands and redefine their go-to-market strategies. But for others, customer data represents a new revenue stream; an untapped asset that can be packaged and sold to the highest bidders.

And with almost two thirds of consumers saying they are now willing to have their online usage tracked by advertisers, there is clearly a new business model emerging for not only advertisers, but any organization with access to large amounts of customer data.

But gaining access to – or ‘owning’ – customer data is not always straightforward. One approach that is gaining traction in the market is to develop a ‘Privacy Wall’ that requires users to register (often for free) in order to access content or services.

In effect, this allows companies to collect a wealth of valuable customer information and preferences.  And by tying their data into online tracking, business intelligence and audience segmentation, many companies are already finding that they can use their analysis to not only drive new revenue, but also to tailor their services to individual customers.

“Companies following this strategy must be sure that the content provided behind these ‘Privacy Walls’ is compelling,” noted said Sanjaya Krishna, Digital Services leader at KPMG in the US. “Otherwise, consumers will quickly feel they are being exploited for their personal data.”


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