The way we, as consumers, feel about our data being used seems to be evolving. A new report from the Global Data and Marketing Alliance (GDMA) suggests that more than half of consumers believe the exchange of personal data is essential to the smooth running of modern society – which could in part be responsible for the shift. What’s more, the GDMA cites a sizeable 82% of consumers globally as prepared to engage with the data economy in 2022. 29% of these consumers show little to no concern over how their data is used but more than half (53%) are happy to engage on the basis that there is a clear benefit for doing so (perhaps a more likely reason for the shift) [1].
Data monetization is a huge market – expected to reach $278B by 2026 [2]. So, while businesses benefit from this growing monetization opportunity, it’s not unreasonable for consumers to ask what’s in it for them. There are many benefits to consumers partaking in the rapidly growing data economy – the most prominent of which is arguably receiving a tailored service. When businesses have access to your data, they can better tailor what they offer and provide to you based on your needs and desires.
That is essentially the premise behind Bango’s purchase behavior targeting (PBT). The idea that vague metrics such as search history or demographic targeting provide inferred and assumptive data, which is inherently prone to error, and offers minimal benefit to the consumer, but that purchase history provides hard evidence of what a customer wants. PBT results in consumers being offered relevant products or services, often including offers and discounts – both clear benefits to the consumer.
While many of us may prefer to avoid being advertised to altogether, exposure to advertising is unavoidable and is often useful for consumers. When it comes to ads, research shows that 71% of consumers prefer ads tailored to their interests and shopping habits [3]. Purchase behavior targeting is therefore advantageous for both consumers and advertisers!
[1] https://globaldma.com/wp-content/uploads/2022/03/GDMA-Global-Data-Privacy-2022.pdf
[2] https://www.knowledge-sourcing.com/report/data-monetization-market
[3] https://www.adlucent.com/resources/blog/71-of-consumers-prefer-personalized-ads/
