Majority of APAC Consumers More Willing to Engage with Brands That Collect Data Directly

“The combination of skepticism towards third-party data and the willingness to share data with trusted brands is fueling new opportunities and forging the pathway to a healthy and sustainable data-sharing ecosystem across the region.”

Majority of APAC Consumers More Willing to Engage with Brands That Collect Data Directly

“The combination of skepticism towards third-party data and the willingness to share data with trusted brands is fueling new opportunities and forging the pathway to a healthy and sustainable data-sharing ecosystem across the region.”

According to new research, 64% of APAC respondents in a survey are more willing to engage with brands that collect data directly, while remaining cautious of third-party data.

This according to Twilio’s Consumer Data Revolution in Asia Pacific, which showcases how consumers embrace personalized experiences while prioritizing data privacy, highlighting the importance of trust, transparency, and education in building a sustainable data-sharing ecosystem.

The report, which includes findings from a total of 1,500 consumers in APAC across Australia, Hong Kong, Indonesia, Japan, the Philippines, and Singapore, explores consumer preferences, attitudes, and expectations around data sharing amid the sunsetting of third-party cookies, and highlights opportunities for brands to strengthen consumer trust.


 

“Today, consumers expect brands to protect their data and be upfront about how their data is being used,” said Nicholas Kontopoulos, Vice President of Marketing, Asia Pacific & Japan.

“The combination of skepticism towards third-party data and the willingness to share data with trusted brands is fueling new opportunities and forging the pathway to a healthy and sustainable data-sharing ecosystem across the region.”

APAC Consumers: Informed and Open to Data Sharing for Personalisation; Cautious of Third-Party Data

According to the findings, in a landscape where practically all businesses and organizations leverage consumer data at various levels, the study found that 50% of the respondents in the APAC region have some understanding of how their data is used, adding that the research also uncovers a correlation between comfort levels in sharing personal data and knowledge about how organizations utilize this data.


 

65% acknowledge that personal data usage enhances their interaction with brand websites, while over half (57%) are comfortable or indifferent to social media platforms sharing their personal data with other brands or businesses.

“72% of respondents believe consumers should avoid websites that collect cookies, indicating caution towards cookie practices.”

To elevate trust, 60% of respondents said they expect clear and comprehensible information about data usage, emphasizing the importance of transparency in building consumer confidence.

The survey also suggests that education is key to strengthening trust. Among respondents in APAC who are unsure of how their data is being used by businesses, only 15% were comfortable with all their data being shared with another brand, the report said.

This figure more than doubled to 34% among those who were generally aware of how their data is being used, rising to 46% for those who had full knowledge of how organizations use their data.

Striking a Balance: Consumer Scepticism and Usage of Cookies

According to the findings, 76% of respondents either accept all cookies or allow selected cookies, reflecting a willingness to engage in data sharing.

“This widespread acceptance appears to be mainly due to pragmatism, not ignorance, however,” said the report, adding that “Most survey respondents understand that cookies are widely used to provide personalised experiences on a website or app. But they also say they would prefer that they are not used.”

72% of respondents believe consumers should avoid websites that collect cookies, indicating caution towards cookie practices. An overwhelming 90% agree that site owners must disclose their use of cookies and provide the option to opt out, or risk losing consumer trust. These findings underscore the need for brands to balance personalised experiences and consumer privacy, maintaining trust while offering tailored engagements.

Source: Twilio

Cyberattacks, Transparency, and Brand Loyalty

Following a data breach, 23% of respondents would still continue to share personal data with their favourite brand, while 42% would be less keen.

However, 64% would be more willing to share personal data if the brand is transparent about the breach and takes necessary steps to address the situation. These insights emphasise the critical role of clear communication and prompt action in mitigating cyberattack damages, highlighting the importance of trust and transparency in today’s digital environment.

Zero-Party Data: A Mutual Benefit for Brands and Consumers

As third-party cookies phase out, consumers have higher data privacy expectations, said the report.

Regionally, 72% believe in avoiding websites that collect cookies, reflecting an aversion to third-party data collection. The study also reveals that 64% of respondents would be more inclined to engage with brands if they obtain data directly from consumers. Additionally, 42% find personalized ads useful and are comfortable receiving such advertisements, while 52% state that personalised ads offer more options after making a purchase.


The Consumer Data Revolution in Asia Pacific report can be downloaded here.

Image: Lucrezia Carnelos

 

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