Impact of unavailable Terms & Conditions and Privacy Policy
Another factor that might affect consumer brand confidence is the unavailability of terms & conditions and privacy policy on the social media pages of the brands. Terms & Conditions and Privacy Policies are documents that regulate the relationship between consumers and the company. However, it usually remains invisible to consumers. Moreover, not many consumers make an effort to read and understand these policies. The main reason for this is that these documents are not available in simple language. Moreover, the long length of these documents acts as a detriment too (Tsai et al., 2011).
83% of consumers know about the breaches of personal data available with retailers
59% of consumers say that even a single date breach would impact their likelihood of buying from the same brand negatively
27% of people are also likely to pay a premium for brands that they believe would protect their privavy
While it may seem that consumers do not bother with terms & conditions and privacy policies, research has found that knowing about these is quite crucial for them and also influences their purchase decisions (Tsai et al., 2011). Consumers have a deep awareness of the risks surrounding data security and privacy. 83% of consumers know about the breaches of personal data available with retailers. In fact, 59% of consumers say that even a single data breach would impact their likelihood of buying from the same brand negatively (Narula, 2014). Hence, making the terms & conditions and privacy policies readily available on social media pages is extremely important to maintain brand confidence amongst customers.
In one study, participants provided with salient privacy information considered this information and purchased from brands that provided medium to high levels of privacy (Tsai et al., 2011). Moreover, it was also found that 27% of people are also likely to pay a premium for brands that they believe would protect their privacy information (Narula, 2014).
Providing correct links to terms & conditions and privacy policies on the brand’s social media page would be helpful in boosting sales of a company. Consumers are more likely to buy products from companies where they believe their privacy is respected.
“Providing correct links to terms & conditions and privacy policies on the brand’s social media page would be helpful in boosting sales of a company”
Revizor provides regular monitoring of all social channels to make sure all privacy policies and terms & conditions are displayed correctly and in the correct language. Interlinking with internal systems allows fast implementation of controls and brand managers are contacted to resolve issues as soon as they are found.
For more information about how Revizor can support your business monitor its digital assets – email info@uptitude.co.uk
By Yauheniya Tyler, Psychology BSc.
References:
Narula, A. (2014). Building consumer trust. [online] Deloitte Insights.
Available at: https://www2.deloitte.com/us/en/insights/topics/risk-management/consumer-data-privacy-strategies.html.
Tsai, J.Y., Egelman, S., Cranor, L. and Acquisti, A. (2011). The Effect of Online Privacy