Singapore Consumers Turn Off Personal Data Tap as Companies Struggle to Deliver the
Experiences They Crave, Accenture Study Finds
Intelligent technologies and services designed to anticipate consumer needs driving growth in new
era of ‘hyper-relevance’, but digital trust remains an issue.
SINGAPORE; December 5, 2017 – Consumers in Singapore are locked in a vicious circle with brands over customer experience, according to new research from Accenture (NYSE: ACN). While 48 percent are frustrated when companies fail to deliver relevant, personalised shopping experiences, 53 percent are concerned about personal data privacy as they subscribe to intelligent services designed to understand and anticipate their needs. Poor personalisation and lack of trust cost organisations in Singapore $19 billion SGD last year, as 45 percent of consumers switched companies. Without deeper customer insight, companies cannot deliver the experiences they crave.
The thirteenth annual Accenture Strategy Global Consumer Pulse Research auged the attitudes and expectations of more than 25,000 consumers around the world, including 357 Singapore consumers, about their appetite for more intuitive, technology-driven brand experiences. As organisations strive to become ‘living businesses’ – companies that are extraordinarily pre-emptive and responsive to changing customer needs – the study revealed a significant digital trust deficit that must be addressed before true customisation can be delivered.
“As technologies such as artificial intelligence, machine learning and digital assistants become more sophisticated and mainstream, companies are creating new touch points, offerings and services that intelligently anticipate and flex to their customer’s precise needs, offering a level of hyper-relevance not experienced before. Those that succeed will hit a ‘sweet spot’ whereby customers will be willing to share more personal insights into their world in return for greater value and the confidence that their data is protected,” said Alison Kennedy, managing director, Accenture Strategy, ASEAN.
Singapore consumer appetite for hyper-relevant experiences
Forty-two percent of consumers in Singapore are more likely to shop with companies that always personalise experiences, as long as their trust isn’t compromised. Forty-six percent say they would find great value in services that intuitively learn about their needs over time to customise product, service or content recommendations.
Eighty-one percent of Singapore consumers would use ‘smart-reordering’ services where intelligent sensors in the home pre-empt when a product, such as laundry detergent, is running low and automatically re-orders it on their behalf. Another 54 percent use digital assistants today. While the vast majority (81 percent) are satisfied with the experience, 47 percent say it can feel slightly creepy when technology starts to correctly interpret and anticipate their needs.
Digital trust deficit
Digital trust remains a critical barrier to enabling hyper-relevant experiences. Expectedly, a clear majority (85 percent) of Singapore consumers say that it is extremely important that companies protect the privacy of their personal information. Another 72 percent say it is frustrating to realise that some cannot be trusted to use it appropriately.
Half of Singapore consumers fear intelligent new services will come to know too much about them and their family. Overall, 61 percent want companies to earn their trust by being more open and transparent with how their information is being used.
Building digital trust
“Digital trust will become increasingly challenging for companies to achieve as they look to capture new categories of customer data, such as biometric, geo-location and even genomic data, in their drive for greater relevance. Customer concerns will inevitably rise, so it’s critical that companies have strong data security and privacy measures in place, they give customers full control over their data, and are transparent with how they use it,” said Kennedy.
Hyper-relevance is the next wave of growth for companies operating in consumer industries, but it cannot be achieved without engendering digital trust. To pivot to hyper-relevance, companies should consider:
Giving customers full control over their data – As customers demand greater control over how companies use their personal information, organisations must become more transparent. Customers must be given full access to, and control over, their data which will demonstrate responsible stewardship and ethics. Furthermore, they must ensure the appropriate safeguards are in place to protect it.
Creating new customer value – Companies that distinguish themselves with hyper-relevant experiences look beyond the traditional customer journey. They prioritise areas where they can dynamically deliver something that customers value, at the right moment every time.
Investing in precise insights – Hyper-relevant companies invest in predictive analytics, collaborate with an ecosystem of partners to capture real-time customer insight, and mine data in new ways to understand their specific needs.
Join the conversation at @AccentureStrat #GCPR #CX.
About the research
The thirteenth annual Accenture Strategy Global Consumer Pulse Research (GCPR) surveyed more than 25,000 consumers from around the world about their appetite for more intuitive brand experiences. The survey included online responses from respondents in: Argentina, Australia, Belgium, Brazil, Canada, China, Czech Republic, Denmark, Finland, France, Germany, India, Indonesia, Ireland, Italy, Japan, Malaysia, Mexico, Netherlands, Norway, Philippines, Poland, Russia, Singapore, South Africa, South Korea, Spain, Sweden, Thailand, Turkey, UAE, United Kingdom and the United States. The survey was fielded in June – July 2017.
Accenture is a leading global professional services company, providing a broad range of services and solutions in strategy, consulting, digital, technology and operations. Combining unmatched experience and specialized skills across more than 40 industries and all business functions – underpinned by the world’s largest delivery network – Accenture works at the intersection of business and technology to help clients improve their performance and create sustainable value for their stakeholders. With approximately 425,000 people serving clients in more than 120 countries, Accenture drives innovation to improve the way the world works and lives. Visit us at www.accenture.com.
Accenture Strategy operates at the intersection of business and technology. We bring together our capabilities in business, technology, operations and function strategy to help our clients envision and execute industry-specific strategies that support enterprise wide transformation. Our focus on issues related to digital disruption, competitiveness, global operating models, talent and leadership help drive both efficiencies and growth. For more information, follow @AccentureStrat or visit www.accenture.com/strategy.
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