Virtual Clean Rooms and Consumers’ Trust

As companies increase their customer data cache, many consumers worry their data is either not safe or not used ethically. While brands are hungrier than ever to draw from the consumer personal data well, consumers are increasingly leery as they become more educated about the issues and risks involved in sharing sensitive information.

While this may all sound bleak for brands, opportunities to change consumers’ attitudes exist. To this end, building trust is critical. In a Twilio Segment report, consumers who bought something online in the sixth months prior to March 2023 shared that trust and transparency are key to the success of brands’ personalization efforts. Yet only slightly more than half of consumers surveyed said they trust brands to keep their personal information secure or use it ethically.

A crucial strategy to bolster consumer trust, and therefore persuade consumers to share and not hide their data, is to offer transparency in exactly how a brand is using that data. In addition, companies that provide consumers with security and control can help nurture trusting relationships that encourage consumers to share their information.

Enter data clean rooms. Data clean rooms are secure, cloud-based software that collect consumer data while maintaining the anonymity of those consumers at the user-level. This solution allows brands and corporations to mine user data to continue to build engagement, sharpen intelligence about audiences, and personalize customer experiences.