Why prioritizing data security can help brands succeed
By John Hall | Published: 2025-10-31 11:00:00 | Source: Inc.com
Concerns about data security have never been greater, and have never been a greater obstacle for brands trying to attract skeptical customers. The Identity Theft Resource Center found that in 2023 alone, 3,205 data breaches were publicly reported In the United States it affects more than 353 million people.
The rise of artificial intelligence has made data security a greater concern. Not only does this enable AI to launch more sophisticated attacks, but the large amounts of data available through LLMs present additional privacy concerns. As consumers prioritize data security more and more, making this a core part of the customer experience can become a valuable win for brands.
Avoid collecting unnecessary data
The amount of information that most companies track can be truly astonishing. Personally identifiable data — such as location, email address, and IP address — as well as engagement and behavioral data from all interactions with the company (including purchases and social media activity) are just a few of the data points tracked. From website cookies and pixel tags to customer loyalty programs, call logs, and even GPS tracking, data collection has become pervasive.
Since 2015, Harvard Business Review noted that This often led to companies collecting personal data they didn’t actually need in the hope they could use it later. Even more problematic is that this highlighted the mentality of asking for forgiveness rather than permission.
This lack of transparency has eroded trust online. Globally, 63% of consumers You feel that companies are not transparent about their data collection and use. Forty-eight percent have already stopped using a company due to privacy concerns. Opt-out messages should always be clear and easy to understand, so customers know what they’re agreeing to. Otherwise, brands risk complaints and lost business later.
To make data security part of your customer experience, the first step is to evaluate what data you collect and why. If it is not absolutely necessary, it is better not to use it. Many brands even make this element of security awareness a part of their products Cybersecurity marketingwhich reassures customers that only basic information is collected.
Take clear, enforceable steps to protect collected data
No matter the scope of the information you collect, you must take actionable steps to protect customer data every step of the way. Brands can and should implement a wide range of security practices to protect customer data and reduce the risk of a breach.
Security tools such as firewalls and antivirus software, as well as regularly updating and patching all systems and software to mitigate vulnerabilities, are an essential start. The use of these tools and systems can be demonstrated on a regular basis via a web or app experience. Even basic signs or badges that highlight the security tools you use will help build trust among consumers.
Of course, brands also need to take into account human error – whether committed by their employees or customers. Human error is constantly referred to as error Highest cybersecurity risksWhether through phishing scams, weak passwords, or other issues.
In a customer-facing environment, brands can further protect customer data through steps like requiring complex passwords or biometric logins. Brands should also monitor for potential phishing attempts and warn customers about fraudulent imitators
Helping individual customers protect themselves can be just as important as large-scale initiatives to protect a company’s entire data set. Even when user error is the cause, customers are likely to lose trust in the company if their personal data is stolen
Tell your customers
If you want to make big, you need to spread the word about your data security efforts. Don’t hide this information away. Clearly communicate your commitment to data security, including the specific steps you take to protect your customers. Complete transparency and active broadcasting of this information is what will turn data security into a winning force for your brand.
Of course, you should also make sure that your actions are constantly in line with what you tell your customers. Gaining trust is difficult, but losing trust is easy. You should proactively communicate any changes to your data security practices to your customers
Cisco research reveals this 81% of customers I feel that the way the company handles customer data shows the level of respect they already have for their customers. Many brands spend thousands or millions of dollars on messaging to let their customers know they care, but their actions regarding data security paint a different picture.
Data security can be a powerful differentiator
While developments like interactive content may seem flashier and more exciting, data security should remain a top priority as you look for ways to improve your customers’ experience. By focusing on your audience’s needs and taking actionable steps to protect the data they share with you, you can build trust in a way that helps create lasting loyalty to your brand.
The opinions expressed by Inc.com columnists here are their own, not those of Inc.com.
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