Insights on Sharing: Financial Consumers and Their Data
A world of possibility is emerging for financial institutions seeking to leverage consumer data. But consumers will be reluctant to share without a tangible quid pro quo.
New research from Celent shows how consumer attitudes toward their data are changing, and key considerations for financial institutions who want to leverage that data.
“Consumers are willing to share data, in a well-defined, logical way,” says Senior Analyst Craig Beattie, who along with Celent’s CEO, Craig Weber, coauthored the report. “But they are sensitive to the motives behind data sharing programs, and they expect a transparent quid pro quo before they will give up the goods.”
“Of course there are privacy concerns,” says Craig Weber. “But consumers in our research showed a surprising level of trust in banks and insurance companies. You get the sense they are waiting for someone to explain the consumer benefits of data sharing, in practical terms. We think the first generation of firms that does this well will generate immediate leverage.”
The report notes that a high percentage of consumers assume their personal data are already being used by banks and insurers, which lends credence to the notion that increased use is possible.
The report is based on a survey of 2,648 consumers in the US and the UK that focused on consumers’ willingness to share data, the specific areas where a data sharing value proposition will generate loyalty, and how insurers should approach projects seeking shared data.