New research from Cisco as part of its 2023 Data Privacy Benchmark Study uncovered the pressing need for data privacy as organizations look to gain customer trust.
The sixth annual global survey found that despite a difficult economic environment, organizations are still investing in privacy - up from $1.2 million in 2020 to $2.7 million this year.
In fact, almost all of the respondents (92 percent) said they need to do more at their organizations to help reassure customers about how they’re using their data. Especially in terms of AI.
On the consumer side, there is a disconnect between what companies are doing to protect data privacy and what customers expect for them to be doing. Sixty percent of consumers said they are concerned about how organizations apply and use AI today, and 65 percent said they have already lost that trust.
What they’re really looking for is a way to opt-out of AI data collection but this doesn’t seem to be high on the list of what organizations plan to do to gain their trust.
"When it comes to earning and building trust, compliance is not enough," said Harvey Jang, Cisco Vice President and Chief Privacy Officer.
One area that has also played a key role in improving trust is privacy legislation. Holding organizations accountable for how they manage personal data, has had a positive impact.
Where data is stored is also an important consideration. Eighty-eight percent of respondents say they think their data is safer stored in their own local region or country. But another 90 percent agreed that global providers that operate at scale, can better protect the data.
"An organization's approach to privacy impacts more than compliance," said Dev Stahlkopf, Cisco Executive Vice President and Chief Legal Officer. "Investment in privacy drives business value across sales, security, operations, and most importantly, trust."
Edited by Greg Tavarez