Data Protection Key To Building Trust For 82% Of Indian Consumers: PwC Survey

Protection of personal data is one of the most crucial factors to earn trust for 82% of Indian consumers who were part of PwC India's Voice of the Consumer Survey 2024. Brands need to stay authentic to earn consumer trust and ultimately build loyalty, according to the survey that looked at how Indian consumers' sentiment and shopping behaviours are determinants of brand strategies and marketing spends.

The survey revealed three main drivers of building trust: how well do brands make life easier for their consumers, how well they connect with their consumers, and how do they ensure inclusiveness with their consumers.

“These building blocks are in turn shaped by their six underlying imperatives of focusing on value-creating purchase journeys, proactively helping consumers manage their health and wellness needs, staying authentic on social media channels, building watertight personal data protection capabilities, creating sustainable business models and, finally, deploying generative AI tools responsibly,” said Ravi Kapoor, partner and leader, retail and consumer sector, PwC India.

The survey advised businesses to safeguard personal data and use it responsibly to enhance personalised services without compromising privacy. It highlighted trust factors, including high-quality products and services, clear communication, consistent consumer experiences, affordability, transparency in ESG matters, and improved decision-making and execution.

According to the survey, the key technology imperatives for building consumer trust include:

Building Personal Data Protection Capabilities

Businesses must adopt rigorous data protection measures and transparently manage consumer data. While 83% of consumers value knowing that their devices secure their information, 74% approve using their data for beneficial services. Additionally, over 66% are willing to share data for more personalised experiences.

Create More Trust On Social Media

Despite widespread social media use, with 58% of consumers buying products directly through platforms, trust remains low in social media. While 77% consumers discover new brands via social media and 81% use it to seek reviews before purchasing, concerns persist. Over three-fourth (76%) worry about privacy and data sharing, underscoring the need for stringent privacy measures. Influencer endorsements and targeted ads significantly influence purchasing decisions.

Focus On Purchase Journey And Value

In India, in-store shopping remains popular, with 56% of consumers frequently purchasing from physical stores compared to 47% shopping online—higher than the global average of 34%. About 62% prefer visiting stores to discover products, while 53% browse online. The primary channels for purchases are in-store (43%) and online marketplaces (44%). The survey suggested that businesses should enhance the physical store experience by incorporating technologies like augmented reality and mobile payments to make shopping more seamless and engaging.

Responsible AI Deployment

The survey cautioned businesses to carefully integrate artificial intelligence, emphasising the need to balance AI with human interaction, especially in complex and personal services. While 57% of consumers trust AI for low-risk activities like obtaining product information or receiving recommendations, they remain sceptical about AI's role in high-risk tasks. Despite interest in chatbots, there is a strong preference for direct interaction with sales representatives. Additionally, over 86% of consumers express concerns about the potential cyber risks and job security implications of future AI developments.