Data privacy will change the brand community space in 2024
Every brand you know is building community on social media. That’s great — but it can come at a cost. Concerns around data privacy are bubbling up, and this is bound to have an impact on brands’ social communities. The saying “if you’re not paying for a product, then you’re the product” has become mainstream as younger generations in particular call for better data privacy regulations.
As consumers start to question Big Tech and how their personal data is handled (or mishandled in some instances), it will become more important than ever for brands to ensure they’re active on platforms that customers trust, and that they’re prepared to pivot as necessary. “Brands who have communities need to stay on top of consumer preferences so they can adapt accordingly,” says Shabbir Helaly, Chief Revenue Officer at Genuin. “The best way to do this? Monitor trends, and crucially, talk to your customers.”
In this article, we’ll look into some of the themes surrounding data privacy that will affect brand communities in 2024 and beyond.
A rise in data protection regulations
Governments across the world are looking into how to provide citizens with better data protection regulations — which sometimes comes at the detriment of social media platforms, for whom data sharing is a major revenue stream. According to Reuters, “The United States has historically allowed businesses and institutions to collect personal information without express consent, while regulating those uses to prevent or mitigate harms in specific sectors.”
But this shifted in 2023, with US states like Colorado, Connecticut, Utah, and Virginia introducing statues similar to GDPR, a European Union-wide information privacy regulation. Further changes in regulations could affect how brands collect, store and use consumer data within their communities — and it will be paramount to follow these new regulations. Brands who house their online communities on existing social media platforms, for example, could find themselves struggling to adapt.
A shift in customer demands
Genuin’s own research amongst Gen Z showed that data privacy is a critical concern. Here are some of their quotes:
- “Questions about the privacy on TikTok have caused me to go through periods of deleting it, so another alternative would be nice.” Emma, 22, Miami
- “Unclear privacy laws are the worst thing about social media. It makes me really uncomfortable.” Leo, 19, Seattle
- “It’s got to a point where I just don’t trust Big Tech, you know? I never use my real name for stuff.” Sammy, 20, Knoxville
- “I want to see the stuff I want to see — but the algorithm just serves me up whatever it wants. I feel like they’re just selling my data, and don’t care about my experience of actually using Instagram.” Eva, 18, San Diego
Our interviewees aren’t unusual: when it comes to Gen Z, “while they’re more likely to be enthusiastic about brands they trust, that loyalty diminishes if a company breaks it.” As we look towards 2024, consumers will likely demand more control over their data, and brands need to ensure they’re giving customers what they want. Housing a brand community on social media means the brand is at the mercy of the platform, which we saw with the demise of X (formerly Twitter) in 2023.
Trust is everything
We spoke to expert Matt Wurst, CMO at Kazm, to get his insights into what people want to see from brands in 2024 and beyond when it comes to privacy. “In this rapidly evolving digital age, trust is everything. As marketers and innovators, we need to prioritize and incentivize data sharing as more of a rewarding journey, not just a transaction,” says Wurst. “Many users may not actively think about privacy until their trust or security is compromised. But we can give power back to the people, letting them own their data, and enjoy the benefits. We’re not just adapting to the age of data privacy; we’re crafting a future where sharing data feels as good as the rewards it brings.”
A rise in privacy-centric platforms
As mainstream social media platforms face increased scrutiny, 2024 will bring a rise in privacy-centric platforms and communities where brands can engage with their consumers. These platforms will contain robust privacy features, encrypted data, and phone number login for increased security. We also see a trend of brands creating their own communities, to ensure they are in control of the experience from end-to-end.
At Genuin, we’re creating embedded communities for top brands, which sit within the brand’s own app. By using short-form video content that consumers love, and embedding it within brands’ own apps, we’re helping them provide a stellar experience to their audience in a brand-safe environment.
Here’s an example of a community gathering travel lovers, who discuss everything from the best place to learn to snowboard, to how to pack smart without a checked bag.
And here’s a community for tech founders, covering everything from VC to marketing.
Endless opportunities ahead
While these changes may seem overwhelming, they come with endless opportunities to gain competitive advantage. Brand communities that prioritize and showcase their commitment to data privacy and security are likely to attract and retain members more effectively, as trust-building measures become integral to community growth. The evolving landscape of data privacy will significantly influence brand communities in 2024, emphasizing trust, transparency, and ethical data practices as pivotal elements for success and sustained engagement.
If you want to look into building an embedded community for your brand, come check us out here!
