Today’s eCommerce data management has evolved with the new requirements of clients and customers. The goal for businesses is to have a unified data tier across all department functions. As organisations rely more on intangible assets, the value of a strong data management systems is more obvious. eCommerce data management strategy involves a variety of processes, practices, policies and tasks. An authoritative data strategy confronts issues from activity of users and administrators to the functionalities of data management technology. They work together to get the best value from the data for the business in question. As data collection continues to become ubiquitous across business, managers must consider data analysis and data integration along with data management.
Necessity
Every company is going to need a data management strategy going forward, not least because it helps comply with legal obligations across different jurisdictions. GDPR and the increasing presence of accessibility data requirements have forced the hand of previously reluctant companies. For online businesses this is not always particularly straightforward. These companies have to worry about managing a significant amount of daily compiled data, from CRM to ERP data, messages, images and so much more. This is in addition to unique eCommerce data like financial and other personal data, product and stock data. Considering this, a comprehensive eCommerce data management strategy is no longer an option, especially as companies scale their growth.
Privacy
However, full compliance to GDPR does have some drawbacks for personalization of eCommerce data. These laws give customers freedom to opt out of data collection and certain other privacy features. This is as a consequence of consumer concerns about data collection and usage remaining high. The effect can be detrimental to a business providing a personalized online shopping experience. Interestingly, there are significant studies showing customers actually enjoy the customer experience data collecting and analytic enable. According to Deloitte almost 80% of consumers are open to sharing personal data which business in return for perceived benefits. They did however, find that younger people are less willing to share personal data. Furthermore they are more likely to provide fake information and adjust privacy settings than older customers. Interestingly, Gen Z customers indicated they feel greater control of personal data than others indicated.
Trust
Trust is simply the most valuable commodity in eCommerce due to the daily interactions with customers personal and financial data. To maintain trust in websites, transparency with customers is always a good first start. Companies must also make a habit of deleting customer data after use. When communicated clearly on the website, this can help boost the reputation of a business’s brand. Data management strategy must be designed to prevent breaches to begin with. Data encryption in 2020 should be standard procedure for all. SMBs must approach data governance in a similar way to enterprise businesses making decisions at an executive level. Strong network security and protocol must be in place to protect customers and businesses. This increases monitoring to reduce the risks of potential security violations.