A quarter of consumers spend more with an organisation when they are convinced of their GDPR compliance according to new research.
Capgemini surveyed 1,000 executives and 6,000 consumers across eight markets to explore attitudes to and readiness for GDPR. Its report finds that 81% of organisations won't be ready for the GDPR deadline on 25 May. However, British businesses are the most advanced, with 55% reporting that they will be compliant in time.
The research has found that many companies are overlooking the business opportunity of GDPR - with nearly one-third (31%) of firms simply focusing on compliance rather than the chance to improve customer relationships. Only 11% are centering their GDPR compliance efforts on customer needs.
However, although 81% of businesses say consumers trust them with their personal data, the research reveals that only 52% actually do. In fact, 71% of consumers say they would stop doing business with an organisation if it is not compliant with GDPR.
The research suggests that firms that have got ahead of the GDPR deadline are already reaping the rewards. Of those consumers that are convinced a business protects their personal data, 39% have bought more as a result, spending up to 24% more. In addition, 40% have transacted more frequently with the business and 49% have shared their positive experiences with friends and family.
Willem de Paepe, global GDPR leader at Capgemini, said: "Executives now have a great chance to use GDPR to create a customer-first privacy strategy. That business opportunity is significant. Beyond gaining consumer confidence and increased spending, knowing exactly what data is held allows firms to use analytics more effectively and improve operations."