A survey has warned that people remain untrustworthy of how companies use their personal information.
50 per cent of 18-24 year olds say they give out false details to avoid releasing personal information, the Aimia Loyalty Lens survey said. Over three quarters (76 per cent) believe companies only ask for personal information so they can sell it on or target them with advertising and direct mail.
Legal Director at Aimia, Jeremy Henderson-Ross explained: “Given that the younger age groups are more likely to engage with companies online and sign up to offers on the go this could explain the higher numbers providing false information. If this is the only data that companies are using to understand their customers, this is an issue and they will need to look towards other information to understand them better.
“Consumers are happy to provide details as long as the companies are clear about why they are asking for information and how they are going to use that information.” The survey, of over 2,000 people, also found that supermarkets are leading the way in the loyalty market.
The grocery sector was ranked ahead of banks and building societies and three in four people are now members of supermarket loyalty schemes.
The survey was based on ONS statistics, market share data, retailer revenues and relevant loyalty schemes.
“Twenty years ago £1 in every £100 of household spend was linked to a loyalty scheme. Today it is £1 in every £7”, said Jan-Pieter Lips, President of Amia, Europe, Middle East and Africa.