American Perspective on Data Breaches
According to Pew Research Center, half of Americans feel that their personal information is less secure than it was five years ago. Even more so, 64% of American adults have experienced data theft via credit card, account number, email account, social media accounts, Social Security number, loan, or tax return compromises. Yahoo, eBay, Equifax, Target, Anthem, Home Depot – it has become habitual to worry about data breaches, identity theft, and other privacy concerns. Why am I being shown this ad? How much does Facebook know about me? Has my data been sold? Is Google tracking me?
At KirkpatrickPrice, we talk a lot about how to prevent a data breach and put a heavy focus on the “before,” rather than the “after.” But, what happens after a data breach has occurred? How can your business recover? Let’s take a look at three advertising campaigns that aim to rebuild trust after a breach.
Facebook Data Scandal
With GDPR enforcement on the rise and data privacy at the top of digital consumers’ minds, the Facebook-Cambridge Analytica data breach has become one of the largest of all time. Out of the 2.2 billion Facebook users, 78 million were impacted by this breach. The data was used to build a software program that predicts, profiles, and influences voter choices. Now that Facebook’s data privacy practices are in the spotlight, more and more questionable practices are rising up.
The scandal is still unfolding, as Mark Zuckerberg is questioned by Congress and the GDPR enforcement date has officially passed. In an effort to win back user trust, Facebook launched a major advertising campaign, “Here Together,” which promises to protect users from spam, click bait, fake news, and data misuse.
How has the Facebook scandal impacted your use of the platform?
When Uber announced its breach in 2017, it hit close to home for the millions of drivers and riders who use the app every day. Uber reported that not only did hackers steal 57 million credentials (phone numbers, email addresses, names, and driver’s license numbers) from a third-party cloud-based service, but Uber also kept the data breach secret for more than a year after paying a $100,000 ransom.
The New York Times points out, “The handling of the breach underscores the extent to which Uber executives were willing to go to protect the $70 billion ride-hailing giant’s reputation and business, even at the potential cost of breaking users’ trust and, perhaps more important, state and federal laws.” Uber recognizes that driver and rider trust is the core of their business, and when they announced this cover-up and breach, they knew they’d be facing major backlash.
In response to the breach, Uber began their “Moving Forward” campaign in an effort to rebuild trust. What do you think of this commercial – have they regained your trust? Would you still use the app?
Wells Fargo Incentives
The 2016 Wells Fargo breach was incredibly eye-opening to many consumers because it wasn’t a malicious hacker taking data; it was Wells Fargo. The bank was fined $185 million because of the 5,300 bank employees who created over 1.5 million unauthorized bank and credit card accounts on behalf of unsuspecting customers. Their reason for doing this was incentives; bank employees were rewarded for opening new bank and credit card accounts.
What is Wells Fargo doing now? In an effort to rebuild trust, Wells Fargo completely restructured its incentive plans by ending sales goals for branch bankers. Do you think that firing the 5,300 guilty bank employees and restructuring their incentive program is enough?
How do you perceive this trend of public rebranding – is it convincing? Do you believe that companies like Facebook, Uber, and Wells Fargo have changed enough to rebuild trust?