Here’s why the new iOS update presents a great opportunity for marketers
The last 5 years have brought us numerous personal data incidents involving well-known brands, including Facebook, British Airlines, and Twitter. Before the European Union’s GDPR and the CCPA in the US, users were not as aware of how companies collect information and what they do with it. As users become more aware of their data-related rights and needs, companies are looking for ways to keep some of their data collection capabilities. The new iOS update 14.5 is seen as a threat by some but can it be more of a great opportunity? I think so, let’s take a look at the underlying reasons!
What’s happened with the 14.5 iOS update?
“I believe people are smart and some people want to share more data than other people do. Ask them. Ask them every time. Make them tell you to stop asking them if they get tired of your asking them. Let them know precisely what you’re going to do with their data,” Steve Jobs stated in 2010, warning all tech companies about the importance of privacy almost a decade before it became important.
With IOS 14.5 in April 2021, Apple has made Job’s vision a reality, leaving nothing to chance for other companies to make the right choices in handling data. Taking advantage of its position of power, Apple’s devices now ask for user consent for user tracking. Contrary to popular belief, Apple didn’t create this situation to fight Facebook or to put small businesses in a tough spot, but to give users back control of their data.
The rise of an opportunity
At the heart of the IOS 14.5 update is consent: Users can choose whether to be tracked on not. This process is much better set up compared to traditional browsers that try to dump all cookies as soon as you land on the page or if they do try to gather consent it is wrapped in an ’Accept All’ or nothing type scenario.
Today, I downloaded my favourite airplane game to my iPhone for some stress relief — Tetris. Instead of forcing the decision about tracking on users as soon as they open the app, they wait until you have enjoyed a game and state clearly that the free game is supported by ads. It was not done in a creepy or slimy way, it seemed authentic and I allowed it, unlike the estimated 96% of US users. There is a lot to learn from this new situation: people are smart, if they understand the trade they will see the benefits, and if asked respectfully, they might agree to share their data. This all boils down to the need to reciprocate — a tactic that companies use all the time, but this need is only triggered once the users actually understand what has happened.
In human culture, reciprocity is the practice of responding to a positive action with another positive action. It was the prerequisite for human trust in the societies of our ancestors. The idea behind this is that the recipient feels that they should reciprocate for the gift they received. This is more common in B2B, where the tradeoff is better understood. Nonetheless, a common reaction in the consumer tech space is to refuse to be tracked, as many users don’t see how the data shared and their in-app experience correlates.
Few users are aware of how their data is being collected, handled, and sometimes even sold. However, the truth is that developers of free mobile apps sell user data as their main source of revenue. I have seen little by way of education on how this ecosystem works to benefit all. It seems obvious, you get something free to enjoy and they make a profit using your data but most of the time tracking and advertisement gets the boogeyman treatment from media. That said, a person who feels exploited or deceived will take negative action, like when you only realise that all your apps have been tracking you and using your data all the time.
As users become more aware of how the world of data really works, inspired by transparency rights in privacy laws and championed by tech companies with power and influence, they will be more inclined to trust companies that engage in a dialogue with them. People expect full transparency today, so explain what data is needed, how it’s being used, and how it benefits them.
Let’s get this straight: Advertising is not a bad thing. Neither is a personalized browsing experience. Being honest and transparent with customers is considered one of the coolest things companies can do today.
