1. Only capture as much data as you need
How much data you ‘need’ depends on your business. As a general principle, consider how much data you need to offer value to consumers.
If you’re hosting an online store and a customer wants a package delivered at home, then obviously some identification needs to occur: a shipping address, maybe an email to keep track of the shipment... Even then, some people prefer to order with anonymous guest accounts and have their packages delivered at pick-up locations that aren’t their homes. If they doopt for this, don’t ask for their name and address anyway.
Some people are willing to share more personal data in return for personalised services (recommendation engines, discounts, newsletters,...), others aren’t. Respect the privacy of users that are not comfortable sharing data.
People will question why you need certain information if it is unrelated to the transactionor has no clear added value. If visitors wonder “why do they need all this information?”, you’re probably asking for too much. Another important factor is trust. If your consumer already knows and trusts your organisation, it’s easier to ask for additional information. Too much too fast will scare them away and leave the hard-to-erase stain of distrust around your service or product.
Let he who is without sin...
At MultiMinds, we’ve experienced this very issue ourselves. In our free Data Maturity Assessment, we saw a big drop in visitors as soon as we asked for user information. We soon realised we were asking for too much and giving too little. We adapted the flow, and now only ask for very limited information before offering a report. Only when visitors want more detail and an in-depth analysis do we request more information. The result:a sharp decrease in the number of dropouts. The lesson here? Offer users value before asking for their information.