As companies collect more consumer data, one question continues to shape the future of marketing strategy: Can businesses give people more control over their data and still perform well financially?
For Jordan Moffett, associate professor in the University of Kentucky Gatton College of Business and Economics Department of Marketing and Supply Chain, that question sits at the center of her research.
“I’m super fascinated with this idea of giving individuals control over company access to data,” she said. “We wanted to understand whether companies can actually financially benefit when they embrace privacy.”
Her interest in the topic began with communication. After earning a master’s degree in media communication, she became interested in how companies and consumers interact. As more of that communication moved into digital spaces, the amount of consumer data available to companies grew quickly.
That shift raised new questions.
“As we move into the digital space, data accumulates,” she said. “From there, it was a natural gravitation to ask what problems come with that.”
Through her research, Moffett and her colleagues found that many companies are hesitant to embrace privacy because they worry it will hurt their financial performance. Companies may view privacy as a cost, a limitation or a compliance issue that makes it harder to operate.
Her findings suggest a more nuanced picture.
In one project, the researchers looked at companies that gave consumers more privacy. They found that consumers trusted those companies more and were more likely to buy from them or continue doing business with them. The financial benefits were present even among highly data-dependent firms.
Another project examined privacy regulations, which are often viewed by companies as a significant compliance burden. While the research found short-term costs, it also found that companies could see long-term financial benefits if they moved beyond the immediate burden and built stronger relationships with customers.
“The short-term view is yes, it will cost,” she said. “But the long-term view is that companies can build trustworthy relationships with customers and potentially benefit from that.”
The work also has implications for the future of artificial intelligence. As AI increases the amount and complexity of data companies can collect and use, Moffett said privacy will remain a critical business issue.
“Some people think the privacy debate is prematurely settled,” she said. “Looking more and more into how businesses can give consumers privacy and protect their data in a way that still allows them to operate effectively is going to be a huge component of where research needs to go next.”
Over the past year, Moffett has had two articles published in leading academic journals, including the Journal of Marketing and the Journal of International Business Studies. Both projects were also featured by Harvard Business Review, including one article selected for the print edition.
For Moffett, that practical reach matters.
Academic research can be technical, but privacy is a topic that affects companies, consumers and the future of business. Her work helps show that privacy does not have to be seen only as a cost. It can also be part of how companies earn trust.
