What do Australians think about their privacy?
A recent OAIC survey explored attitudes amongst Australians towards their privacy in the wake of multiple high-profile incidents.
The findings were clear and reveal our growing anxieties: 62% of Australians view protecting their personal information as a significant concern, and 82% are willing to take action to address it.
These concerns are more than just statistics. They signal an ongoing shift in the perception of privacy in a digital age where personal information is valued and vulnerable.
In this article, we explore eight core findings which can help businesses address the needs of their customers. Those who act now can build trust and gain a competitive advantage in the complex and evolving landscape of data protection.
The eight key findings, and the implications for your business
1. Australians have a strong concern for privacy, but they don’t feel in control
Don’t neglect privacy. Empower your customers by addressing their needs
2. Most Australians have had a recent bad privacy experience: data breaches are deemed the largest threat
Safeguard against breaches and build trust
3. Australians are uncomfortable sharing personal data beyond basic details
Only collect what is strictly necessary
4. Trust (and mistrust) varies widely across industries
Built trust by visibly adopting best practices, limiting the collection of data and being transparent about data privacy and protection policies
5. Your location matters. Australians trust home-grown businesses above those overseas
Emphasise your local connection. Be transparent about international data sharing (including the purposes)
6. AI adoption may trigger privacy fears
If you're utilising AI, clarify your intentions and ensure customers understand the usage and provide consent.
7. Parents experience stronger concern for the privacy of their children than their own
Carefully consider whether you may be collecting data on minors
8. Australians want better protection from organisations and legislation
Privacy isn't just a concern; it's a competitive advantage
Below, we explore each of these insights in more detail.
1. Australians have a strong concern for privacy, but they don’t feel in control
It is clear that Australians overwhelmingly care about privacy.
Nine in ten respondents (90%) stated that ‘they have a clear understanding of why they should protect their personal information’, and eight in ten (82%) care enough to do something about it.
This concern for privacy translates into high importance when making purchasing decisions. ‘Protects my data privacy’ was ranked third most frequently in the top three criteria when purchasing a product or service - only after price and quality.
Despite these concerns and a strong understanding of the importance, most Australians (62%) don't know what they can do to protect their privacy. Much of this discontent stems from a desire for more transparency about what is collected and the purpose.
Organisations need to ensure they address these privacy needs. Embed privacy within your value proposition from the start and clearly communicate data handling practices with your customers.
Don’t neglect privacy. Empower your customers by addressing their needs
2. Most Australians have had a recent bad privacy experience: data breaches are deemed the largest threat
Almost half (47%) of Australians were victims of a breach within the last 12 months. Large-scale incidents at Medibank, Optus and Latitude Financial Services dominated headlines and claimed ~35 million victims in total, and those are just the three largest amongst likely hundreds of incidents.
Unfortunately, over three-quarters (76%) of these victims experienced negative consequences, and only 24% went without further harm. Those that suffered additional damages included:
- Increased scams and spam (52%);
- A need to replace identity documents (29%);
- Emotional and psychological harm (12%); and
- Financial or credit fraud (11%).
Fears of a data breach are not misplaced. The damages are potentially severe for both the organisation and the individual victims. For those caught in a breach, 47% said they would stop using a service following an incident.
Most participants perceived data breaches as one of the biggest privacy risks, as identified by 74% of respondents. This sharp increase of 13% undoubtedly reflected the growth in incidents and awareness amongst the public.
Every organisation should have an incident response and notification plan in place. However, the best defence is to protect against a breach from occurring. It's tough to rebuild a reputation.
Safeguard against breaches and build trust
3. Australians are uncomfortable sharing personal data beyond basic details
Respondents are generally uncomfortable sharing information beyond standard details - such as name, email and address.
Fewer than 25% of respondents believed collecting data on usage (access, use or interaction with the service) or location was reasonable. This is in stark contrast to the large number of applications on our phones that request this information - sometimes without any direct relevance to the service.
Organisations should, therefore, carefully assess what information is reasonable to collect from the perspective of their customers. Data should be limited to what is required for the stated purposes.
Only collect what is strictly necessary
4. Trust (and mistrust) varies widely across industries
Only four industries - healthcare, the federal government, finance and education - are more trusted than not by Australians to handle their personal data.
Social Media and real estate were the least trusted of all industries. Over 50% fewer respondents believed either to be very or somewhat trustworthy compared to healthcare.
Some organisations will start from a low trust position based on their industry. Businesses should address this by adopting best data privacy practices, limiting data collection and transparently communicating data protection, access and deletion policies.
Built trust by visibly adopting best practices, limiting the collection of data and being transparent about data privacy and protection policies
5. Your location matters. Australians trust home-grown businesses above those overseas
Australians were overwhelmingly concerned about their data being sent overseas (91%). They also displayed higher levels of trust for domestic organisations when compared to international organisations.
55% of respondents were comfortable sharing personal information with local organisations. However, this substantially declines when dealing with overseas organisations, even if they have a local presence (27% global with an Australian presence, cf. 11% based purely overseas).
Organisations should therefore utilise their local presence where possible and openly communicate whether data will be shared with overseas entities (even if they are part of the same organisation).
Emphasise your local connection. Be transparent about international data sharing (including the purposes)
6. AI adoption may trigger privacy fears
Artificial intelligence is today's hot topic. Businesses are exploring use cases across a broad spectrum of opportunities. But, many are yet to address how the use of data within AI can infringe on privacy.
Only 15% of people stated that they are comfortable with businesses using artificial intelligence to make decisions about them while using their personal information.
It is, therefore, not surprising that 96% of respondents wished for conditions to be in place before AI is adopted for decisions that may affect them. The conditions most frequently identified as essential include the right for a human to review the decision (73%) and being transparent about using AI (71%).
Organisations adopting AI should address the lack of understanding and comfort through high levels of transparency about how and why AI is adopted.
If you're utilising AI, clarify your intentions and ensure customers understand the usage and provide consent
7. Parents prioritise the privacy of their children over their own
Over 90% of parents expressed concern for the privacy of their children. The strength of feeling was stronger for their children’s data (65% very concerned) than their own (46% very concerned).
The proportion of parents ‘very concerned’ has increased from 51% in 2020 to 65%, with parents feeling less in control of their child’s privacy.
Organisations should carefully consider whether they are collecting children's data - intentionally or inadvertently - and mitigate against any perceived risk of harm to children.
Carefully consider whether you may be collecting data on minors
8. Australians want better protection from organisations and legislation.
Australians emphatically support the need for greater protection from organisations (92%), government agencies (89%) and additional privacy legislation (89%).
Respondents expressed support for extending the Privacy Act across a range of domains. Small businesses, employee data, political parties and media organisations are currently exempt, yet more than 75% of Australians would support them being covered. Most respondents assumed that they were already liable under existing legislation.
It is clear that, in most instances, organisations fall short of expectations despite privacy being an increasingly important concern. However, this also represents an opportunity. Businesses can differentiate by addressing these customer needs where other competitors need to catch up.
Privacy isn't just a concern; it's a competitive advantage
If you would like to learn more about what we are building at Onqlave to help protect sensitive data, follow our updates via LinkedIn, sign up to our newsletter or feel free to get in touch with any of our team.
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