Though it can seem scary to advertise after a serious data breach, it’s often the most ideal time. Here’s why…
Data breaches can result in significant financial losses for businesses, and seriously damage a company’s reputation. No matter the type of data leaked - whether it’s personal contact information or sensitive financial details - it’s often down to the marketing team to have a detailed strategy in place to recover.
According to Statista, the number of cyberattacks in the United States has increased dramatically over the last decade, from 662 in 2010 to more than a thousand by 2020. Nearly 281.5 million users have been impacted by a data breach so far in 2021.
It’s clear that an increasing number of businesses are being targeted by hackers for financial gain, and data breaches at work have become commonplace. So, why aren’t more companies concentrating on what efforts they should take after a data breach has occurred? In this article, we'll look at why it's critical for marketers to utilize advertising to restore public faith in their brand after a data breach.
Why is Advertising After a Data Breach a Good Idea?
Unfortunately, you’ll likely lose some of your customers after a serious data breach. Though data breaches in the UK are less common than in the US, thirty-three percent of UK organizations say they lost customers after a hacking incident.
More often than not, clients and customers lose trust in the company and become wary of possible subsequent data breaches due to a lack of security. Though it may seem natural to want to lay low for a while, it’s actually one of the worst things you can do. Instead, why not consider promoting your company? Here’s why it’s a good idea…
1. It Allows Businesses to Take Ownership
Once a data breach has occurred, there’s not a lot you can do, so being honest and transparent with your customers is key. Advertising after a data breach is a fantastic way to show your customers that you’re owning up to your mistakes and not shying away from the responsibility.
If you don’t address the breach straight away, you’re in danger of having another company or media institution slander you before you have time to formally apologize. By being concise and apologetic in your messaging, you can avoid misinterpretation.
If you’re worried about how your initial reception will go down, try sampling some subtle advertising techniques, such as visual ads and promoting positive customer feedback.
2. Companies Can Regain Control of Their Narrative
Similar to the above, advertising allows you to control what reaches your target audience and what doesn’t. It gives you the ability to highlight your successes rather than concentrate on the negatives.
For example, positive benefit advertisements can promote positive messages by showing customers the beneficial outcomes of purchasing a certain product or service. By focussing your ads on described attributes that consumers would want - such as reliability, affordability, and safety – businesses can carefully persuade customers to stay loyal after a data breach.
As with any industry, advertisement campaigns are bound to receive criticism but are a fantastic tool for projecting your business's values and beliefs. Though debatable, the saying ‘no publicity is bad publicity’ does speak some truth.
3. Businesses Can Target New Niches and Reward Loyal Customers
Another good reason to advertise after a data breach is that you can target new audiences. If several customers have left due to a breach, it’s important to try to tap into a new niche and discover their customer preferences.
Advertising campaigns are notoriously expensive, so it’s important to be targeting your ads at a specific niche that is bound to be interested in the product or service you’re trying to sell. To identify new target markets, companies must conduct comprehensive market research and look at trends in the market to identify gaps.
What’s more, rewarding customers for staying loyal to the business – despite an invasion of their privacy – can be incredibly beneficial. It’s incredibly easy for consumers to switch providers, so take the time to personally thank your long-term clientele and offer specific loyalty schemes.
4. Companies Can Get Creative
Finally, the period after a data breach provides companies with an opportunity to mix up their advertisements. Businesses need to stand out and make a difference, so thinking of out the box, creative ideas is key to grabbing your audience’s attention.
Whereas other companies don’t have a reason to spend a lot and change their advertising tact, a data breach offers marketers a chance to reinvent and rebrand. Though the company may have been pushed into the spotlight for negative reasons, advertising professionals should take the opportunity to use their knowledge and spin the narrative.
Some creative examples of advertisements include Heineken’s 3D billboards, the NHS’s anti-smoking posters, Frontline’s interactive advertisement in shopping centers, and Nivea’s night cream magazine ads.
Do You Think You’ll Consider Advertising After a Data Breach?
In this post, we’ve discussed the advantages of advertising your company after a data breach. We’ve also offered some examples of how you can successfully endorse your company while remaining professional and discreet.
In short, companies mustn’t shy away from advertising, and they continue to permeate the market with new business ideas and original campaigns. It’s a fantastic opportunity to be transparent, attract new audiences, reward loyal customers, and get creative.
Do you know any companies that have been affected by a data breach? What steps did they take following the incident? Let us know in the comments below!
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