Twice as many consumers in emerging markets support retail facial recognition for purchase security


New Topography of Retail

Using facial recognition to ensure purchase security is a good idea according to 61 percent of consumers in emerging markets, but only 26 percent of those in developed markets, according to a global survey by Oracle. The survey results show that retailers have become responsible for earning the right to remember customer data, Oracle says.

The “New Topography of Retail” study found that a digital retail experience including in-store facial recognition, virtual sales assistants and kiosks that provide product recommendations is desired across emerging markets, while only 28 percent of those in Europe, Australia, and North America view such technology use favorably. It also found that while 34 percent of those in Europe would deprive all brands they engage with of all data about them if they could, but 87 percent of those in North America, 90 percent of those in Latin America, and 91 percent of those in the Middle East, India, and the APAC region would do so.

“As consumers question the benefit of sharing their information, research shows they want to receive offers that are both relevant and personalized while maintaining a level of anonymity. Retailers have the opportunity to deliver personalized incentives, converting an emotional response towards privacy into a meaningful interaction,” says Mike Webster, senior vice president and general manager of Oracle Retail. “As retailers address data privacy issues head-on, brands who reinvent their approach to consumer engagement, look towards attracting the right customers and recognize that capturing shoppers at the point of intent will drive increased engagement and retention.”

A majority of consumers value personalization in retail experience (56 percent), but global awareness of new privacy regulations like GDPR has grown to 52 percent, and 86 percent say they want to exercise their data protection rights. This tension may be partly based on limitations in accuracy, as only 22 percent say the offers they receive from retailers are always personalized or relevant.

Biometric industry stakeholders told Biometric Update recently that retailers need to offer incentives for consumer to accept retail deployments of facial recognition in developed markets.