Facebook privacy issues: Consumers rank Facebook last among social media sites

Facebook has had a busy couple weeks. Between back-to-back hearings on Capitol Hill last week and new questions from the European courts this week, the social media behemoth is getting its fair share of regulator attention, negative press, and user complaints.

One of the main spotlights is on Facebook’s privacy policy, especially after the Cambridge Analytica scandal news broke. However, the company’s less-than-stellar record with customer privacy has long been an issue.

Facebook has always struggled with satisfying customers – particularly in the privacy department — according to eight years of customer satisfaction research. When looking at its ability to protect the privacy of personal information, Facebook ranks dead last, which is likely due to its revenue goals encroaching on customer privacy. The second worst, LinkedIn, scores a full 11 percent higher than Facebook.

Overall, Facebook is one of the lowest-ranked companies among e-business sites, scoring a 68 out of 100 — and that’s before the last six months of negative press.

For reference, the social media industry average score is 73.

ACSI-social-media-site-scores-2017Overall ACSI customer satisfaction scores for social media sites as of July 2017.

Across all industries, a key driver of satisfaction is maintaining privacy of information. However, people also value convenience and Facebook is engrained into the social fabric of our lives. Users haven’t changed their privacy settings, and even Facebook’s stock has risen – but not recovered – since Zuckerberg’s testimony to Congress.

Facebook may be too large to be quashed by these recent privacy fumbles, but its satisfaction score can – and likely will – take a hit. It’s certainly a warning to all companies in privacy management: Customers expect their information to be secure.

We’ll take a closer look at social media website scores this summer, but for now, take a deeper dive into the most recent customer satisfaction data with more insights on this industry.

 

Customer satisfaction with hospitals grows as health care sector shifts

One word defines health care right now: consolidation.

Pharmacy benefits managers (PBMs) are merging with insurers. United Health Group led the charge a few years ago, buying Catamaran. Now CVS is buying Aetna and Cigna is buying Express Scripts. Walmart is in talks to buy Humana. Some see this as motivated by the potential for Amazon to leap into the health care space; the major players are joining forces to ensure they’ll be able to compete.

But the joining of PBMs with insurers could have an effect on hospitals as well.

UnitedHealth bought Surgical Care Affiliates to expand into primary and urgent care in ambulances, and picked up a physician group, moving closer to direct delivery of medical care. CVS and Aetna plan to add community medical clinics to their repertoire. Walmart already operates retail health clinics and has said it would begin offering lab-testing services in some stores.

The $18 billion urgent care center space is expected to grow nearly 6 percent in 2018, building on the more than 7,600 urgent care centers in the U.S. as of June 2017. The number of centers in 2017 was up nearly 10 percent over 2015.

The surge in clinics could be the reason that customer satisfaction with emergency room services jumped 6 percent since last year, to an ACSI score of 73.

That was the most dramatic change in the health care and social assistance sector, and drove the 1.3 percent increase in customer satisfaction with hospitals.

Inpatient hospital care saw a 1 percent rise to an ACSI score of 77. The gains in ER and inpatient care helped offset a decline for outpatient care, which ebbed 3 percent to 78.

Patient satisfaction with ambulatory care (office visits to doctors, dentists, optometrists, and mental health professionals) held steady at 77 for the third year in a row.

Among patients 51 years and up, satisfaction with hospitals was much higher, at a score of 80, than among those 18-50 years old, where it stood at just 72. The difference in satisfaction between the two age groups was most pronounced in outpatient care and emergency room services, where ACSI scores among those 51 and up were 10 points higher than scores for those 18-50.

It will be interesting to see the effect that continued growth of urgent care clinics will have on ER perception moving forward. And when Amazon, along with its collaborators JPMorgan Chase and Berkshire Hathaway, does make moves in health care, it will be anyone’s guess how the health care and social assistance sector, and patients’ satisfaction with its services, will respond.