Data privacy protocols are constantly evolving due to new regulations, laws, and technology developments. Europe’s GDPR came into play years ago as the global benchmark for setting privacy regulations, with many countries now following suit in implementing their own regulatory requirements.
Most notably, the US is slowly but surely adopting a patchwork of legislations across states with slight discrepancies, making marketers’ jobs even harder when it comes to achieving total compliance.
So that they comply with all regulations, data-focused marketers should take all the necessary steps to ensure that the data they collect is secure and private. This includes using encryption for data transfer, limiting access to sensitive information, knowing where the data will be stored, collecting and enforcing consent and making sure all personnel are aware of security protocols.
By staying up to date on changes in regulations and implementing appropriate security measures, marketers can demonstrate a commitment to protecting customers’ data while still achieving their business goals.
The 3 biggest challenges currently driving change in the personal data industry
1. Consumer mistrust
The term “surveillance capitalism,” coined by author Shoshana Zuboff, is becoming increasingly recognized. It refers to an economic system that profits from the extraction and manipulation of consumer data without their knowledge or consent. Increasingly aware of this reality, consumers are starting to take action – in North America there has been a decrease in daily active users of Facebook. This increase in consumer mistrust presents a unique challenge for companies that rely on data to develop and improve their services.
2. Government action
In the last few years, governments around the world have been introducing and implementing legislation aimed at reigning in the power of large tech companies. In fact, more than two dozen online privacy bills were proposed or passed in state legislatures across the United States alone. These bills seek to regulate data markets and protect personal digital rights, with efforts such as those found in California mirroring the data privacy regulations of the European Union’s General Data Protection Regulation (GDPR).
3. Market competition
Last year, Apple provided a major upgrade to its iPhone operating system that enabled users to take control of their data and prevent tracking across different applications. This groundbreaking development marked a shift in the way customers interacted with their data, giving them the ability to decide where and how it was used. Unfortunately, this had a significant economic impact on companies that relied on cross-app tracking for their business model.
5 actions marketers should take to navigate new data privacy regulations
1. Understand the impact of privacy regulations on marketing strategies
Stay informed about the latest privacy regulations and their implications for your marketing efforts. Evaluate how these regulations affect data collection, targeting, and personalized campaigns. Adjust your strategies to align with the requirements and restrictions to ensure compliance.
The first step is to ensure that you have a thorough understanding of the specific requirements and regulations for your industry. It is essential to understand which regulations you need to be compliant with and the scope of those regulations before implementing any security or privacy plans.
2. Implementing compliant data collection and consent mechanisms
Review your data collection practices and ensure they comply with privacy regulations. Implement robust consent mechanisms that provide transparency to users and give them control over their data. Clearly communicate how their data will be used and obtain explicit consent before collecting any personally identifiable information.
3. Leverage first-party data and zero-party data for targeted campaigns
Focus on collecting and utilizing first-party data directly from your customers. First-party data is willingly shared by users and offers valuable insights for targeted campaigns. Sometimes referred to as zero-party data, it’s generally regarded as data explicitly provided by customers through surveys, preference centers, or interactions. Utilize these data sources to understand your audience better and personalize your marketing efforts.
4. Build transparency and trust through customer communication
5. Explore tools and technologies to enhance privacy and data security
Stay updated on the latest privacy-enhancing tools and technologies that can help secure customer data and ensure compliance. Implement encryption, data anonymization, and secure data storage practices. For example, investing in a Consent Management Platform (CMP) can help businesses ensure that they are compliant with the various data privacy protocols. CMPs empower marketing teams with a central source of truth, the ability to put customers in control of their consent and preference data and to create configurable consent widgets to suit their business rules.