The risks and opportunities of the data protection landscape

Most consumers rely on the convenience of digital services and are therefore ready to share the use of their personal information to enable personalized experiences in everyday digital life. Therefore, even after reading the headlines about the “Breach du Jour“(Cambridge Analytica, Equifax, retailers, banks, smart devices) most of us continue as usual. We trust that large, multinational companies that are scrutinized see the business sense in doing the right thing with personal data. As a consumer, it is usually more convenient for me to share my information with others, for example. Google when I’m with random e-commerce startup Brand X.

But with media like The New York Times Work to educate consumers and legislators who strive to protect consumer rights with the introduction of CCPA and GDPRAwareness of the possible cost of these data compromises is growing and it is in everyone’s best interest to understand the changing data protection landscape. That is why we have ordered a new one Privacy Report by Wakefield Research, which asks both consumers and marketers how they assess the risks and opportunities of data practices today.

Note the gap in privacy sensitivity

Marketers and consumers view data protection from different perspectives. It is therefore not surprising that there are differences of opinion between the two groups surveyed. However, there is a big gap: 82% of adults in the US say that privacy is very important to them, while only 29% of marketers believe that privacy is very important to consumers.

The difference arises from the fact that marketers pay attention to how consumers “vote” with their promotions and opt-ins. Human behavior suggests that the value of personalization is worth providing some of your data. I can say that I want to protect my private consumer data at all costs, but if that means I have no browsing history to automatically fill out forms, no personalized recommendations for my music streaming service, or no orders saved in my app for delivery of food, I might be more willing to share this.

The remarkable gap here suggests that brands need to consider consumer comfort in terms of what data is collected and how it is used to avoid alienating the audience.

No surprises please

Here we see another big disagreement: 58% of marketing managers think they should inform consumers when and with whom their data is shared, while 94% of consumers expect companies to inform them about how their data is used ,

People want to see that the way their data is used is in line with the benefits they expect from the company. If my pharmacy asks for my cell phone number, I can count on SMS updates for my prescription. I would not expect the pharmacy to sell or trade this number to a grocery delivery service who can then send me burger promotions.

Successful disclosure means not giving your customers unpleasant surprises in the form of unexpected use of their data. Companies should make it clear to their customers why they collect data and what the customer receives in return. We all agree that an endless scroll of dense legalese that nobody reads doesn’t really do the job.

Data protection is good for everyone

There is real business value Practice privacy through designand 45% of marketers believe that even stricter data protection laws would actually promote innovation (although 83% say that there is no need to implement consumer privacy protection that is not required by law). Like at the start of the Apple Card This year, taking consumer privacy into account can lead to real moments of customer delight.

When you think about privacy at the strategy table, you gain a competitive advantage over companies who only turn to their legal team to find out what is right for their customers. Companies that really evolve to best meet their customers’ data protection rights are not only less vulnerable to future legislative measures, but may also find innovative improvements to their own data architecture. Product and development teams working to improve privacy and security controls may find that they are doing their future a favor.

The implementation of the requirements of the GDPR on the ability to “forget” customer data led to a massive change in the information architecture. Existing data processes and future product plans had to be adjusted to ensure that requests to correct or delete customer data were made could be honored,

When it comes to data protection and customer loyalty, things will only become more complex, stressful and technical in the future. But together we can raise the bar to create the more secure data world we all want to live in.

The item The risks and opportunities of today’s data protection landscape by Jon Hyman first appeared on Street Fight Magazine.

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