Consumer data has been called “new oil” for almost two decades. When this term was declared, the purpose was to describe data as something that had to be refined and processed to become useful, as its natural form was not powerful enough on its own. However, industry experts have stepped away from this term because many businesses got the wrong idea. Consumer data is not just a resource to be mass-extracted and abused. It is much more valuable and sensitive than that.
Data privacy is the management and protection of personal data. It is a set of principles and practices that verify that individuals have control over their personal information, such as how it is used or shared. During their marketing efforts, companies will likely collect consumer data, such as name, email address, location services, and browsing history.
Given the risk of data breaches and the sensitivity of information on the Internet, consumer data privacy laws have been instituted to create standards about how businesses must collect, store, and use their customers’ information. Companies must abide by these laws, or they will likely face fines, lawsuits, or restrictions that will negatively impact their reputation and likelihood of success. Lucky for you, we have listed a few of the most popular and protective data privacy laws and regulations as a quick refresher.
The GDPR is the world's toughest and most widespread data security law. Initially passed by the European Union, this law applies to any organization that targets or collects data related to any citizen in the EU. The regulation was created in May 2018 and has been continuously refined and updated. Because the GDPR is extensive and reaches multiple enterprises and countries, it is not extremely specific. This can be difficult for small and medium-sized organizations to comply with and follow best data privacy practices. In a snapshot, the regulation outlines the importance of accountability, protection, accuracy, and more regarding data privacy. Ensure that a member of your organization reads all 88 pages of the regulation to ensure you are clear about GDPR.
The CCPA is a piece of legislation that applies to businesses that process the personal data of California residents. Although it sounds like this is only subject to California citizens, it includes any organization that collects information about individuals in California, no matter where that organization is located. Organizations have to meet at least one of the following descriptions to be subject to the standards of the CCPA:
The CCPA defines personal information as “any information that identifies, relates to, describes, is reasonably capable of being associated with, or could reasonably be linked, directly or indirectly, with a particular consumer or household.” If you fit one of the descriptions above, you are subject to the CCPA and must comply with their doctrines on data privacy.
The Privacy Act of 1974 established rules for collecting, using, and maintaining personal information by all federal agencies. It gives individuals the right to know the type of information being collected from them, why and how it’s being used, and the ability to request alterations. This law is one of the oldest pieces of information privacy legislation worldwide. The Privacy Act applies to American agencies that collect individual data via digital platforms. However, this law has many critiques, specifically about bringing its language and doctrines up to date. The online landscape has vastly and rapidly changed over the past 50 years, requiring frequent adjustments and corrections to ensure user safety and protection. This law should remind companies of the longevity of this issue, encouraging marketers and other industry experts to uphold data privacy.
Data privacy is especially prevalent in the marketing industry. Marketers must balance the drive to discover information about their audience with respect and honesty for digital users. When organizations are clear about their intentions with consumer data, they are likely to gain consumer trust. Transparency is crucial. Consumers should have control over the actions taken with their personal data. This requires marketers to provide their audience with updated privacy policies that include detailed explanations about the company's intentions with their data. If your brand wants to gain consumer trust, you must allow consumers to opt out of revealing their personal information. Happy customers are better than greedily collected data.
Because consumers are sharing their concerns about the privacy and security of their personal data, marketers must work to ensure their audience feels respected and heard when it comes to data collection. If you hope to improve your methods, here are four best practices for integrating data privacy into your marketing efforts.
Because the digital landscape is growing at an unprecedented rate, data privacy and security are becoming increasingly crucial for marketers to prioritize. This list is not exhaustive, but it provides a good starting point for understanding the importance of data privacy in digital marketing.
To ensure the security of your collected data, it is crucial to utilize technologies that offer protection and bolster privacy. Leveraging these tools makes it easier to follow laws and regulations and gain the trust and loyalty of your audience. Here are three tools to make managing data privacy more manageable for your business.
In today’s digital age, data privacy isn’t just a regulatory necessity - it’s a pinnacle method of building trust and authenticity with your end user. As consumers are becoming more aware of their digital footprint, it is crucial to be a brand that is prioritizing transparency in your marketing efforts. This will stand out in the competitive digital landscape. With many laws, software, and best practices to explore and adapt to, data privacy can seem pretty dull. However, data privacy is so much more than a responsibility. Protect and connect with your audience by providing a secure and trustworthy environment online.