Data Privacy Day is an international holiday where companies can celebrate everything good about data privacy. And with the General Data Protection Regulation (GDPR) right around the corner, the week of January 28 is the perfect time to celebrate.
If you haven’t heard, GDPR is a new EU regulation to come into effect May 2018. The regulation outlines privacy laws for companies collecting personal data from individuals in the European Union.
For companies who comply with GDPR, the benefits will be increased customer trust, a greater competitive edge and the safety that only comes with full-fledged data protection.
When it comes to data privacy, you’ll have challenges, but also amazing success. So here are some reasons why you should expand your holiday repertoire to include Data Privacy Day.
Data Privacy Increases Customer Trust
Customer trust in brands is waning. A recent survey by Gigya stated that 68% of consumers don’t trust brands to handle their personal information—information like name, email, location or marital status.
And while 63% of these same consumers feel that the responsibility falls on them to protect data, extra support from brands is surely welcome.
For companies that make their data privacy efforts apparent, consumers will respond favorably. Implementing privacy by design will build confidence and loyalty among the customers who keep your business running.
Data Privacy Gives Companies a Competitive Edge
Aurélie Pols, DPO Trainer for GDPR, recently said, “As we move towards the commodification of data, the ultimate competitive frontier will revolve around consumer trust.” This is true, since many consumers are willing to turn to competitors for similar products if they feel a bit queasy about your privacy practices.
Using data privacy as the whetting stone to sharpen your competitive edge is a great reason to rejoice in the benefits of data privacy. Especially because it will keep your customers from sippin’ mojitos with the competition.
Data Privacy Protects Your Company’s Assets
By guarding against unauthorized access to data (whether internally or externally), you can protect your company’s assets and reputation. Especially in the following areas:
1) Protect against costly breaches
Data breaches are merciless money pits. The Equifax breach, which has grown to be the most publicized breach in the last year, has cost the company a good chunk of money. A November 2017 article from CSO Online states, “It has now been reported that Equifax has already spent $88 million in the third quarter as a result of the breach, with their profits falling $35 million from this quarter last year.”
Data breaches are expensive. And not fun. Keeping all that extra money in your pocket, on the other hand? Very fun, and very cost effective.
2) Stay on good terms with customers
Lawsuits over data privacy issues can drain your account and damage your reputation. For example: Vtech, a company that provides electronic gaming toys for children, recently underwent a lawsuit for breaking online privacy laws for children.
The result: A $650,000 fine. Ouch.
But a $650K fine is small compared to the punch GDPR will pack. Not to mention individual or class-action suits, which, according to Pat Moran at PwC, are likely to increase due to GDPR.
Keeping abreast of data privacy laws will help you avoid these issues and protect your company’s assets. And that’s something to celebrate!
3) Improve brand loyalty
Consumers are concerned about data privacy. In a survey done by Forrester Research, at least 40% of respondents in each 10-year segment (i.e. 16-24, 25-34, etc.) said they were likely to cancel an online transaction if they read something they didn’t like in the privacy policy.
For companies that can’t deliver true privacy, they won’t get the benefit of consumer’s transactions. Over time, that lost money adds up.
The Reason for the Privacy Season
Data Privacy Day is a fantastic opportunity to evaluate how your company protects and uses customer data. The spirit of data privacy is so pertinent, governments worldwide recognize an international holiday to commemorate the importance of protecting consumer data.
So don’t be left out! Here are some ways you can celebrate Data Privacy Day:
1) Give the gift of transparency
A quick update to your privacy policy can go a long way. Get your legal and marketing team together to make sure you’re giving full disclosure of data collection and analysis on your company’s privacy policy.
2) Have a virtual fireside chat with some data privacy professionals
In recognition of Data Privacy Day, Adobe and ObservePoint will be broadcasting an interview with Alisa Bergman, Adobe’s Chief Privacy Officer, and Clint Eagar, VP of Data Governance at ObservePoint, on Facebook Live on Monday, January 29. Watch live or recorded to learn more about data privacy.
3) Do a quick audit of your data collection
Knowing what third-party tracking technologies (think analytics and marketing tags) you have installed on your site is a great start toward GDPR compliance. A sample tag audit can help you map out the technologies on your website. That way you can trim out the bad tech and get a glimpse of what the technologies on your site look like.
Above all, have a happy Data Privacy Day!
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