Since taking effect in May of 2018, GDPR has amassed over €428 Billion in major fines for data breaches. This is an alarming number, especially when viewed through the lens of a consumer. Businesses are increasingly scrutinized on how they collect, store, secure, and share user data – and this impacts marketing teams very directly.
As a GDPR validated compliant technology vendor, Pixlee holds consumer data privacy with high regard. We're committed to building trust with consumers that interact with our widgets and to empowering the brands that use Pixlee to carry forward worry-free. But what happens if your vendor isn't compliant? Here are some points to consider when looking at your technology stack and data governance practices.
How Does Consumer Data Privacy Affect Marketing?
Marketing has always been about gathering information about the target audience and reaching them the best way possible. The internet has revolutionized that data collection in ways that are beginning to see stringent regulation. While privacy laws such as GDPR and the newly enacted CCPA are good for consumers, they pose a conundrum for digital marketers. Consumers demand more privacy, but they also crave for more personalized products and services. Seemingly, personalization contradicts privacy. But that might not necessarily be true.
Authenticity and data protection go hand in hand as long as customers are opting into their relationship with a brand. With customer relationships at our core, Pixlee opted to seek out third-party validation for GDPR compliance. After reviewing the Pixlee platform against all 44 GDPR Privacy Practices Management Validation Requirements, TrustArc validated that Pixlee is GDPR compliant.
What Marketing Teams Need to Do
Brands need to prove to consumers that their trust isn't misplaced. Companies can only do this if they have an open discussion with their customers about safety and privacy. When someone visits an online retailer, for instance, the store needs to reassure the customer that the site is 100% secure and respects their data. Transparency about privacy policies and data protection efforts should be front and center.
Marketing teams must give consumers the option to approve and withdraw consent at all times. The language needs to be unambiguous and clear. Every campaign should start with earning the customer's trust, and that can only happen by being honest and transparent through the messaging and imagery used. Beyond that, though, marketers need to ensure that the tools they’re using are reliable in the face of security concerns to avoid any unintentional violations. Even if your security and privacy practices are top-notch, its important to make sure the vendors you work with are equally concerned with privacy.
The Need for Personalized Privacy
Most consumers know that marketers are collecting information about them for targeted advertising. While some customers are okay with sharing their information and browsing habits, some view it as creepy and an invasion of privacy. Marketing teams need to focus on giving each consumer personalized privacy at varying levels.
Companies need to give consumers some level of control over the use of their data. Businesses also need to be transparent about how they use customer data and the steps they take to protect it. It all boils down to trust and respect in the eyes of the consumer. If people feel that a brand doesn't have their best interests at heart, they won't place their trust in it and move on to the next one.
The most effective way to build personalization at scale with privacy concerns in mind is to embrace diversity in your imagery and use permissioned content from your customers. And it's possible, even in 2020. Learn how brands are building personalization at scale with privacy in mind.
The Cost of Working with a Non-Compliant Vendor
Being conscientious of data concerns doesn’t need to be a huge uphill battle for marketers. A small amount of due diligence prior to selecting a technology vendor can save marketers a huge headache (and fine) in the long run. Marketers have a choice: invest in the minimal cost of replacing a tool that doesn't fit the data-privacy needs critical to compliance, or face the potential fines incurred from charging forward with technology that ignores validation.