Today’s society is bombarded with promotional material on a daily basis; selling people goods, services and products. Personal data is obtained to ensure that these people are marketed to directly and with personalised campaigns. However, the implementation of the GDPR will have major consequences on the methods of collating personal data, especially for marketing purposes.
Companies will have to become more transparent about how people’s data will be protected, how long it will be retained and the ways it will be used. The new policy will put people back in control of their own personal information. They will obtain the right to be forgotten; made possible through opt-in communications, portability of data, breach notifications and a more accessible complaints procedure.
Opt in Communications
Research conducted by Aimia as part of its annual report shows that more 20% of customers would delete an account if they were concerned about their data protection. To ensure that people feel safe disclosing personal information, under the new GDPR regulation, consumers will have more control over who they receive marketing material from. By opting ‘in’ to communication, people will feel more comfortable about who has access to their personal information, thus making them more accountable.
By making the communication process more transparent, the system is made more efficient as both B2B and B2C consumers will receive marketing information via e-mail and SMS solely from the the companies that they have subscribed to. For telephone and direct marketing, communications will operate on the current opt-out basis.
Portability of Data
The GDPR will make data portable. Instead of a person having to relay personal information to a service provider, if switching, the data will be extracted and moved to the designated new company records. This means that companies will not be able to retain personal data from previous customers.
Data will also be much harder to track as IP address tracking will be banned, therefore direct online marketing experiences through algorithm monitoring will be prohibited without prior consent. This means future direct marketing will also be negatively impacted. This is the same for e-mail marketing, content and targeted e-shots will be harder to tailor towards individuals. Plus, campaign analytics will revert to more basic means where demographic analysis is no longer possible.
Breaches of the policies set out by the GDPR will incur a fine. The risks far outweigh the loss of marketing data, with larger fines costing companies 2 million euros, reputational damage and at risk of losing customers. Brand compliance will be paramount in assessing beaches and data security.
If organisations experience a personal data breach, they are required to notify the ICO should an individual be likely to suffer damage; such as identity theft. Companies need to be ready now, prepared for the forthcoming restrictions of the GDPR, so that they are able to detect, report and investigate into any data breaches as soon as they occur.
How can companies prepare themselves?
A Data Protection Officer should be employed to take control of the flow of personal information, ensuring that all GDPR rules are adhered to. They will need to appreciate the impact the new policy will have on the processing of personal information so that all areas of the business can adapt.
You should know your contacts and how you’ve acquired them. Documented data should be audited across the organisation; this will highlight any inaccurate data that has been shared with other organisations so that they can update their records too. This will contribute to GDPR compliance, as you are presenting evidence of having effective data policies and procedures in place.
By developing an online system, to allow people access to their personal information on the company database, companies will save on administrative costs. The transparency of data management also lends itself well to the rules outlined in the GDPR.
The increase in data security is understandable with the B2C marketing world, but the necessity of data protection between B2B is questionable. Will it hinder collaboration between companies? And how will B2B marketers adapt their techniques without the utilisation of profiling and analytics?
The policies of the GDPR are looming and with it the B2B and B2C marketing practises will have to change, imminently. To make sure that your company is GDPR ready, look at upcoming initiatives to guarantee your compliance with the new data policies and restrictions. Start adapting now so that you are prepared, and seek legal counsel for guidance on how to deal with the GDPR effecting your business.
Find out how to ensure that your company is fully prepared for the implementation of GDPR by attending the GDPR Summit Series, designed to help businesses prepare to meet the requirements of the GDPR ahead of May 2018 and beyond.
In addition to marketing teams, this conference will ensure representatives from across the public and private sector including: C Suite (CEO, CIO, CTO, CMO), Heads of Legal, HR & Finance Teams for you to:
- Understand the implications of the General Data Protection Regulation
- Get to grips with new obligations and ensure their organization is compliant
- Start preparing for and Implementing the General Data Protection Regulation
- Gain invaluable instruction and insight on the General Data Protection Regulation
- Learn how to avoid heavy fines and loss of reputation
- Discover if they need to appoint a Data Protection Officer
GDPR Summit Series is a global series of GDPR events which will help marketers to prepare to meet the requirements of the GDPR ahead of May 2018 and beyond. Further information and conference details are available at http://www.gdprsummit.london/
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