How Does GDPR Affect Business Marketing Strategies?
General Data Protection Regulation (GDPR) was brought into effect on the 25th of May, 2018 and is one of the most important data privacy regulations to pass in the past 20+ years. As a rule, GDPR is designed to integrate all data and privacy legislation across all of Europe and beyond. New GDPR is designed to help businesses and companies evolve and adapt the way that they approach the important subject of data protection.
Although GDPR was developed in and for businesses in the EU, it is advised that it should be followed in businesses that are outside of the EU. Below, we’ve discussed what GDPR is and how it can affect your business marketing strategies.
What is GDPR?
GDPR is an updated regulation that is designed to ensure that all companies and businesses that handle any type of data follow strict policies and regulations regarding the processing of personal information.
Failure to comply with GDPR can result in a hefty fine for the company in question. There is a tiered system in place, and a serious breach of regulation can result in a company being fined 4% of their annual global turnover or a maximum of €20 million. For lower level indiscretions, such as failure to keep paperwork and records in order can be fined with 2% of their annual global earnings.
What is personal data?
The term ‘personal data’ can be thrown around a lot, and it can be difficult to know exactly what it means and what it relates to. Personal data refers to any information that relates to and can be used to identify the individual either directly or indirectly. This kind of information can include:
- ID Number
- Location data or online identifiers
Under GDPR, sensitive personal databases must be cleaned and regularly reviewed. This is to ensure that all data that can be accessed has a clear and easily distinguishable consent. Consent is absolutely vital to GDPR compliance as companies must be able to present proof that data was obtained fairly and legally.
How can GDPR affect my marketing strategies?
The changes to GDPR legislation will see marketers having to rely more on data permission and data access. Customers and consumers must express consent to their personal data being used in a manner that is ‘freely given, specific, informed and unambiguous.’ This means that the formerly used, pre-ticked boxes that automatically opt customers into your mailing list are no longer appropriate. In any marketing strategy that complies with new GDPR, your business must offer visitors and customers a clear opt-in/opt-out option.
GDPR is a hugely important update in legislation and has changed the way businesses are handling personal data. The new regulations were designed to ensure data quality and to protect both companies and customers. GDPR can be easily summed up with the sentiment that you should not contact someone unless they have an expressed desire to be contacted.