As digital privacy takes center stage, brand marketers find themselves at a pivotal moment. Consumers are increasingly vocal about their desire for enhanced data privacy rights, driving global shifts in regulations and attitudes. A recent global study revealed that 80% of adults want more control over their online identity, advocating for increased data privacy rights. This includes the right to be informed about collected data, the ability to delete it, and the option to take legal action in cases of misuse. Compliance with these rights is becoming a focal point for businesses.
Insider Intelligence notes a surge in state laws restricting the collection of personal information, favoring privacy protection over aggressive ad targeting. In 2023, five state privacy laws have already taken effect in the U.S., with more on the horizon. Globally, over 120 countries now have data protection and privacy legislation in place. Progressive brands will allow customers to openly own and decide the use of their data, making privacy a brand differentiator.
Customers are willing to share data if there's a true benefit. It's not just about monetary value; customers want knowledge and insights into their desired lifestyle. Brands need to communicate how they will protect data, as consumers increasingly vote with both their dollars and their data. Think of how you can provide value to your customers – it doesn't always have to be discounts or coupons. Sometimes it can be experiences or exclusive access to brand content. Stay true to your brand and share your value, consumers will appreciate it.
With the rise of privacy concerns, marketers and data teams are collaborating more closely. A privacy-first approach integrates data privacy principles throughout the marketing process, respecting consumers' personal rights and adhering to regulatory requirements. This approach ensures data is handled responsibly, mitigating the risk of mismanagement or security breaches. As data breaches become more common, with the average cost of a data breach reaching $4.55 million in 2023, businesses prioritizing data privacy are likely to remain competitive.
Despite the impending removal of third-party cookies for data collection, marketers have been slow to adopt alternative solutions. Internal stakeholder consensus is cited as a key reason for this delay. But there are many solutions out there for overcoming and moving beyond reliance on the third-party cookie, including exploring the benefits of an identification network. Based on first-party data like email as an identifier instead of third-party cookies, an identity network can quickly scale your marketing efforts.
With the eventual demise of third-party cookies, B2C marketers are expected to turn to alternatives to reach their audiences. Brands are now focusing on technologies and methods to make better use of first-party data, gaining more control over what data they gather and how it's used. By 2025, it's estimated that 75% of the world's population will have their personal data covered under modern privacy regulations.
In conclusion, the era of privacy-first marketing requires brands to not only comply with regulations but also proactively embrace a privacy-centric approach. By doing so, marketers can build trust, differentiate their brands, and thrive in an environment where consumer data protection is paramount. The time to invest in martech solutions that prioritize data privacy is now. Leaders who champion privacy and adapt their strategies accordingly will position their brands for success in this new landscape.