Every business regardless of its size or revenues should pay attention to Data Security and Data Privacy. Most businesses feel that the privacy of data is just for the sake of their consumers and does not add value to their business or sales in any way.
However, they are far from the truth. According to a report published by CISCO, maintaining privacy is good for businesses. The report found that 65% of all businesses have delays in sales due to data privacy issues. The seriousness of the issue has forced most businesses to adopt some form of master data services for ensuring security and privacy.
In this article, we will look at how Data Privacy is good for business. We will also look at explaining the basics of Data Privacy and Security. In addition, we will also discuss the General Data Protection Regulation or GPDR.
Data Privacy: Meaning and Introduction
Data Privacy is an important ‘Right’ that is put into force by government agencies and international regulatory bodies for companies, businesses, and organizations, which deal with individual information.
This means the following data that belongs to the consumer or individuals needs to be properly stored, shared and used-
- Name, Age and Date of Birth
- Bank Account Details
- Phone and Data Usage
- Spending Data
- Vendor Engagement and Buying Habits
Data Privacy is a part of Data Security, which is defined by whether or not your personal data is breached by malicious spyware or hackers. Data Privacy, on the other hand, looks at commercial manipulations of data by corporates, government agencies, and other vested bodies.
Why is it Important for Businesses to ensure Data Privacy?
One of the major reasons why maintaining data privacy is essential for businesses is because of credibility. A data Privacy breach can destroy the business from the ground up. Users will withdraw their goods, blacklist your organization and eliminate all levels of credibility.
A secure organization, which values data, can use the same for promoting itself when it comes to advertising and marketing. If you are familiar with Silicon Valley, you will be aware of how Apple prides itself on being safe and secure.
In recent history, Google, Facebook, and other tech giants have increasingly come under legislative surveillance and been summoned to appear before Congressional Committees in the USA and in Europe.
If you have been following the news, you will also be aware of the Facebook-Cambridge Analytica Scandal. Google has itself been found wanting for trying to establish a monopoly and fined billions of dollars. Data Privacy is becoming very serious from a legal perspective. It is seen in the same vein as a ‘Right To Freedom’.
By building a strong and trustworthy business, which values the privacy of its consumers, a brand can hope to build long-lasting relationships. Businesses, which have earned the trust and belief of consumers, are the ones, which stand the test of time in the end.
By following and implementing stringent data privacy mechanisms through master data services, businesses can hope to stay away from legal issues, improve their business revenues and earn credibility for themselves as a brand.