Posts Tagged ‘General Data Protection Regulation’

The Hidden Benefits of a Good Data Privacy Policy

In most areas of life, negative motivation alone will not create good results. (If you don’t believe me, ask your employees, or your teenage children – or take a look at what research has to say.) When it comes to data privacy, recent studies show very similar outcomes.

Take the European Union’s strict new GDPR data privacy regulations, which went into effect in the spring of 2018. It featured some of the stiffest penalties to date, with potential fines up to the higher of €20 million or 4% of global annual turnover. But even in the face of this kind of financial risk, at least one survey, one month before the implementation deadline, showed that only 40% of companies expected to be ready for GDPR – and only 7% were actually ready.

Benefits of Investing in Data Privacy

Figures like these are all the more interesting in light of a recent benchmarking study from Cisco that shows that businesses actually gain substantial benefits from making investments in data privacy. The report quotes Peter Lefkowitz, the 2018 Board Chairman of the International Association of Privacy Professionals (IAPP), as saying, “This research provides evidence for something Privacy professionals have long understood – that organizations are benefitting from their privacy investments beyond compliance.”

So what are the benefits of a good data privacy policy? Here are the key ones found in Cisco’s 2019 survey of over 3200 data professionals in 18 countries:

Fewer data breaches. Among companies that were ready for GDPR, 74% experienced data breaches versus 89% for those companies that were least ready.

Less impact from data breaches. GDPR-ready companies who subsequently experienced data breaches had less than half the number of records affected versus the least-ready companies. They also experienced roughly a third-less downtime as a result of these breaches, and only 37% experienced losses in excess of US $500,000 versus 64% of the least-ready.

A shorter sales cycle. Because customers expect businesses to address their own privacy concerns nowadays, respondents experienced an average sales delay of 3-9 weeks, with 87% of businesses reporting delays in selling to existing customers or prospects.

Greater customer goodwill. According to Peter Lefkowitz, this study demonstrated that strong privacy compliance “increases customer trust.”

Despite these benefits, some companies are still struggling to catch up with GDPR compliance: 37% of affected companies were still not fully ready at the time of the survey, with 9% being more than a year away. But this survey also showed substantial evidence of other good habits of data governance. For example, over a third had a relatively complete catalog of their data assets, nearly a third had a formal chief data officer, and 40% felt they were “effective in connecting different data assets together to create more value for our customers and ourselves.” These habits, in turn, appear to translate to competitive advantage and tangible bottom-line benefits.

So when it comes to data privacy, it looks like psychologists had it right all along: carrots work much better than sticks. So start looking into the many benefits of better data privacy policies in your own organization, sell these goals to your stakeholders, and then use them as a base for your own organization’s efforts. And remember, when it comes to the automated data quality tools to help make these policies work, we’re always happy to discuss your options: contact us anytime.

International Lead Validation and GDPR – A Perfect Match

Late in 2017, Service Objects released a new service, DOTS Lead Validation International, which is helping companies validate their residential and business leads from around the world. Lead Validation International is built on our core foundation of data validation tools and uses the best of ten of Service Objects strongest contact record validation services, providing the unparalleled ability to validate and correct leads from around the globe.  Below is a list of some of the services that Lead Validation International relies on:

DOTS services used with Lead Validation International

Address Validation - InternationalGeoPhone Plus
Address Validation - USPhone Append
Address Validation - CanadaEmail Validation
Address DetectiveIP Address Validation
Name ValidationProprietary internal services

6 Key Components of Lead Validation

Our Lead Validation International service looks at six key components: name, business, email, IP Address, mailing address and phone, performing hundreds of tests to validate the authenticity of each of these individual components, as well as, their connection with each other. A built-in scoring system provides quality scores for each of the individual components and provides a weighted overall quality of the lead based on the results from the components. In addition, a verbose notation system provides insight into how the individual scores were achieved, highlighting interesting data points both good and bad for each component.

Recently, we introduced a set of fields called InformationComponents, which allows for the seamless addition of new content and provides flexibility for our team to work with clients on custom solutions without interrupting the service for other clients. Another example of our continued commitment to improve and evolve our Lead Validation International service is helping our customers evaluate their risk with regards to the European Union’s General Data Protection Regulation (GDPR).

Meeting the GDPR Needs of our Customers

Using Lead Validation International, customers can identify potential risks with regards to the new GDPR, which went into effect in most European Union (EU) countries on May 25th, 2018. These new regulations, designed to protect the personal data of users within the EU, put a great burden on companies and require them to know if their leads are physically located in the EU, as well as, making sure the contact record data is authentic and up-to-date as possible.

So how does Lead Validation International help? In addition to the primary goal of determining the authenticity of a lead and its data points, Lead Validation International is now using geolocation to help identify the physical location of a lead and the various regulatory laws and restrictions that impact that location. The potential for GDPR risk is determined by examining the individual components; Address, IP Address and Phone number of each lead, as well as the overall lead, and determining if the lead resides in a country that observes the GDPR. If a component is found to be associated with the GDPR group, it is given a note: “IsInGDPR”. From here, an analysis of all components is automatically performed to determine if an additional note of “IsInGDPR” should be assigned to the overall notes of the lead.

Companies can use these data points to help assess their risks with any given lead. As of today, Lead Validation International only tracks GDPR risk. However, as new privacy laws and regulations come out, this feature of Lead Validation International will be extended to take these new laws into account and address the needs of our customers.

Check out the power of DOTS Lead Validation International!