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Will privacy laws kill marketing ? How to navigate through the privacy cliffs to the data treasure trove. European Telco Summit | Brussels , 1 April 2014 . KIMON ZORBAS. BEYOND CONSULTING | EXCELLENCE IN EXECUTION. Privacy – Business relevance ?. Source:
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Will privacylawskill marketing? How to navigatethrough the privacycliffs to the data treasuretrove European TelcoSummit| Brussels, 1 April 2014 KIMON ZORBAS BEYOND CONSULTING |EXCELLENCE IN EXECUTION
Privacy – Business relevance? Source: BCG Global Consumer Sentiment Survey 2013 BEYOND CONSULTING | EXCELLENCE IN EXECUTION
Privacy – Business relevance? You have to deal with privacy – in yourowninterest • “Privacy concerns must be addressed—and giving consumers control can help … • Our analytics leaders were unanimous in their view that placing more control of information in the hands of consumers, along with building their trust, is the right path forward.” Source: McKinseyQuarterlyInsights & Publications, March 2014, “Views from the front lines of the data analytics revolution” BEYOND CONSULTING | EXCELLENCE IN EXECUTION
Privacy – toocomplex to deal with? Privacy laws are incoherent across EU /EEA and full of pitfalls • Why are companies scared, lost, confused? • Legal framework: • E-Privacy Directive (for telecommunication-related privacy) • ”Cookies-Directive” (=E-Privacy Directive; for cookies-related data processing) • General Data-Protection Directive (for other data processing) • Other issues: ”Personal Data”, ”Anonymous Data”, ”Prior Consent”, ”Explicit Consent”, ”Opt-out”, ”Traffic Data”, ”Location Data” Key legislation: E-Privacy Directive (2002/58) ”General” Data Protection Directive (95/46/EC) BEYOND CONSULTING | EXCELLENCE IN EXECUTION
Too complex - I stay out of it! • Why would you? • You have a privileged relationship (you know your clients!) • The law was made for you (somehow…) • Others already are ”stealing” your data (apps & co) • You have really good data! • Really? • Do you really want to stay out of it? • Do you have a choice? • Don’t you want to monetise the trust you have? BEYOND CONSULTING | EXCELLENCE IN EXECUTION
Privacy – simplified Privacy laws have a common source – EU / EEA laws • It’s not as complex – if you do it right • Anonymous data vs. personal data • Consent not always needed – actually not at all, if you get it right • But think beyond legal compliance – engagement model • Access to stored data by clients • Data management • Opt-out BEYOND CONSULTING | EXCELLENCE IN EXECUTION
In practice Fewexamples • Telefonica & Smart Steps – in Germany… • (Germany – anyway the troublemaker?) • Cooperation with Data Protection Authorities • Netherlands – TomTom case Telefonica, Smart Steps: anonymised & aggregated mobile network data for retail, transport etc. TomTom: Location based data and map reports: anonymised & aggregated location data BEYOND CONSULTING | EXCELLENCE IN EXECUTION
Privacy – the crystalball Privacy laws are reviewed right now • ”General” Data Protection Directive (95/46/EC) now Regulation • Adoption stalled (Germany and UK) • Not to enter into law before 2017 • What will it bring (speculations)? • Stricter provisions • Extension of personal data definition • Pseudonymous data – anonymous to become pseudonymous • Profiling provisions (whatever that is…) • Take away: • Telecom already subject to stricter laws today • Current model not jeopardised by proposals BEYOND CONSULTING | EXCELLENCE IN EXECUTION
Data Use & Privacy – Take-Away • Mobile data is really valuable – but only if you use it! • Mobile data can be used – see examples • Clients‘ acceptance is key – and increasing • Ideally you move to an engagement model BEYOND CONSULTING |EXCELLENCE IN EXECUTION
THANK YOU FOR YOUR ATTENTION KIMON ZORBAS kimon@dbcg.eu BEYOND CONSULTING |EXCELLENCE IN EXECUTION