Unless you're in a regulated industry, or headquartered in the European Union, chances are that your privacy organization has been limited to one or two lawyers, and maybe a data security expert. This small group has probably been tasked with making sure the firm is in compliance with local laws, and with writing and managing onerous and impenetrable consumer-facing privacy policies. In other words, these teams have worked to keep the company out of legal trouble.
But data privacy, collection, and use practices are becoming more visible, to regulators, to media and ultimately to individuals. And as a result, firms need a different kind of privacy organization to meet the need for transparency head-on.
So tell us, has your privacy organization changed in the past few years? Are you staffing it with new skillsets? Creating more dotted lines to teams like marketing, product development, etc? Changing from a compliance-focused organization to one poised to capitalize on privacy as a market differentiator?
If so, my colleagues, Heidi Shey, Enza Iannopollo and I would love to hear from you for current research we're working on. Reply here, or email firstname.lastname@example.org, and THANKS!
Trust is the most critical component to develop and maintain a healthy brand. Customers are more likely to trust experts, friends and relatives than marketing campaigns. That’s why it matters to deliver the experience you promise and to build a trusted community around your brand.
As marketers will need to use more personal data to power mobile and contextual experiences, we expect consumer distrust for brands to increase
No matter how quickly wearables and connected objects emerge in the next 10 years, mobility has already introduced a paradigm shift: the ability to collect and use data about individuals in the physical world. Mobility will change the nature of the data marketers can use and act upon. Data collected via mobile will be much more sensitive, more personal and more contextual. Via sensors on wearables or smartphones, marketers will access data on our bodies and our whereabouts in real-time. This represents a huge opportunity for marketers to power better marketing across all channels not just mobile. Mobile and connected objects will not only change the nature of the data marketers can access, it will also bring privacy concerns to the physical space and it risks breaking anonymization.
Together with my colleague Fatemeh Khatibloo, co-author of the report, we digged into our Technographics data to better understand consumers’ perceptions on mobile privacy. We also conducted many interviews to discuss with marketers, vendors, and regulators how they approach mobile data and privacy. Here below are a couple of facts we learnt:
Open data is critical for delivering contextual value to customers in digital ecosystems. For instance, The Weather Channel and OpenWeatherMap collect weather-related data points from millions of data sources, including the wingtips of aircraft. They could share these data points with car insurance companies. This would allow the insurers to expand their customer journey activities, such as alerting their customers in real time to warn them of an approaching hailstorm so that the car owners have a chance to move their cars to safety. Success requires making logical connections between isolated data fields to generate meaningful business intelligence.
But also trust is critical to deliver value in digital ecosystems. One of the key questions for big data is who owns the data. Is it the division that collects the data, the business as a whole, or the customer whose data is collected? Forrester believes that for data analytics to unfold its true potential and gain end user acceptance, the users themselves must remain the ultimate owner of their own data.
The development of control mechanisms that allow end users to control their data is a major task for CIOs. One possible approach could be dashboard portals that allow end users to specify which businesses can use which data sets and for what purpose. Private.me is trying to develop such a mechanism. It provides servers to which individual's information is distributed to be run by non-profit organizations. Data anonymization is another approach that many businesses are working on, despite the fact that there are limits to data anonymization as a means to ensure true privacy.
Industry analysts know that major M&A deals, product announcement, and organizational changes can come at any time. But it still surprises us a little when a major player like Oracle announces a significantacquisition just days before Christmas. At any rate, Santa has come early for both Mr. Ellison and the Datalogix team this year.
We've just published a Quick Take on our perceptions of the deal, which holds a lot of promise. Our biggest concern? Realizing that promise requires some serious integration work, and so far, Oracle hasn't proven that it's especially capable of integrating the stack it's acquired for the Marketing Cloud offering. We also worry that Oracle's Data Cloud -- where Datalogix will sit -- is heading directly for a major privacy warzone. Whether Oracle is ready for that battle remains to be seen.
But the bigger picture is this: the Datalogix and Bluekai acquisitions, along with many others of the past year -- including Conversant by Epsilon, LiveRamp by Acxiom, and Adometry by Google -- are evidence of a fast-consolidating marketing and advertising technology landscape. 2015 will doubtless bring more M&A activity in this space, with a likely run on smaller technology and data vendors that have mostly been flying under the radar. What this race for the ultimate "marketing cloud" will mean to CI pros remains to be seen, but you should certainly anticipate plenty of shakeups in your vendor relationships over the next 18 months.
Earlier today, we published a report that dissects global risk perceptions of business and technology management leaders. One of the most eye-popping observations from our analysis is how customer obsession dramatically alters the risk mindset of business decision-makers.
Out of seven strategic initiatives -- including “grow revenues,” “reduce costs,” and “better comply with regulations,” -- “improve the experience of our customers” is the most frequently cited priority for business and IT decision-makers over the next 12 months. When you compare those “customer-obsessed” decision-makers (i.e. those who believe customer experience is a critical priority) versus others who view customer experience as a lower priority, drastic differences appear in how they view, prioritize, and manage risk.
Customer obsession has the following effects on business decision-makers’ risk perceptions:
Risk concerns heighten dramatically across several risk types – especially reputational risk. Reputational risk concern more than doubles for customer-obsessed decision-makers, and other risks also see significant increases, including corporate social responsibility (CSR) and sustainability risk, regulatory and compliance risk, and talent and human capital risk.
Wearables are opening up exciting new scenarios for consumers and enterprise users alike, but the wider conversation on wearables has taken a privacy-oriented turn. The New York Timesand WIRED, among others, have covered the emerging privacy concerns associated with wearable devices.
Particular ire has developed against Google Glass. An online activist group, Stop the Cyborgs, opposes Google Glass and related wearables, which the organization says will "normalize ubiquitous surveillance." Stop the Cyborgs offers downloads of anti-Glass graphics for posting in public places and online to spread the message that wearables are inherent privacy violators.
In a major new Forrester report, we present data and insights to help Infrastructure & Operations professionals who are piloting or planning to trial wearables navigate the privacy waters. As a teaser, here are some of our findings:
Customers value tailored offerings. And consumers are increasingly aware of what Forrester calls the “privacy-personalization paradox” — that is, the paradox between their desire for personalization and their desire to keep their data private. A 2013 survey by Populus for Sky IQ of 3,097 UK adults found that 51% believe it is useful for brands to know some information about them, and 53% trust brands to act responsibly with their data. The same survey reveals that 79% respondents are careful about the type of information they pass to organizations, 63% worry about how much personal data they have revealed online, 48% say that data privacy is an issue they think about, and 46% do not trust social networks with their personal data.
We've been talking about Adaptive Intelligence (AI) for a while now. As a refresher, AI is is the real-time, multidirectional sharing of data to derive contextually appropriate, authoritative knowledge that helps maximize business value.
Increasingly in inquiries, workshops, FLB sessions, and advisories, we hear from our customer insights (CI) clients that developing the capabilities required for adaptive intelligence would actually help them solve a lot of other problems, too. For example:
A systematic data innovation approach encourages knowledge sharing throughout the organization, reduces data acquisition redundancies, and brings energy and creativity to the CI practice.
A good handle on data origin kickstarts your marketing organization's big data process by providing a well-audited foundation to build upon.
Better data governance and data controls improve your privacy and security practices by ensuring cross-functional adoption of the same set of standards and processes.
Better data structure puts more data in the hands of analysts and decision-makers, in the moment and within the systems of need (eg, campaign management tools, content management systems, customer service portals, and more).
More data interoperability enables channel-agnostic customer recognition, and the ability to ingest novel forms of data -- like preference, wearables data, and many more -- that can vastly improve your ability to deliver great customer experiences.
The findings presented in an article by German magazine Computerwoche published on Feb 11, 2014, are a forceful reminder that messages about excessive data capture via mobile apps seem to have gone unheeded so far. As reported, tests by TÜV Trust IT established that “almost one in two mobile apps suck up data unnecessarily”.
What’s “unnecessary” of course depends on your viewpoint: it may seem unnecessary to me if my mobile email app captures my location; the provider of the app, on the other hand, could be capturing the information to provide me with a better service and/or to make money from selling such data to a third party. The trouble is that I don’t know, and I don’t have a choice if I want to use the app. From a consumer perspective, this is not a satisfactory situation; I’d even go as far as calling it unacceptable. Not that it matters what I feel; but privacy advocates and regulators are increasingly taking notice. Unless app providers take voluntary measures, they may see their data capture habits curtailed by regulation to a greater degree than would otherwise be the case.
Let’s step back a moment and consider why so many mobile apps capture more data than is strictly speaking necessary for the functioning of the app:
Mobility is becoming pervasive in the enterprise. Smart devices, including wearables, are appearing in all sectors, both in developed and emerging markets. Businesses that fail to prepare for the mobile mind shift risk losing their competitive edge. I hope this year’s Mobile World Congress, which kicks off on February 24, will emphasize the interaction between business processes and mobility — in addition to the traditional gadgets.
I focus primarily on themes relating to the connected business and social collaboration, and I will travel to the world’s leading mobile event in Barcelona to gain new insights into several questions in these areas: