Positive Thinking About GDPR

Companies may not be as clueless about GDPR as we have been led to believe. 

A SaleCycle study shows that 84% see the law as a positive development and that the same percentage believes the rules have led to more engaged subscribers, according to a report on Friday in The Drum. Only 16% see GDPR as negative. 

That doesn’t quite square with a recent survey by Capgemini Research Institute, which shows that only 28% of European firms have achieved full adherence with the law that took effect in May 2018. U.S. brands are actually more compliant. 

On the other hand, compliant firms say they are enjoying improved customer trust, brand image and employee morale, Capgemini reports. In addition, they have benefitted from improvements in their IT systems and cybersecurity practices.

Let’s assume the SalesCycle poll is accurate. Of the companies surveyed, 80% use email marketing the same as before, 12% have reduced their email and 8% are using it more.

Drilling down, 76% have changed how they ask for marketing consent. For example, 32% now focus on explicit consent, while 26% have enacted a stricter opt-in process and 21% have added check-boxes.

Predictably, 82.4% of companies have changed their consent methods, versus 62.5% outside of Europe.

Of those that see GDDP as a negative, 67% feel it is an annoyance that may deter subscribers.

Of the positive respondents, 29% say GDPR is resulting in a more engaged database. 

Meanwhile, in other GDPR-related news, Lexology reports that the Conference of the German Data Protection Authorities (DSK) has agreed to a new model for calculating GDPR fines.

If the model is adopted, it “will likely lead to fines that frequently approach the maximum limits,” Lexology writes. 

There are four main changes:

  • Turnover-based calculation of the daily rate — Authorities can estimate the rate by dividing the aggregate global turnover by 360 days.
  • Determination of the “regular fine corridors” and the median fine value — this essentially measures the magnitude of the offense.
  • Classification of the specific GDPR infringement — this would consider the nature of the offense and its consequences.
  • Percentage changes, further consideration of the fine — authorities would analyze criteria such s intent or negligence, mitigation and the degree of responsibility

Lexology predicts litigation over the new rules.

Still feeling sanguine about GDPR?


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