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Why your first party data should be GDPR compliant – even if you don’t operate in Europe

Posted on:
January 28, 2022

Why your first party data should be GDPR compliant – even if you don’t operate in Europe

It’s Data Protection Day, which has got us thinking about the importance of ensuring that your first party data is GDPR compliant. Data Protection Day was set up to promote privacy and data protection best practices. Aside from the obvious legal reasons (or not for those operating outside of Europe) there are many benefits to keeping your data and privacy policies in tiptop shape. So here’s why your first party data should be GDPR compliant – even if you don’t operate in Europe.

 

Legislation

Starting with the most obvious reason; For companies that operate in Europe, it’s law. If you don’t ensure that first party data in your business is GDPR compliant it could result in huge fines. If there are any data breaches / complaints from lack of consent, data protection authorities can impose fines of up to €20 million or 4 percent of worldwide turnover – whichever is higher. This equates to roughly $16,3750,000 (or more). With that in mind, it’s definitely worth keeping on top of data protection and consent within your business. 

 

IP reputation & deliverability

A slightly more technical reason, but just like the above it could have a huge impact on your business. In Layman’s terms, the likes of Gmail and Yahoo don’t want people sending unwanted email to their users. To avoid this, they have algorithms in place to detect spammy email and move it to the junk folder. If you regularly email people who haven’t given consent, this will impact your open, unsubscribe and complaint rates. This will eventually result in poor “IP reputation” and impact your “deliverability” – essentially meaning that you’re no longer able to deliver email even to those who wanted to receive it before. It goes without saying that in order to keep a solid CRM programme, you must ensure you have consent. 

 

Setting the standard

While you don’t necessarily have to follow these regulations if you don’t operate in Europe, it would certainly benefit your business to set and maintain a high standard of data protection and privacy. It’s a well-known fact that great organisation is key to the success of any business. If your business expands, your future self will thank you for keeping a solid data protection policy in place. In addition, you often find that when certain parts of the world lead with stringent laws or regulations, it doesn’t take long before the rest of the world begins to catch up. When it comes to new legislation, fortune certainly favours the prepared mind!

 

Consumer focus

This one may be an unpopular opinion within some businesses, but it’s certainly something to think about. GDPR and other data protection / privacy laws are ultimately about consent. If someone doesn’t consent to you holding onto their data, it’s better for them and you that you don’t. Not only does this demonstrate a tangible consumer focus, it also creates a level of trust between you and consumers. Trust plays a huge part in purchase decisions, so inspiring trust every step of the way can really impact conversion.

 

If you’d like some advice on how you can use sampling to generate rich first party data and marketing consent for your business click here to get in touch or check out our blog on how to acquire first party data.

About the author

Wade Frith

Wade is the Head of Growth at Sampl based in bustling London. A go-to expert in social media strategy and content marketing, he loves guiding our clients through setting up a campaign and coming up with new Marketing Strategies. You can usually find him binge-watching a Netflix reality show or listening to a vintage vinyl record.

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