\n<\/p>\n
Practical discussions about marketing technology sometimes boil down to this: \u201cHow can we collect this data on our customers without them knowing about it?\u201d\u00a0<\/p>\n
That doesn\u2019t strike me as the best way to treat people, but the alternatives are scary \u2014 either not collecting the data, or letting people know what we\u2019re doing. Egads. They\u2019ll freak out, won\u2019t they?\u00a0<\/p>\n
More on that later, but please walk with me through a thought experiment.\u00a0<\/p>\n
What if we took the bold step of being completely transparent about the data we collect? What would that look like? I\u2019m not saying it\u2019s possible, or even that it\u2019s the right solution, but let\u2019s think about it.\u00a0<\/p>\n
In 2019, and again in 2023, Pew Research found that Americans are concerned, confused and upset about how their data is being collected<\/a>. While much of their ire is directed toward social media companies and the government, only one in five \u201care confident that those who have their personal information will treat it responsibly.\u201d <\/p>\n There\u2019s a temptation in the martech space to shrug off those concerns. \u201cThey\u2019ll get over it.\u201d Or, perhaps, \u201cWe\u2019re not as bad as or no worse than the other guy.\u201d\u00a0\u00a0<\/p>\n If we told customers how much data we actually collect on them, they would probably be angry, feel betrayed and lose some trust in us. We can put off that day of reckoning, but the problem is only going to accumulate, and when the truth finally comes out \u2014 as it will \u2014 the anger and sense of betrayal will be even worse.\u00a0<\/p>\n How long would that initial, shocked reaction last? Would it result in disgust and rejection, or might it morph into a feeling of relief that someone was finally straight with them?\u00a0<\/p>\n Dig deeper: U.S. state data privacy laws: What you need to know<\/a><\/em><\/strong><\/p>\n I don\u2019t want to overstate my case. Every good marketer knows that what someone says <\/em>is not a good measure of what they will do<\/em>. When we watch the actual behavior of consumers, they continue to use websites even when they know their data is being hoovered up by half the world. Many consumers simply admit defeat and say privacy is a thing of the past. A Deloitte article<\/a> from 2021 makes this point well.<\/p>\n Still\u2026 Just because people are willing to put up with something doesn\u2019t mean they like it, and it certainly doesn\u2019t mean they wouldn\u2019t prefer something else. Is there another option?\u00a0<\/p>\n Let\u2019s imagine a company that decided to go the other way. It only wanted to collect information with the full knowledge and consent of its customers. How would they do that?\u00a0<\/p>\n Most of the time, systems are built for the needs of companies, then privacy concerns are reluctantly and somewhat awkwardly bolted on after the fact \u2014 often with reluctance and a sense of \u201cHow much of this do we really have to have?\u201d\u00a0<\/p>\n What if privacy was the default setting, rather than something you had to opt into? What if consumers could see how their data was being collected and used? What if the bargain was explicit?\u00a0<\/p>\n The \u201csneaky data collection regime\u201d we live in today is a consequence of the way the internet was envisioned and built from the beginning \u2014 on the assumption that it should be free. I remember those days. There was a prevailing attitude that \u201cinformation wants to be free\u201d and that everyone had a right to be anonymous.\u00a0<\/p>\n Ads are the most convenient way to fund such a system, so advertising technology ruled the web. Data geeks rose to prominence and advertising technology got increasingly invasive as companies found more ways to monetize consumer information.\u00a0<\/p>\n Now, everyone assumes that the internet should be free. Consumers often think they should get email, chat, video and all sorts of services \u201cfor free\u201d \u2014 without thinking too much about what that means. Most people seem to believe the price they pay for these \u201cfree\u201d services is a few annoying ads. They have no idea that ads are only the tip of the iceberg.\u00a0<\/p>\n The internet isn\u2019t free, we\u2019re just paying for it with different types of currency: Attention, for sure, but also with private details about our lives. The people who collect that information desperately don\u2019t want us to know everything they collect and know about us.\u00a0<\/p>\n We don\u2019t have to be sneaky about this. When you go to a timeshare resort for a \u201cfree\u201d weekend, you know that you\u2019re paying for it by sitting through the 90-minute sales presentation \u2014 which always manages to run three hours.\u00a0<\/p>\n The point is not that the timeshare industry is an example of moral virtue, but there\u2019s a certain honesty to that transaction. You\u2019re getting a couple days at the resort so they can try to sell you some real estate.\u00a0<\/p>\n Why can\u2019t we do that with data?\u00a0<\/p>\n Dig deeper: 3 strategies to navigate change as digital privacy evolves<\/a><\/em><\/strong><\/p>\n The EU, California and some other jurisdictions are trying to force transparency and data accountability onto reluctant industries. These efforts are essentially comedy and farce because the legislators are completely out of their depth and don\u2019t understand the technology they presume to regulate. We end up with these ridiculous \u201caccept cookies\u201d pop-ups, which comply with the law, but haven\u2019t fixed the problem \u2014 which is that consumers should have a right to control how their data is used.\u00a0<\/p>\n Yes, I can hear the complaints.\u00a0<\/p>\n \u201cIf they actually valued their privacy \u2014 if they really cared about this \u2014 they\u2019d click the \u2018manage cookies\u2019 option and decide how their data is used.\u201d\u00a0<\/p>\n No. First, most sites don\u2019t have a \u201cmanage cookies\u201d option \u2014 it\u2019s just accept or don\u2019t \u2014 and we\u2019re presenting them a choice that reminds me of something from \u201cThe Hitchhiker\u2019s Guide to the Galaxy.\u201d\u00a0<\/em><\/p>\n \u201cAll they have to do is file a form in triplicate and present it to the commissioner on the second Tuesday of each month between the hours of 10:00 and 10:20.\u201d\u00a0<\/p>\n Nobody believes the \u201caccept cookies\u201d regime is reasonable or consumer friendly, and just because it\u2019s technically possible to do something doesn\u2019t mean you\u2019re giving your customers a legitimate choice.\u00a0<\/p>\n I understand there are perfectly legitimate reasons to collect consumer data. That doesn\u2019t mean it\u2019s OK to collect that data without people\u2019s consent.\u00a0<\/p>\n The question behind this lengthy thought experiment is whether it\u2019s possible to reconcile\/harmonize the business need for data with the customers\u2019 preferences for security, privacy and autonomy. There\u2019s no way to answer that question right now because not enough businesses have tried it.\u00a0\u00a0<\/p>\n Life is complicated and chaotic, and nothing so socialized and unstructured as people\u2019s online behavior can be solved by a group of well-meaning experts. The \u201cinvisible hand\u201d has a curious backswing. Things need to be tested and proved in the real world \u2014 not dreamed up on a white board \u2014 and it\u2019s often difficult to predict what will come out on top.\u00a0<\/p>\n I am not advocating some top-down, bureaucratic or legislative solution. Nevertheless, I believe we need to work toward transparency and trust.\u00a0<\/p>\n Here are two practical things companies can do to start that process.\u00a0<\/p>\n Explain yourself<\/strong><\/p>\n Create a company value that says before you collect any information from a customer, you write an explanation for why what you\u2019re doing is in the customer\u2019s best interests. In some imaginary, ideal world of perfect transparency, you would also publish this value on your website. For now, let\u2019s just work on changing the mindset. The discipline of writing those explanations will nudge things in a better direction.\u00a0<\/p>\n Work toward fixed terms and conditions\u00a0<\/strong><\/p>\n Just as \u201caccept cookies\u201d is nonsense-level consent, \u201cagreeing\u201d to terms and conditions is a farce. Nobody reads them, and few who read them understand them.\u00a0<\/p>\n There needs to be something like standard terms and conditions for a website. Perhaps there would be a few variations, so that on one site you\u2019re agreeing to the Geneva protocol, and on another you\u2019re agreeing to the Las Vegas protocol. In that world, people could get a general understanding of what the terms and conditions mean. The evening news could explain it. Podcasters and YouTubers could dig into the details. We could develop something like informed consent.\u00a0\u00a0<\/p>\n As it stands, where every site has its own custom T&Cs, nobody is informed and nobody really consents.\u00a0<\/p>\n I don\u2019t want to overplay my hand. I can\u2019t say the current situation is untenable because it seems to be \u201cworking,\u201d at least in some sense. But at what cost? It\u2019s breeding a culture of mistrust, the loss of personal privacy and a kind of sneakiness that doesn\u2019t seem healthy.\u00a0<\/p>\n Is there another way? I hope so, and I believe it\u2019s worth aiming in that direction.\u00a0<\/p>\n Did deeper: Navigating personalization vs. privacy: 3 tips for delivering win-win customer experiences<\/a><\/em><\/strong><\/p>\n <\/p>\n \n<\/div>\n Contributing authors are invited to create content for MarTech and are chosen for their expertise and contribution to the martech community. Our contributors work under the oversight of the editorial staff<\/a> and contributions are checked for quality and relevance to our readers. The opinions they express are their own.<\/em><\/p>\nWhat people say about privacy vs. what they do\u00a0<\/h2>\n
What would it be like to collect data with full knowledge and consent?<\/h2>\n
Privacy by design<\/h3>\n
The \u2018free\u2019 internet\u00a0<\/h2>\n
Your \u2018free weekend\u2019 at the beach<\/h3>\n
Consent management\u00a0<\/h2>\n
We\u2019ve giving them a choice!\u00a0<\/h3>\n
Consumer data is a necessary part of our revenue structure\u00a0<\/h2>\n
Two small steps in the right direction<\/h3>\n
Conclusion\u00a0<\/h2>\n