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About Marketing and customer privacy and consent with GDPR

GDPR Privacy and Consent

We get to work on the marketing side of management consultancy, more than any other aspect. About growth, and change for a better customer offering and experience. Our team is made up of classically trained marketers. We bring a healthy respect for the 1998 Data Protection Act, which was a catch up on the EU Data Protection Directive of a few years earlier. You know where this is heading. Europe and the General Data Protection Regulation.

What has the EU’s GDPR got to do with you? Well, a lot, if you maintain and process records of personal and customer data.

GDPR is a big change for marketers, and our work over several years with the Information Commissioner’s Office (ICO) gives Quadrant a heads up on what it means for marketers. Big data now coincides with big accountability, meaning there are big risks. Let us share a heads up with our readers, many of whom are waking up this New Year to GDPR.

GDPR actually is a Game Changer

Let’s put the risk in scale; likelihood = low for GDPR minded folk, liability = extreme, if not.
For example, TalkTalk had a sizeable £400,000 ICO fine around insufficient protection of customer data, in October 2016, since fixed. Any organisation in serious breach of GDPR after 2018 faces a fine of ‘4% of global turnover’. For the most serious violations of the law, the ICO will have the power to fine companies up to twenty million Euros or four per cent of a company’s total annual worldwide turnover for the preceding year. (source: ICO – Will GDPR Change the World? 25 May 2017)

The Information Commissioner, Elizabeth Denham, delivered a speech recently on GDPR and accountability. It included plenty of good tips and a few ‘critical friend’ observations too;

“There’s a lot in the GDPR you’ll recognise from the current law, but make no mistake, this one’s a game changer for everyone.”

Consenting Adults

There are already a huge number of articles and guidances on GDPR. On that, our advice would be to stick close to, and engage with, the ICO and their free half day briefing events.

Let’s just focus on one aspect here, with thanks to the ICO for their plain speaking notes.

The GDPR has references to both ‘consent’ and ‘explicit consent’. The difference between the two is not yet clear given that both forms of consent have to be freely given, specific, informed and an unambiguous indication of the individual’s wishes. We’d say ‘assume explicit’, in your own planning, until the tiers become better defined.

For marketers, consent under GDPR requires some form of clear affirmative action. Silence, and the fall back of pre-ticked boxes or inactivity does not constitute consent. You have to be able to verify it, and this means that some form of record must be kept of how and when consent was given. Many CRM systems will need an overhaul, and probably a data refresh. Also, individuals have a right to withdraw their consent at any time, and they will.

Where you already rely on consent that was sought under the DPA or the EC Data Protection Directive (95/46/EC), you are not required to obtain fresh consent from individuals if the standard of consent meets the new requirements under the GDPR. And here is our second top tip – appoint your Data Protection Officer (DPO), as a focus on risk. That in itself does not relieve the organisation wide responsibility, but an in-house responsible person helps.

Reasons to appoint your DPO?

  1. Your data processing operations require regular and systematic monitoring of data subjects (personal information) on a large scale, or
  2. You conduct or instruct processing of a large bulk of special categories of data (i.e. health, religion, race, sexual orientation etc.) and personal data relating to criminal convictions and offences.

The recruitment fees for DPO’s with sector sensitivity will jump, so be prepared.

Leaving Europe but not leaving GDPR

Just as our own Data Protection Act followed the earlier EU Directive, so will our organisations that come under GDPR become enforced by those provisions. Large and international brands already attract and process customer information across EU borders. The GDPR applies across the UK from 25th May next year, 2018. The government has confirmed that the UK’s decision to leave the EU does not affect the impact of the GDPR.

Marketers planning for Brexit have now just gained a New Year’s resolution for 2017. Get well ahead of GDPR, get in touch with your customers if you need to be assured of adequate consent, and appoint your Data Protection Officer.

Incoming – Consent Mailings by the Dozen

A final tip is put yourself in the place of your own customer. Our prediction is that most will be mailed with a direct marketing designed sequence of engagement and enrolment into explicit consent. From polite early permission seeking, to more pointed mailings, or incentives. Once the early consenters are gathered, new forms of motivation will be needed for organisations to be sure their databases are compliant, or limit their use, or risk that fine.

Many of us have four or five dozen organisations that process our data, currently DPA compliant. Think of that. ‘Incoming’ from 50 odd mailers over the coming year, multiplied by the number of times each may need to contact us? Several hundred individual interactions with any one customer, and any one might generate consent, or alienate and lose one.

Our last advice – do it well, and do it early. Quadrant is already getting ahead with our clients, on what to say or mail and when. Do get in touch if you want help.

Maybe we leave the last words to the Information Commissioner, Elizabeth Denham, who put customer trust into perspective, about how to avoid the wrong sort of surprises.

“Isn’t having customers’ trust a cornerstone to good business? Isn’t that intangible relationship with customers: loyalty, trust, repeat customers, something most companies want?”

Quadrant neither condones nor encourages the placement of padlocks on public bridges

Planning: Expecting the Unexpected

Planning - expect the unexpected

I had a pleasant surprise on my first day at ‘proper’ work after college (I’d joined Gillette on a graduate entry scheme). We were all given a large pay rise from the graduate offer – in my case, more than 35%; and we were told that our pay would be increased each month in line with inflation.

Yes, you’ve guessed it I started work in the mid 70’s, when inflation was more than 2% a month in the UK. Difficult to credit now, or to imagine that those days can ever come around again. But, it’s very easy to forget the lessons learnt in that period, and to assume that current experience is the norm.

Which leads me on to the point of this blog: how do you get strategists and planners to genuinely think the unthinkable when they are considering the future, and where to go with their business? It’s difficult not to be driven by two main factors when considering the future; extrapolating current trends, or calculating the impact of an impending – but predictable – big event.

At the moment then, many business strategists will be considering where digital technology takes us, and working out the possible impact of Brexit – which, it is clear, is of global significance. These are important – but they don’t fully allow for the consideration of the truly bizarre ‘what if’ scenarios, which may be unlikely but which genuinely can change everything.

The biggest single ‘event’ of my working life was the collapse of the Warsaw Pact in 1989, and the subsequent breakup of the USSR in 1991. The aftershocks of this seismic event will continue for years, and have had profound effects on every organisation we have worked for since that time. My guess is, however, that few organisations outside a select few sectors, such as defence, made any assumptions about the events of 1989 when they produced their strategies and plans in 1988.

Planning, and planning assumptions, always sound like one of the drier parts of business. In fact, they should draw on, and benefit from, the best brains, and seek to equip organisations with the greatest of planning gains – sustainability. We may not be in for another seismic event like 1989 in the next few years, but I hope you’re including in your planning the likelihood and impact of a new leader in North Korea, the end of the Syrian Civil War, and England winning the European Championship! (only kidding about the last one!)

New Day – How Not to Launch a Product

New Day Logo

Does anyone still remember New Day? I wouldn’t be surprised if you didn’t.

Sadly, for those of us who value media diversity, the latest addition to the newsstand, New Day, lasted just nine weeks and will be quickly forgotten.

One school of thought says that this was inevitable. The UK’s universe of newspaper buyers has shrunk by a million since online news and news apps established themselves. So launching a new print title was high risk. I would have to agree, it was always going to be tough.

However, Trinity Mirror – the publishers – managed to make their task even more difficult by the way they chose to launch and manage their new title. Let’s draw some value from the whole awful experience by observing and learning from some ‘how not to’s’ when launching a new product.

  1. Pick a weak name. Basically, New Day doesn’t sound like it’s a newspaper – it would (and has been) applied in a number of sectors. It would be easy to see it on a shower gel, breakfast cereal, or deodorant. We have a client which recently rebranded itself as ‘New Day’: it runs a credit card business.
  2. Don’t pre-sell. New Day arrived as a surprise to many, particularly its target customers. Where were the previews, soft launch, PR announcements, celebrity columnists tweeting about it, pre-launch advertising. Didn’t spot them.
  3. Confuse your customers and the trade. Provide the first edition for free, then go up to 50p, then occasionally drop back to 25p. Price in the newspaper world is a clear signal of where you stand – so where was New Day?
  4. Create a major structural disadvantage. New Day was printed on the Daily Mirror presses, and had to finish the print run before the Mirror started. In a world where the latest news is a critical issue on the newsstand, looking like last night’s paper every morning isn’t sustainable. On Tuesday 3rd May New Day was the only paper in the UK not to feature the Leicester City story on the front page; they’d gone to print long before the story happened.

When you write a marketing strategy, you’re required to focus on four things, and identify an advantage for each – particularly for a new product. It’s an impressive fail that Trinity Mirror managed to create a disadvantage in three of them.

  • Product – early print deadline
  • Price – what will it be tomorrow?
  • Promotion – awful branding, surprise launch

In retrospect, maybe nine weeks’ life was not that bad!