6 Data Privacy Trends To Look Out For In 2022!
Data Privacy has been a key element in the last few years in the adtech industry. With a handful of developments across the globe, the industry is facing a new regulatory landscape right now.
So, what can we expect from the data privacy landscape in 2022? In spite of the momentum, data privacy bills and amendments globally are difficult to pass and sign into law, GDPR to elevate the game while privacy spans global, preparing for privacy regulations along with a cookieless world (and companies kick the tires on alternate identifiers) remains a colossal challenge.
The regulatory action is not at par with most market changes. Many tech giants like Apple and industry groups are establishing the ground rules for consumer data privacy. Let us understand the data privacy trends in 2022.
Interesting Read: Your Ultimate Guide to Understanding the Customer Data Platform
State Privacy Legislation Continues
Well, achieving federal privacy law is most unlikely this year in the U.S. Instead, the growing “patchwork” of state privacy laws will continue. In addition to Colorado, Virginia, and California, many others are underway to pass privacy laws this session. There will be more states to contend with than now by the end of 2022.
There is an opportunity since consumer advocates, and industry representatives, want comprehensive privacy legislation. What matters is how, and what it will look like. Those sticking points must be ironed out – particularly in regards to the scope of preemption and a private right of action that will slow the process.
Co-regulation To Address Data Privacy
Self-Policing is better than no policing. Even though industry players are establishing self-regulation, they are not enough. They have not been effective and do not solve the main aim of addressing data privacy.
Gradually the tone is changing to co-regulation. Tech giants and industry groups combined with government regulations can build comprehensive consumer privacy programs to support brands’ efforts to comply with regulations. This private-public partnership can help serve the advertising ecosystem and most importantly, the consumer in the best way.
It will allow them to understand the flow of data- how to collect data, where to find it, how to use it, whom to share with, and the value of that data. This is the premise that will help companies to know those nuances and craft a solution on additional privacy requirements instead of starting from scratch each time. It will address the privacy issues without disintegrating the industry.
Time For New Solutions As Cookies Crumbles
As the cookie crumbles, companies require to determine the use of first-party data to nurture brand equity. CCPA has proposed new regulations and expressed discontent over e-mail based identifiers. This means they will be subjected to the same checks and limitations as currently placed on cookie ID’s and other identifiers.
In a cookie-less world, the companies that will focus on building brand equity to boost consumer trust. Businesses understand that poor accountability and misuse of data will stymie their brand equity and trust among consumers.
Focus On Privacy Centric Tech
The focus of 2022 will be privacy-enhancing technology. Techniques like clean rooms are here to stay as a privacy-centric tech solution. Few other technologies that are gaining popularity are differential pricing and homomorphic encryption along with synthetic data in the privacy-laden environment. As these solutions become more widely available, companies will have to understand the underlying technology and its implications before choosing which to integrate into their system.
Interesting Read: Clean Rooms Explained: How Marketers Can Prepare For Cookieless World
Big Tech And Their Stringent Policies
Big tech platforms and walled gardens will continue to roll out stringent policies for consumer privacy. However, these privacy-enhancing policies and solutions mostly benefit them . They’re focusing their applications on their consumers and the data they collect within their walled gardens. In the open web or across the ecosystem, they are not helping advertisers, publishers, developers, or consumers. Many companies are not ensuing the regulations meaningfully.
As an example, Apple started requiring opt-in consent for Apple to use data for ad personalization earlier this year, in line with its AppTrackingTransparency policies for app developers.
There are more companies offering advanced privacy solutions to consumers without attracting competition scrutiny. Recently, Twitter announced that it will not allow sharing of photos and videos without consent except for public information.
Global Privacy Wave Grows
There is a growing trend worldwide for countries to adopt some form of data privacy legislation, often using the GDPR as a model and adapting it to their own specific market. As a result of the GDPR, the EU set the standard for privacy for other countries like Canada, Saudi Arabia, and China to follow. Likewise, India is updating its privacy laws. States in the US are also attempting to tackle this issue – such as California’s CCPA. Privacy and data protection laws are likely to continue growing around the world in the coming year. If companies want to serve global markets effectively, they will have to navigate a much wider range of privacy issues than just the U.S.
In a nutshell, consumers have made it clear that they don’t want to be tracked at the user-by-user level. Global legislation will increasingly emphasize this principle. Regulatory frameworks in all markets will continue to challenge geo-location-based methods of tracking and targeting.
Interesting Read: 5 Ad Industry Trends That Are Likely To Unveil in 2022!
