by Malcolm Duckett, VP Operations, Speed-Trap.

Nobody knows for sure what the EU legislators are planning with the potential revision to EU Data Protection laws, but what we do know is that the UK Home Office is in the process of revising the Regulation of Investigatory Powers Act, which allows communications to be intercepted. It extended a deadline for consultations on the Act into the middle of December, following an EC ruling that, contrary to European law, Britons have no legal redress if they feel their communications, including their use of websites, have been wrongfully intercepted. This against a backdrop of hysteria around the increased power of the imminent HTML5 that will allow websites to collect more data, even though this is already being done through advanced cookie technology. Such legislative changes are likely to have dramatic effects on the data-reliant marketing industry.

However, amidst the furore, a crucial point has been missed: the online marketing industry can actually take matters into its own hands. If we show we have our house in order, the British Government will have a greatly reduced requirement to enforce new Directives and bring in draconian measures. Here, we can take a leaf out of the UK drinks industry’s Portman Group which proactively educated consumers and retailers about the dangers of irresponsible drinking and won universal praise while keeping its future in its own hands.

So what can the diverse digital marketing industry do? To sum it up in one idea: be part of the solution, not the problem. Your site needs a privacy policy you would be happy to see printed on the front page of The Sun. If you are transparent about how you collect and use customer data and how insights are shared with third parties, you probably have little need for concern.

The ultimate question all online brands need to be asking themselves is whether consumers will accept what is happening with their data and whether this engenders brand loyalty. Trust is the key issue here. If you think the trust consumers place in your brand when they browse your websites and pass on private information is met with respect and that visitors can see this through a transparent, clear privacy policy, then probably all is well.

However, if you feel there are elements of your activity you would rather not shout about, then now is the time to look at data protection. Personally, I think many consumers are spooked by how sites share users’ browsing information through advertising exchanges – or they would be if they knew the full story. Some brands think it’s perfectly reasonable to follow a person on to a third party site and retarget them. Many publishers offering behavioural (re)targeting would no doubt agree.

I’m not sure this feeling would be shared by consumers if those brands / publishers outlined exactly what information they share and how cookies identify an anonymised person’s interests and browsing history. It may seem simplistic but I believe many people are fine with a site they use remembering their preferences and suggesting good, relevant offers in the same way they are happy for their corner shop to remember which newspaper they take. But what if the same corner shop offered you, on a personally targeted basis, cream or ointment for the rash the local GP told them you had?

Explain very clearly and openly through your privacy policy that this is what you do, and all should be well – you have been clear and told people what they can expect and they can make an informed choice. However, if this is not made clear, then the entire industry cannot be surprised if legislation is handed down to make the process more transparent.

The way some behaviourally targeted adverts are marked with a symbol which can be clicked on for further information on how the person was targeted and how they can opt out is a good start. Hopefully this will be expanded upon when the IAB formally launches a formal scheme to do just this. Combined with clear privacy policies, this could show regulators that the digital marketing sector is taking its responsibilities very seriously. It is only by the entire industry taking it upon itself to act in a reputable manner and by treating data with the respect it deserves that digital marketers can do what the drinks industry has done and take its future into its own hands.