If you want to find out how to manage tracking users despite e-privacy regulation and to bypass the new hurdles, keep reading.
Regulations of the e-privacy act(s)
I guess we all agree that digital advertising works the best, the more it is tailored to the user. So far, the industry has managed this successfully through opt-out solutions and the pseudonymization of data. The ‘e-privacy regulation’, however, removes the legitimacy of this process which comes into force on May 25 with the General Data Protection Regulation (GDPR). Both regulations are designed to protect the rights and data of consumers in electronic communications, whereby the e-privacy regulation supplements and substantiates the standards of the GDPR.
Consequences for user tracking
The new regulations limit the user tracking with which website operators and online marketers were able to generate relevant information about the buying behavior and the reach of their user groups. In the future, providers in Europe will only be able to track users with the help of cookies, if the user explicitly agrees to each individual data usage within strict opt-in procedures. The responsibility to prove this approval at any time lies with the provider or site operator, making target group-specific addressing much more difficult. Besides, although it is formally allowed to measure and evaluate reach, data must not be attributed to individual users, be linked through different pages, or be accessible by third parties.
Login alliances in response to the new regulations
The fact is that many companies are working with business models where the evaluation of user data plays an important role and therefore might want to consider alternative ways to continue business operations, like data or log-in alliances.
Leading companies already have been active and reacted to the new regulations by creating a transparent and secure digital standard, the single sign-on. With such a cross-platform log-in process, a vendor asks for registration and credentials, such as name and password, and upon request, the user can subsequently access the applications of all participating Internet services, manage his own data via a privacy center, and decide individually how the data can be used. In addition, data will only be shared between services and providers upon users’ explicit consent.
So far, several log-in alliances have been established that want to provide users with secure and independent offers from international providers, which includes big players, such as e.g. Allianz or Daimler, and log-in alliances are initiated via mergers.
Benefits of identity platforms
The advantage of log-In alliances is that they do not require users to re-enter or manage their data for each service, besides using a solution that complies with the law. The once assigned password can also be renewed more easily at regular intervals. Users receive personalized content that eventually interests them and get to know new internet service providers. And if many companies and partners engage in log-in alliance offerings, it not only increases the reach of the platforms, but also customer value - not only does it make the ordering process easier; the user can even still access the offer if he has not given his consent to the opt-in procedure. Meeting today’s privacy regulations with login alliances could really be a smart solution.
By Daniela la Marca