WARNING: Is GDPR the next PPI?

A very real question in our opinion. Look at the GDPR and you will see that not only are the fines devastating but the compensation claimable is borderline insane.

Don’t get me wrong, we are all sick of spam email, stolen identities, misappropriated funds and so on. But spare a thought for the victim of the crime. In this example, a small company. It gets hacked and its data is stolen. For being the victim, it gets fined after having to voluntarily report itself. Then to add a final blow, those whose data is stolen are entitled to compensation even if there is no utilisation of the data or loss.

How businesses will survive after such an onslaught is beyond us. Not only the fines and the compensation but you also have to deal with the costs and reputational damage.

There is not one cloud hoster or software provider that will guarantee 100% security and the ethical hackers we know would laugh if they did.

The result of all of this is that the timing could not be better for the claims management companies. PPI comes to an end in 2019. By then there will be an explosion of new vultures circling. We are going to be hearing “have you had your data stolen, you could be entitled to compensation blah blah blah…” a lot.

As to whether hackers will commit their crimes and then sell the fact of the hack to individual claims management companies (to be first on the list to market claims) is not as far fetched as it sounds…watch this space.

WARNING: Is GDPR the next PPI?

A very real question in our opinion. Look at the GDPR and you will see that not only are the fines devastating but the compensation claimable is borderline insane.

Don’t get me wrong, we are all sick of spam email, stolen identities, misappropriated funds and so on. But spare a thought for the victim of the crime. In this example, a small company. It gets hacked and its data is stolen. For being the victim, it gets fined after having to voluntarily report itself. Then to add a final blow, those whose data is stolen are entitled to compensation even if there is no utilisation of the data or loss.

How businesses will survive after such an onslaught is beyond us. Not only the fines and the compensation but you also have to deal with the costs and reputational damage.

There is not one cloud hoster or software provider that will guarantee 100% security and the ethical hackers we know would laugh if they did.

The result of all of this is that the timing could not be better for the claims management companies. PPI comes to an end in 2019. By then there will be an explosion of new vultures circling. We are going to be hearing “have you had your data stolen, you could be entitled to compensation blah blah blah…” a lot.

As to whether hackers will commit their crimes and then sell the fact of the hack to individual claims management companies (to be first on the list to market claims) is not as far fetched as it sounds…watch this space.

As if GDPR wasn’t enough!

Our friends in Europe are continuing to add more and more red tape burdening businesses.

+ Red tape = Increased Costs = reduced profits

Take a look at the proposed Proposal for a Regulation on Privacy and Electronic euCommunications by clicking here. A good article supporting this topic is available from Marketing Week. Click here to view it.

As we all scramble to deal with the implementation of GDPR, we are likely to see yet more legislation on privacy. This time specifically relating to cookies. Marketing week point out the impact could be:

1) If lots of people choose not to opt in, this could massively reduce the ability of programmatic advertising to reach specific audience segments.

2)  This could mean that advertisers have to think about shifting their digital ad spend into the small number of channels such as Google and Facebook that can continue to leverage user data via consent as part of the log-in process. This would reduce the pool of publishers and potentially drive up costs as data comes at a premium.

3) This could also affect tracking that is used to develop more personalised and tailored experiences on brands’ digital platforms. Although the draft texts include some exceptions, for example tracking necessary to provide the service, the user experience could be impacted.

Most importantly it is being proposed that the actual browser settings should control the use of cookies when the software is actually installed as opposed to individual sites having pop-up banners to opt in.

As to whether total control and power of the internet is being handed to the behemoths such as Google and Microsoft remain to be seen…