[{"@context":"https:\/\/schema.org\/","@type":"BlogPosting","@id":"https:\/\/www.the-future-of-commerce.com\/2021\/05\/20\/big-data-demands-ethical-data-marketing-cdp-for-better-data\/#BlogPosting","mainEntityOfPage":"https:\/\/www.the-future-of-commerce.com\/2021\/05\/20\/big-data-demands-ethical-data-marketing-cdp-for-better-data\/","headline":"Ethical data marketing is what big data demands: CDP for better data","name":"Ethical data marketing is what big data demands: CDP for better data","description":"The era of the privacy-first web is coming, but data isn't going away! Retailers can adapt with aggregated and first-party data \u2013\u2013CDP, or a Customer Data Platform,  protects customer data.","datePublished":"2021-05-20","dateModified":"2023-03-24","author":{"@type":"Person","@id":"https:\/\/www.the-future-of-commerce.com\/contributor\/tracey-wallace\/#Person","name":"Tracey Wallace","url":"https:\/\/www.the-future-of-commerce.com\/contributor\/tracey-wallace\/","identifier":367,"image":{"@type":"ImageObject","@id":"https:\/\/secure.gravatar.com\/avatar\/21377d3250d3cee37a219265f855ca86717424033839661349c4b6845d2250cc?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/21377d3250d3cee37a219265f855ca86717424033839661349c4b6845d2250cc?s=96&d=mm&r=g","height":96,"width":96}},"publisher":{"@type":"Organization","name":"The Future of Commerce","logo":{"@type":"ImageObject","@id":"https:\/\/www.the-future-of-commerce.com\/wp-content\/uploads\/2023\/01\/logo-foc-schema-app-1.png","url":"https:\/\/www.the-future-of-commerce.com\/wp-content\/uploads\/2023\/01\/logo-foc-schema-app-1.png","width":172,"height":60}},"image":{"@type":"ImageObject","@id":"https:\/\/www.the-future-of-commerce.com\/wp-content\/uploads\/2021\/05\/EthicalData_1200x375.jpg","url":"https:\/\/www.the-future-of-commerce.com\/wp-content\/uploads\/2021\/05\/EthicalData_1200x375.jpg","height":375,"width":1200},"url":"https:\/\/www.the-future-of-commerce.com\/2021\/05\/20\/big-data-demands-ethical-data-marketing-cdp-for-better-data\/","about":[{"@type":"Thing","@id":"https:\/\/www.the-future-of-commerce.com\/cdp-customer-data-platform-solution\/","name":"CDP: Customer Data Platform","sameAs":["https:\/\/en.wikipedia.org\/wiki\/Customer_data_platform"]},{"@type":"Thing","@id":"https:\/\/www.the-future-of-commerce.com\/cdp-customer-data-platform-solution\/cdp-customer-data-platform-general\/","name":"CDP: Customer Data Platform","sameAs":["https:\/\/en.wikipedia.org\/wiki\/Customer_data_platform"]},{"@type":"Thing","@id":"https:\/\/www.the-future-of-commerce.com\/customer-experience\/customer-data\/","name":"Customer Data","sameAs":["https:\/\/en.wikipedia.org\/wiki\/Customer_data","http:\/\/www.wikidata.org\/entity\/Q56278300"]},{"@type":"Thing","@id":"https:\/\/www.the-future-of-commerce.com\/cdp-customer-data-platform-solution\/data-privacy\/","name":"Data Privacy: Laws, Consumer Expectations","sameAs":["https:\/\/en.wikipedia.org\/wiki\/Consumer_privacy"]},{"@type":"Thing","@id":"https:\/\/www.the-future-of-commerce.com\/uncategorized\/","name":"Uncategorized","sameAs":["https:\/\/en.wikipedia.org\/wiki\/Categorization","http:\/\/www.wikidata.org\/entity\/Q5884621"]}],"wordCount":1090,"keywords":["Big Data","CDP | Customer Data Platform","CDPs for Retail","Chief Data Officer | CDO","CIAM | Customer Identity and Access Management","Consent Data Management","Consumer Privacy","SAP Customer Data Platform"],"articleBody":"Ethical data practices are going to become a standard by which companies have to move forward. Customers are increasingly demanding the security of their personal information be respected. There are countless ways to misuse digital data, and the last decade\u2019s reign of the algorithm has exploited nearly all of them.What are ethical data practices?Ethical data practices are a system by which guidelines are in place to illustrate and enforce good versus harmful use of data. It takes into account everything from:How it is collected: Confirming consentWhere it is stored: Minimize risk, prevent breach or hackingHow and why it is analyzed: Intentions should be transparentGDPR drives new standards for dataThe EU\u2019s GDPR policy measure in 2016 was the first of its kind to alert web users to the ways in which their data was being collected. For years prior, though, advocates made calls for a digital bill of rights. Most notably, Tim Berners-Lee, considered the founder of the internet, called out Google and Facebook specifically for their lack of enforcement around digital privacy rights.Now, Apple\u2019s iOS14.5 update is live and stoking fear in digital advertisers everywhere. It was predicted that at least 39% of consumers would opt-in to letting apps track them. Turns out the real number is closer to 4% in the U.S. and 12% globally.      What is GDPR and how will it affect your business?                Understanding the nuance of customer consent and legitimate interest is key to GDPR compliance. Customer consent is considered the gold standard of data collection - with good reason. A consent management platform supports compliance.      Google says its web browser update will aggregate anonymized data come 2022. It\u2019ll be a big change in how Chrome attributes third-party traffic sources.Retailers need to rely more heavily on aggregated and first-party data \u2013\u2013 ideally using CDP, or a Customer Data Platform, to protect customer data and use it ethically.What is CDP?A Customer Data Platform is a marketer-managed tool that collects customer data, creates a unified customer profile, and makes that information accessible to other platforms and tools so marketers can put it to action.In other words, it\u2019s a first-party data filing system that organizes customer personas into audiences and tracks lifecycle stages so marketers can treat those customers uniquely based on who they are and where they are in a sales funnel. The tool also protects that customer\u2019s personally identifiable information (PPI) from abuse or theft.This is the type of data CDPs collect and then use to create customer profiles and specific audiences:Behavioral data including web and mobile dataTransactional and order dataCRM & offline data sourcesProfile data provided by the customerProduct dataWhy retailers need data protection tools & an ethical data strategyThe global pandemic pushed more shoppers online than ever before, but the heyday of data collection at the expense of shopper privacy will soon be over. This is a shift for marketing and sales teams in terms of how they collect, store, and use data to win business throughout the funnel.Leading retailers around the world are already drawing their lines in the sand. As they inform existing customers of their investment in data privacy, ethical data usage, and transparent marketing and advertising practices. Take Australia\u2019s largest supermarket chain Woolworth\u2019s as an example.“Advanced analytics is key to improving the experiences, ranges, and services we provide to our customers and the support we provide to our teams and suppliers. The way we gather data, interpret it, and protect it, is becoming ever more important,” Woolworths Group CEO Brad Banducci told ZDnet after the company invested $223M in an analytics firm.Or, look at how Lush, a global beauty retailer, has extended their values around an ethical supply chain to digital ethics, as well.\u201cIf we\u2019re not happy with an ingredient supply chain, we work closely with relevant suppliers to get it right. Why wouldn\u2019t we do the same for our digital practices,\u201d reads the section of their website dedicated to their digital ethics beliefs and policies.Ethical data usage in retailAs part of Lush\u2019s digital ethics policies, their ethical usage of data includes:Encrypted and secure data storage.Data that is always available to the consumer and to those the customer has given access.And open communication with consumers about how their data is being used by their marketing team.Lush calls this a premium level of ethical data use, but it can be a baseline for all retailers with CDP and a clear marketing strategy focused on improving the customer relationship via trust and transparency.      What is the future of consumer data privacy?                Brands need to find ways to stay ahead of the wave of ongoing legislation, new rules, and compliance requirements. That includes these three moves:      Does your company have to go all-in on ethical data?Lush and Woolworths are great examples of retailers investing heavily in data collection, storage, and usage. It\u2019s impressive, and to be applauded, but every retailer can see the benefits of ethical data usage hand-in-hand with CDP.You don\u2019t have to go all-in and change your values, though there could be marketing benefits to that. Nor do you need to invest millions of dollars in an analytics tool \u2013 CDP will prepare you. Instead, let\u2019s look at one more use case, this time from the U.S. In summer 2020, the nascent swimwear brand Summersalt did something that made headlines. They launched an SMS line for customers and prospects who could text in and receive an uplifting message. It was called Joycast, and it was a hit: for PR, for sales, and for ethical data usage.This content is hosted by a third party ( player.simplecast.com ).To view the content, either update your cookie preferences or view it in a new browser window.Cookie PreferencesNew WindowReshma Chattaram Chamberlin, co-founder and chief brand and digital officer of Summersalt, told the Wall Street Journal that Summersalt\u2019s brand is meant to be joyful and sunny. \u201cWe went back to that major brand premise, then began to think about how we could in this difficult time think about bringing joy to our consumer,\u201d she said.And with customers and prospects texting in, the consent is clear, and the data is being used properly. It\u2019s a win-win for everyone, and in a time people needed it most.  Crush revenue + growth targets.Power up your competitive edge.Win customers.It all begins HERE. "},{"@context":"https:\/\/schema.org\/","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"2021","item":"https:\/\/www.the-future-of-commerce.com\/2021\/#breadcrumbitem"},{"@type":"ListItem","position":2,"name":"05","item":"https:\/\/www.the-future-of-commerce.com\/2021\/\/05\/#breadcrumbitem"},{"@type":"ListItem","position":3,"name":"20","item":"https:\/\/www.the-future-of-commerce.com\/2021\/\/05\/\/20\/#breadcrumbitem"},{"@type":"ListItem","position":4,"name":"Ethical data marketing is what big data demands: CDP for better data","item":"https:\/\/www.the-future-of-commerce.com\/2021\/05\/20\/big-data-demands-ethical-data-marketing-cdp-for-better-data\/#breadcrumbitem"}]}]