Many companies, especially large enterprises, have been misusing customer data from the early days of the Internet up until recently. Throughout the years, users have become more privacy-savvy, and noble individuals have started to recognize the problems with gathering user data without one’s consent.
A solution to stop companies from exploiting user data was the adoption of regulations such as GDPR and CCPA. They established a set of rules and guidelines for gathering user data. To “motivate” companies to adhere to them, they’ve imposed costs that range from more than a billion all the way down to 600 Euros.
There isn’t a company that’s too small to be fined for misusing customer data. Even if these companies could legally avoid fines, it’s still not ethical to harm one’s privacy. This article takes a look at some of the key ways in which you can manage user consent and avoid breaking these guidelines.
User consent explained
User consent is the process of the user giving the company explicit permission for them to use their data. The permission includes:
- Collecting,
- Processing,
- Using data
Not all companies are using data for the same reason, nor in the same way. This is why it’s important to notify the users how is their data going to be handled. The consent must be obtained in a clear way, without any ambiguities.
You can’t obtain user consent by asking the user about their age and then continuing to collect information about their location and name, for example. Consent includes giving users a choice about what data they want to give to the company and providing them with a choice to reject all cookies.
If the consent isn’t given by providing the user with a choice, then it’s not freely given, and it’s considered invalid. Furthermore, users have the right to give consent and then withdraw it at any given time.
There are multiple types of consent as well, these include:
- Informed consent,
- Explicit consent,
- Implied consent,
- Active consent,
- Passive consent,
- Opt-out consent.
Each of these types of consent is given under specific circumstances. For example, implied consent is acceptable for surveys and research studies, yet it can be considered a privacy intrusion if you’re trying to apply it to business or marketing purposes.
Importance of user consent
There have been many incidents in which companies have intruded on users’ privacy and misused data. To protect individuals against problematic businesses, the European Parliament adopted a regulation that’s called GDPR.
This has been one of the most important documents in terms of online user privacy. Soon after its adoption, we saw a trend around the world where different countries and alliances adopted similar regulations.
User consent is important because you’re eligible to suffer significant fines if you fail to adhere to the regulations that apply to your business. These fines can lead to bankruptcy, but even if they don’t, it’s likely that these incidents can deal significant blows to your reputation.
Furthermore, companies that give extra attention to user consent are building trust between them and their customers. Trust is essential if you’re looking to establish long-term relationships with your customers.
However, besides the various benefits from the business aspect, proper user consent management is what’s ethical and right. Treating your customers and their data with respect and care about their privacy is an ethical obligation.
In the end, you’re making a positive impact by showing how should the users be treated and respected. Although it can be costly at first, making user consent a priority can lead to long-term business success by building a great reputation which will attract new customers and users.
Ways to manage user consent
There are numerous ways to manage user consent and go about data collection. Many of the practices are even outlined in the relevant documents such as GDPR. However, there have been also innovative ways of conducting user consent.
You can use specialized software to alleviate your company’s workload and to keep up with the regulation updates. On the other hand, there are proven ways and mechanisms. This list will give you an idea of how to manage user consent in a compliant yet effective way.
Using specialized platforms
With the rise of a certain problem, new methods, and software to solve it soon follow. Although you can manage user consent and gather data through traditional systems, and alter it accordingly, you can also use specialized services.
Instead of manually tracking consent and keeping records, you can rely on a cookie consent management tool. These platforms can help you automate collect consent data when users interact with your application or a website.
Furthermore, it can automate the process of user consent withdrawal. Of course, you can continue handling user consent data manually, and there’s nothing wrong with this, but such platforms can give you time to work on other aspects of your business.
We’ll get into keeping up with regulations later, but these platforms offer you a benefit in this context as well. Instead of having a legal team to track and update your processes in order to stay compliant, these platforms do this automatically.
Cookie consent platforms can also help with creating banners. Instead of requiring your UI/UX team to change the banners, you’ll have a platform that will allow even those with less design knowledge to make changes without breaking a sweat.
Opt-in mechanisms
Assuming consent is a violation unless you’re conducting anonymous surveys for academic purposes. You need to have opt-in mechanisms that will ensure that your customers choose to give you their data.
To make these mechanisms as effective as possible, design understandable forms and banners. Furthermore, you can double-check the user’s consent by sending them an email to verify it. This is incredibly important if someone has a shared computer or an account.
Keeping up with regulations
Your company must stay continuously compliant with regulations. If you’ve been compliant with a certain document in 2021 and 2022, and a sudden change happens in 2023, you’re still making a violation.
This is why it’s important to conduct regular audits and review your data practices. One way to go about this is through previously mentioned cookie consent management tools and platforms, or you can rely on a team of legal experts or consultants.
Compared to cookie management platforms, legal experts can be more helpful if you’re company is operating in a specific industry or has unique processes.
Thought-out UI and UX design
It’s not according to the regulations to obtain user consent in a tricky way. You need to use clear and concise language. Furthermore, you must use simple English that everyone understands if you’re operating internationally.
The cookie banner, or the form where one would leave their data, needs to explain what data is collected and why in a transparent and straightforward way. Your UI and UX designers need to be met with the compliance regulations and to make banners and forms in accordance with them.
Regular refreshers
Just like regulations can change on a monthly basis, your company’s data-gathering policy can change as well. In situations where you’ve made changes to the privacy policy, you need to notify your users.
Furthermore, it’s advised to regularly check whether your users are still consenting to leaving their data in your hands. These reminders can be followed with a prompt to review their decisions, make changes, or leave them as they are.
Granular consent options
Users should be able to customize which information they’re comfortable with sharing. However, they also need to be able to decide whether they want their data to be used for marketing, research, or other reasons.
Granular consent options give additional power to the user, allowing them to specify their preferences in even more detail. This is a great way to enhance transparent practices even further.
User consent is essential for protecting your business
Businesses that care about their customers are always ahead and more reputable. In today’s landscape, one of the best ways to show that you care is through a careful approach to data collection and user consent.
With a small button that says “Reject cookies,” once a user visits your page, you’re already showing incredible responsibility. Adhering to data regulations is a must. However, you’re also building trust between you and your customers and improving your reputation.
Proper user consent management can also give you a competitive edge. Imagine if you’re one of the few companies in the industry that’s known to care about user data. It’s likely that, in the case that your competitors suffer fines or get exposed, customers will choose your services over theirs.