The global privacy landscape is constantly evolving. It leaves companies and privacy professionals with the tough challenge of ensuring that their current systems and processes can keep up.
This article covers 5 key privacy trends you need to keep an eye out for in 2023, plus strategies that you can use to enhance your privacy processes and prepare for the future.
1. Data localisation laws are increasing
Data localisation laws are becoming the norm across the world. They are a set of regulations for storing and processing data in the same country as it was originally collected. In fact, studies predict that by 2024, 75% of the world's population will have privacy laws protecting their data. While the UK doesn’t have data localisation laws in place, it has stringent regulations governing international data transfers.
However, if you are a company that engages in international transactions, you may have to comply with different data privacy laws in other countries. This can already be observed with China’s Personal Information Protection Law (PIPL), which requires companies that collect data about Chinese citizens to store that data in China.
2. Artificial Intelligence (AI) laws are becoming more prominent
The EU Artificial Intelligence Act is set to be introduced. This law will categorise AI applications into three risk categories and will apply to manufacturers of connected products. The three categories are:
- Unacceptable risk - This includes software like social scoring apps that are used by the government. These apps will be prohibited.
- High risk - This includes tools like CV assessment software. These will be closely monitored.
- Low risk - These are all other apps that the AI Act doesn’t explicitly address.
3. Cross-border data transfers require stricter regulations
Companies must follow cross-border privacy guidelines when transferring data to a third country from one country to another. In the UK and the EU, this means international data transfers to third countries can only take place under specific conditions and safeguards.
These include Binding Corporate Rules (BCR), which apply to multinational companies and their internal data transfers, and Standard Contractual Clauses (SCC), which are contract clauses pre-approved by the European Commission.
Based on the SCCs, EU companies need to conduct Transfer Impact Assessments (TIAs) to make sure the data importer in the third country they are transferring data to has sufficient data privacy controls in place.
4. Companies are likely to reduce their use of third-party cookies
Consumers demand greater privacy (Including transparency, choice, and control over how their data is used), and the web ecosystem needs to evolve to meet this increasing demand.
This trend has led to the end of third-party cookies. Instead, by the end of 2023, companies may have to rely on first-party data (data they have collected directly from their consumers) for marketing purposes.
5. Managing data privacy via a centralised user experience has become more important
Recent changes to the UK GDPR have given consumers more rights over their data. They have higher expectations for transparency around how their data is used. These concerns have brought about a need for a centralised privacy user experience (UX) to manage data better.
Combining web privacy features, like notices, cookies, consent management, and handling of subject rights requests (SRR), into one self-service portal makes things easier for key stakeholders, customers, and employees. It also saves time and money.
Developing strategies that align with these trends can help you stay on top of your privacy game. Let’s look at a few strategies you could implement in your company.
What are some privacy strategies to implement in 2023?
Before you look at updating your privacy strategy, it’s essential to understand how your company currently complies with laws and regulations and manages and collects personal data.
Once you understand where you currently stand in terms of privacy and any possible gaps, you can create a personalised strategy that works for your company and your privacy goals. Based on the trends we covered in the article, here are 3 key strategies you can implement in your company to stay ahead.
Check out: 10 Data Privacy Tips for Your Business
Strategy 1: Create a centralised data management system
Laws and regulations can alter how data is managed, retained and accessed. By implementing a centralised data management system like an ISMS, you can:
- Maintain effective information security controls by continuously examining the activities you conduct.
- Ensure that your company complies with all national regulations, not only GDPR.
- Gain new business opportunities by proving that you take information security seriously and follow best practices.
Strategy 2: Operationalise privacy
Operationalising privacy requires you to convert paper policies into proper procedures and processes. The best way to do this is through a rules-based system. A rules-based system is an automated system that can:
- Store, sort, and change data based on human-made rules and enable automated actions based on your company’s policies.
- Alert you to violations, expiration dates, and other problems and fix them for you automatically.
- Minimise human errors and handle large amounts of data accurately.
Strategy 3: Be transparent and give more control to your data subjects
In today's privacy landscape, it's important to set up systems that allow you to get consent from consumers before collecting their data and ensure that you only collect the data that you need. To do this, you can implement:
- Consent management – Allowing your customers to choose whether they want to get newsletter/ updates
- Preference management – Enabling your customers to choose how often you may contact them and how you can reach them.
- Cookie managers – Allowing your customers to choose whether or not your company can store their data.
How can DataGuard help you stay up to date with privacy trends?
DataGuard’s Privacy-as-a-Service solution combines the best of both worlds: support from privacy experts plus a web-based privacy platform. It enables you to
- Boost customer trust through transparent privacy practices,
- Use process-driven solutions to manage privacy tasks,
- See faster growth with potential business partners and investors.
Are you interested in learning more? Get in touch with our experts today.