Cookies

427 views

Published on

Published in: Technology, News & Politics
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
427
On SlideShare
0
From Embeds
0
Number of Embeds
2
Actions
Shares
0
Downloads
12
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Cookies

  1. 1. How New EU Privacy LawsWill Change Your MarketingA M A R K E T O W H I T E P A P E RContributors:Josh Aberant, Director of Privacy, Marketo & Duncan Smith, CEO, iCompli
  2. 2. How New EU Privacy Laws Will Change Your MarketingContentsThe Basics ...................................................................................................... 4Scope of the Law ............................................................................................ 5The Changes ................................................................................................... 6Obtaining Consent.......................................................................................... 7The Process .................................................................................................... 8Browsing Experience ...................................................................................... 9Privacy & Marketing Automation ................................................................. 10Privacy Tracking Software ............................................................................. 11
  3. 3. How New EU Privacy Laws Will Change Your Marketing The Basics Many companies track website visitors in order to personalize content and offer web services. Recently, you may have heard about changes to how companies worldwide are allowed to collect or use information from web page visitors from Europe. This is because the European e-Privacy directive has been amended, requiring European Member States to change their laws by May 2011. This Directive (2009/136/EC), legally mandates that websites which track users must ask those users whether they consent to any recording or retrieval of data on their browsers. In Europe, when cookies are used for tracking, websites will need to obtain the website visitor’s permission. When asking for permission, the website must be clear about what data is being tracked and how it will be used. A record of the permission confirmation action (e.g. clicking an agreement link) must be retained. Cookie: A cookie is a very small piece of software code that websites use to track visitors.4
  4. 4. How New EU Privacy Laws Will Change Your MarketingScope of the LawThe regulations apply to all EU businesses that are tracking individuals on their websites. Do theyapply to non-EU entities? Viviane Reding, the EU’s commissioner for justice has spoken on thismatter. “Privacy standards for European citizens should apply independently of the area of the worldin which their data is being processed,” she said. “To enforce the EU law, national privacy watchdogsshall be endowed with powers to investigate and engage in legal proceedings against non-EU datacontrollers whose services target EU customers.”Although we are some way from full international agreement, American businesses too shouldconsider how they might meet the EU prior consent requirements and perhaps identify Europeanwebsite visitors, even though similar constraints do not yet apply in the US.The amended European e-Privacy directive is EU law, but it is not yet national law for all EUmembers. With EU directives, member states are required to enact national laws implementing thedirective. Most member states have not yet implemented national laws requiring explicit consent forcookies or other similar technologies. The national legislatures don’t always move at the scheduleordered by the EU directives. This process could very well take many years to cover all of Europe.Britain has implemented the directive into National law as the Privacy and ElectronicCommunications (EC Directive) (Amendment) Regulations 2011. The Department for Culture, Mediaand Sport (DCMS), in consultation with the Information Commissioner, is tasked with developing theregulatory specifics of the law. They have jointly agreed that they will not begin enforcing the lawuntil May 2012.Some news sites that are helpful for keeping up with changing Internet laws in Europe are:Out-Law.com, eWeekEurope.co.uk and http://icompli.blogs.com 5
  5. 5. How New EU Privacy Laws Will Change Your MarketingThe ChangesIt is a stated goal of the EU to harmonize privacy regulations and this is a major step forward in EUprivacy harmonization.Compliance with these changes, and the ability to demonstrate privacy protection plus a robustonline trust mechanism will enhance a company’s reputation. Businesses will need to startcompeting on how much they are trusted by their web users/visitors. Marketo believes initiativesthat encourage trust will benefit the online marketing ecosystem over time.6
  6. 6. How New EU Privacy Laws Will Change Your MarketingObtaining ConsentThe key to compliance is obtaining consent. Before thelaw changes, websites using cookie technology could doso by offering site visitors a privacy policy with clear andcomprehensive information about the use of the technologyand how to opt-out. The new legal regime requires the sameclear and comprehensive information, only this time it has tobe before the cookie is created or read. A positive, affirmativeaction (e.g. clicking) where the subscribers acknowledges theirconsent to marketing and tracking is required .It’s important that you don’t mix up consent wording with moregeneral wording within your business policies. If you integrateconsent wording into your general wording, then be sure tohighlight the consent language, and record the click makingconsent.You can decide where to collect consent but it must be beforethe cookie is set or read. Many websites will allow visitors tobrowse some pages or sections before “popping the question.”The objective in these cases is to enable the website visitor tosee the value of the web content or services before asking themfor tracking permission. For example, you might want to pop thequestion after a visitor has viewed a certain number of pages,spent a given amount of time on the site or visited specificwebpages.1 There is much debate in Europe about the timing of consent acquisition. The EUadvisory body, the Article 29 Working Party, is clear however that consent shouldprecede any setting or reading of cookies2 The wording of Recital 66 2009/136/EC, reflected in the Privacy and ElectronicCommunications (EC Directive) (Amendment) Regulations 2011 Regulation 6 (3)A,does allow for consent to be indicated by browser settings inter alia. 7
  7. 7. How New EU Privacy Laws Will Change Your Marketing The Process EU regulators have suggested many ways for organizations to comply including: • Placing a pop-up window or widget asking for permission when someone first visits the website • Placing a pop-up window or widget AFTER a few pages of viewing content • Placing a pop-up window or widget when accessing a feature like a video or web service • Placing forms asking for consent • Adding clear information and a consent action to Terms & Conditions pages of web services • Popping the question on Settings or Subscriber Options pages • Use highlighted headers or footers on specific webpages or turn on scrolling text asking for permission • No longer using cookies or similar technology e.g. browser fingerprinting • Demonstrating that cookies are ‘strictly necessary’ to provide a service requested by the user e.g. placing items in a shopping cart. Note: Marketo advises all marketers to test all methods employed to obtain consent. Some early deployments have shown web surfers can confuse “pop the question” messages with virus or malware attacks resulting in high website abandonment rates. Careful attention, testing and optimization must be applied to consent methods in order to avoid negatively impacting web traffic.8
  8. 8. How New EU Privacy Laws Will Change Your MarketingBrowsing ExperienceVisiting other websites?If you are in the US, these new rules probably won’t affect youon most websites you visit. Europeans, on the other hand, arelikely to be asked for permission quite often. Europeans willconsequently get better at factoring privacy protection intotheir business and purchase decisions. These new rules mayfundamentally change the browsing experience for Europeanweb visitors.There are many unanswered questions about how the new EUlaws will affect how consumers interact with websites and webservices: • Will consumers find constant pop-ups asking for consent frustrating in much the same way many found Windows Vista’s “User Account Control” constant pop-ups frustrating? • Will non-opted in consumers spend less time on websites that can’t offer relevant advertising? • Will consumers start to demand some kind of automation of consent giving like the privacy headers proposed by browser vendors?The leading edge marketers out there will be paying attention tothese questions and striving to improve the Internet experienceof European web surfers. 9
  9. 9. How New EU Privacy Laws Will Change Your Marketing Privacy & Marketing Automation Pros: Businesses that can compete on privacy protections and easily implement marketing automation processes, will do better and make more money, in a world where more buyers will factor privacy into their buying decisions. Cons: The EU laws will compromise companies that don’t have marketing automation solutions to easily implement compliance. The EU regulations will also hurt organizations that don’t or can’t protect subscriber privacy. When it comes to targeted advertising, users will see fewer or no targeted adverts depending on whether they have opted out (the preferred solution in the US), or not opted in, as is the requirement across Europe. Personal blogs and webpages The EU focus is currently on business compliance. It will be interesting to see how Europe approaches tracking and consent for personal web properties.10
  10. 10. How New EU Privacy Laws Will Change Your MarketingPrivacy Tracking SoftwareThis does not mean marketing automation or companies likeDoubleclick, Omniture, and Quantcast will go out of business.The EU privacy regulations create more need for marketingautomation and web analytics companies. As businesses needto implement more sophisticated privacy protocols and competeon trust, they’ll turn to their marketing automation solutions tomake it happen.Web analytics will work in the EU because businesses willneed web analytics for the EU subscribers they cookie. They’llalso need web analytics on subscribers they don’t cookie forthings like testing different action flows to obtain consent. Webanalytics solutions are good at analyzing both known subscribersand unknown visitors.It’s unlikely that EU courts will excuse lack of technicalcapabilities. So if your marketing automation, web analytics,or other software doesn’t currently help you comply, goodmarketing automation solutions could be the edge you need togive your European customers the privacy options they require. 11
  11. 11. About MarketoMarketo is the global leader in Revenue PerformanceManagement. Marketo’s powerful yet easy-to-use marketingautomation and sales effectiveness solutions transform howmarketing and sales teams of all sizes work - and work together- to drive dramatically increased revenue performance andfuel business growth. The company’s proven technology,comprehensive services, and expert guidance are helping morethan 1,300 corporations around the world to turn marketing froma cost center to a business-building revenue driver.Marketo, Inc. Marketo EMEA Ltd.901 Mariners Island Blvd, Suite 200 Arena HouseSan Mateo, CA 94402 Arena RoadTel: 650.376.2300 SandyfordFax: 650.376.2331 Dublin 18www.marketo.com Ireland Tel: + 353 1 213 0705

×