Data privacy encompasses a broad range of processes, from how personal data is stored to the legal and ethical obligations around sharing this information. It also includes the ability of users to request the removal of their data from a company’s systems as well as the procedures to ensure this can occur. Data privacy laws vary by country, and in many cases, specific regulations exist for the use of sensitive data such as medical records.
What does data privacy mean to you?
Businesses have always collected data to conduct operations and provide services to customers, but digital technology has made this data more complex. Customer data may contain personally identifying information (PII) and other confidential information, so it’s important to consider how much information you collect and why. While it makes sense for banks and medical providers to have this information, it’s less clear why the retro camera app you just downloaded needs access to your contacts list and browsing history.
Prioritizing data privacy helps companies establish a trusting relationship with consumers and build loyalty. It’s also necessary for regulatory compliance and avoiding costly fines.
Encryption is an example of a data privacy measure, whereby information is encoded to make it indecipherable. This is an excellent way to protect data when it’s being transmitted over the Internet, and is commonly used for sensitive transactions such as online banking or email correspondence. Limiting the amount of data collected is another data privacy consideration, as it’s important that only essential information be gathered.