March 20, 2018
On May 25, 2018, the General Data Protection Regulation (GDPR) will go into effect in the European Union and businesses all over the world will need to be ready. The new requirements will hit online retailers especially hard, according to recent research by software giant Sage. One out of every three adults in the EU plans to exercise the right granted by the GDPR to remove personal data from the databases of online retailers and to request that their data stop being used for marketing purposes. Nearly half will make the same request of social media companies.
Consumers must now give companies explicit “opt-in” consent to have their information stored and used for marketing as well as the legal right to ask any business anywhere in the world how, why and where their data is being used. Non-compliance can result in fines up to €20 million ($24.6 million) or 4 percent of global turnover. Sage found that more than half of organizations (56 percent) are not clear on these consequences. Only 45 percent of businesses have a plan in place to ensure GDPR compliance, but only two-thirds of those companies are confident in their plan.