Most Stratecast reports produced by the Big Data & Analytics (BDA) Team include some analysis of privacy, but this is the inaugural Stratecast report focused on the topic. The report’s main conclusions and key takeaways are as follows:
1. The most important factor impacting the state of the BDA market today is privacy. The industry has seen amazing technological advances that enable organizations to collect, process, manage, and act on data, including in real time; and organizations are beginning to reap the benefits through operational improvements, revenue generation, and customer retention. However, if an organization runs afoul of privacy regulations, or, if in the absence of clear governing regulations, its use of data is judged negatively in the court of public opinion, this can threaten the organization’s very existence.
2. Consumers want privacy—and data-driven convenience. One thing that makes privacy so difficult to grapple with is that, while consumers (and regulators, and consumer action groups) are quite rightly concerned with protecting personal privacy, consumers are also sending mixed signals. In some instances, they actually expect companies to make more and better use of their personal data than is currently occurring, in order to provide better shopping experiences and convenience, and to improve the quality of their lives.
3. Governments have long been ineffective in enforcing privacy—but in recent years have come roaring back. Over the past three decades most governments have passed privacy laws, and most have had little effect on privacy. Industry groups in some of the most high-touch sectors have adopted their own codes of conduct, but consumers still feel their privacy is under attack—and it is, particularly from Google, Facebook, and some of the other wildly successful Web-data-driven companies. So, over the past two years, governments, and their newly-christened data protection agencies, have gone on the offensive, and are starting to have an impact on these Web giants.
4. The report maps out a blueprint for governments, enterprises, and consumers.
Stratecast asserts that resolving the issue of privacy will take integrated efforts by government, industry, and consumers, and will include both human factors and technology. The report is designed to speak to the needs of these roles and teams:
-All enterprises, including those that are communications service providers (CSPs),particularly these teams in their organizations:
o Big Data, IT, and Data Science teams o Product and Sales & Marketing teams, including the CMO o The C-Suite and all other Line of Business (LOB) stakeholders
-All organizations that provide solutions in the BDA market
Exhibit 1: Overview of US and European Union Data Privacy Regulations .......................... 8 Exhibit 2: Benefits Consumers Say Make Them More Likely to Approve of Data Collection..11 Exhibit 3: Industry Self-regulation Measures Pursuant to Data Privacy Protection ......13 Exhibit 4: An Example of How Data Hashing Protects Personal Data...................................20 Exhibit 5: LeapYear Transforms Any SQL-like DBMS into a Privatized DBMS..................21