Data privacy issue reaching apex

Data security consultants NCR Corporation recently held a meeting for Canada’s business leaders in the retail, financial, telecommunications, insurance and government sectors, entitled “Consumer Privacy: Good for Business”. The session examined how Canadian organizations can balance the global demand for data privacy and protection, with their marketing and customer service strategies. Panelists included Dr. Ann Cavoukian, the information and privacy commissioner for the Province of Ontario, Mona Goldstein, chair of the ethics and privacy committee of the Canadian Marketing Association and Bob Henderson, vice president of NCR’s Privacy Center of Expertise.

The future of electronic commerce depends on trust, says Cavoukian, who urges companies to invest in technologies to protect their consumer’s privacy now. “How can we expect to retain consumers if we don’t publicly address their concerns?” she asks. Despite the millions of consumers that provide their information to companies online — in return for mailing list, website access and other perks — 42% surveyed report they falsify their information. This, Cavoukian says, is a dangerous trend and as consumers become more and more skeptical about how their information is guarded, more will falsify their data. “Any company who wants to retain its clients or any company that wants to grow should have consumer privacy as one of its basic tenets.”

Cavoukian strongly endorses Bill C-54, the federal privacy legislation covering the private sector that the federal government is debating this fall. The Bill will lay out a strict number of safeguards that companies who collect and solicit data must adhere to.

Johnson says the privacy issue is set to become a major concern for consumers and businesses worldwide. “I’ve seen privacy emerge from no-man’s land in the 1980s to a bedrock issue. At its heart is keeping consumers by winning the confidence.” Johnson adds aside from Bill C-54, there is a breadth of information and standards available for companies looking to enhance their security. She points to the Canadian Standards Association’s model code for the protection of personal information, and the Canadian Marketing Association’s privacy code as guides to gathering, using and disclosed data.

Henderson adds companies should be investing in protecting the privacy of their consumers, rather than being intimidated by the notion of security and privacy leaks “A good company collects data, they data warehouse. Good companies mine their data. They collect information where they can. Good customer relationship management means turning this information in a strategic resource. But good customer relationship management also means protecting the data and maintaining the trust of your consumer,” he says.