The Increase in Consumer Demand for Data Security

In recent years, data collection capabilities and their influence on digital communication has grown drastically. As they grow, so too does the exposure that businesses may have when handling consumer data. Because data collection and cyberthreats have become more prevalent, it’s of the utmost importance that cybersecurity improves along with them.  Not surprisingly, there has been a concurrent rise in data protection legislation that focuses more on the consumer’s perspective.  Based on this legislation, it is clear that, going forward, there will be an increased focus on a consumer’s right to data privacy and a company’s obligation to respect those rights. 

This increased focus on consumer rights and companies’ obligations with respect to those rights is illustrated by new legislation that appears to have responded to consumers’ demands. A recent example is the European Union General Data Protection Regulation (GDPR) and its express recognition that consumers have the right to have their data fully erased and “forgotten” and requirement that businesses comply with consumers’ demands for erasure.  This type of legislation influences more consumers to come forward with directions and demands as to what data is collected and how, how companies use and store it, and more. Consumers are starting to take more control over the storage and use their data, which will have a major effect on cybersecurity.

Consumers have always wanted data protection, but the new legislation and outcry for more regulation has let them to be more vocal about their wishes while pushing legislators to respond.  Legislation that affects consumers and allows them to exercise certain rights with respect to their data essentially recognizes something that business have known all along, i.e., that data has value.  Consumers want to know what they’re getting into when they share that valuable commodity with a business, i.e., how will it be used and why, and who else will have access to it.  However, some of the biggest concerns in this area revolve around protection of data.  With increasing consumer demand and more legislation, the pressure on for businesses to comply with stricter cybersecurity standards and to engage in more transparent practices will only increase.  

This correlation of legislation, consumer demand, and business compliance is becoming a crucial part of the cybersecurity industry. Countries that are now prioritizing and integrating new data security standards will likely see the biggest growth in their data security practices. With increasing pressure and demand on business, it’s important to keep in mind how this might apply to your company’s practices and procedures. A periodic review of those practices and procedures with someone knowledgeable in the industry to confirm compliance with applicable law is always recommended. 

The information presented here is for general educational purposes only. It does not constitute legal advice and does not create an attorney-client relationship.