Why improved data security can save retailers money

In May 2018, new European-wide data protection laws under the General Data Protection Regulation (GDPR) will transform the retail landscape for any collection, storage and use of personal data.

In association with Intel, Retail Week’s new digital briefing reviews the value that can be extracted from personal data, and examines how retailers can keep their data secure at a time that where data security strategies are being thrust into the spotlight.

Download the briefing here.

Retailers who fail to comply with the GDPR face heavy penalties. Companies can be fined up to 4% of their revenue or €20m – whichever is greater.

This is the maximum fine that can be imposed for the most serious infringements – for example, not having sufficient customer consent to process data.

The briefing reveals data is not being leveraged to its full potential in retail, citing poor data quality, departments working in silos and the inability to link different technologies in a seamless manner as some of the major challenges retailers face.

Our research reveals 52% of retail businesses struggle to understand how to use their data to deliver true ‘impact’ for their business.

This compares to 61% of British consumers that are happy sharing their personal data online.

“Data is not being leveraged to its full potential in retail, citing poor data quality, departments working in silos and the inability to link different technologies in a seamless manner”

According to consumers, the three most expected services in exchange for customer data are:

1. Personalised offers based on search history and/or purchase history
2. Personalised pricing
3. Personalised marketing emails

The threat of data breaches will always be present and it is incumbent on retailers to ensure they are adopting best practice in data protection and security. In doing so, they will not only safeguard trust in their brand but, more importantly, the prized personal data of their customers.