FTC Chairwoman Edith Ramirez participated in a Q&A at the Global Privacy Summit, which was hosted by the International Association of Privacy Professionals in Washington, D.C. In the Q&A she spoke of a variety of different things, including where the agency would be focusing their attention throughout 2014. The five areas of greatest interest to the FTC will likely also have a major impact on marketers of all types.
Data Sharing Across Borders
In a global economy it is essential to be able to easily share data across political and geographic boarders. Of course, this also opens up the doors to many privacy and security concerns that are major threats to the market. Ramirez commented on the fact that the FTC is engaged in dialogue with the EU, and other groups to help ensure data is easily shared when necessary, yet still kept secure. She also commented on the concern she and others have of data monitoring and compliance issues in this area.
Location Tracking on Mobile Devices
The FTC has recently started focusing on mobile location tracking, and how that is being used by companies and other individuals. Many brands are using this technology to track where potential customers are moving within their stores, which products they are spending time near, and many other things. Ramirez commented that it is essential to ensure that the data being collected is ‘de-identified’ meaning that the stores can’t track the mobile location data to any specific person, which is critical for privacy.
Data Security
It is no surprise that this is on the radar for the FTC. There seems to have been an endless stream of privacy related issues regarding data security over the past couple years, and that is an issue that is only going to get more attention going forward. Ramirez said, “Companies really are continuing to make very basic fundamental mistakes when it comes to data security.” She indicated that the FTC is also concerned that congress hasn’t taken any significant action in this area.
Data Brokers
The FTC has recently completed a year-long study on the data-broker industry, which should be released in the near future. Data brokers serve the marketing industry with a lot of information about consumers, which can be used to create more effective ad campaigns. Obviously, privacy is a big concern in this area, and the FTC will be keeping a close eye on it. There are also bills in congress which may have an impact on this industry.
Data De-Identification
With data being constantly collected from consumers, the FTC is concerned that it is not always being ‘de-identified’ properly. Ramirez said of data de-identification, “It is still an initiative we’re examining. It’s a very fruitful avenue that ought to be pursued.” She also went on to say, however, “I don’t believe that de-identification is a cure-all; it’s not a panacea, but I do believe it is a potentially powerful tool that can be used and ought to be used.”
