Influence of GDPR on Targeted Marketing in the European Union (&World)
https://eugdpr.org/the-regulation/
The General Data Protection Regulation (GDPR), which was implemented in 2018, has changed the way websites and companies operating in or from the European Union may collect and retain data information about users. At its core, the GDPR involves notifying users of breaches, allowing users to access the information stored about them, the “right to be forgotten” or erase personal data, data minimization or retaining only necessary data, and the use of Data Protection Officers. This has caused major changes in the ways companies operate their websites. This summer, I worked for an international company with a large operation and market in the Europe. For this reason, the whole company across the globe had to come up to GDPR standards to avoid compliance issues.
In terms of out discussion in class, the implementation of the GDPR has major implications for the effective use of targeted ads. Without the ability to maintain records of preferences and click histories of web users, targeting ads specific to the user may not be possible. This would likely greatly decrease the effectiveness of web ads because people are less likely to click and make purchases on sites that have little to do with their personal needs, wants, and demands. A decrease in clicks would also likely decrease the the prices hubs like Google could sell ad spots at. The balance between data protection/privacy and effective web commerce is a delicate one. Especially if the U.S. follows suit from the EU, we could see big changes in online marketing in the near future.