According to recent studies by Cisco Systems, consumers and business leaders have different preferences when it comes to data privacy.
Contrast was revealed in the latest edition of Cisco’s annual Data Privacy Benchmark Study, released for Data Privacy Week. Last summer, a survey of more than 4,700 security professionals from 26 geographic regions included more than 3,100 respondents who were familiar with data privacy programs in their organizations.
He listed compliance with privacy laws as the most important priority for building customer trust, followed by transparency about how customer data is used.
By comparison, the report notes, a Cisco study of consumer behavior done at the same time listed transparency as a top priority, followed by not selling personal information and complying with privacy laws.
“Certainly organizations need to comply with privacy laws,” says the Privacy Benchmark report, “but when it comes to earning and building trust, compliance is not enough.” Consumers take legal compliance as a “given,” with transparency being more of a differentiator.
among other findings
– 95 percent of executives surveyed said privacy is a business imperative, up from 90 percent in the 2021 study;
— 94 percent agree customers would not buy from them if their data was not properly protected;
— 95 percent said privacy is an integral part of their organization’s culture, up from 92 percent last year.
Respondents estimated that the average spending on privacy in their organization was US$2.7 million, up from US$1.3 million three years ago. The most significant increase from 2021 to 2022 occurred in smaller organizations. Privacy spend in organizations with 50-249 employees increased 17 percent to US$2.0 million from US$1.7 million;
– Respondents also believe that the estimated dollar value of the benefits from privacy has increased significantly. The average estimate for 2021 in the survey increased by more than 13 percent from US$3.0 million to US$3.4 million.
The report recommends that organizations continue to invest in privacy and build privacy capabilities within their firms, particularly among security and IT professionals and those directly involved with personal data processing and security.
Firms need to be more transparent with customers about how their personal data is being used. “While organizations need to comply with the law, compliance alone is not sufficient; Transparency is key to trust,” the report says.
If Artificial Intelligence (AI) is used in the solution, they should be designed keeping in mind the principles of AI ethics, it provides preferred management options to assure customers, greater transparency for automated decision making Provides, and ensures that a human is involved in the process. When the decision is of consequence to a person.