84% of small businesses are still unaware of the new General Data Protection Regulation ( or GDPR) that will take effect on the 25th of May 2018.

84% of small businesses are still unaware of the new General Data Protection Regulation ( or GDPR) that will take effect on the 25th of May 2018. A study found that 57% of consumers don’t trust brands to use their data responsibly. GDPR is aimed at resolving this issue, it should match customers needs and rights with businesses need to collect their data.

The marketing industry is likely to be hit the worst. Marketing business who of course rely on data in their everyday functions will need to be on of the first to act. If you do not fully understand how to make your business GDPR compliant read below.

From 25th of May businesses that are in breach of GDPR will be fined up to 20 million euros or 4% of businesses annual global turnover, whichever is the highest, but it’s not all downside. GDPR has the potential to streamline your marketing activities and lower your marketing costs; as you will be marketing to people who want to hear from you, they’ll be more loyal to and more likely to convert because they trust you and because they’re actually interested.

How Does GDPR affect small business marketing?

Data access:

This concerns ‘the right to be forgotten’. Customers should have the right to be forgotten which means being deleted from marketing and customer databases.

To be compliant you will need to ensure there is an unsubscribe link in all your marketing emails and people are not re-subscribed once they’ve selected it. If your customers are not able to gain access to their data upon request and you remove the ability for them to unsubscribe or withdraw consent, you will be in breach of GDPR.

Data focus:

The data you collect should be necessary for the purposes you have collected and processed it. With all pieces of data, you should be able to finish this statement simply: “We need this because…, if you are not sure of the reasons why you need the extra data, remove it. The easiest way to remain compliant here is to stick to the basics of collecting Firstname, Lastname, Email address and perhaps Business name if you’re B2B.

In order to be compliant always ensure you are able to determine why you are collecting each bit of data. In the past, it was seen that the more data you have the better, which lead to hoarding of vasts amounts of unnecessary pieces of data, this is an easy way to find yourself in breach of GDPR.

Data permission:

You can no longer have pre-ticked opt-in boxes; this was bad practice before but is a breach now. Under GDPR you’ll need to obtain explicit consent from customers to collect their data. GDPR requires that you only contact those who want to hear from you and by pre-populating opt-ins, you will find yourself in breach of this. Refer-a-friend programs are an easy area to slip up and make mistakes, in this case, to avoid breaching GDPR, once you have notified the referred friend the first time, you must not keep or store the data if they have not gone on to consent.

Remember, your customer should deliberately consent and opt-in to marketing emails and you should avoid bought lists like the plague, they are a fast track to breaching.

Plan of action:

So you’re ready to avoid breaches with the GDPR, what you should you do?

Clean up your mailing list

Remove any duplicates, any aged data and anyone you do not have deliberate opt-in form.

Train your sales team

Train your marketing department and anyone involved in marketing activities, which often is a small business will be nearly everyone, to use social media rather than email. It might be time to innovate, so resorting to cold emails is a risky strategy.

Be transparent to customers with their data

Ensure they are able to reach their data when they request it and be clear when collecting it, what your intended uses are.

Understand the purpose of your action

Know internally why you are collecting data. This is a great way of ensuring, as a business, you are collecting only the necessary data and nothing more. If you can do without, remove it.

GDPR compliance has the potential to improve data quality within any small business. The new regulation can help you to cut costs and limit waste, as well as improving your relationship with your customer and contractors, this of course, is especially vital for any and every small business.

As always, Happy Small Business Marketing!