{"id":20432,"date":"2021-12-30T13:15:55","date_gmt":"2021-12-30T21:15:55","guid":{"rendered":"https:\/\/foundersnetwork.com\/?p=20432"},"modified":"2023-02-24T08:12:27","modified_gmt":"2023-02-24T16:12:27","slug":"data-privacy-compliance-for-startups-with-abbie-clement","status":"publish","type":"post","link":"https:\/\/foundersnetwork.com\/data-privacy-compliance-for-startups-with-abbie-clement\/","title":{"rendered":"Data Privacy Compliance for Startups with Abbie Clement"},"content":{"rendered":"
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Report after report indicates that consumers care more about data privacy than ever before. In one <\/span>survey<\/span><\/a>,\u00a0 84 percent of respondents indicated that they care about privacy, care for their own data, care about the data of other members of society, and they want more control over how their data is being used.<\/span><\/h3>\n<\/blockquote>\n

\u201c<\/span>Data privacy<\/span><\/a> is less of an afterthought now,\u201d says data privacy expert Abbie Clement. \u201cIt\u2019s in people\u2019s faces more. There are companies getting fined. It\u2019s the talk of the town. Not only are legislatures looking out for this, but consumers are more aware of data privacy and what your rights are. People now understand that they have the right to be upset about misuse of their data.\u201d<\/span><\/p>\n

Clement is the head of content at iubenda, a data privacy solutions provider that helps startups and other companies make their websites and apps compliant with the data privacy laws, across multiple languages and legislations. On Jan. 25, 2022, Clement hosted a webinar for <\/span>Founders Network <\/span><\/a>members where she provided an easy-to-understand overview of the most important data privacy laws \u2013 with special emphasis on the United States and Europe.\u00a0<\/span><\/p>\n

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To learn more about data privacy law,\u00a0see if you qualify for membership<\/a>\u00a0and check out the\u00a0<\/b>webinar<\/a><\/b> from January 25.<\/b><\/p>\n<\/blockquote>\n

\u201cIn the U.S., there are more and more states coming out with privacy laws and there is talk of a federal law related to data privacy,\u201d Clement says. \u201cIt\u2019s going to become more and more relevant and startups can save themselves a lot of expense if they keep this in mind.\u201d<\/span><\/p>\nPeople now understand that they have the right to be upset about misuse of their data. <\/a><\/span>Share on X<\/a><\/span>\n

Know the law<\/span><\/h3>\n

According to the <\/span>United Nations<\/span><\/a>, 107 countries have put in place legislation to secure the protection of data and privacy. The laws in each of these countries tend to vary, which is why Clement says it\u2019s important to monitor them closely. For example, there are key differences between consent requirements in the United States and Europe.\u00a0<\/span><\/p>\n

\u201cConsent requirements can differ based on the region you\u2019re serving,\u201d Clement says. \u201cGeneral rule of thumb tends to be that on the U.S. side you can still do opt-out. But in Europe, in general, you\u2019re usually looking at people having to opt in.\u201d\u00a0<\/span><\/p>\n

Clement advises that startups focus on both the data privacy laws in their country and the laws of the countries their customers are living in.\u00a0<\/span><\/p>\n

\u201cA company that may be based in the EU that doesn\u2019t have European customers and only has American customers might think they don\u2019t have to comply with the law in Europe,\u201d says Clement. \u201cBut they would be wrong because if they\u2019re based in the EU, that law does apply to them. Generally, laws are going to apply based on where you are and where your customers are based.\u201d\u00a0<\/span><\/p>\nGenerally, laws are going to apply based on where you are and where your customers are based. <\/a><\/span>Share on X<\/a><\/span>\n

Transparency<\/span><\/h3>\n

Transparency is one of the most important elements of data privacy. According to a recent <\/span>report<\/span><\/a>, 70 percent of customers strongly associate transparency with trust. However, 63 percent of customers say most companies aren\u2019t transparent about how their data is used.<\/span><\/p>\n

\u201cTransparency is really key,\u201d Clement says. \u201cMore and more, users are expecting to be informed about the information that you process about them. In your privacy documents, it\u2019s important to be clear about the data that you\u2019re processing.\u201d<\/span><\/p>\n

While many laws require data transparency, being transparent about how customer data is being used is key to customer satisfaction. According to the report, 58 percent of customers are comfortable with relevant personal information being used in a transparent and beneficial manner.<\/span><\/p>\nIn your privacy documents, it\u2019s important to be clear about the data that you\u2019re processing. <\/a><\/span>Share on X<\/a><\/span>\n

Data minimization<\/span><\/h3>\n

Before startups set out to begin collecting consumer data, Clement says it\u2019s important to be clear about the kind of data they are collecting and why.<\/span><\/p>\n

\u201cDon\u2019t be careless with data and collect and process a bunch of data you don\u2019t need because you\u2019re now responsible for all of that data and adding additional liabilities and responsibilities,\u201d Clement says. \u201cMake sure the data you\u2019re using is only what you need to accomplish the purpose that you need it for\u201d\u00a0<\/span><\/p>\n

This is called the principle of data minimization. According to one <\/span>report<\/span><\/a>, 79 percent of respondents said they are very or somewhat concerned about how companies are using the data they collect about them. Following the principle of data minimization ensures startups are only collecting what they need.\u00a0<\/span><\/p>\n

Want to learn more about data privacy? In her webinar Clement covered:<\/span><\/p>\n