New rules of Digital Marketing 25 May2016

The New Rules
OF DIGITAL MARKETING
Valid globally from 25 May 2016
Obligatory for ALL organisations
with Customers in the EU,
no matter where they are incorporated.
Text©AndrewSanderson|as@ansaco.de|+49(0)16093463401|v1.1May2016|DesignelementsinspiredbyMonopolygameownedbyHasbro.

! Important ! Name Change
The activities that used to be known as:
• Digital Marketing
• Online Marketing
• Performance Marketing
• eMail Marketing
• Direct Marketing
• Inbound Marketing
• Outbound Marketing
• eCommerce, eShop
• … and others
… in fact, any business activity that uses
data about EU prospects or customers for
personalised communication or one-to-one
marketing
… will now be known as:
EU DATA PRIVACY COMPLIANCE
Text©AndrewSanderson|as@ansaco.de|+49(0)16093463401|May2016|DesignelementsinspiredbyMonopolygameownedbyHasbro.

When the New Rules apply:
EU General Data Protection Regulation (GDPR)
• Comes into force: 25 May 2016
• Two year grace period for international business to adapt processes
• After 25 May 2018, sanctions will be applied for Non-Compliance
©AndrewSanderson|as@ansaco.de|+49(0)16093463401|May2016

Who the New Rules apply to:
If your organisation stores and processes
data about EU Citizens:
• Contacts
• Prospects
• Customers
Also:
• Business Partners
• Channel Partners, Distributors, etc.
• Staff
The New Rules apply no matter where
your organisation is incorporated.
• European Community
• Other European country
• North Americas
• Central and South America
• Africa
• Middle East
• Asia & Pacific
• Australasia

The New Rules
The "EU General Data Protection Regulation"
The full-length official title:
REGULATION (EU) 2016/679 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL
of 27 April 2016 on the protection of natural persons with regard to the processing of
personal data and on the free movement of such data …
Available in PDF format, in 24 languages, from this web page:
http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32016R0679

What's it all about?
REGULATION (EU) 2016/679 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL
of 27 April 2016 on the protection of natural persons with regard to the processing of
personal data and on the free movement of such data
1
2
3
4

1: Protection of Natural Persons
The European Union takes protection of personal privacy very seriously.
The first paragraph of the new Law states:
The protection … of personal data is a fundamental right.
Article 8(1) of the Charter of Fundamental Rights of the European Union (the ‘Charter’) and
Article 16(1) of the Treaty on the Functioning of the European Union (TFEU) provide that
everyone has the right to the protection of personal data concerning him or her.
The customer has a right to privacy: marketers must have their permission to communicate, promote or sell.

2: Personal Information
European Law uses a very wide definition of Personally Identifiable
Information (PII):
"Data that, alone or in combination, identifies an individual …"
It includes:
• Explicit data: captured online or offline
• Implicit data: click behaviour, cookies, metadata, IP adresses
• Stored in computers, networks , Clouds, as-a-Service Systems
Watch out if you combine data from multiple sources to build a more
complete view of your customer – especially sources like Social Media.
The safest policy for international Marketers, is to treat all EU customer
data as Personally Identifiable Information (PII).

3: Data Processing
The scope of the EU Law is not limited to in-house systems like CRM. It
also covers all the 3rd Party systems in your Marketing Technology Stack:
• Advertising & Promotion
• Content & Experience
• Social & Relationships
• Commerce & Sales
• Data, Analysis & Reporting
If you can answer questions like "who did what?", you're processing
Personally Identifiable Data and you're analysing individual Customers.
It's allowed – but only if you can prove that you got Permission from the
Customer before you started doing the analysis.
PLATFORM
AS-A-SERVICE
SOFTWARE
AS-A-SERVICE
INFRASTRUCTURE
AS-A-SERVICE

4: Movement of Data
International marketers need to move customer data around: from system
to system; from one team to another; from one country to another.
When you move data about EU citizens around your company or around
the world, the new EU law clearly defines what you have to do to make
those data transfers legal.
The EU rules are strict.
For example: if users outside the EU can login to a system that displays PII
about EU Customers, data has been 'exported'.
If your organisation is incorporated outside the EU, you'll need to build a
lot of new processes and do a ton of documentation to prove compliance.
COLLECT CUSTOMER
INSIGHTS AS YOU PASS
ONE-TO-ONE
MARKETING
PERSONALISED
MARKETING
BUDGETCUT
GIVE50%OF
YOURCASHBACK
TOTHEBOARD

Compliance
The key principles of EU Privacy laws are:
• fairness, lawfulness and transparency
• purpose limitation
• data minimisation
• data quality
• security, integrity and confidentiality.
New Principle: Accountability of Data Controllers
Data Controllers - the people who decide what data is used
and how. They're responsible for demonstrating compliance
with EU data protection principles.
Ultimately, that means the CMO.

Non-Compliance
National Data Protection authorities (DPAs) in Europe are
empowered to initiate court cases against companies.
The court will be European; EU law will be applied.
Processes and practices for storing and processing data
about EU citizens must comply with EU law.
In addition, you must be able to prove compliance in a
court of law, which means documentation and a paper trail:
• Data flows and information processes
• Who made decisions, when, how & why
• Privacy Impact Assessments

Sanctions
Companies that violate the Privacy rights of EU citizens will
be fined. There are two tiers of administrative fines:
1. Some contraventions will be subject to fines of up to
€ 10 Million or, in the case of a business
2% of global turnover, whichever is the higher
2. Other contraventions will be subject to fines of up to
€ 20 Million or, in the case of a business,
4% of global turnover, whichever is the higher
Violations of basic data processing principles, consent,
rights of the individual, data export will receive Tier 2 fines.

GDPR - Quick Check Flowchart

New rules of Digital Marketing 25 May2016

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