# GDPR: Is the upcoming regulation killing off big data? Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2017-09-02 Category: BUSINESS Category URL: https://financedigest.com/category/business Meta Title: Wetherspoon's Shifts Marketing Strategy Amidst GDPR Concerns Meta Description: Learn how J.D. Wetherspoon's is adapting its marketing strategies in light of the upcoming General Data Protection Regulation (GDPR) to ensure compliance URL: https://financedigest.com/gdpr-is-the-upcoming-regulation-killing-off-big-datahtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/fd020917-19-1736843558431-compressed.jpg) _**Yves LeRoux**, Co-Chair of the (ISC)2 EMEA Advisory Council (EAC)_. ![Yves LeRoux](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/fd020917-21-300x300-1736843558282-compressed.jpeg) Yves LeRoux Instead of promoting themselves via email campaigns, Wetherspoon’s will advertise its offers on its website – a significant move for a company that as of 2015 used email as a marketing method for at least 656,723 of its customers. [Many in the media suspect](https://teiss.co.uk/news/wetherspoons-customer-data-gdpr/) fear of the upcoming General Data Protection Regulation (GDPR) and its strict data compliance laws has steered Wetherspoon’s decision. It’s an unprecedented, if not altogether unsurprising move as one of the requirements of GDPR is that, even if a company obtains customer consent to use their personal data, that data cannot be processed or used for any other purpose other than that for which consent was given. If they wish to do so, they must state how the data will be processed and for what purpose, when obtaining consent. This will help ensure, for example, that if a customer permits [Google to use their browsing data to personalise their search](https://www.financedigest.com/your-phone-number-on-google-search-giant-now-takes-removal-demands.html "Your phone number on Google? Search giant now takes removal demands") results, they won’t subsequently receive an unwanted text from another company using their search history to sell them a product. A worthwhile [regulation that will protect](https://www.financedigest.com/regulators-need-to-strike-the-balance-between-protection-and-strangulation.html "REGULATORS NEED TO STRIKE THE BALANCE BETWEEN PROTECTION AND STRANGULATION") the rights of individual citizens in a digital age. However, for a data-driven economy that depends on our ability to find new [ways to extract value](https://www.financedigest.com/four-ways-impact-acts-as-a-source-of-value-for-startups-and-investors.html "Four ways impact acts as a source of value for startups and investors") from masses of user information, the potential implications are worth considering. Both the United Kingdom and the [European Union](https://ec.europa.eu/commission/priorities/digital-single-market_en) have encouraged and embraced the data-driven business model. Everything from smart products and services, such as travel [apps that generate personalised routes through to the use of algorithms](https://www.financedigest.com/china-regulator-says-alibaba-tencent-have-submitted-app-algorithm-details.html "China regulator says Alibaba, Tencent have submitted app algorithm details") and machine learning to predict consumer behaviour, depends on the ability of businesses to harvest, analyse and share vast amounts of data, some of it now considered personally identifiable under GDPR. The UK government’s [2017 Digital Strategy](https://www.gov.uk/government/publications/uk-digital-strategy/uk-digital-strategy#data---unlocking-the-power-of-data-in-the-uk-economy-and-improving-public-confidence-in-its-use) points out that the UK is a global leader in “opening up public datasets to drive… business growth” and has created an “innovation environment that has fostered many successful data-driven companies.” Importantly, the [government notes](https://www.gov.uk/government/publications/uk-digital-strategy/uk-digital-strategy#data---unlocking-the-power-of-data-in-the-uk-economy-and-improving-public-confidence-in-its-use) that the success of Britain’s data-driven economy derives from the fact that the “lower costs of collection, storage and processing – coupled with rising computing power – are making this data a rich, raw material.” However, GDPR will dramatically shake-up this model. GDPR will inherently increase the cost of collection, [storage and processing the data](https://www.financedigest.com/data-storage-market-revenue-is-expected-to-increase-at-a-cagr-of-13-6-during-2021-2025.html "Data Storage Market revenue is expected to increase at a CAGR of 13.6% during 2021-2025"), as companies will be required by law to obtain explicit consent from every data subject, not just for new data, but for all data collected in the past. Critically, harnessing rising computing power to extract commercial value from data often depends on the ability of [organisations](https://www.financedigest.com/avoiding-a-big-data-car-crash-how-to-organise-your-data-to-detect-fraudulent-claims.html "Avoiding a big data car crash: How to organise your data to detect fraudulent claims") to make their data available to others for analysis. Companies will now have to obtain explicit consent for this profiling to take place if it is to involve any personally identifiable data or the profiling itself could make a subject identifiable. Overall, the regulation will increase the costs and [risks of storing personal data](https://www.financedigest.com/omicron-poses-very-high-risk-but-data-on-severity-limited.html "Omicron poses ‘very high’ risk but data on severity limited"). As is already suspected with Weatherspoon’s, many businesses could simply erase any ‘dark data’ (data of unknown value). As the deadline for GDPR implementation looms, there is the possibility that companies could delete far more of this than is necessary, dramatically shrinking the data pool that is [essential to fuelling our digital economy](https://www.financedigest.com/why-building-new-products-for-a-circular-economy-is-essential-if-we-are-to-preserve-the-earths-finite-resources.html "Why building new products for a circular economy is essential if we are to preserve the Earth’s finite resources"). [Billions of pounds’](https://www.financedigest.com/edf-delays-uk-nuclear-project-to-2027-ups-price-by-3-billion-pounds.html "EDF delays UK nuclear project to 2027, ups price by 3 billion pounds") worth of valuable information could be lost forever before its economic benefits have been fully realised. What’s more, companies could become reluctant to share their consumer information with third parties for analysis, inhibiting [their ability](https://iapp.org/news/a/how-big-will-big-data-be-under-the-gdpr/) to extract value from data. In order to avoid killing off [big data](https://www.financedigest.com/banks-struggle-to-harness-big-data.html "BANKS STRUGGLE TO HARNESS BIG DATA") entirely, it is essential that companies look at GDPR not as a tyrannical enforcement, but as an opportunity to become more informed about the data they hold and its value. Organisations must use GDPR as the spur to do a thorough ‘stock-check’ of all their data, instead of simply mass deleting their data archives. A thorough data audit may reveal information that warrants the effort of obtaining consent to use. Regulators should take account of the scale of the task involved in compliance and the level of progress to date, recognising that it may [well be in the public interest to show lenience to companies](https://www.financedigest.com/corporate-wellness-market-insights-by-leading-companies-and-emerging-growth-till-2026.html "Corporate Wellness Market Insights by Leading Companies and Emerging Growth Till 2026"), particularly if they are making a genuine effort to comply. It’s a daunting task for many companies trying to achieve full compliance within the required timescale. In establishing a GDPR [Task Force](https://www.financedigest.com/european-privacy-watchdog-creates-chatgpt-task-force.html "European privacy watchdog creates ChatGPT task force"), the (ISC)2 EMEA Advisory Council has worked to accumulate the experience of those of our members who are working on the front line of compliance across Europe, and outside it. It’s clear from their [reports that many companies](https://www.financedigest.com/global-body-urges-eu-to-make-company-life-simpler-by-aligning-climate-reporting.html "Global body urges EU to make company life simpler by aligning climate reporting") are only just getting to grips with the task. The Task Force has worked with these professionals to develop [12 areas of activity](http://blog.isc2.org/files/scoping-the-compliance-task-for-gdpr---areas-of-activity.pdf) and related tasks that serves as a high-level overview of the work required, including who needs to be involved. The [Task Force’s](https://www.financedigest.com/g20-want-70-of-world-vaccinated-by-mid-2022-sets-up-task-force-for-pandemic-fight.html "G20 want 70% of world vaccinated by mid-2022, sets up task force for pandemic fight") reports have truly highlighted the immense efforts companies are undertaking to comply. One participant told us they had 10-20 people dedicated to achieving compliance with GDPR; another medium-sized [company estimated 36 full-time equivalents and none have reported feeling](https://www.financedigest.com/shipping-companies-feel-the-heat-as-investors-shun-coal.html "Shipping companies feel the heat as investors shun coal") that they had adequate resources. Many businesses face a variety of challenges, from managing employee policies around downloading data onto personal laptops and devices, to securing consent for historical personal data obtained in non-digital formats. Adding to the challenge, guidance on many aspects of the legislation is still being issued by governments [across the region](https://www.financedigest.com/tea-pitchers-market-sales-will-witness-stellar-revenue-growth-across-top-regional-pockets.html "Tea Pitchers Market Sales Will Witness Stellar Revenue Growth Across Top Regional Pockets"), demonstrating the enormity of the task of compliance. Last month, the Danish government issued a staggering 1,500-page [report to help firms comply with the law](https://www.financedigest.com/bbc-halts-reporting-in-russia-after-new-law-passes.html "BBC halts reporting in Russia after new law passes"). We would hope that enforcers will acknowledge all of this, [despite current reports of regulators now hiring](https://www.financedigest.com/recruiter-randstad-beats-q1-earnings-estimates-despite-hiring-slowdown.html "Recruiter Randstad beats Q1 earnings estimates despite hiring slowdown") extra trial lawyers and enforcement officers in anticipation of the law coming into force. GDPR has the real potential to help businesses navigate the minefields of data they hold and encourage more responsibility in its management. Unduly harsh action could hamper a prospering data-driven [economy in Europe](https://www.financedigest.com/us-treasurys-top-international-official-heads-to-europe-asia-for-talks-on-economy.html "US Treasury’s top international official heads to Europe, Asia for talks on economy"). --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---