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Digital marketing and data management: how to adopt ethical practices?

Inspiration

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06.21.2021

Digital marketing is constantly developing, raising many questions about the way data is collected and managed, use of AI and ethics. Tribu Développement EDHEC Alumni ran a webinar on 21 January to discuss these issues, in partnership with the Adetem RESPONSIBLE MARKETING and AI & DATA clubs. It was an opportunity to hear from three experts in this area: Raphaël Richard (EDHEC 1993), a digital marketing specialist, Maurice Ndiaye, who specialises in AI, and Caroline Belotti, whose expertise lies in legal questions surrounding data protection. Do you work in marketing with responsibility for managing data? Then the text below is for you! 

 

A brief recap: do you know all that digital marketing covers?

A plethora of resources, processes and techniques fall under this term. Digital marketing covers subjects as varied as referencing, optimisation, generating traffic, targeting/retargeting, advertising, data collection, social media, virality, digital reputation, conversion techniques, creating and sending newsletters and e-mailing, growth hacking , e-commerce, profiling, tracking and data analysis. And artificial intelligence is increasingly to be found in the techniques put in place to boost marketing processes (automating prospective customer searches, qualifying databases, creating and sending messages, etc.). 

 

The challenges of artificial intelligence in data management

As you know, artificial intelligence comes into play at different levels in data management. Because the problem of biases is essential in AI, Maurice asks the question: “What makes AI trustworthy?” He believes the answer is algorithms that respect the legislation and a certain number of requirements. For AI must also comply with the regulatory framework, take into account cyber security issues, properly manage personalisation and customer loyalty, and make sure the right balance is struck between security and surveillance (think of the fierce debate provoked by the StopCovid app). AI must serve users without monitoring them, without using their personal data against them and without discriminating. It must be reliable in security terms, ensure traceability and take responsibility into consideration. And so, as you can see, developing an ethical and infallible system is no mean feat! Indeed, this is why we are seeing the emergence of Chief Ethics Officers in companies.

 

How to manage your data properly

First of all, a reminder about personal data: this is any information relating to a natural person, whether identified or who can be directly (by their name for example) or indirectly identified (using an IP address, customer number, etc.).

 

7 principles to respect  

1. Collect and process data on a legal basis (consent, legitimate interest, to execute a contract, etc.). 

2. Be transparent (clearly explain what is being done with the data).

3. Only collect data that is strictly necessary for your business.   

4. Keep your files up to date and purge your databases.   

5. Maintain security and confidentiality (choose your service providers carefully).

6. Be able to demonstrate that you have complied with the legislation.

7. Determine how to apply the law in accordance with the values of your business. 

 

Best practices 

A giant like Facebook, for example, records between 20,000 and 30,000 types of information each year per user. This figure can reach 51,000, which gives you some idea of the level of detail of the data collected. To avoid this, refusing cookies is not enough. Fingerprinting allows them to recover the information that your browser sends to the websites and apps you use (screen resolution, browser version, etc.). By combining 15 types of information about the features of a computer, it is possible to pinpoint the individual user.

 

To avoid following in Facebook’s footsteps and ensure you use data responsibly, Raphaël recommends asking yourself three questions:

  • Have you complied with the legislation?
  • Do you agree with your profession’s code of ethics?
  • Are your practices in line with your company’s values? 

 

In concrete terms, you are advised to take the time to establish and communicate clear procedures, put in place management tools, train staff and follow-up and sanction any breaches of the rules. Similarly, you should carefully draft your legal notices, offer suitable visual ergonomics and propose an online space where the user can exercise their rights. These are all fundamental practices.

 

For Maurice, properly managing your data collection and usage means asking the WHY question. Begin by “educating” yourself as a user and simply asking: “What data is used in the delivery of this service and what have I agreed to do?” 

 

The positive effects of responsible data management

Adopting an irreproachable data confidentiality policy should also be part of your company’s strategy. Caroline believes that successful compliance is beneficial, because consumers are increasingly well-informed about the legal remedies available, and so compliance is a way to meet their expectations. Since the adoption of the GDPR in May 2018, companies have worked to raise awareness among staff. Managing your database in a way that complies with the legislation is also beneficial to your company’s reputation: “It’s a way to promote your business, especially because it will generate trust”. When the CNIL (French data protection authority) issues public sanctions, the impact on consumers is considerable. Furthermore, for a company, emphasising their ethical procedures also strengthens their brand as an employer and can be a way to recruit talented staff. There is an increasing number of labels that can demonstrate the impact of compliance: obtaining such certification is a way to improve your image in the media. Lastly, the benefits can be tangible, since by complying with the law you can avoid paying fines.   

 

Any other questions about data management in digital marketing? Don’t hesitate to get in touch with the EDHEC Alumni community. And to explore these issues further, register for the second part of this webinar, which will focus on choices and biases in designing algorithms for marketing solutions. 


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