A Legacy of Experience

Could the CCPA make it harder to meet consumer’s needs?

On Behalf of | Apr 21, 2020 | Business and Corporate |

As of January 1, 2020, the California Consumer Privacy Act (CCPA) went into effect. This law established specific consumer rights, as well as rules that companies must follow regarding consumer data.

We discussed the changes that the attorney general recently proposed to the CCPA in a recent blog post, but these new regulations will still change the way businesses operate nowadays.

In this age of technology, consumer data is one of the most important aspects of a business. While it is critical to regulate the use of consumer data, the CCPA could make it more challenging for businesses to meet changing consumer needs – and demands.

What are the rules businesses must follow under the CCPA?

The CCPA regulations require businesses to give consumers:

  • The option to prevent businesses from selling their information;
  • The ability to ask what information businesses have collected; and
  • The option to request that businesses delete certain information.

Many businesses must provide these options by adding pop-ups on the homepages of their websites to inform consumers of these choices right away.

Complying with this law is nonnegotiable – and essential for businesses to avoid serious fines or even lawsuits from consumers. The proposed changes should make compliance easier for both businesses and consumers.

And yet, ensuring that your business complies with the law could be an obstacle for your business’ success.

But consumers demand a personalized experience

Consumers have always wanted personalized experiences. They want to feel like valued customers, whether in-store or online. The advent of technology has only increased this expectation of customization, and Forbes predicts that the consumer demand for personalized services and experiences will only increase in 2020 and in the future.

However, businesses often need consumer data to do that. This can create quite a conundrum for your business since consumers want customized experiences, but many do not want their personal information to be used for commercial purposes.

A company’s success often relies on consumers. So, business owners will have to strike a careful balance and create effective strategies to ensure they comply with the CCPA, but also meet consumer’s needs.

In these cases, it might be beneficial for you to speak with an experienced business attorney to create a strategy for how to move forward under this new law.