The need for Privacy enhancing Technologies (PETs) in Business

The outbreak of Covid-19 has changed the way the world operates and leads to the acceleration of digital transformation. Many retail businesses have shifted to e-commerce while people becomes more reliant to digital world especially the internet of things (IoT). Digital transformation not only means utilisation of digital technologies in business operation but also the use of various customers data stored online such as financial information, health condition and location. While these data is useful for organisations in making business decisions and improving consumers experiences, it also raises their concern about data privacy. As a results, consumers trust has become the key factor that determines a successful business thus emphasises the need for Privacy enhancing Technologies (PETs) in business.

Increasing consumers concern on data privacy

Data breaches is a big issue today. As more and more cases of data breaches being reported, consumers has become increasingly prudent about data privacy; According to Fortune.com, the number of data breaches in 2021 had already surpassed the last year’s total number of cases whereas Forbes.com listed a number of consumers concerns from various resources such as Salesforce, Cisco and Pew Research Center.

46% of consumers feel they have lost control over their own data. (Salesforce)

43% of consumers do not believe they can adequately protect their personal data today. (Cisco)

84% of consumers say they want more control over how their data is being used. (Cisco)

81% of consumers say the potential risks they face from data collection by companies outweigh the benefits. (Pew Research Center)

 

These insights justify the need for Privacy enhancing Technologies (PETs).

Why there is need for Privacy Enhancing Technologies (PETs) in business ?

The purchasing power had taken a new turn due to the increase in the level of awareness on data privacy among consumers. Recent studies shows that consumers prefer to purchase from organisations that proactively protect their privacy. In addition, the presence of data protection law such as General Data Protection Regulation (GDPR) further highlights the importance of organisations to properly handle individuals’ personal data. While PETs has existed for years, it does not have an exact definition (Read our previous post entitled : What is Privacy Enhancing Technologies or PETs ?).  Nevertheless, PETs is the best solution in business operation in addressing consumers concerns about data protection since its main implementation focuses in complying with data protection and privacy protection legislation. Subsequently, with PETs, organisations may gain the key to their success in business which is the consumers trust.