IoT’s Future Makes iPhone Privacy Case Even More Important

David Stephenson

Recently the New York Times published the most thoughtful piece I’ve seen about the long-term implications of the FBI’s attempts to get Apple to add a “backdoor” to the iPhone that would allow the agency to examine the data on the phone of terrorist Syed Farook, who, along with his wife, killed 14 people late last year.

The growth and potential impact of the Internet of Things on our lives will only make the significance of this landmark case greater over time, and I stand totally with Apple CEO Tim Cook (“this is not a poll, this is about the future”) on what I think is a decision that every thinking person concerned about the growing role of technology in our lives should support. It’s that important!

First, my standard disclaimer about Apple: I work part-time at the Apple Store, but I know as much as you do about Apple’s decision-making process and have zero impact on it. Now for a couple of other personal considerations to establish my bona fides on the issue:

  1. I’m pretty certain I was the first person to suggest (via a Boston Globe op-ed two weeks [“Fight Terrorism With Palm Pilots”] or so after 9/11 that the early mobiles could be used to help the public report possible threats and/or respond to terrorism. Several years later I wrote the first primitive app for first-generation PDAs (“Terrorism Survival Planner”) on the subject, and did consulting work for both the Department of Homeland Security and the CTIA on how first-generation smart phones could be used as part of terrorism prevention.
    I take this possibility seriously, support creative use of smartphone in terrorism preparation and response, and also realize that cellphone contents can not only help document cases, but also possibly prevent future ones.
  1. As I’ve said before, I used to do corporate crisis management consulting, so I understand how fear can cloud people’s judgment on issues of this sort.
  1. I’m also proud to come from a 300+ year line of attorneys, most particularly my younger brother, Charles, who had an award-winning career defending indigent clients on appeal, including many where it might have been tempting to have abridged their civil rights because of the heinous nature of the crimes they were accused of committing.

I like to think of myself as a civil libertarian as well, because I’ve seen too many instances where civil liberties were abridged for one extremely unlikeable person, only to have that serve as precedent for future cases where good people were swallowed up and unjustly convicted  (yea, Innocence Project!).

And this case comes right on the heels of my recent blog posts about how federal authorities such as James Clapper were already taking far too much (IMHO) interest in obtaining a treasure trove of data from our home IoT devices.

All in all, there’s a very real threat that the general public may become rightly paranoid about the potential threats to their privacy from cell phones and IoT devices and toss ’em in the trash can. 

That’s all by way of introduction to Farhad Manjoo’s excellent piece in the Times exploring the subtleties of Apple’s decision to fight the feds (see Tim Cook’s ABC interview here) — with plenty of emphasis on how it would affect confidence in the IoT.

As his lede said:

“To understand what’s at stake in the battle between Apple and the F.B.I. over cracking open a terrorist’s smartphone, it helps to be able to predict the future of the tech industry.”

Manjoo went on to detail the path we’re heading down, in which the IoT will play an increasingly prominent place (hmm: in my ardor for Amazon’s Echo, I’d totally ignored the potential for the feds or bad guys or both [sometimes in our history, they’ve sadly been one and the same, for more details, consider one J. Edgar Hoover..] to use that unobtrusive little cylinder on your kitchen counter to easily monitor everything you and your family say! Chilling, non?).

Read and weep:

“Consider all the technologies we think we want — not just better and more useful phones, but cars that drive themselves, smart assistants you control through voice or household appliances that you can monitor and manage from afar. Many will have cameras, microphones and sensors gathering more data, and an ever more sophisticated mining effort to make sense of it all. Everyday devices will be recording and analyzing your every utterance and action.

“This gets to why tech companies, not to mention we users, should fear the repercussions of the Apple case. Law enforcement officials and their supporters argue that when armed with a valid court order, the cops should never be locked out of any device that might be important in an investigation.

“But if Apple is forced to break its own security to get inside a phone that it had promised users was inviolable, the supposed safety of the always-watching future starts to fall apart. If every device can monitor you, and if they can all be tapped by law enforcement officials under court order, can anyone ever have a truly private conversation? Are we building a world in which there’s no longer any room for keeping secrets?

Ominously, he went on to quote Prof. Neil Richards, an expert prognosticator on the growing threats to privacy from our growing dependence on personal technology:

“’This case can’t be a one-time deal,’ said Neil Richards, a professor at the Washington University School of Law. ‘This is about the future.’

“Mr. Richards is the author of Intellectual Privacy, a book that examines the dangers of a society in which technology and law conspire to eliminate the possibility of thinking without fear of surveillance. He argues that intellectual creativity depends on a baseline measure of privacy, and that privacy is being eroded by cameras, microphones and sensors we’re all voluntarily surrounding ourselves with.

“’If we care about free expression, we have to care about the ways in which we come up with interesting things to say in the first place,’ he said. ‘And if we are always monitored, always watched, always recorded, we’re going to be much more reluctant to experiment with controversial, eccentric, weird, ‘deviant’ ideas — and most of the ideas that we care about deeply were once highly controversial.’”

Manjoo also points out that laws on these issues often lag years behind technology (see what Rep. Ted Lieu, one of only four Representatives to have studied computer science, said about the issue).

Chris Sogogian, the ACLU’s chief technologist, brings it home squarely to the IoT’s future:

“’What we really need for the Internet of Things to not turn into the Internet of Surveillance is a clear ruling that says that the companies we’re inviting into our homes and bedrooms cannot be conscripted to turn their products into roving bugs for the F.B.I.,’ he said.”

Indeed, and, as I’ve said before, it behooves IoT companies to both build in tough privacy and security protections themselves, and become actively involved in coalitions such as the Online Trust Alliance.

The whole article is great, and I strongly urge you to read the whole thing.

IMHO, this case is a call to arms for the IoT industry, and the hottest places in hell will be reserved for those who continue to sit at their laptops planning their latest cool app and/or device, without becoming involved in collaborative efforts to find detailed solutions that preserve our personal privacy and civil liberties on one hand, and, on the other, realize there’s a legitimate need to use the same technology to catch bad guys and protect us. It will take years, and it will require really, really hard work.

Oh, and it will also take the wisdom of Solomon for the courts to judge these issues.

Comments

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

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Daniel Schmid

About Daniel Schmid

Daniel Schmid was appointed Chief Sustainability Officer at SAP in 2014. Since 2008 he has been engaged in transforming SAP into a role model of a sustainable organization, establishing mid and long term sustainability targets. Linking non-financial and financial performance are key achievements of Daniel and his team.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Michael Laprocido

About Michael Laprocido

Mike Laprocido serves as a Strategic Industry Advisor for SAP. He is responsible for developing thought leadership and driving SAP solution adoption in the chemical and oil and gas industries. With over three decades in various executive roles at BP Oil, BP Chemicals, Kuraray America, Panda Energy and IBM prior to joining SAP, Mike has gained a broad and deep industry knowledge base that he leverages to help his clients to innovate and transform their business through the application of digital technology.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

About Joerg Koesters

Joerg Koesters is the Head of Retail Marketing and Communication at SAP. He is a Technology Marketing executive with 20 years of experience in Marketing, Sales and Consulting, Joerg has deep knowledge in retail and consumer products having worked both in the industry and in the technology sector.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Rob Meikle

About Rob Meikle

Rob Meikle is the Chief Information Officer (CIO) for the City of Toronto, Canada's largest city, sixth largest government and home to a diverse population of about 2.7 million people.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

About Jason Bloomberg

Jason Bloomberg is a leading IT industry analyst, Forbes contributor, keynote speaker, and globally recognized expert on multiple disruptive trends in enterprise technology and digital transformation. He is founder and president of the agile digital transformation analyst firm Intellyx. He is ranked #5 on Onalytica’s list of top digital transformation influencers for 2018 and #15 on Jax’s list of top DevOps influencers for 2017, the only person to appear on both lists. Mr. Bloomberg is the author or coauthor of four books, including The Agile Architecture Revolution (Wiley, 2013). His next book, Agile Digital Transformation, is due within the next year.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Lane Leskela

About Lane Leskela

Lane Leskela, global business development director, Finance and Risk, for SAP, is an accomplished enterprise software leader with years of experience in customer advisory, marketing, market research, and business development. He is an expert in risk and compliance management software functions, solution road maps, implementation strategy, and channel partner management.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

About Jennifer Scholze

Jennifer Scholze is the Global Lead for Industry Marketing for the Mill Products and Mining Industries at SAP. She has over 20 years of technology marketing, communications and venture capital experience and lives in the Boston area with her husband and two children.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

About Matt Wilkinson

Matt Wilkinson is the General Manager, Consumer Industries for SAP ANZ. Having operational roles in consumer industries organisations combined with 20+ years of professional services in both delivery and sales roles with cloud and on premise solutions, provide him with a unique insight to help organisations achieve effective digital transformation.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Marina Simonians

About Marina Simonians

Marina Simonians is the Head of Global ISV GTM Strategy at SAP responsible for building new global ISV software driven initiatives for Big Data, AI/ML, Advanced analytics and IoT. With a passion for ecosystems she believes partnerships are most critical success factor in today’s software-driven market.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Daniel Schmid

About Daniel Schmid

Daniel Schmid was appointed Chief Sustainability Officer at SAP in 2014. Since 2008 he has been engaged in transforming SAP into a role model of a sustainable organization, establishing mid and long term sustainability targets. Linking non-financial and financial performance are key achievements of Daniel and his team.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Michael Laprocido

About Michael Laprocido

Mike Laprocido serves as a Strategic Industry Advisor for SAP. He is responsible for developing thought leadership and driving SAP solution adoption in the chemical and oil and gas industries. With over three decades in various executive roles at BP Oil, BP Chemicals, Kuraray America, Panda Energy and IBM prior to joining SAP, Mike has gained a broad and deep industry knowledge base that he leverages to help his clients to innovate and transform their business through the application of digital technology.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

About Joerg Koesters

Joerg Koesters is the Head of Retail Marketing and Communication at SAP. He is a Technology Marketing executive with 20 years of experience in Marketing, Sales and Consulting, Joerg has deep knowledge in retail and consumer products having worked both in the industry and in the technology sector.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Rob Meikle

About Rob Meikle

Rob Meikle is the Chief Information Officer (CIO) for the City of Toronto, Canada's largest city, sixth largest government and home to a diverse population of about 2.7 million people.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

About Jason Bloomberg

Jason Bloomberg is a leading IT industry analyst, Forbes contributor, keynote speaker, and globally recognized expert on multiple disruptive trends in enterprise technology and digital transformation. He is founder and president of the agile digital transformation analyst firm Intellyx. He is ranked #5 on Onalytica’s list of top digital transformation influencers for 2018 and #15 on Jax’s list of top DevOps influencers for 2017, the only person to appear on both lists. Mr. Bloomberg is the author or coauthor of four books, including The Agile Architecture Revolution (Wiley, 2013). His next book, Agile Digital Transformation, is due within the next year.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Lane Leskela

About Lane Leskela

Lane Leskela, global business development director, Finance and Risk, for SAP, is an accomplished enterprise software leader with years of experience in customer advisory, marketing, market research, and business development. He is an expert in risk and compliance management software functions, solution road maps, implementation strategy, and channel partner management.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

About Jennifer Scholze

Jennifer Scholze is the Global Lead for Industry Marketing for the Mill Products and Mining Industries at SAP. She has over 20 years of technology marketing, communications and venture capital experience and lives in the Boston area with her husband and two children.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

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About Matt Wilkinson

Matt Wilkinson is the General Manager, Consumer Industries for SAP ANZ. Having operational roles in consumer industries organisations combined with 20+ years of professional services in both delivery and sales roles with cloud and on premise solutions, provide him with a unique insight to help organisations achieve effective digital transformation.

What Is Next For Consumer Privacy As Data Continues To Proliferate

Daniel Newman

We are inherently drawn towards things that are free. In his book, Predictably Irrational: The Hidden Forces That Shape Our Decisions, psychologist Dan Ariely explains this behavior, “FREE! gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

With the rise in consumerism, our needs, wants, and demands have multiplied significantly. But What-is-Next-for-Consumer-Privacy-as-Data-Continues-to-Proliferatethe urge to get more for less has always dominated our purchase decisions and continues to do so. Enterprises have long understood this human psyche and have been using the bait of “freebies” to get customers hooked on their services for quite some time. How is getting something for “free” really affecting today’s consumers? Is there a hidden cost in all the “freebies” we get?

Consumers are giving away more information to get more privileges

Today’s consumers are way more empowered and informed than they have ever been when it comes to deciding what they want to buy and whom they will buy from. Moreover, they are seeking an active involvement with the brands they want to trust and be associated with. In order to please these super-informed-consumers, organizations try to grab every opportunity available to strike a conversation with them, engage them, and build relationships with them.

The digital era presents marketers with many such opportunities: social media sites, forums, and communities being a few of them. Many of these online spaces are free to users. They are able to navigate the sights, post updates, and connect with friends and brands at no cost—that can be seen. But as people’s obsession with free things skyrockets, they may not realize that they are trading away their privacy to use free social media sites, consume free content, use free applications, play free games, and the list goes on. As a result, the Internet has turned into a goldmine of data and information that people choose, knowingly or unknowingly, to give away in exchange for “free stuff.”

Businesses begin to thrive on data

Gone are the days when marketers had to bombard their prospects with emails, promotional, and sales calls with the hope that they might eventually end up buying their products. Most sales and marketing was based on assumptions about potential buyers and the onus was on the sales person to convince and convert. Today, customers know what they want and they are vocal about it. They talk about their preferences and do not entertain most sales pitches, unless of course, the sell adds value to their lives. With consumers openly discussing their likes and dislikes, businesses no longer have to guess. All they need to do is listen.

Moreover, with technologies like cloud computing, BYOD, Big Data, and Internet of Things coming to life, data is being generated at an incredible rate. Instead of worrying about finding data, now marketers need to focus on managing massive volumes of data and filtering out the data that applies to their businesses.

Are consumers thinking about privacy?

According to EY’s Global Information Security Survey 2013, 30% of respondents rated privacy as their first or second priority in terms of investment, while placing privacy 10th in the hierarchy of required information security investments. Another survey, conducted by the University of Southern California’s Center for the Digital Future in 2013, found that more than half of millennials are ready to share information if they get something in return. Those statistics aren’t surprising, considering how many of us scroll through instead of reading those privacy policies before signing up for a product or service.

However, with cases of data breach climbing, awareness seems to be on the rise. Last year, a survey revealed that 7 out of 10 Americans were willing to shun Google Glass over privacy concerns. People are seeking to take back at least a small portion of their personal life, giving rise to the question – are we heading towards a future that will allow us more privacy, or are we on the course to full exposure?

“The Future of Privacy” report from Pew Research Center answers the question to some extent: the survey asked if policymakers and tech leaders will succeed in creating “a secure, popularly accepted, and trusted privacy-rights infrastructure by 2025 that allows for business innovation and monetization, while also offering individuals choices for protecting their personal information in easy-to-use formats.” 55% of respondents were not hopeful that this would happen, while 45% were. Some of the respondents even said that the notion of privacy in the future will be looked at as a “fetish” and a “new taboo”.

The growth of technology has definitely outpaced the formation of new regulations, and the existing ones are completely inadequate to protect people from the privacy risks presented by modern technologies. It’s not hard to understand that the issue of online privacy is spiraling out of control in the absence of proper regulation. Until those regulations are conceived and put into place, the only way consumers can protect their privacy is by limiting the amount of information they are giving away.

Will the lure of “free” continue to blur the lines when it comes to sharing personal information? What are your thoughts?

For more customer strategies that boost business, see Marketing’s Customer Experience Mandate.

This article was first seen on Ricoh Blog.

The post What Is Next For Consumer Privacy As Data Continues To Proliferate appeared first on Millennial CEO.

Comments

Marina Simonians

About Marina Simonians

Marina Simonians is the Head of Global ISV GTM Strategy at SAP responsible for building new global ISV software driven initiatives for Big Data, AI/ML, Advanced analytics and IoT. With a passion for ecosystems she believes partnerships are most critical success factor in today’s software-driven market.

The Blockchain Solution

By Gil Perez, Tom Raftery, Hans Thalbauer, Dan Wellers, and Fawn Fitter

In 2013, several UK supermarket chains discovered that products they were selling as beef were actually made at least partly—and in some cases, entirely—from horsemeat. The resulting uproar led to a series of product recalls, prompted stricter food testing, and spurred the European food industry to take a closer look at how unlabeled or mislabeled ingredients were finding their way into the food chain.

By 2020, a scandal like this will be eminently preventable.

The separation between bovine and equine will become immutable with Internet of Things (IoT) sensors, which will track the provenance and identity of every animal from stall to store, adding the data to a blockchain that anyone can check but no one can alter.

Food processing companies will be able to use that blockchain to confirm and label the contents of their products accordingly—down to the specific farms and animals represented in every individual package. That level of detail may be too much information for shoppers, but they will at least be able to trust that their meatballs come from the appropriate species.

The Spine of Digitalization

Keeping food safer and more traceable is just the beginning, however. Improvements in the supply chain, which have been incremental for decades despite billions of dollars of technology investments, are about to go exponential. Emerging technologies are converging to transform the supply chain from tactical to strategic, from an easily replicable commodity to a new source of competitive differentiation.

You may already be thinking about how to take advantage of blockchain technology, which makes data and transactions immutable, transparent, and verifiable (see “What Is Blockchain and How Does It Work?”). That will be a powerful tool to boost supply chain speed and efficiency—always a worthy goal, but hardly a disruptive one.

However, if you think of blockchain as the spine of digitalization and technologies such as AI, the IoT, 3D printing, autonomous vehicles, and drones as the limbs, you have a powerful supply chain body that can leapfrog ahead of its competition.

What Is Blockchain and How Does It Work?

Here’s why blockchain technology is critical to transforming the supply chain.

Blockchain is essentially a sequential, distributed ledger of transactions that is constantly updated on a global network of computers. The ownership and history of a transaction is embedded in the blockchain at the transaction’s earliest stages and verified at every subsequent stage.

A blockchain network uses vast amounts of computing power to encrypt the ledger as it’s being written. This makes it possible for every computer in the network to verify the transactions safely and transparently. The more organizations that participate in the ledger, the more complex and secure the encryption becomes, making it increasingly tamperproof.

Why does blockchain matter for the supply chain?

  • It enables the safe exchange of value without a central verifying partner, which makes transactions faster and less expensive.
  • It dramatically simplifies recordkeeping by establishing a single, authoritative view of the truth across all parties.
  • It builds a secure, immutable history and chain of custody as different parties handle the items being shipped, and it updates the relevant documentation.
  • By doing these things, blockchain allows companies to create smart contracts based on programmable business logic, which can execute themselves autonomously and thereby save time and money by reducing friction and intermediaries.

Hints of the Future

In the mid-1990s, when the World Wide Web was in its infancy, we had no idea that the internet would become so large and pervasive, nor that we’d find a way to carry it all in our pockets on small slabs of glass.

But we could tell that it had vast potential.

Today, with the combination of emerging technologies that promise to turbocharge digital transformation, we’re just beginning to see how we might turn the supply chain into a source of competitive advantage (see “What’s the Magic Combination?”).

What’s the Magic Combination?

Those who focus on blockchain in isolation will miss out on a much bigger supply chain opportunity.

Many experts believe emerging technologies will work with blockchain to digitalize the supply chain and create new business models:

  • Blockchain will provide the foundation of automated trust for all parties in the supply chain.
  • The IoT will link objects—from tiny devices to large machines—and generate data about status, locations, and transactions that will be recorded on the blockchain.
  • 3D printing will extend the supply chain to the customer’s doorstep with hyperlocal manufacturing of parts and products with IoT sensors built into the items and/or their packaging. Every manufactured object will be smart, connected, and able to communicate so that it can be tracked and traced as needed.
  • Big Data management tools will process all the information streaming in around the clock from IoT sensors.
  • AI and machine learning will analyze this enormous amount of data to reveal patterns and enable true predictability in every area of the supply chain.

Combining these technologies with powerful analytics tools to predict trends will make lack of visibility into the supply chain a thing of the past. Organizations will be able to examine a single machine across its entire lifecycle and identify areas where they can improve performance and increase return on investment. They’ll be able to follow and monitor every component of a product, from design through delivery and service. They’ll be able to trigger and track automated actions between and among partners and customers to provide customized transactions in real time based on real data.

After decades of talk about markets of one, companies will finally have the power to create them—at scale and profitably.

Amazon, for example, is becoming as much a logistics company as a retailer. Its ordering and delivery systems are so streamlined that its customers can launch and complete a same-day transaction with a push of a single IP-enabled button or a word to its ever-attentive AI device, Alexa. And this level of experimentation and innovation is bubbling up across industries.

Consider manufacturing, where the IoT is transforming automation inside already highly automated factories. Machine-to-machine communication is enabling robots to set up, provision, and unload equipment quickly and accurately with minimal human intervention. Meanwhile, sensors across the factory floor are already capable of gathering such information as how often each machine needs maintenance or how much raw material to order given current production trends.

Once they harvest enough data, businesses will be able to feed it through machine learning algorithms to identify trends that forecast future outcomes. At that point, the supply chain will start to become both automated and predictive. We’ll begin to see business models that include proactively scheduling maintenance, replacing parts just before they’re likely to break, and automatically ordering materials and initiating customer shipments.

Italian train operator Trenitalia, for example, has put IoT sensors on its locomotives and passenger cars and is using analytics and in-memory computing to gauge the health of its trains in real time, according to an article in Computer Weekly. “It is now possible to affordably collect huge amounts of data from hundreds of sensors in a single train, analyse that data in real time and detect problems before they actually happen,” Trenitalia’s CIO Danilo Gismondi told Computer Weekly.

Blockchain allows all the critical steps of the supply chain to go electronic and become irrefutably verifiable by all the critical parties within minutes: the seller and buyer, banks, logistics carriers, and import and export officials.

The project, which is scheduled to be completed in 2018, will change Trenitalia’s business model, allowing it to schedule more trips and make each one more profitable. The railway company will be able to better plan parts inventories and determine which lines are consistently performing poorly and need upgrades. The new system will save €100 million a year, according to ARC Advisory Group.

New business models continue to evolve as 3D printers become more sophisticated and affordable, making it possible to move the end of the supply chain closer to the customer. Companies can design parts and products in materials ranging from carbon fiber to chocolate and then print those items in their warehouse, at a conveniently located third-party vendor, or even on the client’s premises.

In addition to minimizing their shipping expenses and reducing fulfillment time, companies will be able to offer more personalized or customized items affordably in small quantities. For example, clothing retailer Ministry of Supply recently installed a 3D printer at its Boston store that enables it to make an article of clothing to a customer’s specifications in under 90 minutes, according to an article in Forbes.

This kind of highly distributed manufacturing has potential across many industries. It could even create a market for secure manufacturing for highly regulated sectors, allowing a manufacturer to transmit encrypted templates to printers in tightly protected locations, for example.

Meanwhile, organizations are investigating ways of using blockchain technology to authenticate, track and trace, automate, and otherwise manage transactions and interactions, both internally and within their vendor and customer networks. The ability to collect data, record it on the blockchain for immediate verification, and make that trustworthy data available for any application delivers indisputable value in any business context. The supply chain will be no exception.

Blockchain Is the Change Driver

The supply chain is configured as we know it today because it’s impossible to create a contract that accounts for every possible contingency. Consider cross-border financial transfers, which are so complex and must meet so many regulations that they require a tremendous number of intermediaries to plug the gaps: lawyers, accountants, customer service reps, warehouse operators, bankers, and more. By reducing that complexity, blockchain technology makes intermediaries less necessary—a transformation that is revolutionary even when measured only in cost savings.

“If you’re selling 100 items a minute, 24 hours a day, reducing the cost of the supply chain by just $1 per item saves you more than $52.5 million a year,” notes Dirk Lonser, SAP go-to-market leader at DXC Technology, an IT services company. “By replacing manual processes and multiple peer-to-peer connections through fax or e-mail with a single medium where everyone can exchange verified information instantaneously, blockchain will boost profit margins exponentially without raising prices or even increasing individual productivity.”

But the potential for blockchain extends far beyond cost cutting and streamlining, says Irfan Khan, CEO of supply chain management consulting and systems integration firm Bristlecone, a Mahindra Group company. It will give companies ways to differentiate.

“Blockchain will let enterprises more accurately trace faulty parts or products from end users back to factories for recalls,” Khan says. “It will streamline supplier onboarding, contracting, and management by creating an integrated platform that the company’s entire network can access in real time. It will give vendors secure, transparent visibility into inventory 24×7. And at a time when counterfeiting is a real concern in multiple industries, it will make it easy for both retailers and customers to check product authenticity.”

Blockchain allows all the critical steps of the supply chain to go electronic and become irrefutably verifiable by all the critical parties within minutes: the seller and buyer, banks, logistics carriers, and import and export officials. Although the key parts of the process remain the same as in today’s analog supply chain, performing them electronically with blockchain technology shortens each stage from hours or days to seconds while eliminating reams of wasteful paperwork. With goods moving that quickly, companies have ample room for designing new business models around manufacturing, service, and delivery.

Challenges on the Path to Adoption

For all this to work, however, the data on the blockchain must be correct from the beginning. The pills, produce, or parts on the delivery truck need to be the same as the items listed on the manifest at the loading dock. Every use case assumes that the data is accurate—and that will only happen when everything that’s manufactured is smart, connected, and able to self-verify automatically with the help of machine learning tuned to detect errors and potential fraud.

Companies are already seeing the possibilities of applying this bundle of emerging technologies to the supply chain. IDC projects that by 2021, at least 25% of Forbes Global 2000 (G2000) companies will use blockchain services as a foundation for digital trust at scale; 30% of top global manufacturers and retailers will do so by 2020. IDC also predicts that by 2020, up to 10% of pilot and production blockchain-distributed ledgers will incorporate data from IoT sensors.

Despite IDC’s optimism, though, the biggest barrier to adoption is the early stage level of enterprise use cases, particularly around blockchain. Currently, the sole significant enterprise blockchain production system is the virtual currency Bitcoin, which has unfortunately been tainted by its associations with speculation, dubious financial transactions, and the so-called dark web.

The technology is still in a sufficiently early stage that there’s significant uncertainty about its ability to handle the massive amounts of data a global enterprise supply chain generates daily. Never mind that it’s completely unregulated, with no global standard. There’s also a critical global shortage of experts who can explain emerging technologies like blockchain, the IoT, and machine learning to nontechnology industries and educate organizations in how the technologies can improve their supply chain processes. Finally, there is concern about how blockchain’s complex algorithms gobble computing power—and electricity (see “Blockchain Blackouts”).

Blockchain Blackouts

Blockchain is a power glutton. Can technology mediate the issue?

A major concern today is the enormous carbon footprint of the networks creating and solving the algorithmic problems that keep blockchains secure. Although virtual currency enthusiasts claim the problem is overstated, Michael Reed, head of blockchain technology for Intel, has been widely quoted as saying that the energy demands of blockchains are a significant drain on the world’s electricity resources.

Indeed, Wired magazine has estimated that by July 2019, the Bitcoin network alone will require more energy than the entire United States currently uses and that by February 2020 it will use as much electricity as the entire world does today.

Still, computing power is becoming more energy efficient by the day and sticking with paperwork will become too slow, so experts—Intel’s Reed among them—consider this a solvable problem.

“We don’t know yet what the market will adopt. In a decade, it might be status quo or best practice, or it could be the next Betamax, a great technology for which there was no demand,” Lonser says. “Even highly regulated industries that need greater transparency in the entire supply chain are moving fairly slowly.”

Blockchain will require acceptance by a critical mass of companies, governments, and other organizations before it displaces paper documentation. It’s a chicken-and-egg issue: multiple companies need to adopt these technologies at the same time so they can build a blockchain to exchange information, yet getting multiple companies to do anything simultaneously is a challenge. Some early initiatives are already underway, though:

  • A London-based startup called Everledger is using blockchain and IoT technology to track the provenance, ownership, and lifecycles of valuable assets. The company began by tracking diamonds from mine to jewelry using roughly 200 different characteristics, with a goal of stopping both the demand for and the supply of “conflict diamonds”—diamonds mined in war zones and sold to finance insurgencies. It has since expanded to cover wine, artwork, and other high-value items to prevent fraud and verify authenticity.
  • In September 2017, SAP announced the creation of its SAP Leonardo Blockchain Co-Innovation program, a group of 27 enterprise customers interested in co-innovating around blockchain and creating business buy-in. The diverse group of participants includes management and technology services companies Capgemini and Deloitte, cosmetics company Natura Cosméticos S.A., and Moog Inc., a manufacturer of precision motion control systems.
  • Two of Europe’s largest shipping ports—Rotterdam and Antwerp—are working on blockchain projects to streamline interaction with port customers. The Antwerp terminal authority says eliminating paperwork could cut the costs of container transport by as much as 50%.
  • The Chinese online shopping behemoth Alibaba is experimenting with blockchain to verify the authenticity of food products and catch counterfeits before they endanger people’s health and lives.
  • Technology and transportation executives have teamed up to create the Blockchain in Transport Alliance (BiTA), a forum for developing blockchain standards and education for the freight industry.

It’s likely that the first blockchain-based enterprise supply chain use case will emerge in the next year among companies that see it as an opportunity to bolster their legal compliance and improve business processes. Once that happens, expect others to follow.

Customers Will Expect Change

It’s only a matter of time before the supply chain becomes a competitive driver. The question for today’s enterprises is how to prepare for the shift. Customers are going to expect constant, granular visibility into their transactions and faster, more customized service every step of the way. Organizations will need to be ready to meet those expectations.

If organizations have manual business processes that could never be automated before, now is the time to see if it’s possible. Organizations that have made initial investments in emerging technologies are looking at how their pilot projects are paying off and where they might extend to the supply chain. They are starting to think creatively about how to combine technologies to offer a product, service, or business model not possible before.

A manufacturer will load a self-driving truck with a 3D printer capable of creating a customer’s ordered item en route to delivering it. A vendor will capture the market for a socially responsible product by allowing its customers to track the product’s production and verify that none of its subcontractors use slave labor. And a supermarket chain will win over customers by persuading them that their choice of supermarket is also a choice between being certain of what’s in their food and simply hoping that what’s on the label matches what’s inside.

At that point, a smart supply chain won’t just be a competitive edge. It will become a competitive necessity. D!


About the Authors

Gil Perez is Senior Vice President, Internet of Things and Digital Supply Chain, at SAP.

Tom Raftery is Global Vice President, Futurist, and Internet of Things Evangelist, at SAP.

Hans Thalbauer is Senior Vice President, Internet of Things and Digital Supply Chain, at SAP.

Dan Wellers is Global Lead, Digital Futures, at SAP.

Fawn Fitter is a freelance writer specializing in business and technology.

Read more thought provoking articles in the latest issue of the Digitalist Magazine, Executive Quarterly.

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CEO Priorities And Challenges In The Digital World

Dr. Chakib Bouhdary

Digital transformation is here, and it is moving fast. Companies are starting to realize the enormous power of digital technologies like artificial intelligence (AI), Internet of things (IoT) and blockchain. These technologies will drive massive opportunities—and threats—for every company, and they will impact all aspects of business, including the business model. In fact, business velocity has never been this fast, yet it will never be this slow again.

To move quickly, companies need to be clear on what they want to achieve through digital transformation and understand the possible roadblocks. Based on my meetings with customer executives across regions and industries, I have learned that CEOs often have the same three priorities and face the same three challenges:

1. Customer experience – No longer defined by omnichannel and personalized marketing.

Not surprisingly, 92 percent of digital leaders focus on customer experience. However, this is no longer just about omnichannel and personalized marketing – it is about the total customer experience. Businesses are realizing that they need to reimagine their value proposition and orchestrate changes across the value chain – from the first point of interaction to manufacturing, to shipment, to service – and be able to deliver the total customer experience. In some cases, it will even be necessary to change the core product or service itself.

2. Step change in productivity – Transform productivity and cost structure through digital technologies.

Businesses have been using technology to achieve growth for decades, but by combining emerging technologies, they can now achieve a significant productivity boost and reduce costs. For this to happen, companies must first identify the scenarios that will drive significant change in productivity, prioritize them based on value, and then determine the right technologies and solutions. Both Mckinsey and Boston Consulting Group expect a 15 to 30 percent improvement in productivity through digital advancements – blowing the doors off business-as-usual and its incremental productivity growth of 1 to 2 percent.

3. Employee engagement – Fostering a culture of innovation should be at the core of any business.

Companies are looking to create an environment that encourages creativity and innovation. Leaders are attracting the needed talent and building the right skill sets. Additionally, they aim for ways to attract a diverse workforce, improve collaborations, and empower employees – because engaged employees are crucial in order to achieve the best results. This Gallup study reveals that approximately 85 percent of employees worldwide are performing below their potential due to engagement issues.

As CEOs work towards achieving these three desired outcomes, they face some critical challenges that they must address. I define the top three challenges as follows: run vs. innovate, corporate cholesterol, and digital transformation roadmap.

1. Run vs. innovate – To be successful you must prioritize the future.

The foremost challenge that CEOs are facing is how they can keep running current profitable businesses while investing in future innovations. Quite often these two conflict as most executives mistakenly prioritize the first and spend much less time on the latter. This must change. CEOs and their management teams need to spend more time thinking about what digital is for them, discuss new ideas, and reimagine the future. According to Gartner, approximately 50 percent of boards are pushing their CEOs to make progress on digital. Although this is a promising sign, digital must become a priority on every CEOs agenda.

2. Corporate cholesterol – Do not let company culture get in the way of change.

The older the company is, the more stuck it likely is with policies, procedures, layers of management, and risk averseness. When a company’s own processes get in the way of change, that is what I call “corporate cholesterol.” CEOs need to change the culture, encourage cross-team collaborations, and bring in more diverse thinking to reduce the cholesterol levels. In fact, both Mckinsey and Capgemini conclude that culture is the number-one obstacle to digital effectiveness.

3. Digital transformation roadmap – Digital transformation is a journey without a destination.

Many CEOs struggle with their digital roadmap. Questions like: Where do I start? Can a CDO or another executive run this innovation for me? What is my three- to five-year roadmap? often come up during the conversations. Most companies think that there is a set roadmap, or a silver bullet, for digital transformation, but that is not the case. Digital transformation is a journey without a destination, and each company must start small, acquire the necessary skills and knowledge, and continue to innovate.

It is time to face the digital reality and make it a priority. According to KPMG, 70 percent to 80 percent of CEOs believe that the next three years are more critical for their company than the last fifty. And there is good reason to worry, as 75 percent of S&P 500 companies from 2012 will be replaced by 2027 at the current disruption rate.

Download this short executive document. 

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Dr. Chakib Bouhdary

About Dr. Chakib Bouhdary

Dr. Chakib Bouhdary is the Digital Transformation Officer at SAP. Chakib spearheads thought leadership for the SAP digital strategy and advises on the SAP business model, having led its transformation in 2010. He also engages with strategic customers and prospects on digital strategy and chairs Executive Digital Exchange (EDX), which is a global community of digital innovation leaders. Follow Chakib on LinkedIn and Twitter