Consumer Data Utilization: A Study in Contrasts

Drew Talbotwww.linkedin.com/in/drewtalbot

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Stock values hit record highs fueled by buybacks -- economic fundamentals remain soft

Investment in growth will likely be trimmed, but pressure on data science to deliver sales and profits will grow

Data abuses abound . . . & new tech hype as well Worldwide groundswell of distrust and consumer

reaction around data abuse by corporations and governments

Counter-trends mean conflict and change are likely but synthesis is possible

Background

Cross-Currents & Counter-Trends

1st & 3rd Party Data IntegrationKey Performance Indicators (KPI’s)

Self-Service ProfilesGovernance

Internet O’ Things & Other DisastersHacks & Breaches

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Mon

etiza

tion

v. St

ewar

dshi

p

Com

plet

enes

s v.

Inte

grity

Secu

rity

v. Ex

tens

ibilit

y

Relia

bilit

y v.

Flex

ibilit

y

Priv

acy

v. Se

rvice

Glob

aliza

tion

v. Lo

caliz

atio

n

Oppo

rtuni

ties v

. CL

M’s

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DHS Bulletin warns of hack-ability of Android OS

Take this to mean – your mobile is a microphone and data siphon for anyone with a modicum of knowledge and bad intent

Customer Data =

Revenue

Customer Data =

Risk

Customer Relationship = Profit

Monetization v. Stewardship

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• A new UN agency for data protection and data security is needed to protect the confidential and personal information of citizens around the world, the European commissioner for digital economy told delegates at the World Economic Forum

• Günther Oettinger said the recent Sony hack, which exposed swaths of confidential and personal information, had shown Europe the need to radically reshape the way data is used.

• “We are in a digital revolution, and we need a data revolution in parallel,” Oettinger said in a panel alongside Sir Tim Berners Lee, the inventor of the world wide web, and Yahoo’s boss, Marissa Mayer. He said the stream of revelations following Sony’s data breach had shown that Brussels must take a lead in restoring trust in tech companies.

• Edward Snowden’s revelations about the extent to which government agencies have been intercepting their citizens’ digital communications have pushed data security high up the agenda at Davos this year.

The Guardian 1/22/2015

Günther Oettinger

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Keynote Address, Brand Activation Association Conference, 11/6/2014Jessica Rich, Director, Bureau of Consumer Protection (FTC)Summary of FTC Privacy Data Guidelines for Marketers Tell the truth Keep your promises Give consumers choices about data uses Present choices in time & place consumers can

easily see and act on (not buried in a privacy policy)

Secure consumer data, especially if it’s sensitive Understand that current law makes consumers the

owners of data about them (not you) Police yourselves…or we will come after you

(expanded powers)

Who Owns The Data? . . . Consumers Themselves

Completeness v. Integrity

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All the data in one accessible

place

The right data with limited

availability but high quality

Right data in right place and

time with necessary

accuracy for task

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Security v. Extensibility

Bulletproof but hard to use or modify

Easy to use or modify

but hard to secure

Security to match governe

d purpose

– federated data

Reliability v. Flexibility

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Mission Critical & Always on but Poor Decision Support

Great Decision

Support and Analytics

with Unpredictable Reliability

Benefits of “Big

Data” for data

science with

Strengths of

Mainframe

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“You’ll see things here that look odd or even antiquated…Phones with cords…computers that hardly deserve the name. It was all designed to operate against an enemy who could infiltrate and disrupt even the most basic computer systems. Galactica is a reminder of a time when we were so frightened by our enemies that we literally looked backward for protection.”

Commander William AdamaBattlestar Galactica, 2004

‘Cylonesque’ Opportunities for Hacking & Abuse

They say millennials don’t take privacy and hacking threats

seriously – but the U S DoD sure does

Privacy v. Service

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Nothing there that

shouldn’t be

360o View & Multi-channel

linkage for personaliz

ed experience

Customer in

Charge of

Conversation (Not Victim of “Messagi

ng”)

Globalization v. Localization

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Standardized

& Centrally Controlle

d Models, Dashboards and Custome

r Data Stores

No data but what is necessary for the custome

r transaction, held in

country

Distributed Control, Federated Model with Standardiz

ed Reporting and Audit Models via

Safe Harbors

Opportunities v. Career Limiting Moves (CLM’s)

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Compliance and Fear

Driven

Customer

Manipulation & Greed Driven

Collaborationand

Profit Driven

Endwww.linkedin.com/in/drewtalbot

Count off by twos and divide into groups Group 1 will prepare (15 minutes) and present

(5 minutes) argument that using data to empower and engage consumers rather than to deceive and manipulate them is better for A. BusinessB. Society

Group 2 will prepare and present the opposing viewpoint

Discuss

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Excercise