Whether you’re an eCommerce business or app developer, it’s likely that you’ll need to engage third parties in the delivery of your products and services.
Of course, the key currency required for these partnerships is data. From customer contact and payment details to app usage analytics and personal profiles, you may need to share this data to process transactions or provide more personalised experiences – so how do you make sure you’re sharing data in a way that is ethical and lawful?
In this article, we’ll cover four key things all business owners should do to share their customers’ data safely and legally with third parties.
1. Inform your customers of how their data is being shared (and who it’s being shared with)
Depending on where your business and customers are based, you may need to add a range of other public disclosures, such as a website cookie banner or “Do Not Sell My Personal Information” page on your website.
Your customers should be given the opportunity to review your data sharing practices, the risks involved, and whether or not they consent.
2. Have a clear data sharing agreement in place
3. Don’t share more than what is necessary with third parties
To limit unnecessary risks around your customers’ privacy and your business’ liability, you should only share information that is absolutely essential to whatever service that third parties provide. Applying anonymisation or pseudonymisation techniques to your data, or even providing data in an aggregated format, are all privacy-preserving methods recommended by the General Data Protection Regulation (GDPR).
4. Make sure your third-party partners hold up their end of the bargain