Getting ready for the Data Act 2025

The European Union's Data Act 2025 is set to revolutionise the digital landscape.

At Great State, we're paying close attention to its implementation and implications for our clients. This groundbreaking legislation promises to reshape how businesses interact with data – offering a wealth of opportunities alongside some significant challenges. We know what we're talking about when it comes to data and digital experience. So we're here to guide you through the benefits and risks of this new terrain.

What's it all about?

The EU Data Act 2025 encourages the fair exchange of data within the single European market whilst protecting consumers rights. Achieving readiness presents big opportunities for businesses:

• Customer data value-exchange
• Improved customer experience
• Future-proofed data strategies and practices
• Efficient technical infrastructure and TOMs

But there are also big risks around compliance, with some hefty penalties (fines of €20m or 4% global turnover if greater) and some specific provisions for individual industries. So, balancing these will be paramount. 

Here’s our guide to the benefits, risks, opportunities and how to stay ahead of the Data Act 2025.

Benefits

A customer-centric future: benefits for our clients

The Data Act 2025 prioritises data accessibility, breaking down barriers that previously limited the scope of customer data available to businesses. This translates to a wealth of benefits for our clients.

Unparalleled customer insights:You'll be able to build personalised experiences based on a broader range of data sources. The Data Act will allow us to delve deeper into your customers' needs and behaviours, leading to hyper-personalised engagement strategies.

Innovation on demand: The Act fosters a culture of data sharing and processing, paving the way for a wave of groundbreaking CX solutions. We can leverage this to develop next-generation tools and platforms that translate data insights into powerful customer engagement strategies for your business.

A more level playing field: The Data Act aims to end unfair data-sharing contracts that have historically favoured larger corporations. This creates a more equitable environment and potentially gives a leg up to nimble agile CX agencies like Great State. You'll have access to a wider pool of qualified agencies offering competitive solutions – without limitations on data access.

Risks

Challenges and considerations: walking the compliance tightrope

Balancing data governance with GDPR: The act adds another factor to data compliance. Ensuring adherence to both the Data Act and the existing GDPR framework will require adjustments to your data management practices. Be prepared for potential changes in workflows and the need for dedicated compliance expertise.

The data management maze: The act presents a significant number of new regulations to navigate. Figuring out compliance, while still delivering exceptional customer experiences, can feel overwhelming. That’s why Great State partners with you as data experts to help navigate this new terrain.

How to stay ahead

Staying ahead of the curve: how we can help you thrive

At Great State, we believe the key to success in this new era lies in both adaptation and a commitment to ethical data practices. Here are some strategies we can employ to help your business thrive:

• Transparency is crucial: We believe in being upfront and transparent about what data we collect and how we use it. Building trust with your customers is the cornerstone of any successful customer experience strategy.
• Informed consent is essential: We empower your customers to make informed decisions. We'll ensure they understand your data collection processes and give their explicit consent before proceeding.
• Privacy by design: We only collect the data you absolutely need to deliver exceptional customer experiences. Respecting privacy goes hand-in-hand with building trust and loyalty.
• Embrace anonymised data: Whenever possible, we utilise anonymised or aggregated data sets to gain valuable insights, while safeguarding individual privacy.
• Security first: Robust security measures are non-negotiable. We'll implement best practices to protect your users data from unauthorised access and breaches.
• Respect user choice: Giving customers control over their data and how it's used, such as ‘opt-out requests,’ must be easy and clear.
• Empower your customers: We help you provide clear avenues for your customers to access, manage, and control their data.
• Prioritise non-personal data: Whenever possible, we use non-personal data to gain insights and personalise experiences. This allows for innovation while minimising privacy concerns.
• Continuous improvement: We’re committed to regularly auditing your data practices and seeking ways to enhance them. We'll keep you up-to-date with the latest regulations and industry standards.

Getting ready

This is an exciting time to rethink the customer experience. While the Data Act 2025 presents its share of challenges and opportunities, embracing a data-driven approach that prioritises privacy can place organisations and businesses at the forefront of a digital revolution.

At Great State, we're here to help you navigate the complexities of the Data Act and unlock its full potential to create exceptional customer experiences. Get in touch for more information.