WFA launches guide to help brands ‘do the right thing’ with data
The World Federation of Advertisers has released a new, world first guide for brands offering advice on how they can use data ethically in their advertising.
According to the trade body, the goal of Data Ethics – The Rise of Morality in Technology – which has been published on the second anniversary of GDPR – is to encourage companies to “go beyond” simply following data privacy rules, and get them to instead “address the gap” between what they can do and what they should do with data.
The launch of the guide is backed by new research from the WFA, which found that 74% of CMOs think data ethics will be “more important” to their role in the next five years, with data collection and privacy issues already being seen as increasingly important as a result of COVID-19.
The survey of 147 senior executives at some of the world’s biggest brand owners also found that 82% would consider leaving their current employer if they felt the approach to data was not ethical, while 26% said they had already felt uncomfortable about the use of data at some point during their careers.
Meanwhile, just 48% of respondents said their company had a data ethics policy.
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“The benefits and critical importance of data-enabled tech have been more evident of late than ever before. But we should not default to an attitude of “because we can, we should” in terms of data usage,” said Stephan Loerke, CEO of the WFA.
“The ad industry needs to have a conversation on data that distinguishes ‘the right to do something’ from ‘doing the right thing’. This must-read report will help brands start to navigate complex questions which will ultimately give them a competitive edge in an increasingly digital future.”
The new guide outlines four key principles – respect, fairness, accountability and transparency – which the WFA says should “underpin” a data ethics approach, and will form the basis for future work by the trade body’s Data Ethics Board.
These principles mean all data useage should respect the people behind the data, aim to be inclusive and eliminate bias, and be attained and used using open and transparent data practices backed by global and local governance.
The guide to data ethics is based on a year’s work by the WFA’s Data Ethics Board, chaired by Unilever’s general counsel – global marketing and media, Jamie Barnard.
Commenting on the launch, Barnard said: “Lockdown has re-emphasised to all of us the importance and value of technology. So there’s no better time to review our data ethics and look to design a digital future that enhances people’s lives and protects them in equal measure.”
Other members of the board include senior experts from 19 of the world’s biggest companies, including AB InBev, Diageo, Ikea, Mastercard, P&G, and L’Oréal.
According to Raja Rajamannar, chief marketing and communications officer at Mastercard and WFA president, the advertising industry is at “a crucial juncture”, as regulatory pressures and shifting public opinion mean people expect full transparency, control and choice over how their data is shared and used “more than ever”.
“Any brands that ignore this shift will be left behind,” he said. “We, as an industry, need to take a proactive approach and demonstrate to consumers that we respect them and their data.”