Here’s How CCPA Could Impact Digital Media
A few months ago I wrote an article about the new CCPA regulations which are scheduled to be enacted in California on January 1st. For a reminder, CCPA is California’ version of GDPR, under which consumers will have a say in how digital publishers use and transfer their personal data. The biggest practical change with CCPA is that individuals can opt out of having their data sold to third parties for ad retargeting purposes.
With CCPA looming we’re starting to see research about how consumers might utilize these new safeguards. In one study a whopping 87% of panel participants said they would opt out of having their personal information sold to third parties. A different poll changed the wording of the question by asking if consumers would share their data if publishers “Reward Me for My Personal Information”. In the latter study 61% still chose “Do Not Sell My Personal Information”. (insert gulp here)
These stats don’t bode well for publishers who rely on revenue from selling user data, or for 3rd party data aggregators who might suddenly see a huge drop off in the scale of available audience data. The idea of offering a reward incentive, say a free subscription or exclusive content, might be a way to pull more users into the opt-in bucket, but it’s still not a rosy picture.
I’m starting to get the feeling that CCPA could have a huge impact on our industry.