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  • Is Google Analytics Accurate ? 6 Important Caveats

    8 novembre 2022, par Erin

    It’s no secret that accurate website analytics is crucial for growing your online business — and Google Analytics is often the go-to source for insights. 

    But is Google Analytics data accurate ? Can you fully trust the provided numbers ? Here’s a detailed explainer.

    How Accurate is Google Analytics ? A Data-Backed Answer 

    When properly configured, Google Analytics (Universal Analytics and Google Analytics 4) is moderately accurate for global traffic collection. That said : Google Analytics doesn’t accurately report European traffic. 

    According to GDPR provisions, sites using GA products must display a cookie consent banner. This consent is required to collect third-party cookies — a tracking mechanism for identifying users across web properties.

    Google Analytics (GA) cannot process data about the user’s visit if they rejected cookies. In such cases, your analytics reports will be incomplete.

    Cookie rejection refers to visitors declining or blocking cookies from ever being collected by a specific website (or within their browser). It immediately affects the accuracy of all metrics in Google Analytics.

    Google Analytics is not accurate in locations where cookie consent to tracking is legally required. Most consumers don’t like disruptive cookie banners or harbour concerns about their privacy — and chose to reject tracking. 

    This leaves businesses with incomplete data, which, in turn, results in : 

    • Lower traffic counts as you’re not collecting 100% of the visitor data. 
    • Loss of website optimisation capabilities. You can’t make data-backed decisions due to inconsistent reporting

    For the above reasons, many companies now consider cookieless website tracking apps that don’t require consent screen displays. 

    Why is Google Analytics Not Accurate ? 6 Causes and Solutions 

    A high rejection rate of cookie banners is the main reason for inaccurate Google Analytics reporting. In addition, your account settings can also hinder Google Analytics’ accuracy.

    If your analytics data looks wonky, check for these six Google Analytics accuracy problems. 

    You Need to Secure Consent to Cookies Collection 

    To be GDPR-compliant, you must display a cookie consent screen to all European users. Likewise, other jurisdictions and industries require similar measures for user data collection. 

    This is a nuisance for many businesses since cookie rejection undermines their remarketing capabilities. Hence, some try to maximise cookie acceptance rates with dark patterns. For example : hide the option to decline tracking or make the texts too small. 

    Cookie consent banner examples
    Banner on the left doesn’t provide an evident option to reject all cookies and nudges the user to accept tracking. Banner on the right does a better job explaining the purpose of data collection and offers a straightforward yes/no selection

    Sadly, not everyone’s treating users with respect. A joint study by German and American researchers found that only 11% of US websites (from a sample of 5,000+) use GDPR-compliant cookie banners.

    As a result, many users aren’t aware of the background data collection to which they have (or have not) given consent. Another analysis of 200,000 cookies discovered that 70% of third-party marketing cookies transfer user data outside of the EU — a practice in breach of GDPR.

    Naturally, data regulators and activities are after this issue. In April 2022, Google was pressured to introduce a ‘reject all’ cookies button to all of its products (a €150 million compliance fine likely helped with that). Whereas, noyb has lodged over 220 complaints against individual websites with deceptive cookie consent banners.

    The takeaway ? Messing up with the cookie consent mechanism can get you in legal trouble. Don’t use sneaky banners as there are better ways to collect website traffic statistics. 

    Solution : Try Matomo GDPR-Friendly Analytics 

    Fill in the gaps in your traffic analytics with Matomo – a fully GDPR-compliant product that doesn’t rely on third-party cookies for tracking web visitors. Because of how it is designed, the French data protection authority (CNIL) confirmed that Matomo can be used to collect data without tracking consent.

    With Matomo, you can track website users without asking for cookie consent. And when you do, we supply you with a compact, compliant, non-disruptive cookie banner design. 

    Your Google Tag Isn’t Embedded Correctly 

    Google Tag (gtag.js) is a web tracking script that sends data to your Google Analytics, Google Ads and Google Marketing Platform.

    A corrupted gtag.js installation can create two accuracy issues : 

    • Duplicate page tracking 
    • Missing script installation 

    Is there a way to tell if you’re affected ?

    Yes. You may have duplicate scripts installed if you have a very low bounce rate on most website pages (below 15% – 20%). The above can happen if you’re using a WordPress GA plugin and additionally embed gtag.js straight in your website code. 

    A tell-tale sign of a missing script on some pages is low/no traffic stats. Google alerts you about this with a banner : 

    Google Analytics alerts

    Solution : Use Available Troubleshooting Tools 

    Use Google Analytics Debugger extension to analyse pages with low bounce rates. Use the search bar to locate duplicate code-tracking elements. 

    Alternatively, you can use Google Tag Assistant for diagnosing snippet install and troubleshooting issues on individual pages. 

    If the above didn’t work, re-install your analytics script

    Machine Learning and Blended Data Are Applied

    Google Analytics 4 (GA4) relies a lot on machine learning and algorithmic predictions.

    By applying Google’s advanced machine learning models, the new Analytics can automatically alert you to significant trends in your data. [...] For example, it calculates churn probability so you can more efficiently invest in retaining customers.

    On the surface, the above sounds exciting. In practice, Google’s application of predictive algorithms means you’re not seeing actual data. 

    To offer a variation of cookieless tracking, Google algorithms close the gaps in reporting by creating models (i.e., data-backed predictions) instead of reporting on actual user behaviours. Therefore, your GA4 numbers may not be accurate.

    For bigger web properties (think websites with 1+ million users), Google also relies on data sampling — a practice of extrapolating data analytics, based on a data subset, rather than the entire dataset. Once again, this can lead to inconsistencies in reporting with some numbers (e.g., average conversion rates) being inflated or downplayed. 

    Solution : Try an Alternative Website Analytics App 

    Unlike GA4, Matomo reports consist of 100% unsampled data. All the aggregated reporting you see is based on real user data (not guesstimation). 

    Moreover, you can migrate from Universal Analytics (UA) to Matomo without losing access to your historical records. GA4 doesn’t yet have any backward compatibility.

    Spam and Bot Traffic Isn’t Filtered Out 

    Surprise ! 42% of all Internet traffic is generated by bots, of which 27.7% are bad ones.

    Good bots (aka crawlers) do essential web “housekeeping” tasks like indexing web pages. Bad bots distribute malware, spam contact forms, hack user accounts and do other nasty stuff. 

    A lot of such spam bots are designed specifically for web analytics apps. The goal ? Flood your dashboard with bogus data in hopes of getting some return action from your side. 

    Types of Google Analytics Spam :

    • Referral spam. Spambots hijack the referrer, displayed in your GA referral traffic report to indicate a page visit from some random website (which didn’t actually occur). 
    • Event spam. Bots generate fake events with free language entries enticing you to visit their website. 
    • Ghost traffic spam. Malicious parties can also inject fake pageviews, containing URLs that they want you to click. 

    Obviously, such spammy entities distort the real website analytics numbers. 

    Solution : Set Up Bot/Spam Filters 

    Google Analytics 4 has automatic filtering of bot traffic enabled for all tracked Web and App properties. 

    But if you’re using Universal Analytics, you’ll have to manually configure spam filtering. First, create a new view and then set up a custom filter. Program it to exclude :

    • Filter Field : Request URI
    • Filter Pattern : Bot traffic URL

    Once you’ve configured everything, validate the results using Verify this filter feature. Then repeat the process for other fishy URLs, hostnames and IP addresses. 

    You Don’t Filter Internal Traffic 

    Your team(s) spend a lot of time on your website — and their sporadic behaviours can impair your traffic counts and other website metrics.

    To keep your data “employee-free”, exclude traffic from : 

    • Your corporate IPs addresses 
    • Known personal IPs of employees (for remote workers) 

    If you also have a separate stage version of your website, you should also filter out all traffic coming from it. Your developers, contractors and marketing people spend a lot of time fiddling with your website. This can cause a big discrepancy in average time on page and engagement rates. 

    Solution : Set Internal Traffic Filters 

    Google provides instructions for excluding internal traffic from your reports using IPv4/IPv6 address filters. 

    Google Analytics IP filters

    Session Timeouts After 30 Minutes 

    After 30 minutes of inactivity, Google Analytics tracking sessions start over. Inactivity means no recorded interaction hits during this time. 

    Session timeouts can be a problem for some websites as users often pin a tab to check it back later. Because of this, you can count the same user twice or more — and this leads to skewed reporting. 

    Solution : Programme Custom Timeout Sessions

    You can codify custom cookie timeout sessions with the following code snippets : 

    Final Thoughts 

    Thanks to its scale and longevity, Google Analytics has some strong sides, but its data accuracy isn’t 100% perfect.

    The inability to capture analytics data from users who don’t consent to cookie tracking and data sampling applied to bigger web properties may be a deal-breaker for your business. 

    If that’s the case, try Matomo — a GDPR-compliant, accurate web analytics solution. Start your 21-day free trial now. No credit card required.

  • CJEU rules US cloud servers don’t comply with GDPR and what this means for web analytics

    17 juillet 2020, par Jake Thornton

    Breaking news : On July 16, 2020, the Court of Justice of the European Union (CJEU) has ruled that any cloud services hosted in the US are incapable of complying with the GDPR and EU privacy laws.

    In August 2016, the EU-US Privacy Shield framework came into effect, which “protects the fundamental rights of anyone in the EU whose personal data is transferred to the United States for commercial purposes. It allows the free transfer of data to companies that are certified in the US under the Privacy Shield.” – European Commission website

    However after today’s CJEU ruling, this Privacy Shield framework became invalidated due to significant differences between EU and US privacy laws.

    European privacy law activist Max Schrems summarises with “The Court clarified for a second time now that there is a clash between EU privacy law and US surveillance law. As the EU will not change its fundamental rights to please the NSA, the only way to overcome this clash is for the US to introduce solid privacy rights for all people – including foreigners. Surveillance reform thereby becomes crucial for the business interests of Silicon Valley.” – noyb website

    Today’s ruling also continues to spark concern into the legitimacy of US privacy laws which doesn’t fully protect people’s personal data when hosted on cloud servers based in the US.

    Web analytics hosted on US cloud servers don’t comply with GDPR

    How will this affect you ?

    For any business operating a website in the EU or if you have traffic coming to your website from EU visitors, you need to know what data you’re capturing and where this data is being stored.

    Here’s what Maja Smoltczyk (Berlin’s Commissioner for Data Protection and Freedom of Information) says :

    Controllers who transfer personal data to the USA, especially when using cloud-based services, are now required to switch immediately to service providers based in the European Union or a country that can
    ensure an adequate level of data protection. 
    The CJEU has made it refreshingly clear that data exports are not just financial decisions, as people’s fundamental rights must also be considered as a matter of priority. This ruling will put
    an end to the transfer of personal data to the USA
    for the sake of convenience or to cut costs.

    The controller is you (not Google) and by transferring data to the US you are at risk of being fined up to €20 million or 4% of your annual worldwide turnover for not being GDPR compliant. 

    It’s you who has to take action, not Google or other US companies. The court’s decision has immediate effect. While we assume there will be a grace period, companies should act now as finding and implementing alternatives solution can take a while. 

    Can no data be exported outside the EU anymore ?

    Data can still be exported outside the EU if an adequate level of data protection is guaranteed. This is the case for some trading partners of the EU such as New Zealand, Japan, Switzerland, and Canada. They have been certified by the EU as having a comparable level of privacy protection and therefore demonstrate adequacy at a country level.

    Necessary data can still flow to countries like the US too. This is for example the case when someone books a hotel in the US or when sending an email to someone in the US. Backups for disaster recovery and most other reasons don’t qualify as necessary.

    In all other cases you can still send data to countries like the US if you get explicit and informed consent from a user. Meaning the user has been informed about all possible risks of sending the data to the US and who can access the data (for example the US government).

    How this affects Google Analytics and Google Tag Manager users

    If your website is using Google Analytics, the safest bet is to deactivate it immediately. Otherwise, you must ask for consent from everyone who visits your website and inform them that the data will be processed in the United States under less strict privacy laws and all associated risks. If you don’t, you could be liable to privacy law infringements and face being fined for not complying with the GDPR. This also applies to Google Tag Manager as it transfers the IP address to the US which is considered personal data under the GDPR.

    Consent needs to be :

    • Freely given (the user must have a choice to not give consent and be able to opt out at any time) 
    • Informed (you need to disclose who is processing the data, what data is processed, where the data will be stored and how to opt out) 
    • Specific (consent is only valid for the specific informed purpose) 
    • Unambiguous (for example pre-ticked boxes or similar aren’t allowed)
    Web analytics that complies with GDPR

    If users don’t give you consent, you are not allowed to track them using Google Analytics or any other US based cloud solution.

    Update August 19, 2020

    A month after this ruling, over 100 complaints have been filed against websites for continuing to send data to the US via Google Analytics or Facebook, by the European privacy campaign group noyb. It’s clear Google and Facebook fall under US surveillance laws such as FISA 702 and the court clearly ruled these companies cannot rely on SCCs to transfer data to the US. Anyone still using Google Analytics is now at risk of facing fines and compensation damages

    How this affects Matomo users

    Our cloud servers are based in Germany.

    Matomo On-Premise users choose the location of their data themselves. If the servers are located in the EU nothing changes. If the servers are located outside the EU and the website targets EU users and tracks personal data, then you need to assess whether you are required to ask for tracking consent.

    If the data is stored inside the EU you can use Matomo without asking for any consent and you can continue tracking users even if they reject a consent screen which greatly increases the quality of your data.

    Want to avoid informing users about transferring their data to the US and all associated risks ?

    Try Matomo now for free ! No credit card required.

  • Data Privacy Regulations : Essential Knowledge for Global Business

    6 mars, par Daniel Crough

    If you run a website that collects visitors’ data, you might be violating privacy regulations somewhere in the world. At last count, over 160 countries have privacy laws — and your customers in those countries know about them.

    A recent survey found that 53% of people who answered know about privacy rules in their country and want to follow them. This is up from 46% two years ago. Furthermore, customers increasingly want to buy from businesses they can trust with their data.

    That’s why businesses must take data privacy seriously. In this article, we’ll first examine data privacy rules, why we need them, and how they are enforced worldwide. Finally, we’ll explore strategies to ensure compliance and tools that can help.

    What are data privacy regulations ?

    Let’s first consider data privacy. What is it ? The short answer is individuals’ ability to control their personal information. That’s why we need laws and rules to let people decide how their data is collected, used, and shared. Crucially, the laws empower individuals to withdraw permission to use their data anytime.

    The UNCTAD reports that only 13 countries had data protection laws or rules before the 2000s. Many existed before businesses could offer online services, so they needed updating. Today, 162 national laws protect data privacy, half of which emerged in the last decade.

    Why is this regulation necessary ?

    There are many reasons, but the impetus comes from consumers who want their governments to protect their data from exploitation. They understand that participating in the digital economy means sharing personal information like email addresses and telephone numbers, but they want to minimise the risks of doing so.

    Data privacy regulation is essential for :

    • Protecting personal information from exploitation with transparent rules and guidelines on handling it securely.
    • Implementing adequate security measures to prevent data breaches.
    • Enforcing accountability for how data is collected, stored and processed.
    • Giving consumers control over their data.
    • Controlling the flow of data across international borders in a way that fully complies with the regulations.
    • Penalising companies that violate privacy laws.

    Isn’t it just needless red tape ?

    Data breaches in recent years have been one of the biggest instigators of the increase in data privacy regulations. A list of the top ten data breaches illustrates the point.

    #CompanyLocationYear# of RecordsData Type
    1YahooGlobal20133Buser account information
    2AadhaarIndia20181.1Bcitizens’ ID/biometric data
    2AlibabaChina20191.1Busers’ personal data
    4LinkedInGlobal2021700Musers’ personal data
    5Sina WeiboChina2020538Musers’ personal data
    6FacebookGlobal2019533Musers’ personal data
    7Marriott Int’lGlobal2018500Mcustomers’ personal data
    8YahooGlobal2014500Muser account information
    9Adult Friend FinderGlobal2016412.2Muser account information
    10MySpaceUSA2013360Muser account information

    And that’s just the tip of the iceberg. Between November 2005 and November 2015, the US-based Identity Theft Resource Center counted 5,754 data breaches that exposed 856,548,312 records, mainly in that country.

    It’s no wonder that citizens worldwide want organisations they share their personal data with to protect that data as if it were their own. More specifically, they want their governments to :

    • Protect their consumer rights
    • Prevent identity theft and other consumer fraud
    • Build trust between consumers and businesses
    • Improve cybersecurity measures
    • Promote ethical business practices
    • Uphold international standards

    Organisations using personal data in their operations want to minimise financial and reputational risk. That’s common sense, especially when external attacks cause 68% of data breaches.

    The terminology of data privacy

    With 162 national laws already in place, the legal space surrounding data privacy grows more complex every day. Michalsons has a list of different privacy laws and regulations in force in significant markets around the world.

    Fortunately, there’s plenty of commonality for two reasons : first, all countries want to solve the same problem ; second, those drafting the legislation have adopted much of what other countries have already developed. As a result, the terminology remains almost the same, even when the language changes.

    These are the core concepts at play :

    TermDefinition
    Access and controlConsumers can access, review, edit and delete their data
    Data protectionOrganisations must protect data from being stolen or compromised
    Consumer consentConsumers can grant and withdraw or refuse access to their data
    DeletionConsumers can request to have their data erased
    Data breachWhen the security of data has been compromised
    Data governanceThe management of data within an organisation
    Double opt-inTwo-factor authentication to add a layer of confirmation
    GDPRGoverning data privacy in Europe since 2016
    Personally identifiable information (PII)Data used to identify, locate, or contact an individual
    PseudonymisationReplace personal identifiers with artificial identifiers or pseudonyms
    Publicly available informationData from official sources, without restrictions on access or use
    RectificationConsumers can request to have errors in their data corrected

    Overview of current data privacy legislation

    Over three-quarters of the world has formulated and rolled out data privacy legislation — or is currently doing so. Here’s a breakdown of the laws and regulations you can expect to find in most significant markets worldwide.

    Europe

    Thoughts of protecting data privacy first occurred in Europe when the German government became concerned about automated data processing in 1970. A few years later, Sweden was the first country to enact a law requiring permits for processing personal data, establishing the first data protection authority.

    General Data Protection Regulation (GDPR)

    Sweden’s efforts triggered a succession of European laws and regulations that culminated in the European Union (EU) GDPR, enacted in 2016 and enforced from 25 May 2018. It’s a detailed and comprehensive privacy law that safeguards the personal data and privacy of EU citizens.

    The main objectives of GDPR are :

    • Strengthening the privacy rights of individuals by empowering them to control their data.
    • Establishing a uniform data framework for data privacy across the EU.
    • Improving transparency and accountability by mandating businesses to handle personal data responsibly and fully disclose how they use it.
    • Extending the regulation’s reach to organisations external to the EU that collect, store and process the data of EU residents.
    • Requiring organisations to conduct Protection Impact Assessments (PIAs) for “high-risk” projects.

    ePrivacy Regulation on Privacy and Electronic Communications (PECR)

    The second pillar of the EU’s strategy to regulate the personal data of its citizens is the ePrivacy Regulation on Privacy and Electronic Communications (EU PECR). Together with the GDPR, it will comprise data protection law in the union. This regulation applies to :

    • Providers of messaging services like WhatsApp, Facebook and Skype
    • Website owners
    • Owners of apps that have electronic communication components
    • Commercial direct marketers
    • Political parties sending promotional messages electronically
    • Telecommunications companies
    • ISPs and WiFi connection providers

    The EU PECR was intended to commence with GDPR on 25 May 2018. That didn’t happen, and as of January 2025, it was in the process of being redrafted.

    EU Data Act

    One class of data isn’t covered by GDPR or PECR : internet product-generated data. The EU Data Act provides the regulatory framework to govern this data, and it applies to manufacturers, suppliers, and users of IoT devices or related services.

    The intention is to facilitate data sharing, use, and reuse and to facilitate organisations’ switching to a different cloud service provider. The EU Data Act entered into force on 11 January 2024 and is applicable from September 2025.

    GDPR UK

    Before Brexit, the EU GDPR was in force in the UK. After Brexit in 2020, the UK opted to retain the regulations as UK GDPR but asserted independence to keep the framework under review. It’s part of a wider package of reform to the data protection environment that includes the Data Protection Act 2018 and the UK PECR.

    In the USA

    The primary federal law regarding data privacy in the US is the Privacy Act of 1974, which has been in revision for some time. However, rather than wait for the outcome of that process, many business sectors and states have implemented their own measures.

    Sector-specific data protection laws

    This sectoral approach to data protection relies on a combination of legislation, regulation and self-regulation rather than governmental control. Since the mid-1990s, the country has allowed the private sector to lead on data protection, resulting in ad hoc legislation arising when circumstances require it. Examples include the Video Privacy Protection Act of 1988, the Cable Television Protection and Competition Act of 1992 and the Fair Credit Reporting Act.

    Map showing states with data privacy regulation and states planning it

    California Consumer Privacy Act (CCPA)

    California was the first state to act when federal privacy law development stalled. In 2018, it enacted the California Consumer Privacy Act (CCPA) to protect and enforce Californians’ rights regarding the privacy of their personal information. It came into force in 2020.

    California Privacy Act (CPRA)

    In November of that same year, California voters approved the California Privacy Rights Act (CPRA). Billed as the strongest consumer privacy law ever enacted in the US, CPRA works with CCPA and adds the best elements of laws and regulations in other jurisdictions (Europe, Japan, Israel, New Zealand, Canada, etc.) into California’s personal data protection regime.

    Virginia Consumer Data Protection Act (CDPA)

    In March 2021, Virginia became the next US state to implement privacy legislation. The Virginia Consumer Data Protection Act (VCDPA), which is also informed by global legislative developments, tries to strike a balance between consumer privacy protections and business interests. It governs how businesses collect, use, and share consumer data.

    Colorado Privacy Act (CPA)

    Developed around the same time as VCDPA, the Colorado Privacy Act (CPA) was informed by that law and GDPR and CCPA. Signed into law in July 2021, the CPA gives Colorado residents more control over their data and establishes guidelines for businesses on handling the data.

    Other states generally

    Soon after, additional states followed suit and, similar to Colorado, examined existing legislation to inform the development of their own data privacy laws and regulations. At the time of writing, the states with data privacy laws at various stages of development were Connecticut, Florida, Indiana, Iowa, Montana, New York, Oregon, Tennessee, Texas, and Utah.

    By the time you read this article, more states may be doing it, and the efforts of some may have led to laws and regulations coming into force. If you’re already doing business or planning to do business in the US, you should do your own research on the home states of your customers.

    Globally

    Beyond Europe and the US, other countries are also implementing privacy regulations. Some were well ahead of the trend. For example, Chile’s Law on the Protection of Private Life was put on the books in 1999, while Mauritius enacted its first Data Protection Act in 2004 — a second one came along in 2017 to replace it.

    Canada

    The regulatory landscape around data privacy in Canada is as complicated as it is in the US. At a federal government level, there are two laws : The Privacy Act for public sector institutions and the Personal Information Protection and Electronic Documents Act (PIPEDA) for the private sector.

    PIPEDA is the one to consider here. Like all other data privacy policies, it provides a framework for organisations handling consumers’ personal data in Canada. Although not quite up to GDPR standard, there are moves afoot to close that gap.

    The Digital Charter Implementation Act, 2022 (aka Bill C-27) is proposed legislation introduced by federal agencies in June 2022. It’s intended to align Canada’s privacy framework with global standards, such as GDPR, and address emerging digital economy challenges. It may or may not have been finalised when you read this.

    At the provincial level, three of Canada’s provinces—Alberta, British Columbia, and Quebec—have introduced laws and regulations of their own. Their rationale was similar to that of Bill C-27, so they may become redundant if and when that bill passes.

    Japan

    Until recently, Japan’s Act on the Protection of Personal Information (APPI) was considered by many to be the most comprehensive data protection law in Asia. Initially introduced in 2003, it was significantly amended in 2020 to align with global privacy standards, such as GDPR.

    APPI sets out unambiguous rules for how businesses and organisations collect, use, and protect personal information. It also sets conditions for transferring the personal information of Japanese residents outside of Japan.

    Map showing countries with legislation and draft legislation and those without any at all.

    China

    The new, at least for now, most comprehensive data privacy law in Asia is China’s Personal Information Protection Law (PIPL). It’s part of the country’s rapidly evolving data governance framework, alongside the Cybersecurity Law and the Data Security Law.

    PIPL came into effect in November 2021 and was informed by GDPR and Japan’s APPI, among others. The data protection regime establishes a framework for protecting personal information and imposes significant compliance obligations on businesses operating in China or targeting consumers in that country.

    Other countries

    Many other nations have already brought in legislation and regulations or are in the process of developing them. As mentioned earlier, there are 162 of them at this point, and they include :

    ArgentinaCosta RicaParaguay
    AustraliaEcuadorPeru
    BahrainHong KongSaudi Arabia
    BermudaIsraelSingapore
    BrazilMauritiusSouth Africa
    ChileMexicoUAE
    ColombiaNew ZealandUruguay

    Observant readers might have noticed that only two countries in Africa are on that list. More than half of the 55 countries on the continent have or are working on data privacy legislation.

    It’s a complex landscape

    Building a globalised business model has become very complicated, with so much legislation already in play and more coming. What you must do depends on the countries you plan to operate in or target. And that’s before you consider the agreements groups of countries have entered into to ease the flow of personal data between them.

    In this regard, the EU-US relationship is instructive. When GDPR came into force in 2016, so did the EU-US Privacy Shield. However, about four years later, the Court of Justice of the European Union (CJEU) invalidated it. The court ruled that the Privacy Shield didn’t adequately protect personal data transferred from the EU to the US.

    The ruling was based on US laws that allow excessive government surveillance of personal data transferred to the US. The CJEU found that this conflicted with the basic rights of EU citizens under the European Union’s Charter of Fundamental Rights.

    A replacement was negotiated in a new mechanism : the EU-US Data Privacy Framework. However, legal challenges are expected, and its long-term viability is uncertain. The APEC Privacy Framework and the OECD Privacy Framework, both involving the US, also exist.

    The EU-US Privacy Shield regulates transfer of personal data between the EU and the US

    Penalties for non-compliance

    Whichever way you look at it, consumer data privacy laws and regulations make sense. But what’s really interesting is that many of them have real teeth to punish offenders. GDPR is a great example. It was largely an EU concern until January 2022 when the French data protection regulator hit Google and Facebook with serious fines and criminal penalties.

    Google was fined €150M, and Facebook was told to pay €60M for failing to allow French users to reject cookie tracking technology easily. That started a tsunami of ever-larger fines.

    The largest so far was the €1.2B fine levied by the Irish Data Protection Commission on Meta, the owner of Instagram, Facebook, and WhatsApp. It was issued for transferring European users’ personal data to the US without adequate data protection mechanisms. This significant penalty demonstrated the serious financial implications of non-compliance.

    These penalties follow a structured approach rather than arbitrary determinations. The GDPR defines an unambiguous framework for fines. They can be up to 4% of a company’s total global turnover in the previous fiscal year. That’s a serious business threat.

    What should you do ?

    For businesses committed to long-term success, accepting and adapting to regulatory requirements is essential. Data privacy regulations and protection impact assessments are here to stay, with many national governments implementing similar frameworks.

    However, there is some good news. As you’ve seen, many of these laws and regulations were informed by GDPR or retrospectively aligned. That’s a good place to start. Choose tools to handle your customer’s data that are natively GDPR-compliant.

    For example, web analytics is all about data, and a lot of that data is personal. And if, like many people, you use Google Analytics 4, you’re already in trouble because it’s not GDPR-compliant by default. And achieving compliance requires significant additional configuration.

    A better option would be to choose a web analytics platform that is compliant with GDPR right off the bat. Something like Matomo would do the trick. Then, complying with any of the tweaks individual countries have made to the basic GDPR framework will be a lot easier—and may even be handled for you.

    Privacy-centric data strategies

    Effective website data analysis is essential for business success. It enables organisations to understand customer needs and improve service delivery.

    But that data doesn’t necessarily need to be tied to their identity — and that’s at the root of many of these regulations.

    It’s not to stop companies from collecting data but to encourage and enforce responsible and ethical handling of that data. Without an official privacy policy or ethical data collection practices, the temptation for some to use and abuse that data for financial gain seems too great to resist.

    Cookie usage and compliance

    There was a time when cookies were the only way to collect reliable information about your customers and prospects. But under GDPR, and in many countries that based or aligned their laws with GDPR, businesses have to give users an easy way to opt out of all tracking, particularly tracking cookies.

    So, how do you collect the information you need without cookies ? Easy. You use a web analytics platform that doesn’t depend wholly on cookies. For example, in certain countries and when configured for maximum privacy, Matomo allows for cookieless operation. It can also help you manage the cookie consent requirements of various data privacy regulations.

    Choose the right tools

    Data privacy regulations have become a permanent feature of the global business landscape. As digital commerce continues to expand, these regulatory frameworks will only become more established. Fortunately, there is a practical approach forward.

    As mentioned several times, GDPR is considered by many countries to be a particularly good example of effective data privacy regulation. For that reason, many of them model their own legislation on the EU’s effort, making a few tweaks here and there to satisfy local requirements or anomalies.

    As a result, if you comply with GDPR, the chances are that you’ll also comply with many of the other data privacy regulations discussed here. That also means that you can select tools for your data harvesting and analytics that comply with the GDPR out of the box, so to speak. Tools like Matomo.

    Matomo lets website visitors retain full control over their data.

    Before deciding whether to go with Matomo On-premise or the EU-hosted cloud version, why not start your 21-day free trial ? No credit card required.