Digital Data Compliance: Key Regulations and Standards

Privacy violations and data breaches are common in business today. A lack of compliance doesn’t just endanger consumer data, but it also exposes a business to serious litigation. Data compliance has become much more than a regulatory checkbox; it is also a means of reputation protection and customer trust. In fact, compliance directly affects a brand’s ability to engage audiences effectively. 

Many users, especially those in regions with stricter privacy laws, expect security and transparency when sharing information. At the same time, businesses need to ensure that they can implement compliance in a way that doesn’t harm the user experience or the company’s digital goals. Data privacy and accessibility best practices must be followed if businesses want to maintain their customer base while ensuring robust regulatory compliance. 

The good news is that the benefits of digital data compliance massively outweigh the drawbacks, and digital data compliance will usually boost internal efficiencies in the long run. Without getting ahead of ourselves, we can look to the example of implementing internal structured data storage and processing measures to comply with SOC 2 and GDPR. This step often results in streamlined workflows and improved data management, reinforcing compliance.

Taking a closer look at each of the regulations laid out above, you will see that each brings something different to the table in terms of data protection. Similarly, the variety of regulations on the matter means that companies need to protect themselves in more ways than one to ensure they are complying with each of the regulations, where necessary.

The Americans with Disabilities Act (ADA) is a civil rights law that protects people from being discriminated against based on their disability. Though originally conceived with physical spaces in mind, some courts have started to interpret the ADA as applicable in digital environments, such as apps and websites. Beyond complying with regulation, ADA compliance provides businesses with the chance to reimagine their user experiences by ensuring accessibility and inclusivity, both online and offline.

These accessibility requirements can include guaranteeing screen reader compatibility, closed captions for videos, and keyboard navigation options. Failing to comply with ADA standards can damage businesses financially and limit customer satisfaction. Accessibility is a customer-centered practice that shows a brand’s commitment to inclusivity, strengthening customer relationships.

Achieving ADA compliance can also increase a brand’s audience reach. Blending accessibility with design expertise lets businesses ensure that they don’t have to sacrifice aesthetics or functionality for compliance. This dual approach allows companies to provide accessible, appealing, and compliant platforms for all users. A wider potential user base and more satisfied current customers is the overall result.

The Web Content Accessibility Guidelines (WCAG) are an internally recognized set of standards that outline guidelines for making web content accessible to people with various disabilities. WCAG compliance is organized into 3 tiers; A, AA, and AAA. As an international standard, WCAG is a fundamental part of ADA compliance and is often expected as a minimum requirement for users. What does WCAG cover? Essential areas of content accessibility, such as text readability, color contrast, alternative text for images, and clear navigation structures.

Like ADA compliance, WCAG compliance goes beyond ensuring accessibility for users, improving the overall usability and giving a positive boost to engagement and user satisfaction. To guarantee compliance, businesses must continuously assess current web content and implement necessary changes as standards evolve.

An additional benefit, however, is that accessible design boosts a company’s Search Engine Optimization (SEO) efforts. Search engines prioritize user-friendly and accessible websites, driving compliant sites to the top of search results. 

Turning our attention to data compliance in California, the California Consumer Privacy Act (CCPA) grants California residents the right to know what data companies are collecting, delete their personal data, and opt out of sales of their data. This regulation requires a certain level of reevaluation for companies in terms of how they collect, use, and disclose personal information. Businesses must provide notices about their data practices, safeguard consumer rights, and to a certain extent, return control of personal data to the user. 

CCPA compliance can be quite complex for companies. Policy updates, new data handling protocols, and security measures all play a part. By adopting CCPA practices, however, businesses meet the legal requirements of operating in one of the most lucrative markets on the planet. Not to mention the likely boost to customer loyalty that comes from a clear commitment to user privacy.

Today, the impact of the CCPA stretches far beyond California with other states considering similar laws, making it crucial for businesses across the country to stay informed. Privacy standards should be aligned with customer experience expectations and marketing goals, meaning the sooner businesses learn about the requirements, the better. Proactively preparing for expanding privacy legislation minimizes compliance risks and enhances trust.

One of the original digital data regulations, the General Data Protection Regulation (GDPR) is a strict data privacy law from the European Union that affects any business that collects or processes data from EU residents. The GDPR mandates explicit consent for data collection, gives users rights over their data, and forces companies to report breaches within 72 hours. This regulation set the global standard for data privacy, pushing businesses worldwide to adopt responsible, transparent data policies.

GDPR compliance can be particularly difficult for U.S. companies to navigate, as it often requires extensive adjustments to data management and marketing practices. By adopting GDPR-aligned practices, businesses can protect themselves from any fines and show their customers that they champion transparency, something that is becoming more and more important to each new generation of consumers.

Despite the difficulty, implementing GDPR compliance for a U.S. company is worthwhile. Not only will companies improve data organization and security, but there are opportunities for streamlined data processes and elevated marketing transparency that can have long-lasting, positive impacts on digital efforts. A compliance-driven approach strengthens a business’s foundation for growth in our data-conscious world.

To round out the list of most important data compliance regulations, we come to SOC 2 Type II Certification. This data security standard is for companies that handle cloud-based customer data. Particularly relevant for companies in tech or software as a service (SaaS), SOC 2 focuses on five key principles. Its key principles to data protection are security, availability, processing integrity, confidentiality, and privacy. Achieving compliance involves a rigorous audit conducted by a third-party firm that evaluates both the design and effectiveness of a company’s data security protocols.

Although SOC 2 compliance is not a legal requirement, it can be essential for companies eager to demonstrate trustworthiness and commitment to data security when managing sensitive information. Obtaining SOC 2 Type II Certification builds credibility with clients and partners, both current and potential, who value strong data security practices. The SOC 2 framework also offers long-term benefits for internal processes, capable of generating a noticeable boost to efficiency.

Digital data compliance is a necessity for any business operating online. Regulations like ADA, WCAG, CCPA, GDPR, and SOC 2 Type II Certification push companies to protect user data, offer accessible environments for all users and maintain and showcase transparent practices. Compliance can be tricky, and the right partner will be able to walk decision-makers through the steps involved. The best partners will be able to take on data compliance efforts and synergize them with SEO, design, and marketing efforts to maximize the positive impact of compliance for businesses.

inSegment’s expertise in data compliance, SEO, and accessibility has let past partners in a wide variety of industries to navigate regulatory complexities with ease. By aligning legal requirements with marketing and operational goals, the inSegment team helps clients build compliant, trustworthy, and effective digital presences.

Contact inSegment today.