Challenges in e-commerce: E-consumers in focus

The spotlight is on e-consumers and their personal data

Guest author:
Straubinger Zsófia
lawyer
Réti, Várszegi és Társai
Ügyvédi Iroda PwC Legal

The e-commerce boom was made possible by retail businesses getting through to new consumer target groups, and at the same time new channels for reaching shoppers have also been created. Today online shopping isn’t only a practicality but also an experience for consumers, and in this experience surveying the needs of customers and monitoring their journey on the shopping platform play a central role. In order to be able to offer the best possible customer journey, online shops have introduced new technological solutions that are based on utilising the personal data of consumers. Online stores are regularly profiling their shoppers (e.g. using cookies, container codes, etc.), so that they can offer the best customer experience. However, we mustn’t forget that new technological solutions and reaching consumers doesn’t only provide new opportunities, but also carry strict legal obligations.

Compliance with the law: The key is right planning and transparent information providing

Guest author:
Judit Firniksz
senior lawyer
Réti, Várszegi és Társai
Ügyvédi Iroda PwC Legal

When a new business or technology is introduced, companies need to manage the complex legal issues lying in the background. The same is true for e-commerce, for instance an online retailer must ask itself questions such as ‘What kind of data are we managing?’ or ‘Do the managed data qualify as personal data in the given context?’ In general it can be said that the basis for complying with rules and regulations is informing shoppers in advance. For example retailers must explain shoppers that all such systems are based on profiling which can maker personalised promotional offers to consumers. Retailers also have to calculate with the consumer attitude that distortions are present in the decisions of consumers, e.g. fear of missing out phenomenon. Because of this it is especially important to inform e-shoppers in a way that the message is true and accurate, in maximum compliance with the legal requirements. //