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Updated: February 26, 2024
Published: February 23, 2024
For your business’s audience, choice and control are paramount. Nobody likes having no say in how they engage with a business or what that business does with their information.
Preference management and consent management serve as crucial methods for delivering your audience the choice and control that they deserve. In this article, we’ll dive into the basics of both concepts, explain how they can improve your business’s relationship with its audience, and how to manage both consent and preferences.
Ever get barraged by email after email from a business you’ve considered supporting? When you’re faced with irrelevant content over and over again, it can get pretty frustrating. It may even sour your opinion of that business.
But the business doesn’t know that’s the case—they just want to make sure that the people interested in their brand, product, or services are receiving the right content. They can’t afford to blindly guess which people want to be communicated with over what channels, which don’t, and which fall somewhere in between.
That’s where preference management comes in.
Maybe you don’t want to receive every marketing, product update, or newsletter email from a business, but you might be okay with receiving the occasional promotional email on a limited basis. Or perhaps you prefer to learn about these things from push notifications on your phone. Preference management allows you to control that experience.
Preference management solutions allow businesses to give users control over:
Ultimately, preference management gives users control over their experience—and who doesn’t like more control? For businesses, the benefits of preference management are wide-ranging and include:
Today, every business collects and processes individuals’ personal information in one way or another. For a long time, there were no limits on what businesses could do with that data—then, data privacy regulations like the GDPR, CPRA, and others came about to ensure that business data processing activities were on the level.
A big part of those regulations require businesses to secure, store, and act on users’ consent to data collection. The specific requirements vary from law to law, but generally, businesses must either wait until a user opts into data collection before collecting their personal information or provide users with a means of opting out of data collection.
Often, laws require businesses to provide users with a means of opting into or out of different types of data collection, such as for sensitive personal information like race and ethnicity, data for targeted advertising purposes, and more. Check out our article, Consent Management 101: Everything You Need to Know, for a deeper dive.
The first thing businesses think of when it comes to consent management is the fact that it’s required by laws like the GDPR and CPRA, and doing it prevents you from getting hit with a potentially eye-watering fine. Headlines often report fines in the seven-, eight-, or even nine-figure range.
But there are other benefits to consent management aside from just obeying the law and avoiding fines. For one, it’s simply the ethical thing to do—user data belongs to that user, and when you want something that belongs to somebody else, you should ask for it first.
It also increases trust with users. Consent management lets them know what you’re collecting from them, what you’re doing with that data, and that they have the power to change their minds down the line. Some businesses lean into this aspect of consent management and make respecting data privacy a major part of their brand.
Although these two concepts might seem quite different, they actually have a lot in common.
For one, they’re both ultimately about treating your audience ethically and with respect. What’s more, both preference management and consent management are often centralized in a preference center, where users can adjust every aspect of their experience with your organization—whether that’s communication preferences or data collection preferences.
(Just note that consent often has to be secured right at the moment of data collection, which is why the first thing so many websites show users is a cookie banner.)
Both preference and consent management increase trust in the brand. Users tend to feel a lot safer knowing that they can control how their information is going to be used, what information they will provide, and what they’ll receive in return.
Lastly, both help your business stay in compliance! There’s much to be said about not having to stress the potential to get hit by a large regulatory fine and suffer the financial and reputational damage that can result.
As discussed above, a key method for managing both consent and preferences is through a preference center. Giving users a single, centralized place for them to control their experience when engaging with your organization makes intuitive sense and saves them from frustratingly clicking from page to page on your website.
Crucially, preference centers must provide users with clear, granular control over their experience. The only thing more frustrating than receiving innumerable irrelevant communications is to discover that your preferred method of communication isn’t even available. Preference centers should give users control over:
Together, preference management and consent management are a powerful combination. When done well, these systems reduce your organization’s risk profile, increase user trust, and make your organization one worth engaging with.
Want to learn more about what consent and preference management is all about? Download this free guide to dive into subjects like the Global Privacy Control, do not share/sell requirements, consent management platforms, and more.
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Matt Davis is a writer at Osano, where he researches and writes about the latest in technology, legislation, and business to spread awareness about the most pressing issues in privacy today. When he’s not writing about data privacy, Matt spends his time exploring Vermont with his dog, Harper; playing piano; and writing short fiction.
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