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85% of firms struggle to comply with GDPR by deadline, but opportunity exists for organizations who get it rightNEW YORK, May 17, 2018 /PRNewswire/ -- With GDPR coming into effect in just over a week from today, 85 percent of firms in Europe and the United States will not be ready on time. Additionally, one in four will not be fully compliant by the end of this year, according to a new report today from Capgemini's Digital Transformation Institute. "Seizing the GDPR Advantage: From mandate to high-value opportunity" surveyed 1,000 executives and 6,000 consumers across eight markets to explore attitudes to, readiness for, and the opportunities of GDPR. A race against the GDPR clock The research suggests that some companies are overlooking the business opportunity of GDPR. Nearly one-third of firms are focusing on compliance only: 31 percent report that the focus of their program is to comply with the mandate rather than gain competitive advantage. Furthermore, although non-compliant organizations face fines of up to four percent of annual revenue, nearly 19 percent say ensuring they are prepared is not a priority for them. A missed opportunity for boosting the top line This increased spend is substantial, with these consumers spending as much as 24 percent more. In addition, 40 percent have transacted more frequently with the organzation, either a few times or on a regular basis. The benefits go beyond spending too: 49 percent say that they have shared positive experiences with friends and family, bolstering a firm's reputation among potential consumers. Rupert Bedell, CMO of Unum, a leading insurance firm in the U.S. and UK, said of the benefits of GDPR, "It will encourage marketers to talk to people when they need something and not simply contact them about something they might want. Rather than pushing products using flaky data, we can handle data in a smart way to create magic moments when people really require help." Empowered Individuals To help counterbalance this, the report highlights that firms need to make sure they recognize the level of trust their customers have in them. Right now this is not the case: almost three quarters (71 percent) of executives believe that consumers will not take any significant action, such as to have their data removed. In addition, eight in 10 say customers trust their organization with the privacy and security of data, but just 52 percent of consumers agree. This misperception means businesses are missing out on the potential bottom-line benefits previously highlighted and only 11 percent are centering their GDPR compliance efforts on customers' needs. "Executives now have a great chance to use GDPR to create a customer-first privacy strategy. That business opportunity is significant," said Willem de Paepe, Global GDPR leader at Capgemini. "Beyond gaining consumer confidence and increased spending, knowing exactly what data is held allows firms to use analytics more effectively and improve operations. Firms will also know which files they must delete, freeing up valuable storage space and reducing some of the $3.3 trillion it will cost to manage data globally by 2020." A copy of the report can be downloaded here. Research Methodology The survey was conducted in March-April 2018. About Capgemini Visit us at www.capgemini.com. People matter, results count. About the Digital Transformation Institute View original content with multimedia:http://www.prnewswire.com/news-releases/85-of-firms-struggle-to-comply-with-gdpr-by-deadline-but-opportunity-exists-for-organizations-who-get-it-right-300649716.html SOURCE Capgemini |