Why privacy policy is important for organizations

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As the high-tech companies have grown dramatically since 2000, one issue that these giants of technology organization such as Google, Facebook, etc should be taken into consideration is privacy policy. The term of privacy policy refers to that customers should receive notices regarding how the website or company gathers and uses the information of them. It is obvious that a scientific analysis of customers’ information such as shopping behavior, age distribution or regional distribution would enhance a company’s sale significantly. However, Google and Path have recently shown what would happen by abusing customers’ private information. Therefore, by looking at long-term, building strong relationships with customers would help organization grow healthily. The following part will indicate why all the organization should have a privacy policy.

First of all, a good privacy policy would build a good credibility of your company especially online business. Your company will obtain many benefits from customer retention when your privacy policy protects these target audiences or customers that the information they provided would not be used without any further notice. On the other side, when your consumers feel unsafe with your privacy policy, it would impact the credibility of your company significantly. And tendency of internet clearly indicates that an ecommerce with bad credibility will not survival so long.

Then, in many ways, the law restricts the uses of private information. As mentioned above, Google, and Path had faced huge problems regarding the usage of these sensitive information.  As a result, unless you do not care about any law and you have more money than Google to pay fine, you have to provide a clear and understandable privacy policy.

Finally, one of most the important reason why online business should have a privacy policy is to acknowledge the users that they might be tracked by the cookies. Because most of online website provides cookies that visitor do not need to log in every time they come the webpage. However, these cookies may be traceable by advertisers. Therefore, the use of cookies must be disclosed along with the privacy policy.






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