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  • How to Measure Marketing Effectiveness : A Step-by-Step Guide

    22 février 2024, par Erin

    Are you struggling to prove that your marketing efforts are having a measurable impact on your company’s performance ? We get it. 

    You would think that digital marketing would make it easier to track the effectiveness of your marketing efforts. But in many ways, it’s harder than ever. With so many channels and strategies competing against each other, it can feel impossible to pin down the campaign that caused a conversion. 

    That leaves you in a tricky spot as a marketing manager. It can be hard to know which campaigns to persevere with and harder still to prove your worth to stakeholders. 

    Thankfully, there are several strategies you can use to measure the success of your campaigns and put a value on your efforts. So, if you want to learn how you can measure the effectiveness of your marketing, improve the ROI of your efforts and prove your value as an employee, read on. 

    What is marketing effectiveness ?

    Marketing effectiveness measures how successful a marketing strategy or campaign is and the extent to which it achieves goals and business objectives.

    What Is Marketing Effectiveness

    It’s a growing concern for brands, with research showing that 61.2% say measuring marketing effectiveness has become a more prominent factor in decision-making over the last three years. In other words, it’s becoming critical for marketers to know how to measure their effectiveness. 

    But it’s getting harder to do so. A combination of factors, including channel fragmentation, increasingly convoluted customer journeys, and the deprecation of third-party cookies, makes it hard for marketing teams to measure marketing performance. 

    Why you need to measure marketing effectiveness

    Imagine ploughing thousands of dollars into a campaign and not being confident that your efforts bore fruit. It’s unthinkable, right ? If you care about optimising campaigns and improving your worth as a marketer, measuring marketing effectiveness is necessary. 

    Why you need to measure marketing effectiveness

    Optimise marketing campaigns

    Do you know how effectively each campaign generates conversions and drives revenue ? No ? Then, you need to measure marketing effectiveness.

    Doing so could also shine a light on ways to improve your campaigns. One paid ad campaign may suffer from a poor return on ad spend caused by high CPCs. Targeting less competitive keywords could dramatically reduce your costs. 

    Improve ROI

    Today, marketing budgets make up almost 10% of a company’s total revenue, up from 6.4% in 2021. With so much revenue at stake, you’ve got to deliver a return on that investment. 

    Measuring marketing effectiveness can help you identify the campaigns or strategies delivering the highest ROI so you can invest more heavily into them. On the other side of the same coin, you can use the data to strike off any campaigns that aren’t pulling their weight — increasing your ROI even further. 

    Demonstrate value

    Let’s get selfish for a second. Whether you’re an in-house marketing manager or work for an agency, the security of your paycheck depends on your ability to deliver high-ROI campaigns. 

    Measuring your marketing effectiveness lets you showcase your value to your company and clients. It helps you build stronger relationships that can lead to bigger and better opportunities in the future. 

    We should take this opportunity to point out that a good tool for measuring marketing effectiveness is equally important. You probably think Google Analytics will do the job, right ? But when you start implementing the strategies we discuss below, there’s a good chance you’ll have data quality issues. 

    That was the case for full-service marketing agency MHP/Team SI, which found Google Analytics’ data sampling severely limited the quantity and quality of insights they could collect. It was only by switching to Matomo, a platform that doesn’t use data sampling, that the agency could deliver the insights its clients needed to grow. 

    Further reading :

    Try Matomo for Free

    Get the web insights you need, without compromising data accuracy.

    No credit card required

    How to measure marketing effectiveness

    Measuring marketing effectiveness is not always easy, especially if you have long buying cycles and a lack of good-quality data. Make things as easy as possible by following the steps below :

    Know what success looks like

    You can’t tell whether your campaigns are effective if you don’t know what you are trying to achieve. That’s why the first step in measuring marketing effectiveness is to set a clear goal. 

    So, ask yourself what success looks like for each campaign you launch. 

    Remember, a campaign doesn’t have to drive leads to be considered effective. If all you wanted to do was raise brand awareness or increase organic traffic, you could achieve both goals without recording a single conversion. 

    We’d wager that’s probably not true for most marketing managers. It’s much more likely you want to achieve something like the following :

    • Generating 100 new customers
    • Increasing revenue by 20%
    • Selling $5,000 of your new product line
    • Reducing customer churn by 50%
    • Achieving a return on ad spend of 150%

    Conventional goal-setting wisdom applies here. So, ensure your goals are measurable, timely, relevant and achievable. 

    Track conversions

    Setting up conversion tracking in your web analytics platform is vital to measuring marketing effectiveness accurately. 

    What you count as a conversion event will depend on the goals you’ve set above. It doesn’t have to be a sale, mind you. Downloading an ebook or signing up for a webinar are worthy conversion goals, especially if you know they increase the chances of a customer converting. 

    A screenshot of the Matomo goals dashboard

    Whichever platform you choose, ensure it can meet your current and future needs. This is one of the reasons open-source content management system Concrete CMS opted for Matomo when choosing a new website analytics platform. The flexibility of the Matomo platform gave Concrete CMS the adaptability it needed for future growth. 

    Try Matomo for Free

    Get the web insights you need, without compromising data accuracy.

    No credit card required

    Decide on an attribution model

    Marketing attribution is a way of measuring the impact of different channels and touchpoints across the customer journey. If you can assign a value to each conversion, you can use a marketing attribution model to quantify the value of your channels and campaigns.

    While most web analytics platforms simply credit the last touchpoint, marketing attribution offers a more comprehensive view by considering all interactions along the customer journey. This distinction is important because relying solely on the last touchpoint can lead to skewed insights and misallocation of resources and budget. 

    By adopting a marketing attribution approach, you can make more informed decisions, optimizing your campaigns and maximizing your return on investment.

    Pros and cons of different marketing attribution models.

    There are several different attribution models you can use to give credit to your various campaigns. These include :

    • First interaction : Gives all the credit to the first channel in the customer journey.
    • Last interaction : Gives all the credit to the last channel in the customer journey.
    • Last non-direct attribution : Gives all credit to the final touchpoint in the customer journey, except for direct interactions. In those cases, credit is given to the touchpoint just before the direct one.
    • Linear attribution : Distributes credit equally across all touchpoints.
    • Position-based attribution : Attributes 40% credit to the first and last touchpoints and distributes the remaining 20% evenly across all other touchpoints. 

    Consider carefully which attribution model to use, as this can significantly impact your marketing effectiveness calculation by giving certain campaigns too much credit.

    Try Matomo for Free

    Get the web insights you need, without compromising data accuracy.

    No credit card required

    Analyse KPIs

    Tracking KPIs is essential if you want to quantify the impact of your marketing campaigns. But which metrics should you track ?

    To improve brand awareness or traffic, so-called vanity metrics like sessions, returning visitors, and organic traffic may suffice as KPIs. 

    However, that’s not going to be the case for most marketers, whose performance is tied to revenue and ROI. If that’s you, put vanity metrics to one side and focus on the following conversion metrics instead :

    • Conversion rate : the percentage of users who complete a desired action. 
    • Return on ad spend : the revenue earned for every dollar spent on a campaign.
    • Return on investment : a broader calculation than ROAS, typically calculated across all your marketing efforts. 
    • Customer lifetime value : the total amount a customer will spend throughout their relationship with your company.
    • Customer acquisition cost : the cost to acquire each customer on average.
    A screenshot of a conversion report in Matomo

    Your analytics platform and advertising tools should track most of these KPIs by default. Matomo, for instance, automatically calculates your conversion rate in the Goals report

    How to present your marketing effectiveness

    Calculating your marketing effectiveness is one thing, but it’s important to share this information with stakeholders — whether those are executives in your company or your agency’s clients. 

    Follow the steps below to create an insightful and compelling marketing report :

    • Set the scene. There’s no guarantee that the people reading your report will know your goals. So, add context at the start of the reporting by spelling out what you are trying to achieve and why. 
    • Select the right data. You don’t want to overwhelm the reader with facts and figures, but you do need to provide hard evidence of your success. Include the KPIs you used to measure your success and show how these have changed over time. You can also support your report with audience insights such as heatmaps or customer surveys.
    • Tell a story with your presentation. Give your presentation a narrative arc with a beginning, middle, and end. Start with what you want to achieve, describe how you plan to achieve it and end with the results. Support your story with graphs and other visual aids that hold your reader’s attention. 
    • Provide a concise summary. Not everyone will read your presentation cover to cover. With that in mind, provide a summary of your report at the start or end that shows what you achieved and quantifies your marketing effectiveness. 

    How to improve marketing effectiveness

    Don’t settle for simply measuring your marketing effectiveness. Use the following strategies to make future campaigns as effective as possible. 

    Understand customer behaviour

    More effective marketing campaigns start by deeply understanding your customers, who they are, and how they behave. This allows you to take an audience-first approach to your marketing efforts and design campaigns around the unique needs of your customers. 

    Gather as much first-party data as you can. Surveys, focus groups, and other market research techniques can help you learn more about who your customers are, but don’t disregard the quantitative data you can gather from your web analytics platform. 

    Using Heatmaps, Session Recordings and behavioural analytics tools, you can learn exactly how customers behave when they land on your site, where they focus their attention and which pages they look at first. 

    Screenshot of Matomo heatmap feature

    These insights can help you turn an average campaign into an exceptional one. For example, a heatmap may highlight the need to move CTA buttons above the fold to increase conversions. A session recording could pinpoint the problems users have when filling out your website’s forms. 

    Further reading :

    Optimise landing pages

    Developing a culture of testing and experimentation is a great way to improve your marketing effectiveness. Let’s dive into A/B testing.

    By tweaking various elements of your landing pages, you can squeeze every last conversion from your campaigns.

    A screenshot of a Matomo A/B test campaign

    We have a guide on conversion funnel optimisation, which we recommend you check out, but I’ll briefly list some of the optimisations you could test :

    • Making your CTAs actionable and compelling
    • Integrating images and videos
    • Adding testimonials and other forms of social proof
    • Reducing form fields

    Use a different attribution model

    It might be that some campaigns, strategies or traffic sources aren’t getting the love they deserve. By changing your attribution model, you can significantly change the perceived effectiveness of certain campaigns. 

    Let’s say you use a last-touch attribution model, for instance. Only the last channel customers will get credit for each conversion, meaning top-of-the-funnel campaigns like SEO may be deemed less effective than they are. 

    It’s why you must continually test, tweak and validate your chosen model — and why changing it can be so powerful. 

    Measure your marketing effectiveness with Matomo

    Measuring your marketing effectiveness is hard work. But it’s vital to optimise campaigns, improve your ROI and demonstrate your value. 

    The good news is that Matomo makes things a lot easier thanks to its comprehensive conversion tracking, attribution modelling capabilities and behavioural insight features like Heatmaps, A/B Testing and Session Recordings. 

    Take steps today to start measuring (and improving) the effectiveness of your marketing with our 21-day free trial. No credit card required.

  • How to Implement Cross-Channel Analytics : A Guide for Marketers

    17 avril 2024, par Erin

    Every modern marketer knows they have to connect with consumers across several channels. But do you know how well Instagram works alongside organic traffic or your email list ? Are you even tracking the impacts of these channels in one place ?

    You need a cross-channel analytics solution if you answered no to either of these questions. 

    In this article, we’ll explain cross-channel analytics, why your company probably needs it and how to set up a cross-channel analytics solution as quickly and easily as possible.

    What is cross-channel analytics ? 

    Cross-channel analytics is a form of marketing analytics that collects and analyses data from every channel and campaign you use.

    The result is a comprehensive view of your customer’s journey and each channel’s role in converting customers. 

    Cross-channel analytics lets you track every channel you use to convert customers, including :

    • Your website
    • Social media profiles
    • Email
    • Paid search
    • E-commerce
    • Retargeting campaigns

    Cross-channel analytics solves one of the most significant issues of cross-channel or multi-channel marketing efforts : measurement. 

    Research shows that only 16% of marketing tech stacks allow for accurate measurement of multi-channel initiatives across channels. 

    That’s a problem, given the staggering number of touchpoints in a typical buyer’s conversion path. However, it can be fixed using a cross-channel analytics approach that lets you measure the performance of every channel and assign a dollar value to its role in every conversion. 

    The difference between cross-channel analytics and multi-channel analytics

    Cross-channel analytics and multi-channel analytics sound very similar, but there’s one key difference you need to know. Multi-channel analytics measures the performance of several channels, but not necessarily all of them, nor the extent to which they work together to drive conversions. Conversely, cross-channel analytics measures the performance of all your marketing channels and how they work together. 

    What are the benefits of cross-channel analytics 

    Cross-channel analytics offers a lot of marketing and business benefits. Here are the ones marketing managers love most.

    Get a complete view of the customer journey

    Implementing a cross-channel analytics solution is the only way to get a complete view of your customer journey. 

    Cross-channel marketing analytics lets you see your customer journey in high definition, allowing you to build comprehensive customer profiles using data from multiple sources across every touchpoint

    A diagram showing how complex customer journeys are

    The result ? You get to understand how every customer behaves at every point of the customer journey, why they convert or leave your funnel, and which channels play the biggest role. 

    In short, you get to see why customers convert so you can learn how to convert more of them.

    Personalise the customer experience

    According to a McKinsey study, customers demand personalisation, and brands that excel at it generate 40% more revenue. Deliver the personalisation they desire and reap the benefits with cross-channel analytics. 

    When you understand the customer journey in detail, it becomes much easier to personalise your website and marketing efforts to their preferences and behaviours.

    Identify your most effective marketing channels

    Cross-channel marketing helps you understand your marketing efforts to see how every channel impacts conversions. 

    Take a look at the screenshot from Matomo below. Cross-channel analytics lets you get incredibly granular — we can see the number of conversions of organic search drives and the performance of individual search engines. 

    A Matomo screenshot showing channel attribution

    This makes it easy to identify your most effective marketing channels and allocate your resources appropriately. It also allows you to ask (and answer) which channels are the most effective.

    Try Matomo for Free

    Get the web insights you need, without compromising data accuracy.

    No credit card required

    Attribute conversions accurately 

    An attribution model decides how you assign credit for each customer conversion to different touchpoints on the customer journey. Without a cross-channel analytics solution, you’re stuck using a standard attribution model like first or last click. 

    These models will show you how customers first found your brand or which channel finally convinced them to convert, but it doesn’t help you understand the role all your channels played in the conversion. 

    Cross-channel analytics solves this attribution problem. Rather than attributing a conversion to the touchpoint that directly led to the sale, cross-channel data gives you the real picture and allows you to use multi-touch attribution to understand which touchpoints generate the most revenue.

    How to set up cross-channel analytics

    Now that you know what cross-channel analytics is and why you should use it, here’s how to set up your solution. 

    1. Determine your objectives

    Defining your marketing goals will help you build a more relevant and actionable cross-channel analytics solution. 

    If you want to improve marketing attribution, for example, you can choose a platform with that feature built-in. If you care about personalisation, you could choose a platform with A/B testing capabilities to measure the impact of your personalisation efforts. 

    1. Set relevant KPIs

    You’ll want to track relevant KPIs to measure the marketing effectiveness of each channel. Put top-of-the-funnel metrics aside and focus on conversion metrics

    These include :

    • Conversion rate
    • Average visit duration
    • Bounce rate
    1. Implement tracking and analytics tools

    Gathering customer data from every channel and centralising it in a single location is one of the biggest challenges of cross-channel analytics. Still, it’s made easier with the right tracking tool or analytics platform. 

    The trick is to choose a platform that lets you measure as many of your channels as possible in a single platform. With Matomo, for example, you can track search, paid search, social and email campaigns and your website analytics.

    1. Set up a multi-touch attribution model

    Now that you have all of your data in one place, you can set up a multi-touch attribution model that lets you understand the extent to which each marketing channel contributes to your overall success. 

    There are several attribution models to choose from, including :

    Image of six different attribution models

    Each model has benefits and drawbacks, so choosing the right model for your organisation can be tricky. Rather than take a wild guess, evaluate each model against your marketing objectives, sales length cycle and data availability.

    For example, if you want to focus on optimising customer acquisition costs, a model that prioritises earlier touchpoints will be better. If you care about conversions, you might try a time decay model. 

    1. Turn data into insights with reports

    One of the big benefits of choosing a tool like Matomo, which consolidates data in one place, is that it significantly speeds up and simplifies reporting.

    When all the data is stored in one platform, you don’t need to spend hours combing through your social media platforms and copying and pasting analytics data into a spreadsheet. It’s all there and ready for you to run reports.

    Try Matomo for Free

    Get the web insights you need, without compromising data accuracy.

    No credit card required

    1. Take action

    There’s no point implementing a cross-channel analytics system if you aren’t going to take action. 

    But where should you start ?

    Optimising your budgets and prioritising marketing spend is a great starting point. Use your cross-channel insights to find your most effective marketing channels (they’re the ones that convert the most customers or have the highest ROI) and allocate more of your budget to them. 

    You can also optimise the channels that aren’t pulling their weight if social media is letting you down ; for example, experiment with tactics like social commerce that could drive more conversions. Alternatively, you could choose to stop investing entirely in these channels.

    Cross-channel analytics best practices

    If you already have a cross-channel analytics solution, take things to the next level with the following best practices. 

    Use a centralised solution to track everything

    Centralising your data in one analytics tool can streamline your marketing efforts and help you stay on top of your data. It won’t just save you from tabbing between different browsers or copying and pasting everything into a spreadsheet, but it can also make it easier to create reports. 

    Think about consumer privacy 

    If you are looking at a new cross-channel analytics tool, consider how it accounts for data privacy regulations in your area. 

    You’re going to be collecting a lot of data, so it’s important to respect their privacy wishes. 

    It’s best to choose a platform like Matomo that complies with the strictest privacy laws (CCPA, GDPR, etc.).

    Monitor data in real time

    So, you’ve got a holistic view of your marketing efforts by integrating all your channels into a single tool ?

    Great, now go further by monitoring the impact of your marketing efforts in real time.

    A screenshot of Matomo's real-time visitor log

    With a web analytics platform like Matomo, you can see who visits your site, what they do, and where they come from through features like the visits log report, which even lets you view individual user sessions. This lets you measure the impact of posting on a particular social channel or launching a new offer. 

    Try Matomo for Free

    Get the web insights you need, without compromising data accuracy.

    No credit card required

    Reallocate marketing budgets based on performance

    When you track every channel, you can use a multi-touch attribution model like position-based or time-decay to give every channel the credit it deserves. But don’t just credit each channel ; turn your valuable insights into action. 

    Use cross-channel attribution analytics data to reallocate your marketing budget to the most profitable channels or spend time optimising the channels that aren’t pulling their weight. 

    Cross-channel analytics platforms to get started with 

    The marketing analytics market is huge. Mordor Intelligence valued it at $6.31 billion in 2024 and expects it to reach $11.54 billion by 2029. Many of these platforms offer cross-channel analytics, but few can track the impact of multiple marketing channels in one place. 

    So, rather than force you to trawl through confusing product pages, we’ve shortlisted three of the best cross-channel analytics solutions. 

    Matomo

    Screenshot example of the Matomo dashboard

    Matomo is a web analytics platform that lets you collect and centralise your marketing data while giving you 100% accurate data. That includes search, social, e-commerce, campaign tracking data and comprehensive website analytics.

    Better still, you get the necessary tools to turn those insights into action. Custom reporting lets you track and visualise the metrics that matter, while conversion optimisation tools like built-in A/B testing, heatmaps, session recordings and more let you test your theories. 

    Google Analytics

    A screenshot of Google Analytics 4 UI

    Google Analytics is the most popular and widely used tool on the market. The level of analysis and customisation you can do with it is impressive for a free tool. That includes tracking just about any event and creating reports from scratch. 

    Google Analytics provides some cross-channel marketing features and lets you track the impact of various channels, such as social and search, but there are a couple of drawbacks. 

    Privacy can be a concern because Google Analytics collects data from your customers for its own remarketing purposes. 

    It also uses data sampling to generate wider insights from a small subset of your data. This lack of accurate data reporting can cause you to generate false insights.

    With Google Analytics, you’ll also need to subscribe to additional tools to gain advanced insights into the user experience. So, consider that while this tool is free, you’ll need to pay for heatmaps, session recording and A/B testing tools to optimise effectively.

    Improvado

    A screenshot of Improvado's homepage

    Improvado is an analytics tool for sales and marketing teams that extracts thousands of metrics from hundreds of sources. It centralises data in data warehouses, from which you can create a range of marketing dashboards.

    While Improvado does have analytics capabilities, it is primarily an ETL (extraction, transform, load) tool for organisations that want to centralise all their data. That means marketers who aren’t familiar with data transformations may struggle to get their heads around the complexity of the platform.

    Make the most of cross-channel analytics with Matomo

    Cross-channel analytics is the only way to get a comprehensive view of your customer journey and understand how your channels work together to drive conversions.

    Then you’re dealing with so many channels and data ; keeping things as simple as possible is the key to success. That’s why over 1 million websites choose Matomo. 

    Our all-in-one analytics solution measures traditional web analytics, behavioural analytics, attribution and SEO, so you have 100% accurate data in one place. 

    Try it free for 21 days. No credit card required.

  • What Is Data Misuse & How to Prevent It ? (With Examples)

    13 mai 2024, par Erin

    Your data is everywhere. Every time you sign up for an email list, log in to Facebook or download a free app onto your smartphone, your data is being taken.

    This can scare customers and users who fear their data will be misused.

    While data can be a powerful asset for your business, it’s important you manage it well, or you could be in over your head.

    In this guide, we break down what data misuse is, what the different types are, some examples of major data misuse and how you can prevent it so you can grow your brand sustainably.

    What is data misuse ?

    Data is a good thing.

    It helps analysts and marketers understand their customers better so they can serve them relevant information, products and services to improve their lives.

    But it can quickly become a bad thing for both the customers and business owners when it’s mishandled and misused.

    What is data misuse?

    Data misuse is when a business uses data outside of the agreed-upon terms. When companies collect data, they need to legally communicate how that data is being used. 

    Who or what determines when data is being misused ?

    Several bodies :

    • User agreements
    • Data privacy laws
    • Corporate policies
    • Industry regulations

    There are certain laws and regulations around how you can collect and use data. Failure to comply with these guidelines and rules can result in several consequences, including legal action.

    Keep reading to discover the different types of data misuse and how to prevent it.

    3 types of data misuse

    There are a few different types of data misuse.

    If you fail to understand them, you could face penalties, legal trouble and a poor brand reputation.

    3 types of data misuse.

    1. Commingling

    When you collect data, you need to ensure you’re using it for the right purpose. Commingling is when an organisation collects data from a specific audience for a specific reason but then uses the data for another purpose.

    One example of commingling is if a company shares sensitive customer data with another company. In many cases, sister companies will share data even if the terms of the data collection didn’t include that clause.

    Another example is if someone collects data for academic purposes like research but then uses the data later on for marketing purposes to drive business growth in a for-profit company.

    In either case, the company went wrong by not being clear on what the data would be used for. You must communicate with your audience exactly how the data will be used.

    2. Personal benefit

    The second common way data is misused in the workplace is through “personal benefit.” This is when someone with access to data abuses it for their own gain.

    The most common example of personal benefit data muse is when an employee misuses internal data.

    While this may sound like each instance of data misuse is caused by malicious intent, that’s not always the case. Data misuse can still exist even if an employee didn’t have any harmful intent behind their actions. 

    One of the most common examples is when an employee mistakenly moves data from a company device to personal devices for easier access.

    3. Ambiguity

    As mentioned above, when discussing commingling, a company must only use data how they say they will use it when they collect it.

    A company can misuse data when they’re unclear on how the data is used. Ambiguity is when a company fails to disclose how user data is being collected and used.

    This means communicating poorly on how the data will be used can be wrong and lead to misuse.

    One of the most common ways this happens is when a company doesn’t know how to use the data, so they can’t give a specific reason. However, this is still considered misuse, as companies need to disclose exactly how they will use the data they collect from their customers.

    Laws on data misuse you need to follow

    Data misuse can lead to poor reputations and penalties from big tech companies. For example, if you step outside social media platforms’ guidelines, you could be suspended, banned or shadowbanned.

    But what’s even more important is certain types of data misuse could mean you’re breaking laws worldwide. Here are some laws on data misuse you need to follow to avoid legal trouble :

    General Data Protection Regulation (GDPR)

    The GDPR, or General Data Protection Regulation, is a law within the European Union (EU) that went into effect in 2018.

    The GDPR was implemented to set a standard and improve data protection in Europe. It was also established to increase accountability and transparency for data breaches within businesses and organisations.

    The purpose of the GDPR is to protect residents within the European Union.

    The penalties for breaking GDPR laws are fines up to 20 million Euros or 4% of global revenues (whatever the higher amount is).

    The GDPR doesn’t just affect companies in Europe. You can break the GDPR’s laws regardless of where your organisation is located worldwide. As long as your company collects, processes or uses the personal data of any EU resident, you’re subject to the GDPR’s rules.

    If you want to track user data to grow your business, you need to ensure you’re following international data laws. Tools like Matomo—the world’s leading privacy-friendly web analytics solution—can help you achieve GDPR compliance and maintain it.

    With Matomo, you can confidently enhance your website’s performance, knowing that you’re adhering to data protection laws. 

    Try Matomo for Free

    Get the web insights you need, without compromising data accuracy.

    No credit card required

    California Consumer Privacy Act (CCPA)

    The California Consumer Privacy Act (CCPA) is another important data law companies worldwide must follow.

    Like GDPR, the CCPA is a data privacy law established to protect residents of a certain region — in this case, residents of California in the United States.

    The CCPA was implemented in 2020, and businesses worldwide can be penalised for breaking the regulations. For example, if you’re found violating the CCPA, you could be fined $7,500 for each intentional violation.

    If you have unintentional violations, you could still be fined, but at a lesser fee of $2,500.

    The Gramm-Leach-Bliley Act (GLBA)

    If your business is located within the United States, then you’re subject to a federal law implemented in 1999 called The Gramm-Leach-Bliley Act (GLB Act or GLBA).

    The GLBA is also known as the Financial Modernization Act of 1999. Its purpose is to control the way American financial institutions handle consumer data. 

    In the GLBA, there are three sections :

    1. The Financial Privacy Rule : regulates the collection and disclosure of private financial data.
    2. Safeguards Rule : Financial institutions must establish security programs to protect financial data.
    3. Pretexting Provisions : Prohibits accessing private data using false pretences.

    The GLBA also requires financial institutions in the U.S. to give their customers written privacy policy communications that explain their data-sharing practices.

    4 examples of data misuse in real life

    If you want to see what data misuse looks like in real life, look no further.

    Big tech is central to some of the biggest data misuses and scandals.

    4 examples of data misuse in real life.

    Here are a few examples of data misuse in real life you should take note of to avoid a similar scenario :

    1. Facebook election interference

    One of history’s most famous examples of data misuse is the Facebook and Cambridge Analytica scandal in 2018.

    During the 2018 U.S. midterm elections, Cambridge Analytica, a political consulting firm, acquired personal data from Facebook users that was said to have been collected for academic research.

    Instead, Cambridge Analytica used data from roughly 87 million Facebook users. 

    This is a prime example of commingling.

    The result ? Cambridge Analytica was left bankrupt and dissolved, and Facebook was fined $5 billion by the Federal Trade Commission (FTC).

    2. Uber “God View” tracking

    Another big tech company, Uber, was caught misusing data a decade ago. 

    Why ?

    Uber implemented a new feature for its employees in 2014 called “God View.”

    The tool enabled Uber employees to track riders using their app. The problem was that they were watching them without the users’ permission. “God View” lets Uber spy on their riders to see their movements and locations.

    The FTC ended up slapping them with a major lawsuit, and as part of their settlement agreement, Uber agreed to have an outside firm audit their privacy practices between 2014 and 2034.

    Uber "God View."

    3. Twitter targeted ads overstep

    In 2019, Twitter was found guilty of allowing advertisers to access its users’ personal data to improve advertisement targeting.

    Advertisers were given access to user email addresses and phone numbers without explicit permission from the users. The result was that Twitter ad buyers could use this contact information to cross-reference with Twitter’s data to serve ads to them.

    Twitter stated that the data leak was an internal error. 

    4. Google location tracking

    In 2020, Google was found guilty of not explicitly disclosing how it’s using its users’ personal data, which is an example of ambiguity.

    The result ?

    The French data protection authority fined Google $57 million.

    8 ways to prevent data misuse in your company

    Now that you know the dangers of data misuse and its associated penalties, it’s time to understand how you can prevent it in your company.

    How to prevent data misuse in your company.

    Here are eight ways you can prevent data misuse :

    1. Track data with an ethical web analytics solution

    You can’t get by in today’s business world without tracking data. The question is whether you’re tracking it safely or not.

    If you want to ensure you aren’t getting into legal trouble with data misuse, then you need to use an ethical web analytics solution like Matomo.

    With it, you can track and improve your website performance while remaining GDPR-compliant and respecting user privacy. Unlike other web analytics solutions that monetise your data and auction it off to advertisers, with Matomo, you own your data.

    Try Matomo for Free

    Get the web insights you need, without compromising data accuracy.

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    2. Don’t share data with big tech

    As the data misuse examples above show, big tech companies often violate data privacy laws.

    And while most of these companies, like Google, appear to be convenient, they’re often inconvenient (and much worse), especially regarding data leaks, privacy breaches and the sale of your data to advertisers.

    Have you ever heard the phrase : “You are the product ?” When it comes to big tech, chances are if you’re getting it for free, you (and your data) are the products they’re selling.

    The best way to stop sharing data with big tech is to stop using platforms like Google. For more ideas on different Google product alternatives, check out this list of Google alternatives.

    3. Identity verification 

    Data misuse typically isn’t a company-wide ploy. Often, it’s the lack of security structure and systems within your company. 

    An important place to start is to ensure proper identity verification for anyone with access to your data.

    4. Access management

    After establishing identity verification, you should ensure you have proper access management set up. For example, you should only give specific access to specific roles in your company to prevent data misuse.

    5. Activity logs and monitoring

    One way to track data misuse or breaches is by setting up activity logs to ensure you can see who is accessing certain types of data and when they’re accessing it.

    You should ensure you have a team dedicated to continuously monitoring these logs to catch anything quickly.

    6. Behaviour alerts 

    While manually monitoring data is important, it’s also good to set up automatic alerts if there is unusual activity around your data centres. You should set up behaviour alerts and notifications in case threats or compromising events occur.

    7. Onboarding, training, education

    One way to ensure quality data management is to keep your employees up to speed on data security. You should ensure data security is a part of your employee onboarding. Also, you should have regular training and education to keep people informed on protecting company and customer data.

    8. Create data protocols and processes 

    To ensure long-term data security, you should establish data protocols and processes. 

    To protect your user data, set up rules and systems within your organisation that people can reference and follow continuously to prevent data misuse.

    Leverage data ethically with Matomo

    Data is everything in business.

    But it’s not something to be taken lightly. Mishandling user data can break customer trust, lead to penalties from organisations and even create legal trouble and massive fines.

    You should only use privacy-first tools to ensure you’re handling data responsibly.

    Matomo is a privacy-friendly web analytics tool that collects, stores and tracks data across your website without breaking privacy laws.

    With over 1 million websites using Matomo, you can track and improve website performance with :

    • Accurate data (no data sampling)
    • Privacy-friendly and compliant with privacy regulations like GDPR, CCPA and more
    • Advanced features like heatmaps, session recordings, A/B testing and more

    Try Matomo free for 21-days. No credit card required.