Privacy Pays: Opposition to Bill HB 2572

We all know that the online space is a goldmine of free-flowing data and information. For our advertising industry, this means data-driven campaigns to provide consumers the content and services they look for and rely on. It’s no secret to consumers that we utilize the information collected from their online and mobile browsing activity to further tailor their experience.

Back in 2018, California passed their Consumer Privacy Act to enhance privacy rights and protection for consumers in California—and other states are following suit. Currently, Hawaii is looking to pass bill HB 2572 that will create privacy rights restricting the way businesses and data brokers use and share collected personal data. What does this mean? Companies will be required to obtain opt-in consent from consumers before selling their geolocation or internet browsing information.

AAF National has recently written to Hawaii lawmakers in opposition of this bill because in a nutshell, this would negatively impact Hawaii’s economy and internet commerce, in addition to the following:

• Frustrating online user experience – Consumers would be bombarded with requests for their opt-in consent.

• Paid content – An ad-supported Internet model allows consumers to access free content because of the way information is currently passed along to advertisers. By limiting the data collected for digital advertising, a non-ad supported model would emerge and lead to consumers paying for content online.

• Potential to suspend rewards and loyalty programs – Businesses find tremendous value from the information collected from consumers. The new bill would allow companies to adjust their pricing and quality of products and services, which can impact the consumer.

For additional information on HB 2572, please visit the Hawaii State Legislature website. View the AAF national letter here.