Many would describe the current regulatory landscape as “predictably uncertain,” particularly when it comes to balancing privacy and small business needs. Today’s world is fast-paced and high-stakes. And small businesses like ours must constantly adapt to new challenges while staying true to the values that have guided us for decades.
When my parents started their vacation rental business on the Outer Banks in 1978, popular beach towns like Corolla and Duck were still sleepy fishing villages. However, the few families who have crossed the Wright Memorial Bridge recognized the island’s rugged beauty and loved staying in our charming rental homes. Over the years, our family business has grown from managing a handful of properties to over 1,100 homes, all while maintaining a commitment to providing excellent, local, personalized service.
Part of that personalized service now relies on data-driven digital advertising, which has changed the way it connects with potential guests. Digital advertising allows you to reach the right audience – people looking to rent a beautiful vacation home on the North Carolina coast – and is much more cost-effective than traditional advertising. With these efficient marketing tools, you can find new guests, increase investment in your hotel, hire and retain talented employees, and ensure a great experience for your guests.
As Congress considers the American Privacy Rights Act (APRA), it is important to strike the right balance between protecting data privacy and supporting small businesses. A national data privacy law is certainly needed to replace the current patchwork of state laws, but this could be as confusing as requiring separate driver’s licenses when moving from state to state. While we recognize that APRA is a step in the right direction, we understand that the proposed data use restrictions may unintentionally impede our ability to provide the personalized service that sets us apart. I am concerned about this.
For example, if you recently rented one of our oceanfront properties, APRA may restrict us from sending you emails about special rental rates for similar homes or your next vacation. This type of initiative is key to maintaining strong relationships with guests and competing with the major vacation rental platforms. Our guests appreciate receiving customized recommendations, and these interactions are part of the reason they come back to us year after year.
APRA’s standard for compliance is 200,000 data points, which means it applies to us and thousands of much smaller businesses. Data points are generated by things like website visits and ad clicks, so almost any company with a strong online presence will meet the threshold. This law also applies to our leading digital advertising partners, such as Google, who play an important role in connecting with our guests and optimizing our marketing. Reaching the right users can be difficult and expensive when large technology companies’ data processing capabilities are limited. In a competitive market, this can place small businesses like ours at a significant disadvantage.
It’s important to balance the need for privacy with the realities of operating a business in a digital world. For small businesses like us, this is not about leveraging data. It’s about using it to improve the customer experience, anticipate needs, and provide superior service.
I believe that by refining APRA’s standards and requirements, lawmakers can create legislation that achieves the appropriate level of privacy and allows local businesses to continue using the digital tools that help them thrive. Don’t get me wrong. This is an “and” perspective, not an “or” perspective.
Our family business is built on doing things the right way, and we are committed to protecting your privacy. As Congress grapples with data privacy legislation, we hope it considers the needs of small businesses like North Carolina’s Outer Banks and strives to strike the right balance between data privacy and business success.
