Plain English Explanation
This question asks if your software tracks what users do online - like following their clicks, page visits, or behavior patterns. Think of it like security cameras in a store: they help you understand customer behavior, but people have a right to know they're being recorded. This includes Google Analytics, Facebook pixels, heat mapping tools, or any technology that monitors how people use your application.
Business Impact
Undisclosed tracking can violate privacy laws and breach customer contracts instantly. With regulations like GDPR requiring explicit consent for tracking, improper handling can lead to fines and immediate contract termination. Transparent tracking practices that respect user privacy actually improve conversion rates and build trust. Enterprise customers increasingly require detailed tracking inventories before approving vendors.
Common Pitfalls
The biggest mistake is forgetting about third-party tracking scripts embedded in your marketing site or app. Many companies also fail to distinguish between necessary functional cookies and optional tracking cookies, treating them all the same. Another pitfall is not updating tracking disclosures when adding new analytics tools or marketing pixels.
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Question Information
- Category
- Privacy Data Types
- Question ID
- PDAT-06
- Version
- 4.1.0
- Importance
- Standard
- Weight
- 5/10
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