Zero-Party Data vs. Declared Data

A survey is still a survey.

Sergio Maldonado
PrivacyCloud
3 min readAug 2, 2021

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Asking people about their preferences (rather than inferring them) and then keeping them in a way that such people have no easy way to modify them or somehow stay in control has little to do with Zero-Party Data.

This would qualify as “declared data” but remain First-Party Data while retained (or “owned”) by the business that collected it in the first place. It could also turn into Second-Party Data if said business enters into an agreement to combine it with other data sets maintained by another company. And it could become Third-Party Data given a longer chain of custody and a total loss of control over its eventual recipients.

In short, the self-declared or inferred nature of data refers to the level of awareness on the part of the data subject. On the other hand, the Zero-First-Second-Third Party distinction relates to the distance between an individual’s sphere of agency (or control) and the data itself.

Level of awareness vs. degrees of separation from an individual’s agency and control.

As I have argued before, there is a primary difference between Zero-Party Data and all of the rest: True customer centricity. Businesses will defend “their” First-Party Data tooth and nail, but it is up to their customers to preserve, enrich, maintain, and ultimately kill a Zero-Party Data set. Businesses will determine the purpose of processing “their” First-Party Data and ask consumers to “wilfully” consent to such purposes. But it is consumers who, once presented with its impact on a particular value proposition, have a say in sharing it in a Zero-Party Data scenario.

Finally, the decentralization of personal data storage is an entirely different problem. Of course, a world of edge-based personal data “pods” would greatly simplify the entire debate, but we don’t need to reach such nirvana (that I for one consider unattainable) for agency and control to make sense. And there is always a suitable middle road: cloud-based personal assistants that can act as intermediaries between both consumers and businesses, guaranteeing personalization and curatorship for the former and a Privacy-First approach to leveraging Zero-Party Data for the latter.

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SIDE NOTE (a legal point of view)

The EU GDPR’s article 6 provides six possible lawful grounds for processing personal data: consent, contract, legal obligation, vital interests of the data subject, public interest, and legitimate interest.

I subscribe to the (ok, counterintuitive) view that “consent” is the GDPR’s least human-centric (and thus, less suitable to Zero-Party Data) of all available legal bases, whereas “legitimate interest”, itself naturally flowing from the obvious need for a particular data point in a personalized shopping or service delivery scenario, represents the most pure embodiment of Privacy by Design principles.

And this latter point could provide the ultimate test: Do you need to ask for consent? You probably cannot justify collecting that data from the individual’s point of view. Relying on a contract or legitimate interest? Your interests are more likely to be aligned (that is, given a proper test for such legitimate interest).

(Photo by Jez Timms on Unsplash)

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Sergio Maldonado
PrivacyCloud

Dual-admitted lawyer. LLM (IT & Internet law), Lecturer on ePrivacy and GDPR (IE Business School). Author. Founder: PrivacyCloud, Sweetspot, Divisadero/Merkle.