The loyalty program sector, already facing an engagement crisis due to outdated discount-only models, is now approaching a strategic turning point: the entry into force of many provisions of the Data Act (EU Regulation 2023/2854) starting in September 2025.
This European regulation, essential for digital compliance, has the potential to reshape power dynamics in the digital economy, transforming the perception of data and demanding a deep rethinking of loyalty strategies. If GDPR established personal data as a fundamental right, the Data Act aims to unlock the value of non-personal data, shifting power from the producer/provider to the user.
What is the Data Act and Why is Compliance Crucial?
The Data Act is a fundamental pillar of the European Union’s digital strategy, designed to create a single data market. Its central objective is to establish clear rules on who can access and use data generated within the EU, particularly those created by connected products and related services.
Key Points:
- Data Access: If you buy a smart product, the data it generates is yours. You have the right to access all the data produced by your appliance, vehicle, or industrial machinery, easily and free of charge.
- Sharing and Choice: You can choose who uses your data, asking the manufacturer to send it directly to a third-party provider or competitor.
- Stop Vendor Lock-in: Switching Cloud service is easier. The Regulation reduces the costs and barriers for switching providers, strengthening compliance regarding portability.
- SME Protection: Fairer rules for B2B data sharing.
The Revolutionary Impact of the Data Act on Loyalty Marketing
The Data Act is not merely a privacy regulation like GDPR; it is a data access law that profoundly affects the very concept of loyalty and the need for structural compliance.
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Risk and Opportunity for Hyper-Personalization
- Enriched Data Opportunities (for Third Parties): The customer can choose to share data generated by their smart devices with a new loyalty provider. This paves the way for highly personalized third-party programs based on the actual use of products (e.g., driving habits of a connected car) from “Day One.”
- The Challenge for Traditional Data Holders: Data exclusivity is crumbling. The ability to build loyalty can no longer depend on forced retention, but on the quality of the value offered.
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End of “Vendor Lock-in” and Increased Competition
The Data Act aims to make switching digital service providers easy.
- Loyalty and Switching Costs: Traditionally, the difficulty in switching providers acted as a form of “forced loyalty” (switching cost). Data Act compliance, by eliminating transition costs and facilitating portability, compels brands to compete on excellence, not on data retention.
- Focus on Authentic Relationships: Loyalty companies must transition from “cognitive loyalty” to “emotional loyalty,” winning through superior experience and higher perceived value.
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Transparency and Trust as Currency (Ethical Compliance)
The Data Act reinforces the principle of transparency, creating a new frontier of ethical compliance.
- Data as Negotiable Value: Awareness of data value will prompt consumers to “negotiate” sharing only in exchange for more significant rewards and personalized services.
- Trust-Based Engagement: Programs that are more transparent about data usage and clearly demonstrate how data sharing leads to a tangible customer advantage will earn the trust necessary to thrive.
The Strategic Challenge: From Collection to Value Sharing
The Data Act is not just a compliance burden; it is a true strategic challenge that marks the end of the “obligated loyalty” era and inaugurates “earned loyalty.”
For loyalty platforms and brands, the future involves:
- Design-for-Access: Engineering technical architectures that natively integrate data access and portability, essential for compliance.
- Unique Value Proposition: Developing experiential services so desirable that they motivate the customer to stay.
- Open Data Ecosystems: Treating data as an asset that, when shared ethically and transparently, can generate innovation and new partnerships.
For a Data Act compliant program that adheres to the established rules, you must turn to industry professionals. LiberActa is a company that has been operating in the loyalty and incentive sector for years, fully satisfying its customers with completely customizable solutions.
For information or a demo, visit the website www.liberacta.com or email us at info@liberacta.com