Failing to obtain proper user consent when collecting phone numbers can lead to several consequences:
1. Legal Penalties
Regulatory bodies may impose heavy fines or order corrective action. High-profile lawsuits have been filed over unauthorized text messages and robocalls.
2. Loss of Trust
Consumers are increasingly aware of their privacy rights. Poor consent practices can lead to reputational damage and customer churn.
3. Data Breaches
Without proper safeguards, improperly spain phone number data or stored phone number data may be exposed in cyberattacks, leading to both legal and financial fallout.
4. Blacklisting and Deliverability Issues
SMS platforms may block your number or IP address if users frequently report your messages as spam. This impacts the effectiveness of future communication efforts.
How Consent Applies Across Use Cases
1. Two-Factor Authentication (2FA)
Phone numbers used for 2FA generally fall under legitimate interest, not marketing. Still, it’s good practice to explain why the number is needed.
2. SMS Marketing
Requires prior express written consent in many jurisdictions. A user must clearly agree to receive marketing messages via phone.
3. User Profile Creation
Phone numbers used for registration must be accompanied by clear notices and privacy policies explaining how the data will be stored and used.
4. Data Sharing with Third Parties
Explicit consent is typically required before sharing phone numbers with third-party partners or services.
User Rights Related to Phone Number Data
Consent is just one part of broader data rights. Under various privacy laws, users have the right to:
Access: See what data is collected, including phone numbers.
Correction: Fix errors in their personal data.
Deletion: Request that their phone number be deleted from systems.
Portability: Transfer their data to another provider.
Opt-Out: Decline or withdraw consent for certain uses.
Organizations must build systems and workflows that make exercising these rights simple and transparent.