Concerns About Proposed State Data Privacy Legislation Focus of Business Roundtable Wednesday

For Immediate Release                                                                                       Media contact: Jen Webber
​Thursday, April 11, 2024                                                                                                    Cell: 207-939-0213

​AUGUSTA, Maine (Thursday, April 11, 2024) – Business owners, business groups, and state and regional chambers of commerce outlined their concerns regarding proposed state data privacy legislation at a virtual roundtable discussion Wednesday morning. Speakers included representatives from the Maine State Chamber of Commerce, Portland Regional Chamber of Commerce, Bath-Brunswick Regional Chamber, HospitalityMaine, Craignair Inn by the Sea, Sea Bags, LLC and Luke’s Lobster.
 
Speakers urged caution on current proposed data privacy legislation before the Maine Legislature and addressed how the proposed legislation would hinder Maine businesses’ ability to effectively market their products and services online, detach Maine businesses from the global online marketplace and make Maine the most restricted state for businesses to advertise online.
 
Maine State Chamber of Commerce President and CEO Patrick Woodcock said, “Maine has prioritized the expansion broadband service and is beginning to connect more Maine goods and services to customers around the globe. However, LD 1977, the bill that has emerged from the Judiciary Committee, would make Maine an outlier in our regulatory framework, disconnecting Maine businesses from global commerce. The Maine State Chamber of Commerce urges caution in regulating this commerce at the state-level and recommends building on the work of other states that have protected privacy while maintaining targeted advertising.”
 
Portland Regional Chamber of Commerce CEO Quincy Hentzel said, “This bill impacts every business of every size in Maine, especially small businesses. Digital targeted marketing is how
they market. It’s a way they can wisely use marketing dollars to reach the consumers who most likely want their products and services. The proposed data privacy legislation currently under consideration would put Maine businesses at a competitive disadvantage, and even with an exemption for small businesses, the critical tools small businesses use will no longer be at their disposal.”
 
Innkeeper Greg Soutiea of Craignair Inn by the Sea and Causeway Restaurant in St. George, who also serves on the board of directors of the Penobscot Bay Chamber of Commerce, questioned how his business can effectively advertise “without the benefit of data available in the digital sphere.” He said, “Maine is already at a disadvantage on the global stage. If we lose this footing, our ability to connect with the exact consumers who want to spend their time and money here, Maine businesses will lose significant revenue streams.” He added, “With a limited budget for marketing, we can be deliberate and intentional with the dollars we spend on advertising. Our small businesses survive in large part due to our data-driven digital marketing practices. L.D. 1977 will undermine all the strides our state has made.”
 
Sea Bags, LLC President Beth Greenlaw said, “While this bill is well-intended, the unintended consequences to Maine businesses will be detrimental. Digital marketing gives us the ability to compete on a national level to keep our employees working, keep manufacturing here, and to grow our business and attract new talent to come to Maine to work with us. This bill is a losing proposition in many regards for Maine businesses.”
 
Meaghan Dillon, Vice President of Marketing for Luke’s Lobster, said, “Digital marketing was crucial to our business in 2020 when we were forced to close all of our restaurants temporarily, some permanently. It has become the main touchpoint attracting new customers and growing our business and brand awareness. Using digital marketing platforms is essential for us. In general, small businesses have small marketing budgets, and digital marketing is a better, more efficient use of dollars and manpower to be able to target potential customers on digital platforms. It is often yielding a higher ROI for us and helps us stand out from the competition.”
 
HospitalityMaine Director of Government Affairs Nate Cloutier said, “Our members – restaurant and lodging businesses - want to know they are on a level playing field with other states. These small businesses are the backbone of Maine’s economy. Their contributions to the success of our state’s economy are enormous. This is a classic case of good intent running into unintended consequences.”
 
Bath-Brunswick Regional Chamber Executive Director Cory King added, “Targeted marketing works. The tools we use today are how businesses market today. They don’t have the budgets to do targeted advertising compared to the affordability of online targeted marketing. If you can’t use Facebook or other online marketing technologies, how can you market your business or service? This is going to take a huge tool out of the toolboxes for large and small businesses.”
 
Maine State Chamber President Patrick Woodcock added, “The perspectives shared Wednesday morning paint a troubling picture for Maine businesses’ ability to compete in today’s online global marketplace. It was important for all participants to come together and have their voices heard on this issue. We strongly encourage the Legislature to take into account their perspectives on how proposed data privacy legislation will be extremely harmful to businesses of all sizes and sectors across Maine, and to our state’s economy.”
 
Please click here for the recording of the April 10, 2024 roundtable discussion on data privacy.

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