In this exclusive interview with Mr. Tarun Nazare, Managing Director and Co-Founder, Neokred, he discusses why organizations should view the Digital Personal Data Protection (DPDP) Act as more than a regulatory requirement. He highlights how early compliance, intelligent consent management, and privacy-first marketing can strengthen customer trust, improve brand loyalty, and create a sustainable competitive advantage in India’s evolving digital economy.
IT Voice- The Compliance Paradox: Why is waiting for a delayed rollout of the DPDP Act a riskier strategy than early adoption?
Tarun Nazare- A delayed rollout does not mean lesser accountability. The law introduces a conduct-driven governance model where organisations are expected to showcase responsible data handling even before strict enforcement begins. Companies that skip the preparation phase can face tighter timelines, fragmented system changes, and a higher chance of operational disruption once real enforcement starts.
Early adoption gives businesses the breathing space to update stakeholder contracts, modify digital infrastructure, and identify the right partners to meet regulatory requirements. It helps avoid gaps in compliance efforts and reduces exposure to penalties of up to ₹250 crores. Most importantly, proactive compliance strategies build customer trust and give organisations an edge over peers still trying to align with the law.
IT Voice- The solution to IAMAI’s concerns around a rushed transition: How can intelligent cookie management platforms, which are specifically engineered to align with DPDP requirements, remove the technical burden from enterprises?
Tarun Nazare- Aligning with DPDP requirements from scratch can be slow and operationally heavy if done manually. Organisations can turn to Intelligent platforms to get past these hurdles. They automatically capture user consent, classify data, and continuously record and update preferences. This keeps businesses audit-ready without needing intense technical effort. Plus, these are out-of-the-box solutions, eliminating the need to rebuild systems internally. With these tools in place, compliance becomes smoother, allowing teams to continue business as usual while meeting DPDP expectations.
IT Voice- Avoiding disruption with privacy-first marketing: How the DPDP Act should be viewed – not as a hurdle, but as an opportunity for Indian brands to build deeper trust with their consumers through transparent data practices.
Tarun Nazare- With DPDP coming into effect, customers will have comprehensive visibility into how their data is used. In this digital era where systems thrive on data, this clarity gives them confidence. In fact, 44% of consumers are willing to pay more if their data is protected, reinforcing the correlation between trust and data protection. Instead of collecting everything and filtering later, brands need to request data with a purpose, explain usage upfront, and allow easy withdrawal. If users cannot understand the process, they will hesitate to trust it. When the experience is seamless, customers are far more willing to engage with the brand. Companies that make these interactions simple and transparent will see higher engagement and fewer conflicts.
Seen this way, DPDP does not slow growth. It reduces dependence on opaque targeting and builds durable engagement. Brands that adopt transparent data practices early will face less disruption and build stronger loyalty, because customers reward organisations that handle personal information responsibly.
IT Voice- Compliance as a growth lever: Why will early adopters of DPDP see higher customer retention and brand loyalty compared to those rushing at the last minute?
Tarun Nazare- Early adoption allows businesses to become compliance-ready, ensuring customers that their data is safe with the organisation. The sooner a company makes the move, the more time it has to earn confidence and build a loyal customer base. This creates an advantage over competitors still trying to align with the requirements. On the other hand, hasty last-minute compliance can often lead to gaps in adherence, inviting penalties and eroding customer trust.
IT Voice- How can brands implement mandatory consent without disrupting the digital sales funnel or marketing ROI?
Tarun Nazare- Brands should request consent at natural interaction points such as signup, checkout, and onboarding. Requests must be granular, purpose-based, and contextual (“updates about your order”, “personalised offers”), not generic or vague. When organisations are transparent, drop-offs are highly likely to reduce.
Secondly, the interface should be simple. Businesses can use layered notices, short explanations in layman’s language, and equal accept-reject options. When users understand why data is needed, opt-in quality improves even if overall volume declines. At the end of the day, higher-intent audiences drive better marketing ROI than broad, reluctant traffic.
