ISO 27018 – why cloud providers who hold this certification win tenders that others miss out on

Today’s cloud services market is a market built on trust. Companies and institutions considering moving data to the cloud – particularly the personal data of customers, patients, employees or students – are no longer simply looking for the cheapest or fastest solution. They are looking for a provider they can trust. And increasingly, that trust must be documented by a certificate. ISO 27018 is precisely such a document – and for cloud providers who hold it, it becomes a passport to contracts to which others are simply not admitted.

How ISO 27018 affects the outcome of the supplier qualification process

Large corporations, public bodies, healthcare providers and financial institutions – all of them, when selecting a cloud service provider, must demonstrate that they are entrusting personal data to an entity that provides adequate security guarantees. This is not a matter of goodwill on the part of the procurement department – it is a legal requirement arising from the GDPR and sector-specific regulations.

In practice, it works like this: before signing a contract with a cloud provider, a potential client must assess whether the provider meets the requirements for personal data protection as a data processor. If the provider holds an ISO 27018 certificate, this assessment is simple and quick. The certificate is verifiable, issued by an independent third party, and confirms that the cloud-based personal data management system has been audited and meets the requirements of a recognised standard.

If the provider does not hold the certificate, they must convince the client by other means: extensive security questionnaires, their own declarations of compliance, or on-site audits. This costs both parties time and money – and often results in the client choosing a competitor who simply presented the certificate. ISO 27018 certification increases the competitive edge – and it is in tender processes that this advantage is most clearly evident.

Sectors where ISO 27018 is a deciding factor in supplier selection

The public sector and public procurement. Government bodies, local authorities, schools and universities are increasingly including data security certification requirements as a formal criterion in tender specifications. A cloud provider without ISO 27018 certification may be rejected at the formal verification stage – before anyone has even assessed the substance of their bid.

Healthcare. Hospitals, clinics and laboratories process special categories of personal data – health data – which are subject to the strictest requirements of the GDPR. Cloud providers serving this sector must prove that their systems meet the requirements for the protection of sensitive data. ISO 27018 is one of the most compelling pieces of evidence available on the market.

Financial sector. Banks, insurers and payment institutions are subject to stringent data security regulations. Certification helps companies meet regulatory and legal requirements, which can be crucial when working with large enterprises and financial institutions. A cloud provider with ISO 27018 certification enters into a relationship with a financial client as a partner with proven reliability.

Corporations with ESG and compliance requirements. Large private companies, particularly those reporting under the CSRD, are increasingly requiring their IT suppliers to document their approach to personal data protection. ISO 27018 provides this documentation in a format that auditors and boards accept without further questions.

A certificate that works for you – even when you’re not talking to a customer

ISO 27018 is not just a selling point in active tenders. It’s a market signal that works round the clock – for companies searching for a cloud provider online, comparing quotes or checking references.

The ISO 27018 certificate allows you to show current and potential customers that your infrastructure is certified to the standard and to demonstrate that customers’ personal data is secure and will only be used with their consent. For a SaaS, IaaS or PaaS provider serving multiple clients simultaneously, this is an argument that shortens the sales cycle, reduces the number of questions during negotiations and builds a reputation on which to base business growth.

Companies without ISO 27018 certification compete with arguments. Certified companies – with proof. In a world where personal data protection is a top priority, this difference translates directly into sales results.