GDPR vs US Privacy Laws: What Marketers Need to Know

Privacy regulations vary dramatically between Europe and the United States. For email marketers operating globally, understanding these differences is crucial for compliance and building customer trust. If you use countdown timers in your emails, our guide on why your email countdown timer should be GDPR compliant explains the specific data protection implications.

The Fundamental Difference

EU Approach: Privacy as a Right

In Europe, privacy is considered a fundamental human right:

• Protected by the Charter of Fundamental Rights
• Data protection is a constitutional matter
• Default position: personal data should be protected
• Burden is on companies to justify data collection

US Approach: Privacy as a Commodity

The US treats data privacy more as a market issue:

• No comprehensive federal privacy law
• Sectoral approach (healthcare, finance, etc.)
• State-by-state regulations (CCPA, VCDPA, etc.)
• More permissive toward data collection

Key Regulatory Frameworks

GDPR (EU)

General Data Protection Regulation — Regulation (EU) 2016/679

• Scope: Any organization processing EU resident data
• Consent: Must be explicit, informed, freely given
• Data rights: Access, rectification, erasure, portability
• Penalties: Up to €20M or 4% global revenue

CAN-SPAM (US)

Controlling the Assault of Non-Solicited Pornography and Marketing Act (15 U.S.C. §7701 et seq., 2003)

• Scope: Commercial email to US recipients
• Consent: Opt-out model (consent assumed until withdrawn)
• Requirements: Unsubscribe option, physical address, honest subject lines
• Penalties: Up to $50,120 per violation

CCPA/CPRA (California)

California Consumer Privacy Act (Cal. Civ. Code §1798.100 et seq.) / California Privacy Rights Act (2020)

• Scope: Businesses meeting revenue/data thresholds
• Rights: Know, delete, opt-out of sale, non-discrimination
• Consent: Opt-out model with some opt-in requirements
• Penalties: $2,500-$7,500 per violation

Practical Differences for Email Marketers

Consent Requirements

Aspect	GDPR (EU)	CAN-SPAM (US)
Consent model	Opt-in required	Opt-out sufficient
Pre-checked boxes	Not allowed	Allowed
Consent records	Required	Not required
Withdrawal ease	Must be as easy as giving	10 days to process

Data Transfer Issues

Transferring data between EU and US faces challenges:

• Schrems II ruling (Case C-311/18): Invalidated Privacy Shield
• EU-US Data Privacy Framework: New agreement (2023)
• Standard Contractual Clauses: Alternative mechanism
• EU-only hosting: Simplest compliance option

Compliance Strategies for Global Marketers

Option 1: GDPR as the Standard

Apply GDPR standards globally:

• Pros: Single standard, maximum protection, future-proof
• Cons: More restrictive, may limit marketing tactics
• Best for: Companies with significant EU audience

Option 2: Segmented Approach

Different standards for different regions:

• Pros: Maximizes flexibility per market
• Cons: Complex to manage, higher risk of errors
• Best for: Large organizations with dedicated legal teams

Option 3: Use Compliant Tools

Choose vendors that handle compliance:

• Pros: Outsource complexity, built-in safeguards
• Cons: Dependent on vendor compliance
• Best for: Small-medium businesses

Email Marketing Tool Requirements

For GDPR Compliance

• Data processing agreement (DPA) available
• EU data hosting option
• Data export functionality
• Clear data retention policies
• Consent tracking capabilities

For US Compliance

• Unsubscribe functionality
• Physical address in emails
• Accurate sender information
• Opt-out processing within 10 days

Common Compliance Mistakes

1. Assuming US rules apply globally: GDPR has extraterritorial reach
2. Using US vendors without DPAs: Required for EU data processing
3. Ignoring state laws: CCPA and others can apply to EU businesses
4. Pre-checked consent boxes: Not valid under GDPR
5. Missing records: GDPR requires consent documentation

The Safest Approach

For most businesses, the safest strategy is:

1. Use GDPR-compliant tools with EU hosting
2. Implement clear opt-in consent for all subscribers
3. Maintain consent records
4. Provide easy unsubscribe options
5. Have a DPA with all data processors