Patchwork Of Data-Privacy Laws Challenges Brands

Data breaches, identity theft, ransomware attacks and other scams have led many Americans to lose trust in organizations that once pledged to keep their personal information secure. Consumers are especially concerned about the practices of Big Tech and social media platforms, with 77% saying they have little or no trust in leaders of social media companies to publicly admit mistakes and take responsibility for data misuse, according to a report by trade group VAB.

In the absence of a federal privacy law, marketers are confronting a growing patchwork of state privacy laws that could expose them to fines, sanctions and other legal consequences. Data-privacy regulations now collectively cover more than 40% of total U.S. households, “a significant increase in just the last two years,” according to VAB.