How are GDPR and CCPA different?

The Problem: Digital landscape is transforming. Old rules of data collection are fading. New era of consumer data privacy is emerging. GDPR and CCPA are not interchangeable. One-size-fits-all approach to compliance is recipe for disaster.

The Stakes: Understanding differences between GDPR and CCPA is more than legal requirement. It is strategic imperative for building trust, avoiding costly penalties, and future-proofing business.

The Solution: This guide breaks down key distinctions between GDPR and CCPA, focusing on practical implications for marketers, data professionals, and business leaders.

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1. Scope and Jurisdiction: Who and Where

This is most critical starting point for any data privacy strategy.

Applicability of each law is distinct and far-reaching.

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GDPR: A Global Mandate

GDPR is sweeping, principles-based regulation with extraterritorial reach.

Applies to any organization that processes personal data of individuals residing in European Union (EU) or European Economic Area (EEA), regardless of organization location.

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What this means:

Tech startup in San Francisco, online retailer in Australia, or SaaS company in Brazil must comply with GDPR rules if they collect data from even single EU citizen.

There are no revenue or data volume thresholds for compliance.

If you process EU personal data, you are subject to law.

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CCPA: A State-Level Powerhouse

CCPA (and subsequent amendment CPRA - California Privacy Rights Act) is state law that protects personal information of California residents.

Unlike GDPR, CCPA applicability is more specific.

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For-profit business must meet ONE of following criteria to be subject to law:

• Have annual gross revenue of over $25 million

• Buy, sell, or share personal information of 100,000 or more California consumers, households, or devices annually

• Derive 50% or more of annual revenue from selling or sharing consumer personal information

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The Takeaway:

GDPR scope: Broad, global umbrella

CCPA scope: Powerful, state-specific law targeting businesses of certain size or those heavily involved in data sharing and data selling

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2. Opt-In vs Opt-Out: Fundamental Difference in Consent

This is most significant philosophical divide and has direct consequences for your marketing and data collection practices.

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GDPR: Opt-In Model (Affirmative Consent)

GDPR core principle is explicit consent.

You cannot process user personal data unless you have legal basis to do so, and most common basis is their affirmative, unambiguous consent.

Think of GDPR-style cookie banners that require user to click "Accept" or "Agree" before any data is collected.

This approach puts burden on business to prove they have permission to process data.

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CCPA: Opt-Out Model (The Right to Say No)

CCPA operates on different premise.

It presumes business has right to collect and process personal information unless consumer tells them not to.

This is why most recognizable CCPA requirement is "Do Not Sell or Share My Personal Information" link.

Business does not need to get prior consent to collect data (unless from minor), but must provide clear mechanism for consumers to opt out of sale or sharing of their data.

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The Takeaway:

GDPR is proactive: "You must ask for permission first"

CCPA is reactive: "You can collect data, but I have right to tell you to stop selling it"

This distinction is key for email marketing compliance and other forms of digital advertising.

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3. Consumer Rights: Different Set of Keys to Your Data

Both laws empower consumers with new data subject rights, but specific rights and their scope vary.

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GDPR: Comprehensive Rights (7+)

GDPR is more extensive and detailed framework of rights:

1. Right to Be Informed

• You must provide transparent information about data collection

2. Right of Access

• Individuals can request copy of their personal data

3. Right to Rectification

• Users can ask for inaccurate data to be corrected

4. Right to Erasure (Right to Be Forgotten)

• Individuals can request deletion of their personal data

5. Right to Restrict Processing

• Users can limit how their data is used

6. Right to Data Portability

• Individuals can request to receive their data in machine-readable format

7. Right to Object

• Users can object to data processing for certain purposes, like direct marketing

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CCPA: Core Rights (5+)

CCPA grants California residents several key rights:

1. Right to Know

• Consumers can ask business to disclose specific pieces and categories of personal information collected about them

2. Right to Delete

• Consumers can request deletion of their personal data

3. Right to Opt-Out

• Right to direct business not to sell or share their personal information

4. Right to Correct (added by CPRA)

• Consumers can ask for correction of inaccurate data

5. Right to Limit Use and Disclosure of Sensitive Personal Information (CPRA)

• New right to limit use of sensitive data like social security numbers or precise geolocation

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The Takeaway:

While there is significant overlap (e.g., right to delete), GDPR rights framework is broader and includes more specific rights like data portability, which is not prominent feature of CCPA.

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4. Defining "Personal Data": How Broad Is the Net?

Definitions of what constitutes protected data have subtle but important differences.

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GDPR: All Personal Data Is Included

GDPR definition of personal data is intentionally expansive.

Includes any information that can directly or indirectly identify person:

• Name

• Email address

• IP address

• Cookie ID

• Genetic or biometric data

This broad scope is why cookie consent management is so crucial for any website with EU visitors.

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CCPA: Focus on Consumer and Household Data

CCPA defines personal information as any information that identifies, relates to, or is reasonably linked to particular consumer or household.

This includes:

• Identifiers like names and email addresses

• Browsing history

• Purchase records

• Data tied to household, such as IP address

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The Takeaway:

Both laws have broad definitions, but GDPR is arguably more universal and foundational, applying to any form of personal information.

CCPA focuses specifically on consumer and household data within commercial context.

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5. Enforcement and Penalties: Disparity in Fines

Financial consequences for non-compliance are major motivator for businesses to take these laws seriously.

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GDPR: The Threat of Massive Fines

GDPR penalties are famously severe and designed to be significant deterrent.

For less severe violations:

• Fines can reach up to €10 million OR 2% of company global annual revenue (whichever is higher)

For more serious violations (data breach or violating core principles):

• Fines can reach up to €20 million OR 4% of global annual revenue (whichever is higher)

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CCPA: A Mix of Fines and Legal Risk

CCPA fines are lower but accompanied by unique legal risk.

Civil Penalties:

• Up to $2,500 per unintentional violation

• Up to $7,500 per intentional violation

Private Right of Action:

• CCPA allows consumers to file class-action lawsuits if data breach occurs due to business failure to implement "reasonable security procedures"

• Can result in significant legal costs and damages that may far exceed regulatory fines

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The Takeaway:

While GDPR fines are headline-grabbing deterrent, CCPA private right of action introduces different and potentially very costly layer of risk.

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GDPR vs CCPA: Side-by-Side Comparison

Factor GDPR CCPA

Geographic Scope Global - applies to any business processing EU/EEA resident data State-level - applies to California residents

Business Applicability Any business, regardless of size Businesses meeting revenue/data volume thresholds ($25M revenue, 100K consumers, or 50% revenue from data sales)

Consent Model Opt-In - affirmative consent required before data collection Opt-Out - can collect data but must allow opt-out from sale/sharing

Consumer Rights 7+ rights including data portability and right to object 5+ rights including right to limit sensitive data use

Personal Data Definition Broad - any information directly or indirectly identifying person Consumer and household-focused within commercial context

Maximum Fines €20 million or 4% of global annual revenue (whichever higher) $7,500 per intentional violation plus class-action lawsuit risk

Enforcement Government regulators (Data Protection Authorities) California Attorney General plus private right of action

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Practical Implications for Businesses

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For Marketing Teams

GDPR Requirements:

• Cannot use cookie-based tracking without explicit consent

• Must provide clear opt-in for email marketing

• Cannot process personal data without legal basis

CCPA Requirements:

• Can collect data but must provide "Do Not Sell" link

• Must honor opt-out requests within 15 days

• Must disclose categories of data collected and shared

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For Data Teams

GDPR Requirements:

• Implement data portability mechanisms

• Create processes for data access requests

• Ensure data processing has documented legal basis

CCPA Requirements:

• Track which data is sold or shared

• Implement opt-out mechanisms

• Create processes for data deletion and correction requests

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For Business Leaders

GDPR Priorities:

• Appoint Data Protection Officer if processing large-scale sensitive data

• Conduct Data Protection Impact Assessments

• Ensure vendor contracts include GDPR compliance clauses

CCPA Priorities:

• Determine if business meets applicability thresholds

• Implement reasonable security procedures to avoid class-action risk

• Update privacy policy with required disclosures

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Building United Compliance Strategy

GDPR and CCPA are not rivals. They are complementary forces in global movement toward data privacy and protection.

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Core Principles for Both Laws

1. Transparency

• Clear privacy policies

• Honest data collection practices

• Upfront communication about data use

2. User Control

• Easy-to-use consent mechanisms

• Simple opt-out processes

• Accessible data subject rights portals

3. Data Minimization

• Collect only data you need

• Delete data when no longer necessary

• Avoid indiscriminate data hoarding

4. Security

• Implement reasonable security measures

• Encrypt sensitive data

• Regular security audits

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Privacy-by-Design Approach

Instead of retrofitting compliance, build privacy into your data architecture from start:

Step 1: Map Data Flows

• Understand what data you collect

• Know where it goes

• Document why you need it

Step 2: Implement Technical Controls

• Use first-party data collection to maintain control

• Deploy unblockable Consent Management Platform (CMP)

• Ensure data processing is logged and auditable

Step 3: Create Clear Policies

• Privacy policy that covers both GDPR and CCPA

• Cookie policy with granular consent options

• Data subject rights request process

Step 4: Train Your Team

• Marketing teams understand consent requirements

• Development teams implement privacy-by-design

• Customer service handles data requests properly

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The First-Party Data Advantage

Strong first-party data strategy, built on transparency, user control, and valuable data exchanges, is most effective way to navigate complex legal landscape.

Why first-party data helps compliance:

1. Direct Relationship

• Data collected directly from users on your properties

• Clear consent and legal basis

2. Reduced Third-Party Risk

• Not relying on external data brokers

• Fewer vendor compliance concerns

3. Better Control

• You decide how data is collected, stored, used

• Can implement rights requests efficiently

4. Trust Building

• Transparent data practices build consumer confidence

• Competitive advantage in privacy-conscious market

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Key Takeaways

1. GDPR has global reach, CCPA is state-specific But both can apply to same business simultaneously.

2. GDPR requires opt-in consent, CCPA allows opt-out Fundamental philosophical difference in consent model.

3. GDPR provides broader set of consumer rights Including data portability and right to object.

4. GDPR fines are percentage of global revenue CCPA fines are per-violation but include class-action risk.

5. Both laws require transparency and user control Core principles are similar even if implementation differs.

6. Privacy-by-design approach satisfies both laws Build compliance into architecture from start.

7. First-party data strategy reduces compliance burden Direct relationships with users simplify legal requirements.

8. Non-compliance is costly beyond just fines Reputational damage and loss of consumer trust.

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Next Steps

If your business collects data from EU residents or California consumers:

Step 1: Determine Applicability

• Do you process EU personal data? (GDPR applies regardless of size)

• Do you meet CCPA thresholds? ($25M revenue, 100K consumers, or 50% revenue from data sales)

Step 2: Audit Current Data Practices

• What data do you collect?

• What is legal basis for collection?

• Do you sell or share data?

Step 3: Implement Technical Controls

• Deploy Consent Management Platform for GDPR opt-in

• Add "Do Not Sell" link for CCPA opt-out

• Use first-party data collection (DataCops) for better control

Step 4: Update Policies and Disclosures

• Privacy policy covering both GDPR and CCPA

• Cookie policy with granular consent

• Data subject rights request process

Step 5: Train Your Team

• Marketing understands consent requirements

• Development implements privacy-by-design

• Customer service handles data requests

Tools: DataCops provides first-party data collection with built-in TCF-certified Consent Management Platform that satisfies both GDPR opt-in and CCPA opt-out requirements. Serves from your domain so it is not blocked. Simplifies compliance while ensuring complete, accurate data collection.

The bottom line: GDPR and CCPA are complementary forces requiring fundamental rethink of data practices. Privacy-by-design approach and first-party data strategy not only ensure compliance but also build foundation of trust that becomes competitive advantage.