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Privacy is the new trade secret

Consumers are demanding greater control over their personal data, but also want personalized experiences. Privacy-Led Marketing enables companies to address regulatory challenges and position themselves as leaders in a privacy-first future.
Resources / Blog / Privacy is the new trade secret
Published by Usercentrics
8 mins to read
May 9, 2025

The global marketing landscape is undergoing a significant shift. Amid an increasing number of publicized data breaches, consumers demand greater control over their personal data while still expecting hyper-relevant brand experiences. 

In this environment, privacy is evolving beyond a compliance obligation toward an imperative of trust for brands and an opportunity to accelerate economic growth. Building resilience through proactive, privacy-centric strategies has become essential for long-term success. 

By prioritizing ethical data practices and transparency, forward-thinking US companies can foster trust, enhance customer relationships, and drive sustainable growth, while staying ahead of evolving regulatory requirements.

Privacy as competitive advantage

Traditional marketing strategies have often treated consumer data as a commodity to be extracted and monetized at scale, which has created a dynamic at odds with trust. 

An alternative that flips this paradigm is to prioritize the consumer’s privacy and build relationships with them based on trust. This approach positions data sharing as a value exchange in which consumers receive personalized experiences in return for their information. 

According to Deloitte, 88 percent of customers who trust a brand will repurchase, and companies with high trust levels outperform peers by up to 400 percent in market value. 

Companies that proactively integrate privacy into their marketing strategies are distinguishing themselves in the market. By prioritizing user consent and transparent data practices, these businesses are not only mitigating risks but also building a foundation of trust that translates into long-term customer loyalty and competitive differentiation.

An overview of the US regulatory landscape and what it means for innovation


The US currently lacks a comprehensive federal data privacy law, which has resulted in a complex patchwork of state-level regulations, such as the California Consumer Privacy Act (CCPA) and the Virginia Consumer Data Protection Act (VCDPA)

This fragmented landscape creates challenges for businesses operating across state lines, especially SMBs with limited resources, since each of these laws introduces their own set of definitions, consumer rights, and business obligations. 

This regulatory reality only complicates privacy compliance, but also diverts resources away from innovation, as companies must allocate significant time and resources to understand and implement various state mandates, and keep up to date with changes for all of them over time.

Comprehensive data privacy regulation in the European Union

The European Union takes a different approach to data privacy regulation. Since 2018 the General Data Protection Regulation (GDPR) has offered a standardized framework for data protection across EU and EEA Member States. 

A key distinction between the GDPR and other privacy laws worldwide and the US state laws is in the approach to user consent. The GDPR uses an opt-in model that requires explicit user consent before collecting or processing personal data. 

In the US, laws like the CCPA operate on an opt-out basis, and prior user consent for data processing is not required in most cases. However, all the US state-level laws require individuals to be able to opt out of the use of their personal data for various purposes, like sale or targeted advertising.

Relying solely on reactive compliance in an inconsistent regulatory environment can stifle innovation and agility. Growth-focused companies need to adopt a proactive mindset, integrating privacy considerations into their core strategies. 

By doing so, they not only manage the complexities of the current legal landscape more effectively and save themselves time, money, and work, but also position themselves as trustworthy handlers of consumer data. 

More than just mitigating privacy compliance risks, this proactive approach also nurtures consumer trust through transparency and demonstrates respect for user data and consent choice, opening paths for innovation and sustainable growth.

Privacy-Led Marketing in action: A growth accelerator, not a restriction

In the context where data privacy concerns are at the forefront of consumer concerns, Privacy-Led Marketing (PLM) emerges as a solution that emphasizes ethical and transparent data collection and use, with user consent as its cornerstone. 

Unlike some traditional marketing methods that have prioritized data quantity over quality, PLM focuses on building trust and fostering long-term relationships with consumers by respecting their privacy preferences. 

Achieving and maintaining regulatory compliance is necessary, but can absolutely be done in a way that delivers great user experience.

Implementing a Privacy-Led Marketing approach benefits businesses in a number of ways.

Higher opt-in rates

When consumers consider a brand trustworthy and transparent about data usage, they are more inclined to share their personal information. Clearly communicating the value exchange and explaining how their data will enhance users’ experiences can significantly boost opt-in rates. In practice, this can take the form of communicating data practices in plain language and allowing for informed consent on the consumers’ end.

Higher quality user data

By focusing on data obtained directly from consumers who have given explicit consent zero-party and first-party data, businesses can better ensure the accuracy and relevance of the information collected. 

This high quality data enables more effective and personalized marketing strategies — including more accurate targeting and more desired communications — which lead to better customer engagement and repeat customers. 

As most browsers have phased out third-party cookie use, which delivers data that often has both quality and consent issues, brands are turning to first-party data strategies and prioritizing direct consumer relationships.

Improved lifetime customer value and retention

Respecting consumer privacy preferences builds trust, which is foundational to customer loyalty. When customers feel confident that their data is handled responsibly, they are more likely to remain engaged with the brand over time, increasing their lifetime value. 

Transparency around data practices also increases consumer confidence, making individuals more likely to engage with ads and share information. ​

What American consumers expect in 2025 

American consumers are increasingly vigilant about their personal data, demanding greater transparency, control, and security from the brands they engage with. This heightened awareness is not just a passive concern but is actively influencing consumer behavior. 

Businesses need to understand these expectations in order to build trust and foster long-term relationships.

The Trust Gap: What consumers want vs. what they feel

Recent studies indicate that consumer attitudes toward data privacy are shifting toward heightened awareness and demand for transparency. 

A substantial 83 percent of consumers now consider data protection a top priority that influences their trust in brands. While 67 percent of consumers have reviewed or updated their privacy settings on various apps and platforms in the past year, which points to more active management of privacy settings.

Despite heightened awareness, many consumers remain skeptical about how their data is handled. The overall perception is one of powerlessness, with only 36 percent of consumers feeling strongly that they are in control of their personal data. 

There is also a clear desire for more regulation: 72 percent of Americans believe there should be more government regulation over what can be done with personal data than there is now.

In this context, trust plays a crucial role in consumer decision-making, with 75 percent of consumers saying they would not buy from organizations they don’t trust with their personal data. 

Brand loyalty is closely connected to data handling, with 81 percent of users sharing that they believe the way a company treats their personal data reflects how it views them as customers.

Privacy-Led Marketing as a strategy for growth

Adopting a Privacy-Led Marketing approach does not limit personalization; instead, it enhances it through ethical and transparent data practices. By prioritizing user consent, businesses can achieve more precise targeting and sustainable long-term returns on investment (ROI).

Below are a few tools marketers can add to their toolbox to make their data collection more privacy-focused and meet customers where they are.

Prioritize first-party data

Investing in collecting information directly from customers through interactions like website visits, purchases, and subscriptions is invaluable for creating personalized experiences. 

First-party data comes straight from the source, so it tends to be more accurate and reliable than third-party data. Using this data enables businesses to tailor marketing messages more effectively, leading to improved customer engagement and loyalty. 

Moreover, relying on first-party data further promotes compliance with data privacy regulations, as businesses have direct control over the information they collect and use.

Think cookieless

With most browsers sunsetting third-party cookies, other alternatives are already available. For instance, contextual targeting works by placing ads relevant to the content a user is currently viewing. 

An ad for running shoes displayed on a fitness blog aligns with the reader’s interests at that moment. This approach enhances the user experience by presenting ads that are pertinent and non-intrusive. 

Google introduced Topics and Audiences as a form of targeting groups of users with similar online behaviors or interests into cohorts instead of tracking them individually. Ads are then tailored to these groups, delivering personalization while respecting individual privacy. 

Busting the myth: Privacy does not limit marketing

A common misconception is that stringent privacy practices hinder marketing efforts. In reality, integrating privacy into marketing strategies leads to more effective engagement with consumers. 

By focusing on consent-based data collection and ethical targeting methods, businesses can build stronger relationships with their audiences. This approach not only complies with evolving privacy regulations but also cultivates a trustworthy and customer-centric brand reputation, ultimately driving growth and long-term success.​

Incorporating these strategies into marketing frameworks means that personalization and privacy coexist, creating an environment where both businesses and consumers thrive.

Leading the change: What it takes to be a privacy pioneer

Embracing a privacy-first approach means embodying a strategic shift that positions organizations at the forefront of innovation and consumer trust. By proactively integrating privacy into the core of their operations, companies can be part of building a new marketing paradigm and position themselves as privacy pioneers.

In an era in which data breaches are all too commonplace, a commitment to privacy serves as a powerful differentiator. Organizations that prioritize data protection cultivate a reputation for responsibility and transparency, strengthening consumer trust and loyalty. 

This trust translates into a competitive advantage, as customers are more inclined to engage with brands that demonstrate a genuine commitment to safeguarding their personal information.

Additionally, organizations that can build trust through robust privacy practices are better positioned to participate in broader business ecosystems. According to Gartner, such organizations will be able to engage in 50 percent more ecosystems, expanding revenue-generation opportunities and fostering collaborative innovation.

By championing privacy as a core organizational value, companies not only future-proof their operations against regulatory changes but also position themselves as leaders in a marketplace that increasingly values ethical data practices.

Building the privacy-first future starts today

As data privacy concerns become increasingly important to consumers, the brands that will thrive in coming years are laying the groundwork to grow trust now. By prioritizing transparent data practices, obtaining explicit user consent, and embedding privacy into their foundations, companies can develop lasting relationships with consumers. 

American companies that embrace this mindset — particularly the ones in industries that deal with sensitive data, such as finance and healthcare — will lead the creation of new privacy standards and establish themselves as pioneers. 

The question is no longer whether to adopt Privacy-Led Marketing, but how quickly organizations can employ it to transform compliance from a checklist item into a growth engine.