Indiana Consumer Data Protection Act and Its Impact on Marketing Data

Privacy laws are no longer just legal issues.

They now directly decide whether your ads perform or fail.

What Just Changed in Indiana

On January 1, 2026, Indiana's Consumer Data Protection Act became fully enforceable. This law gives residents complete control over their personal data—and creates new obligations for businesses that collect, process, or sell that information.

For marketers, this isn't just a compliance checkbox. It's a fundamental shift in how you collect data, build audiences, and measure campaign performance.

 Who Must Comply

The CDPA applies to your business if you meet either threshold:

- You process data from 100,000 or more Indiana residents annually

- You process data from 25,000+ residents AND derive over 50% of revenue from selling personal data

Location doesn't matter. If you target Indiana consumers through digital marketing or online services, you're covered—even if your business operates outside the state.

 Who Gets a Pass

Certain organizations are exempt: financial institutions under GLBA, HIPAA-covered entities, nonprofits, higher education institutions, public utilities, and government agencies.

 What Data Marketers Can and Cannot Use

The law distinguishes between regular personal data and sensitive personal data.

Personal data includes anything that identifies or links to an individual: names, email addresses, device IDs, browsing history, and online behavior.

Sensitive personal data includes precise geolocation, health information, biometric data, financial account details, and children's data.

Here's the critical part: Sensitive data requires explicit opt-in consent. No pre-checked boxes. No implied permission. Active, informed consent only.

For marketers, this means:

- Location-based targeting requires upfront permission

- Health and wellness campaigns need clear consent flows

- Any data involving minors needs extra protection

- Financial services targeting demands explicit opt-in

Consumer Rights That Impact Your Marketing

Indiana residents now have five enforceable rights:

Access: They can request confirmation of what data you hold and receive a copy.

Correction: They can demand you fix inaccurate information.

Deletion: They can require you to delete their data (with some exceptions).

Portability:They can receive their data in a machine-readable format.

Opt-Out:They can reject targeted advertising, profiling decisions, and data sales.

That last one matters most for marketers. When users opt out of targeted advertising, they disappear from your retargeting lists, lookalike audiences, and personalized campaigns.

You have 45 days to respond to these requests, with a possible 45-day extension for complex cases.

 Practical Steps for Marketing Teams

 1. Audit Your Data Collection

Map every piece of data you collect: website forms, tracking pixels, analytics tools, CRM integrations, third-party data sources.

Understand what's personal data versus sensitive personal data. Know where it lives and who has access.

2. Update Your Privacy Infrastructure

Your privacy notices must clearly explain what data you collect and why. Transparency builds trust and keeps you compliant.

Implement a proper consent management platform. Seers AI automates this process—managing user preferences, enforcing opt-outs across channels, and maintaining compliance without disrupting your marketing workflows.

 3. Build Response Workflows

Create systems to handle access, deletion, correction, and opt-out requests within the 45-day window.

Document these processes. Train your team. Test the workflows before requests arrive.

 4. Review Third-Party Contracts

Every processor or partner who handles your data must comply with CDPA standards. Review contracts, add necessary clauses, and ensure accountability throughout your data supply chain.

 5. Conduct Data Protection Impact Assessments

Required for high-risk activities like targeted advertising, profiling, data sales, and processing sensitive information.

These assessments identify risks, document safeguards, and demonstrate your commitment to responsible data handling.

 Why This Matters for Your Marketing Strategy

The immediate impact: audience segments shrink, attribution gets harder, personalization becomes more complex.

The long-term impact: First-party data becomes your only sustainable competitive advantage.

Third-party cookies are dying. Device IDs are disappearing. Privacy regulations are expanding. The only data you'll reliably have access to is the data users willingly share.

That means building relationships based on value exchange, not surveillance. It means earning permission, not assuming it. It means treating privacy as a feature, not a burden.

 The Penalty Structure

Indiana's Attorney General enforces the CDPA. Businesses get a 30-day cure period to fix violations after receiving notice.

After that, penalties reach up to $7,500 per violation. Multiple compliance failures across different data processing activities can accumulate quickly.

There's no private right of action, so enforcement comes only through official regulatory proceedings.

 What Marketers Should Review Now

Start with consent mechanisms. Are they clear? Are they CDPA-compliant? Do they capture preferences across all channels?

Review your data flows. Where does marketing data enter your systems? How is it processed? Where does it go? Who has access?

Assess your tech stack. Which tools collect data? Which ones share it? Are they configured for compliance?

Plan for opt-outs. What happens when users reject targeted advertising? Can your systems handle that cleanly?

The Competitive Advantage Hiding Here

While most businesses view privacy laws as obstacles, smart marketers see them as filters that reward quality.

When everyone loses third-party signals, the businesses with strong first-party relationships win. When retargeting gets restricted, the brands with permission-based strategies still reach their audience.

Indiana's CDPA is preparation for what's coming nationally. The teams that build compliant, consent-driven marketing infrastructure now will dominate when the regulatory environment tightens further.

Marketers who prepare early will avoid data loss later.