Social Media Marketing Regulatory Frameworks & Compliance 3 — Questions and Answers
Question 1: What is the primary purpose of the CAN-SPAM Act as it applies to social media marketing?
- Banning all unsolicited social media ads
- Setting rules for commercial email, including opt-out mechanisms (Correct answer)
- Regulating SMS marketing campaigns
- Controlling paid social media advertising spend
Correct answer: Setting rules for commercial email, including opt-out mechanisms
The CAN-SPAM Act establishes rules for commercial email messages and grants recipients the right to opt out.
Question 2: A California resident requests that a brand delete all personal data it holds about them. Which law grants this right?
- COPPA
- GDPR
- CCPA (Correct answer)
- TCPA
Correct answer: CCPA
The California Consumer Privacy Act (CCPA) gives California residents the right to request deletion of their personal information.
Question 3: Which platform-specific policy requires advertisers to complete special certification before running ads about housing, employment, or credit?
- Twitter/X Brand Safety
- Google Display Network
- Meta's Special Ad Categories (Correct answer)
- TikTok Creator Marketplace
Correct answer: Meta's Special Ad Categories
Meta's Special Ad Categories policy restricts targeting options for housing, employment, and credit ads to prevent discriminatory targeting.
Question 4: What does 'right to be forgotten' mean in the context of EU social media users?
- The right to make posts invisible to non-followers
- The right to request erasure of personal data under GDPR (Correct answer)
- The right to anonymous browsing on social platforms
- The right to block advertisers from retargeting
Correct answer: The right to request erasure of personal data under GDPR
Under GDPR Article 17, EU residents can request that companies erase their personal data when it's no longer necessary for the original purpose.
Question 5: An influencer posts a TikTok video reviewing a supplement. The FTC would require disclosure if which condition is met?
- The influencer has over 100k followers
- The influencer received the product for free from the brand (Correct answer)
- The video receives more than 10,000 views
- The supplement costs more than $50
Correct answer: The influencer received the product for free from the brand
Receiving free products constitutes a material connection that requires disclosure under FTC guidelines, regardless of follower count or view count.
Question 6: What is the maximum daily fine per violation under GDPR for major data breaches?
- €10 million or 2% of global annual turnover, whichever is higher
- €20 million or 4% of global annual turnover, whichever is higher (Correct answer)
- €5 million or 1% of global annual turnover, whichever is higher
- €50 million flat fee per incident
Correct answer: €20 million or 4% of global annual turnover, whichever is higher
GDPR's highest tier penalty is €20 million or 4% of global annual turnover—whichever is higher—for serious violations.
Question 7: Which practice violates Twitter/X's advertising policies regarding misleading claims?
- Using customer testimonials with disclosed incentives
- Running before-and-after images for weight loss products without disclaimers (Correct answer)
- Targeting ads by interest category
- Using video ads longer than 30 seconds
Correct answer: Running before-and-after images for weight loss products without disclaimers
Before-and-after images for weight loss without proper disclaimers violate both Twitter/X policies and FTC guidelines on deceptive advertising.
What is the primary purpose of the CAN-SPAM Act as it applies to social media marketing?