Facebook rolls out new Limited Data Use service for businesses and here is how they can use it.

About a year ago, the advertising world felt a massive change as the California Consumer Protection Act (CCPA) took effect. Not sure what that means? Check out our post, CCPA: Let’s Keep It Simple.  Consumers in CA have the right to request all their personal data be restricted from marketing, from sale, or even deleted from a marketer’s systems and from advertising data platforms. While this talks specifically about California, it impacts any marketer, regardless of where the company is located, that has customers in California. And there are certainly further reaching implications across other states that may or may not follow suit in the years to come.

Facebook – a major player for social media advertising – is now implementing strict rules, and it is important that those who are affected take action to stay compliant. The new program is called Limited Data Use, where Facebook will become the service provider to businesses and process the data themselves on their behalf in compliance with the law. Here is how to navigate this new business advertising tool:

CCPA requirements may impact your ability to retarget.

Those who will need to implement this new Limited Data Use service might notice that the law will impact their campaigns’ effectiveness and overall performance. It can also lower your capabilities to retarget and measure your campaign through Facebook.

Businesses can send Facebook the parameter showing a CA resident who has opted out of having their data sold or used. This parameter can also allow Facebook to process the data as a service, which is done through the Data Processing Option. If your business decides to utilize one or both of those parameters, this can be done through an API call which informs Facebook about the data limitation required.

Here’s a quick rundown of the other items that will be needed and how you can do it:

  1. Facebook Pixel: You will need to update the pixel initialization code to be able to implement the Limited Data Use flag for residents in California.
  2. App Events API: This is for when you are doing an app event and not directly getting data from the consumer’s device. You must send the consumer’s IP address and update the API call to be able to use the Limited Data Use flag.
  3. Offline Conversations: Update the Facebook API call or the option of going in yourself and uploading your events using a .csv file. After updating, add fields for manual upload, which will be any fields for SFTP, automated upload, limited data use flag, etc. With this you must clearly state the state and country using this flag; otherwise, it will be errored and not accept data.
  4. Conversions API: What this API does is give marketers the ability to send out web events directly from Facebook. These events are linked to a pixel and processed just as they would be for browser pixel events. You will need to update the API call to use the Limited Data Use flag. You will also need to provide the IP address and clearly state the state and country using the flag; otherwise, just like with offline conversations, it will not accept data.
  5. App Events via Facebook SDK: You will need to upgrade to have the newest version of SDK, then update the SDK call to using the Limited Data Use flag.

CCPA overall was met with a scramble to understand and interpret the law, and then the need to implement measures to ensure compliance. Amid this, marketers also had to try to plan around the potential data loss this and other state laws could create, as targeting and customer communications are critical to driving performance. While this does not solve all challenges, Facebook has worked to bring a service to the table to help marketers navigate around potential challenges, and allow them to continue to advertise on the Facebook platform, and see social as a critical component of not only their advertising mix, but potentially their tech stack.

The question remains: how many marketers will take advantage of it? And how will they solve for other channels?