Facebook privacy policy: A complete guide for businesses
Using Facebook for business often means sharing your audience’s personal data with the Meta-owned platform. This is especially true if you use tools that connect your websites, apps, and marketing activities to Facebook.
Facebook’s privacy policy governs what happens to the personal data you share: how the platform uses it and how it shares the data with Meta’s other products and platforms, as well as with advertisers and partners.
Meta’s privacy practices directly impact your obligations under global data protection laws, so it’s imperative that you understand its privacy policy.
This guide breaks down the Facebook privacy policy so you can make informed decisions and understand:
- What data Facebook collects
- How Meta uses it
- What steps you need to take to meet your legal obligations and be transparent with your customers
Why Facebook’s privacy policy matters for your business
If your business decides how and why personal data is collected or used, then under many global privacy laws you are accountable starting from the moment you collect it, and even after it’s shared with third parties like Meta.
Understanding what data Facebook collects and how Meta uses that data matters for several other reasons, detailed below.
Regulatory compliance
Meta must use the data you share in a way that meets regulatory requirements. Data privacy laws generally protect data belonging to individuals located in the law’s region of jurisdiction — like many countries under the European Union, a single country like Canada, or a US state.
You may be required to comply with several laws, depending on where your audience or customers are located, and what industry your business is in. Some of the most common global privacy laws are:
- The European Union’s General Data Protection Regulation (GDPR)
- Multiple US state-level data privacy laws, including, the California Consumer Privacy Act (CCPA) and the California Privacy Rights Act (CPRA)
- Brazil’s Lei Geral de Proteção de Dados Pessoais (LGPD)
- South Africa’s Protection of Personal Information Act (POPIA)
- Canada’s Personal Information Protection and Electronic Documents Act (PIPEDA)
Customer expectations
According to data from Salesforce, 71 percent of customers are increasingly protective of their personal information. That growing caution makes it more important than ever for businesses to be clear about who has access to users’ personal data and how it’s used.
If your practices aren’t transparent — or if users feel misled — it can erode trust and harm your reputation.
Business impact
Facebook’s data policies influence how effective your ads and analytics will be. Understanding what data Facebook uses and how it processes that data helps you make better decisions about targeting, measurement, and spend.
Evolving regulations
Newer laws like the EU’s Digital Markets Act (DMA) restrict how Meta can combine and use EU users’ data collected from one product — like Facebook — across its ecosystem. Meta has multiple platforms and billions of users, so this is a notable restriction on the data and revenue potential in their operations.
These changes affect how your business can use Meta tools for audience insights, cross-platform tracking, and personalized advertising in the EU. That means ongoing awareness is necessary for continued compliance.
Understanding Facebook’s data privacy policies and practices
Facebook processes large volumes of personal data that’s collected from both users and businesses that use Meta Business Tools on their websites and apps.
In some regions, Facebook may also use data collected from other Meta platforms — such as Instagram, Messenger, and WhatsApp — depending on local privacy laws and user consent.
Here’s a look at what data Facebook collects and how it’s used.
What data does Facebook collect?
The Facebook privacy policy lists the information Facebook collects from users, which includes:
- User-provided information: Includes details that users enter when creating an account or making a purchase, such as their email address, phone number, age, profile photo, and payment or delivery information if they use Meta Pay or checkout features.
- User activity: Facebook tracks what users click, post, like, and share, as well as who they message and otherwise interact with. Engagement with both ads and organic content is tracked.
- App, browser, and device information: Facebook collectsdata from users’ phones, computers, or tablets, including:
- Device type
- Operating system
- Battery level
- Signal strength
- IP address
- App version
- Network
- GPS location
- Photos and camera access
In addition to this user data, Facebook receives personal data from the businesses that use its tools.
If your business integrates Meta Business Tools — such as the Facebook Pixel, SDK, or Conversions API — that means you’re actively sending data about your website or app visitors to Meta. This may include pages viewed, purchases completed, or in-app events triggered by users.
This shared data enables Meta to offer features like retargeting, conversion tracking, custom audience creation, and ad performance analytics. In this case, your business acts as a data source, so you’re responsible for collecting that data lawfully and clearly explaining its use in your privacy policy.
How do Facebook and Meta use this information?
Once Facebook collects personal data from users or businesses, it uses that information in a variety of ways across its services. Uses listed in Facebook’s privacy policy include:
Personalization (including ads)
Meta uses personal data to tailor user experiences across its platforms, including displaying personalized content, suggestions, and targeted advertisements. It uses data to connect businesses to new customers who might be interested in their products and services.
Product improvement
Meta applies user activity information to enhance existing products and develop new features. It also uses device information, such as what’s happening in the background when a Meta app crashes.
Safety and security
Meta uses this information to detect and prevent suspicious activity, harmful behavior, spam, and fraud, aiming to keep the platform safe for users and businesses.
Measurement and analytics
Meta provides businesses with analytics and reports on ad performance and user engagement. It often uses data shared by businesses through Business Tools.
Role of cookies and tracking technologies
Meta uses cookies, pixels, and other tracking technologies to collect personal data for a range of uses, including analytics and ad targeting.
Facebook uses these tools to gather information from people who have Facebook accounts, use other Meta products and platforms, or visit third-party websites and apps that integrate Meta Products, such as the “like” or “share” buttons.
Importantly, these tracking technologies can collect data from a person even if they aren’t logged into a Facebook account or don’t have a Facebook account at all (except for users in the European Region).
When your business adds Meta Business Tools to your website, app, or online store, Meta can set and read cookies. Meta can then collect information about any visitor, not just Facebook users.
That means Meta builds advertising and analytics profiles using data from both its users and individuals who don’t use its platforms.
Meta maintains a separate cookies policy that outlines its use of these tracking technologies. If your business receives traffic from visitors in regions with explicit consent requirements — which is an ever-increasing percentage of the world — it’s particularly important to review Meta’s cookies policy carefully.
You’ll need to implement consent mechanisms that meet legal standards and update your own privacy notices to reflect Meta’s tracking activities on your site.
Unsure about what type of consent you need? Learn the differences between opt-in and opt-out consent and which type you need under different global privacy laws.
Who does Meta share personal data with?
Meta shares personal data with some third parties for a variety of purposes.
While the company states it doesn’t sell personal information, this kind of sharing can legally qualify as a “sale” of personal information under laws like the CCPA/CPRA, even when no money is exchanged.
The third parties Meta shares data with include the following:
- Advertisers: Businesses that advertise on Meta’s platforms
- Commerce and service partners: Businesses that offer goods or services on Facebook or other Meta products and platforms, as well as any providers acting on their behalf (for example, a payment processor)
- Vendors and service providers: Third-party services that Meta uses to promote its own products, conduct research and surveys, deliver customer service, facilitate payments, analyze product usage, and investigate suspicious activity, among other things
- Academic and public interest researchers: External researchers who focus on topics like safety, technology, or social impact
Both the data shared and who it’s shared with may vary based on how your business uses Meta Business Tools and what privacy choices users make.
International data transfers
Meta transfers personal data across borders as part of its global operations. This includes sending data to countries where:
- It has infrastructure, such as the United States, Ireland, Denmark, and Sweden, among others
- Meta products are available
- Its partners, vendors, service providers, and other third parties are located
To carry out these international data transfers in compliance with applicable privacy laws, Meta relies on legal mechanisms such as Standard Contractual Clauses (SCCs) and adequacy decisions.
For data transfers from the EU to the US, Meta states that, as of September 7, 2023, it relies on the EU-US Data Privacy Framework.
Sensitive information restrictions
Meta prohibits businesses and partners from sharing certain types of sensitive information through its platform and tools.
This information includes, but is not limited to:
- Health or medical data
- Detailed financial data
- Government ID numbers
- GPS location data
- Social Security numbers or local equivalents
- Passwords
- Any information that the sharer knows — or reasonably should know — is from or about a child under the age of 13
If Meta determines that a business may be violating these terms, it reserves the right to take action against that business.
How to align your business with privacy laws and Facebook privacy requirements
While understanding Meta’s data practices is important, you must also be aware of your business’s direct responsibilities when handling user data in connection with Facebook, Meta Business Tools, and Meta products.
Below are the primary obligations you need to follow.
Meet EU consent standards under the GDPR and the DMA
Facebook’s privacy policy states that “partners must have the right to collect, use and share” data before providing it to the platform. Under laws like the GDPR, this typically means obtaining explicit user consent, especially when the data will be used for advertising or tracking purposes.
If your business operates in the EU or targets users there, the Digital Markets Act (DMA) also requires Meta to obtain explicit user consent before combining personal data collected on your website with account information from Facebook or other Meta platforms for analytics or targeting.
To stay compliant, your consent banner or consent management platform (CMP) must clearly inform users of this data use and enable them to opt in.
Monitor Facebook’s updates in the EU to make sure your consent collection practices align with both Facebook’s expectations and DMA requirements.
Follow data minimization principles
When collecting personal data, practice data minimization by gathering only what you need. This helps you to comply with the GDPR and avoid sharing data that may be prohibited or unnecessary for your stated purpose.
Understand US opt-out requirements
US states that have implemented data privacy laws to date use an opt-out consent model. In most cases, prior consent for data collection and processing is not required, including for profiling or advertising. It is only necessary to enable users to opt out.
Meta provides a Limited Data Use (LDU) parameter to help businesses comply. When enabled, Meta will limit how it processes the user’s data in line with the applicable state law, if that user had opted out.
The CCPA/CPRA includes an additional obligation that provides California residents the right to opt out of the sale or sharing of their personal data for profiling or targeted advertising. Businesses must honor this right by prominently displaying a “Do Not Sell Or Share My Personal Information” button or link.
Many businesses choose to add this to their cookie banner, website footer, or app menu. You must also immediately stop sharing users’ data with Meta or other third parties when they exercise their right to opt out.
Follow purpose limitation principles
If your business receives data from Meta through integrations or for targeted advertising, only use it for the purposes disclosed to users in your privacy policy, and only if users have given proper consent.
Learn how to create a privacy policy for Facebook lead ads.
Protect the data you handle
Your business is responsible for protecting any personal data it collects, processes, or shares, even after it has been shared with Meta. Data privacy laws like the GDPR and the CCPA/CPRA require businesses to implement reasonable technical and organizational measures to safeguard personal information.
These security obligations apply across the full data lifecycle — from collection to sharing. Any data processing agreement (DPA) you enter into with Meta should require Meta to apply the same security standards you use as a data controller.
If your business receives personal data from Meta, you’re responsible for protecting it just as you would any data you collect directly from users.
Be transparent with your users
Your privacy policy must clearly explain how your business interacts with Facebook and other Meta platforms, uses Meta’s tools, and what that means for your users’ personal data.
Below is a non-exhaustive checklist of information the policy must include regarding your relationship with Meta.
- Clarify what categories of personal data and what personal data you share with Meta, and note that Meta may use the data according to its own privacy policy.
- Explain that you use Meta Business Tools, such as Facebook Pixel or Conversions API.
- State your reasons for collecting and sharing data with Meta. For example, it may be used for ad targeting, analytics, or campaign measurement.
- Disclose your use of Meta-related cookies and how users can manage or reject them through your site.
- Inform users that data shared with Meta may be further shared by Meta, including with its partners or vendors.
- Include links to Meta’s privacy and cookies policies.
- Explain users’ rights under relevant laws and how they can exercise them, such as the right to object (under the GDPR) and the right to opt out (under the CCPA/CPRA).
- If you use Meta ads for behavioral targeting, provide California users the option to opt out through a “Do Not Sell Or Share My Personal Information” link.
- If you rely on Facebook Page Insights, EU regulators treat you and Meta as joint data controllers. You should include a link to Facebook’s Page Controller Addendum and document this arrangement in your records of processing activities.
Meta also requires that when you collect information from people who interact with your page, group, or event, you must first provide them with clear notice. Users must explicitly consent to your use of their data, and you must clearly explain that you, not Meta, are collecting and processing this information.
If you’re an integrated partner, Meta specifies that you’re responsible for handling user information according to your own terms and policies. Your privacy policy must be easily accessible, typically in a website footer or app menu.
Read more about global privacy policies.
Take additional precautions when handling minors’ data
Meta limits ad targeting for users under 18 to age and location only. Your business cannot circumvent these restrictions. For example, you must not use custom audiences based on lists known to include minors.
If your website or app is likely to attract minors, or if you collect data that could reasonably belong to users under 18, your business may be subject to heightened legal obligations. These requirements vary based on where your users are located and the nature of the data collected.
They include:
- Obtaining verifiable parental consent under laws like the Children’s Online Privacy Protection Act (COPPA) in the US, which must be separately obtained for collecting data and for sharing data
- Obtaining explicit consent from a parent or legal guardian for minors under the age of 16, per GDPR requirements. EU member states can lower this to age 13
- Providing transparency in your privacy policy about how data from minors is collected and used
- Using age verification mechanisms when age plays a role in data collection or eligibility for your services
Your business must be prepared to meet these requirements if your data collection practices could involve users under the age of 18.
Usercentrics does not provide legal advice, and information is provided for educational purposes only. We always recommend engaging qualified legal counsel or privacy specialists regarding data privacy and protection issues and operations.