Data Privacy has long been Facebook’s priority. All over the world, data protection has been a major concern. On 25 May 2018, the European Union implemented the General Data Protection Regulation (GDPR). While the California Consumer Privacy Act (CCPA) followed suit on 01 January 2020. To help businesses follow such a data protection act, Facebook enables limited data use.
Limited Data Use is a parameter that gives a business more control over how Facebook utilizes its data. Once a business enables this parameter, Facebook will process Page information based on their State-Specific Terms. Such guideline complies with the CCPA. The brand’s measurement and retargeting capabilities may be limited. It may also have an impact on their campaign performance.
Eventually, the limited data use feature will automatically apply to all California residents. Facebook noted that the transition depends on the product. But it will be completed by 31 July 2020. As such, a business needs to inform Facebook should they wish to opt-out on the data-sharing restriction.
Facebook enables Limited Data Use on 23 June 2020.
Implications for Marketers:
Facebook’s Limited Data Use is a good measure to help businesses follow CCPA. Such a bill seems to benefit California consumers only. But, it will also benefit marketers. Compliance with any data protection act uplifts a brand’s reputation. Consumers will have greater trust in them. Besides, marketers will now have more accurate data collections. Being forced to collect first-party data can give them a better idea about their consumers. Thus, they can develop better strategies to connect with them.