This is part 2 of the series around Meta’s data restrictions. Read part 1 here.

It’s been well over the due date for Meta’s new data-sharing restrictions, and the extension deadline has now passed. As a result, advertisers across different industries are beginning to see the full impact of the changes Meta has implemented in response to growing privacy concerns. These restrictions aim to ensure that advertisers are not sharing prohibited data through Meta’s Business Tools, such as the Meta Pixel, Conversions API (CAPI), and App Events API.

As privacy laws tighten globally, Meta has categorized websites and apps based on their data sources – think health and wellness, financial services, and politics – introducing partial or full restrictions on data sharing. This shift is redefining the advertising landscape, and understanding its nuances is critical for staying ahead. Here’s what we know so far about these restrictions and their implications across regions.

Data source categories & restrictions: what this means now

Based on the latest insights, Meta’s restrictions on data sharing through its Business Tools vary by data source category and region, with a high chance of significant impact in the US and EU. Categories like Health and Wellness are going to face varying levels of restriction: 

• Health and Wellness providers in the EU face what appears to be full restrictions, while in the US, they may only see limits on certain standard events.
• Health and Wellness conditions/status has restrictions on standard events in both regions.
• Health and Wellness patient portals are likely fully restricted across the board.

Religion from our understanding is going to have full restrictions in the EU, while in the US, it’s likely limited to core setup constraints.

Financial Services however will likely only have core setup restrictions in both the US and EU, with limited custom data sharing.

These differences highlight the need for advertisers to understand their category’s specific limitations. Let’s dig deeper into those.

Full restrictions: what does this mean?

Full restrictions impose significant limitations for advertisers. When Meta applies full restrictions, all events related to the data source are blocked from being shared via Meta’s Business Tools, or will be subsequently removed when received (if it’s sent server-side, for e.g. CAPI). This means that you cannot use Meta’s advertising tools to track, target, or optimize your campaigns with this data.

This indicates a potential “catastrophic” impact due to lost functionality in:

• Campaign optimization: Without event data, advertisers will not be able to optimize their ad targeting for the events that truly matter, which may lead to reduced ad effectiveness and ROI. 
• Retargeting users: Advertisers will not be able to retarget users who have interacted with its website or app, which can negatively impact customer re-engagement and loyalty efforts.
• Measuring campaign performance: The lack of event data will make it challenging for advertisers to measure campaign performance, making it difficult to evaluate the success of their marketing strategies using tools like Ads Reporting or Conversion Lift.

However, the full extent of disruption is still unfolding. While some events are still available for optimization in certain regions, the full restrictions mean that many advertisers will need to adjust their strategies. Campaigns that relied heavily on data from sensitive categories such as Health or Religion will need to explore other ways to engage their audience. Advertisers will need to shift to alternative strategies, such as using upper-funnel events like Awareness (e.g. reach and impressions), Engagement (e.g. likes, shares), or Traffic (e.g. link clicks).

Restriction on certain standard events: what does this mean?

When Meta places restrictions on certain standard events, advertisers are still able to use some types of data, but not all. Specific events such as Purchase, Add to Cart, or Lead may be restricted, depending on the category and event type.

Advertisers would then need to focus on upper-funnel events, such as Search, ViewContent, or Landing Page Views, which are still allowed for optimization.

Core setup: what does this mean?

Core setup refers to the restrictions applied to Meta’s Business Tools, preventing the sharing of certain data types, like custom parameters and specific URL data. This reduces advertisers’ ability to precisely target and measure campaigns, potentially leading to less effective ad performance, especially for sensitive sectors.

This means that you can still optimize your campaigns for events like Page View or App Install, but anything more granular or sensitive (e.g., financial data) will be restricted.

Normally, advertisers can manually enable or disable the core setup based on their business needs. However, if Meta activates it due to data restrictions, advertisers won’t have the option to turn it off.

Moving forward:

• Review and compliance: Regularly audit your data sources and flagged sites to ensure compliance. Once your data is privacy-compliant, request a Meta review to potentially lift restrictions.
• Shift in strategy: With lower-funnel events often restricted, there’s a move towards upper-funnel objectives – Awareness, Engagement, Traffic – to keep campaigns effective.
• First-party data and privacy compliance: Leverage first-party data and privacy-preserving technologies to maintain campaign effectiveness.
• Diversify your spend: If data sharing on Meta feels restrictive, consider diversifying your ad spend across other platforms like TikTok, Google and others, and invest your efforts in testing the right media channel mix to get the most out of your advertising dollars. 

Meta remains unclear about how it evaluates domains or apps for restrictions and how these policies may evolve. We’re still monitoring the effects of these changes and working closely with advertisers to understand the full scope of the impact. As these restrictions evolve, we will refine and share best practices to keep your campaigns compliant and effective.

Navigating the new normal

It’s clear that privacy regulations are here to stay, but with the right guidance, these changes do not have to disrupt your advertising efforts. At Twigeo, we’re here to guide you through these changes, helping you adapt and optimize your campaigns in this always evolving privacy-first world. Reach out today to learn how we can help you stay compliant while driving growth.