Consumer Reports Study Reveals Extensive Data Collection and Sharing on Facebook’s Ad Platform

In a groundbreaking study, Consumer Reports has uncovered the alarming extent of data collection and sharing on Facebook’s ad platform. With approximately 2,230 companies on average collecting and transmitting user data to Facebook, users are increasingly concerned about the privacy and security of their personal information.

Data collection on Facebook

One of the most common ways users experience data collection is through targeted advertisements on Facebook. These ads are often based on users’ previous searches, indicating that their activities are being tracked and shared. Through analysis of user archives, the study found that thousands of companies had sent each participant’s data to Facebook, further highlighting the widespread dissemination of personal information.

Focus on server-to-server tracking

Consumer Reports’ research zeroes in on server-to-server tracking, the process by which personal data is transmitted from a company’s own servers to Meta’s servers. As the parent company of Facebook, Instagram, and WhatsApp, Meta holds massive amounts of user data, making server-to-server tracking a crucial area of investigation.

Categories of Data Collection

The study identifies two primary categories of data collection: “events” and “custom audiences.” “Custom audiences” enable advertisers to upload customer lists containing identifiers such as email addresses. This information is then used to target ads specifically on Meta’s platforms. The second category, “events,” encompasses user interactions with brands outside of Meta’s apps, such as visiting websites, physical stores, or making purchases.

Key findings from the study

Among the study’s findings, LiveRamp, a data broker based in San Francisco, appeared in 96 percent of participant data. This highlights the prevalence and scale of third-party involvement in data collection and sharing practices. Notably, major retailers such as Home Depot, Macy’s, and Walmart were among the most frequently observed companies engaging in data transmission to Facebook.

User surprised at extensive tracking

One of the most concerning aspects for users is the extent of tracking by Meta. Many individuals remain unaware that Meta is privy to their physical movements, the news articles they read, and every website they visit. The study’s revelations have caught users off guard, raising questions about the degree of intrusion into personal lives and the implications for privacy.

Controversial use of tracking pixels

A particularly contentious element of data collection is the utilization of tracking pixels, which are visible to users’ browsers. These pixels enable Meta to monitor various activities, extending beyond online behavior to encompass real-world actions. Shockingly, they have been employed to track sensitive activities such as calling suicide hotlines, shopping habits, participating in exams, and even tax filing.

Consumer Reports’ study serves as a wake-up call, shedding light on the pervasive data collection and sharing practices on Facebook’s ad platform. The findings underscore the urgent need for enhanced user privacy protection and increased transparency regarding data usage. As users become more aware of the extent of tracking, pressure mounts on Meta to address concerns and provide viable solutions that prioritize user privacy without sacrificing the benefits of targeted advertising. It is crucial that users maintain control over their personal information, safeguarding their digital lives in an increasingly connected world.

Explore more

AI Makes Small Businesses a Top Priority for CX

The Dawn of a New Era Why Smbs Are Suddenly in the Cx Spotlight A seismic strategic shift is reshaping the customer experience (CX) industry, catapulting small and medium-sized businesses (SMBs) from the market’s periphery to its very center. What was once a long-term projection has become today’s reality, with SMBs now established as a top priority for CX technology

Is the Final Click the New Q-Commerce Battlefield?

Redefining Speed: How In-App UPI Elevates the Quick-Commerce Experience In the hyper-competitive world of quick commerce, where every second counts, the final click to complete a purchase is the most critical moment in the customer journey. Quick-commerce giant Zepto has made a strategic move to master this moment by launching its own native Unified Payments Interface (UPI) feature. This in-app

Will BNPL Rules Protect or Punish the Vulnerable?

The United Kingdom’s Buy-Now-Pay-Later (BNPL) landscape is undergoing a seismic shift as it transitions from a largely unregulated space into a formally supervised sector. What began as a frictionless checkout option has morphed into a financial behemoth, with nearly 23 million users and a market projected to hit £28 billion. This explosive growth has, until now, occurred largely in a

Invisible Finance Is Remaking Global Education

The most significant financial transaction in a young person’s life is often their first tuition payment, a process historically defined by bureaucratic hurdles, opaque fees, and cross-border complexities that create barriers before the first lecture even begins. This long-standing friction is now being systematically dismantled by a quiet but powerful revolution in financial technology. A new paradigm, often termed Embedded

Why Is Indonesia Quietly Watching Your Payments?

A seemingly ordinary cross-border payment for management services, once processed without a second thought, now has the potential to trigger a cascade of regulatory inquiries from multiple government agencies simultaneously. This is the new reality for foreign companies operating in Indonesia, where a profound but unannounced transformation in financial surveillance is underway. It is a shift defined not by new