Update from 11.07.2023

The European Commission has announced the long-awaited Privacy Shield agreement, making it legal to send data between the EU and the US again.

It is, therefore, also legal to use the previously controversial Meta Pixel (among other similar tools), as US companies have the opportunity to be certified under the EU-US Data Privacy Framework.

The Framework contains, for instance, the "requirement to delete personal data when it is no longer necessary for the purpose for which it was collected, and to ensure continuity of protection when personal data is shared with third parties".

What is happening?

Companies might not be allowed to use the Meta platforms pixel used for conversion measurement and similar anymore.

More specifically, through a decision on the use of Facebook Business Tool, the Danish Data Protection Agency has announced that it is ‘illegal’ to use Meta Pixel, because of an injunction to use Meta Pixel in Denmark since June 2, 2023. Potentially, the Meta Pixel can forward personal data to the US, which according to the Danish Data Protection Agency violates the GDRP rules, as there is currently no data processing agreement between the US and EU.

What are the consequences?

Companies could decide not to use the pixel anymore, but that might not be a good idea. What does it mean for your business if you don't use Meta Pixel and turn it off for campaigns? By not using Meta Pixel, it’s almost guaranteed that performance will get worse and results can get up to +400-500% more expensive. 

Statement from Meta 

MGWW have received a statement directly from Meta, which reads as follows: 

"This decision only relates to a single complaint in Denmark and does not consider the lawfulness of our data transfers. It also does not impose a fine on the advertiser. We disagree with the determinations made by the Danish data protection authority regarding our joint controllership with the advertiser as our joint controllership addendum clearly sets out the roles of responsibilities of both Meta and the advertiser where there is joint controllership"

Recommendations and MGWW POV

We are doing everything we can to stay on top of this, and hopefully we will get the final ruling on the use of data in July.

However, MGWW recommends to not make any rash decisions. Secondly, we recommend all companies write into their GDPR policy on their website, how they make use of Meta Pixel until then. Based on Meta's statement and the Danish Data Protection Agency, we recommend that you as a company decide for yourself whether you want to use Meta Pixel.

MGWW strongly believe that a solution will be found between EU and US, but also Meta (US) and EU, as many companies can go bankrupt if this comes into force.

MediaGroup reminds you that as a marketing agency, we are not able to provide legal and compliance advice. It is solely the responsibility of your company or organization to comply with relevant laws and regulations. Any opinions stated here and elsewhere are solely to be seen in that light.