Facebook collects a lot of information about its users, not just when the users are logged into the social network but also when they browse other websites. This data is then used to create more targeted advertising for users.
But what about the companies that pay Facebook for this advertising? What do they learn about users? Here are answers to some of the questions you might be asking about how Facebook advertising works.
Does Facebook share my personal information with advertisers?
No, says Facebook's Rob Goldman, Vice President of Advertising. Facebook doesn't tell advertisers who you are or what you're interested in.
How does advertising work on Facebook?
Advertisers book ad slots and indicate which target group should see the ad, Goldman says. For example, a travel company might want to reach users of a certain age and with a certain income who're interested in a particular country – Facebook will then display the ad only to users in that category.
Or an online retailer might ask Facebook to show users an ad for a product they've already looked at on the retailer's site.
How does Facebook know all this about its users?
Facebook receives this data in large part from the users themselves. This includes information on age, gender, place of residence, friends, workplace and holidays but also which companies, shows, brands or individuals the person "likes".
Facebook receives further information from advertisers, for example email addresses, which it can then match against its own database to target those users. However, advertisers don't receive feedback on individual Facebook users, Goldman says.
The third way is apps and websites that work with Facebook's marketing tools such as Facebook Pixel and thereby gather information on users' real or assumed interests.
Can I see these interest categories?
Yes. Within your Facebook settings you can find lists of your interests, likes and other categories. Here you can choose to block information from being used by advertisers.
Data about users which advertisers transferred to Facebook can also be viewed here – but only going back two months. Data that Facebook receives via apps and websites can also be found within a user's settings.
Further information on what data Facebook has concerning you can be found under "Download Your Data". However, according to Wired magazine this doesn't represent all of the data the social network gathers on a user.
Can I switch off the data gathering?
No, all you can do is restrict or disable the use of individual data collected by Facebook or others for advertising purposes. You can't prevent the collection of the data itself so long as you use the platform. — dpa
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