The Building Blocks of Privacy-Friendly Personalization

Violeta Milarova

Aug 07, 2025

Personalization can be achieved without compromising user privacy.

While many personalization systems have historically relied on practices now considered intrusive, like third-party cookies, cross-site tracking, or opaque data sharing, Recombee has taken a different approach from the start. With increased scrutiny and the ongoing tightening of regulations like GDPR in Europe and CCPA in California, coupled with users becoming more conscious of what’s being collected and how it’s being used, organizations are under growing pressure to rethink how they handle personal data. In response, leading companies are shifting focus; not just on personalization, but on doing it in ways that respect privacy boundaries while still delivering clear value to users. As a result, organizations themselves are becoming more stringent in how they collect and apply data.

So, what does a more privacy-conscious approach to personalization actually involve?

This article outlines the key concepts, categories of data, and technical principles that make responsible personalization possible. It also explains how Recombee applies these principles to offer intelligent personalization without disregarding user trust.

Understanding the Difference Between First-Party and Third-Party Data

At the center of the privacy discussion is the question of who collects the data and how.

Third-party data refers to information gathered by organizations that do not have a direct relationship with the user. A typical example would be advertising platforms that track user activity across multiple websites. For instance, after visiting a product page on one site, you might start seeing ads for that product on completely unrelated websites, often without knowing you were being tracked in the first place. This kind of tracking, usually powered by third-party cookies, raises privacy concerns because it happens behind the scenes and often without clear user consent. As a result, this category of data is becoming increasingly difficult to use, partly due to evolving browser standards and partly because of compliance requirements under laws such as the GDPR and CCPA.

In contrast, first-party data is collected directly by the website or application a user is interacting with. This includes observed behavior such as clicks, searches, viewed content, or completed transactions. When collected transparently and with user consent, this data is typically more reliable and actionable.

Defining What Constitutes “Safe” Data

Effective personalization doesn’t always require knowing exactly who someone is. Instead, it can rely on recognizing patterns in how users interact with content, typically without attaching those patterns to real-world identities.

Modern systems can operate effectively using the following types of data:

• Interaction data, such as clicks or views
• Purchase history or conversion events
• Time spent on various types of content
• Contextual metadata, for example, device type or content category
• User-defined preferences, such as favorite genres

When this data is collected with consent, processed in a privacy-conscious way, and linked using pseudonymous or session-based identifiers rather than personally identifiable information, it can still enable meaningful personalization while reducing privacy risks. The goal isn't to avoid identification altogether, but to avoid unnecessary exposure of real identities.

How Event-Based Personalization Functions

Recombee and similar platforms rely on explicitly defined events provided by the customer’s system, rather than passive tracking or background data collection.

This means data is only processed when a user interacts with something, like playing a video, scrolling through content, or adding an item to their cart, and the event is sent to Recombee by the application itself. These actions are observable user behaviors, not silently collected signals.

Over time, these events contribute to a behavioral profile based on intent and engagement. Crucially, this profile does not require knowing the user’s identity; it reflects what they do, not who they are. This approach keeps personalization focused on relevance, while respecting privacy boundaries and clearly aligning with GDPR definitions of a data processor.

Evaluating the Relationship Between Privacy and Performance

There is a common assumption that removing passive tracking reduces the effectiveness of personalization. In practice, the opposite can be true.

When systems rely on recent, high-quality behavioral data rather than large but imprecise third-party profiles, the result is often more accurate. Additionally, when users believe that their data is being handled responsibly, they are more inclined to engage and to share preferences willingly.

In this sense, privacy is not a limitation. It can become an operational advantage.

How Transparency Contributes to Trust

Responsible data practices affect more than just compliance outcomes. They shape how users perceive and engage with digital services.

This includes:

• Clearly communicating what data is collected and why
• Providing options to adjust personalization preferences
• Respecting user rights, such as the right to access or delete their data

These measures contribute to user confidence. When individuals feel informed and in control of their data, they’re more likely to trust and continue using the service over time.

Privacy by Design: Recombee’s Approach

Recombee’s platform is built with privacy-respecting personalization as a foundational principle.

• It does not utilize third-party cookies or background trackers
• It works with clearly defined, user-initiated events, such as clicks, purchases, or explicitly given preferences
• It processes data in real time to reflect immediate user behavior
• It supports both short-term session data and longer-term user profiles, without tracking users across unrelated websites or applications

This design enables personalization that’s both effective and aligned with modern privacy standards.