What Are Functional Cookies? – An Ultimate Guide for 2025

Are you curious about how functional cookies affect your website?

Cookies are the backbone of modern web functionality. Among the different types of cookies, functional cookies stand out for ensuring that websites operate smoothly and deliver an optimized user experience. 

However, as privacy laws such as GDPR and CCPA evolve, understanding and managing functional cookies has become more important than ever.

They guarantee a smoother and more tailored experience every time by preserving user choices, including language settings, login credentials, and even unique website layouts.

However, using functional cookies raises significant privacy and data management issues in addition to convenience. 

In this guide, we will explore functional cookies comprehensively and provide actionable tips for managing them in compliance with global privacy regulations.

What Are Cookies? 

Cookies are small text files that websites store on a user’s device. They are designed to help websites remember information about a user, such as login credentials, preferences, or activity, to enhance the browsing experience.

Cookies serve various purposes, and their functionality can be categorized into several types:

• Essential Cookies: These are necessary for the basic operation of a website, such as enabling secure logins or processing transactions.
• Performance Cookies: These cookies collect data to help website owners understand how users interact with their site, and they are often used for analytics.
• Advertising Cookies: Used for targeted marketing and tracking user preferences across sites.
• Functional Cookies: These cookies improve user experience by remembering preferences like language settings or theme selections, ensuring the website is more personalized.

By categorizing cookies based on their purposes, website owners can better understand their functionalities and ensure compliance with global privacy regulations.

What Are Functional Cookies?

Functional cookies enable websites to remember user preferences, choices, and settings, improving the user experience. 

Unlike essential cookies, which are necessary for a website’s core operations, functional cookies focus on making interactions with the website smoother and more personalized.

Functional Cookies vs. Other Cookie Types

Here’s a detailed table comparing functional cookies with other types of cookies:

Cookie Type	Purpose	Examples	Requires Consent?
Essential Cookies	Necessary for basic website functionality, such as security and navigation.	Session management, secure login, and checkout processes.	No, as they are critical for website operation.
Performance Cookies	Collect data on user interactions to optimize website performance.	Page load time analytics, click tracking, and heatmaps.	Yes, under GDPR and similar regulations.
Advertising Cookies	Track user behavior to deliver targeted ads and measure ad effectiveness.	Retargeting ads user segmentation for campaigns.	Yes, it always requires user consent.
Functional Cookies	Enhance usability by remembering user preferences and settings.	Language preferences, shopping cart items, and user-selected themes or layouts.	Yes, unless the user explicitly requests the functionality.

This table clarifies how functional cookies differ from others, emphasizing their role in usability and personalization rather than essential operations or analytics.

Advantages of Functional Cookies

Functional cookies provide numerous benefits that enhance user experience and improve website functionality. Here are the key advantages:

1. Enhanced Personalization: Functional cookies allow websites to remember user-specific preferences such as language settings, currency choices, or preferred layouts. This creates a more tailored and engaging user experience, ensuring users feel connected to the website.
2. Improved Usability: These cookies streamline interactions by enabling features like saving login credentials, maintaining shopping cart items, or preserving form inputs. Users can navigate websites more efficiently without having to repeat actions.
3. Better Accessibility: Functional cookies support accessibility features like adjusting font sizes, enabling high-contrast modes, or selecting alternative navigation methods. These enhancements make websites more inclusive for users with different needs.
4. Efficient Multilingual Support: For websites catering to a global audience, functional cookies help retain users’ language preferences, eliminating the need to select the language every time they visit.
5. Reduction in Repetitive Tasks: By storing user-specific details, functional cookies minimize the need for users to input data such as login information or location preferences repeatedly. This improves overall satisfaction and saves time.
6. Increased Engagement: Functional cookies encourage user engagement by facilitating dynamic content recommendations, personalized greetings, and other interactive elements tailored to individual users.
7. Support for Advanced Features: Functional cookies enable advanced website functionalities like wishlist saving, content filtering, and user-specific dashboards. These features add significant value to e-commerce platforms, educational portals, and personalized services.
8. Improved Conversion Rates: By providing a seamless and enjoyable browsing experience, functional cookies can positively influence user behavior, leading to higher conversions, repeat visits, and customer loyalty.

Functional cookies bridge the gap between basic usability and a superior digital experience. They are vital for businesses aiming to retain users, boost engagement, and stand out in a competitive online space.

How Do Functional Cookies Work? 

Functional cookies store small data on a user’s device that the website can retrieve during interactions. Their purpose is to make the website more intuitive, personalized, and efficient for the user. 

User actions or preferences typically trigger these cookies and do not track users for advertising purposes.

Here is a detailed explanation of how functional cookies work:

1. Storing User Preferences

Functional cookies save user-specific choices like language selection, theme preferences, or currency settings. When a user revisits the website, these preferences are retrieved to provide a consistent experience.

Example:

A user visiting an e-commerce website selects “English” as the preferred language and “USD” as the currency. The functional cookie remembers this choice, so the user doesn’t have to make the selection on subsequent visits.

2. Enhancing Usability

These cookies streamline user interactions by enabling functionalities like remembering login credentials, maintaining shopping cart contents, or preserving form inputs.

Example:

If a user adds products to their cart and leaves the site without completing the purchase, functional cookies keep the cart intact when returning, avoiding needing to start over.

3. Supporting Accessibility Features

Functional cookies are crucial for accessibility settings. They store preferences like larger font sizes, high-contrast mode, or voice assistance, catering to specific user needs.

Example:

A visually impaired user adjusts the contrast and font size on a website. The functional cookie ensures that these settings remain active for future visits.

4. Enabling Advanced Features

Many websites use functional cookies to deliver advanced features that enhance the overall experience, such as:

• Saving wish lists or favorite items.
• Remembering user-specific filters (e.g., price range or product categories).
• Displaying personalized dashboards with previously accessed content.

Example:

On a learning platform, functional cookies store the progress of courses a user is taking, allowing them to resume from where they left off.

5. Linking User Actions to Features

Functional cookies ensure that certain website functionalities are tied to specific user actions. These cookies do not collect personal data beyond necessary to support the requested features.

Example:

A user opts for dark mode while browsing. The functional cookie stores this preference, ensuring the theme remains consistent during future sessions.

6. Non-Personalized Data Storage

Unlike advertising cookies, functional cookies typically do not track user behavior across websites. Instead, they focus on improving the website’s functionality for the specific user.

Example:

A content website lets users select their preferred news categories and uses functional cookies to display relevant sections when logging in.

7. Temporary vs. Persistent Cookies

Functional cookies can be either:

• Temporary (Session-Based): Deleted once the user closes the browser.
• Persistent: Stored on the user’s device for longer, ensuring preferences are remembered over time.

Example:

A session-based cookie might keep track of a user’s actions within a shopping session, while a persistent cookie might remember the user’s login details for weeks.

Technical Functionality

Functional cookies are managed using browser-based storage mechanisms. The website’s server generates the cookie and sends it to the user’s device, which is stored and retrieved during interactions.

• Setting a Cookie: When a user selects a preference, the website sets a cookie containing the relevant information.
• Retrieving a Cookie: During subsequent visits, the browser sends the cookie back to the server, which uses it to adapt the user’s experience.

Functional cookies often rely on JavaScript or server-side scripting to enable these interactions efficiently.

Functional cookies are an indispensable part of the modern web, ensuring websites cater to individual preferences while maintaining seamless functionality. 

However, their use must align with global privacy regulations, often requiring informed user consent. This balance ensures both user satisfaction and compliance.

Global Laws That Affect Functional Cookies

Functional cookies are vital in enhancing user experience, but their usage is subject to stringent global privacy laws. These regulations aim to protect user data, ensure transparency, and provide users with control over how their information is collected and stored.

Here’s an in-depth look at the major laws affecting the use of functional cookies:

1. General Data Protection Regulation (GDPR) – European Union

The GDPR, enacted in the European Union (EU), is one of the most comprehensive privacy laws worldwide. It governs the use of cookies, including functional cookies, to ensure user data is handled transparently and securely.

Key Provisions Related to Functional Cookies:

• Consent Requirement: Under GDPR, functional cookies are categorized as non-essential, requiring explicit user consent before activation. Essential cookies, critical for website functionality, are exempt from this requirement.
• Transparency Obligations: Website owners must disclose details about functional cookies in their cookie policies, including:

1. What the cookies do.
2. The type of data they store.
3. How long do they remain active?

• Withdrawal of Consent: Users must be able to withdraw their consent at any time.

Example: If a website uses functional cookies to save user preferences for dark mode or language settings, users must opt-in before the cookie is activated.

2. California Consumer Privacy Act (CCPA) – United States

The CCPA is a robust privacy regulation that grants California residents rights over their data. While its primary focus is on transparency and opt-out rights, it also impacts functional cookies if they process personal data.

Key Provisions Related to Functional Cookies:

• Right to Know: Websites must inform users about the use of cookies, including functional cookies, and the type of data they collect.
• Right to Opt-Out: If functional cookies collect personal data, users must be allowed to opt out of their use.
• Broad Definition of Personal Data: Any data linked to an individual, such as preferences stored by functional cookies, is considered personal under CCPA.

Example: A functional cookie that remembers a user’s preferred currency for an e-commerce site may be considered personal data if it ties that preference to the user’s IP address or other identifiers.

3. ePrivacy Directive (Cookie Law) – European Union

The ePrivacy Directive, often called the “Cookie Law,” supplements GDPR by focusing explicitly on electronic communications and cookies.

Key Provisions Related to Functional Cookies:

• Prior Consent: Functional cookies require prior informed consent unless they are strictly necessary for providing a service explicitly requested by the user.
• Alignment with GDPR: The directive complements GDPR by emphasizing cookie-specific requirements, such as:

1. Consent mechanisms for non-essential cookies.
2. Clear communication of cookie usage to users.

Example: A website offering a multi-language feature must obtain user consent before activating a cookie that saves language preferences.

4. Lei Geral de Proteção de Dados (LGPD) – Brazil

Brazil’s LGPD mirrors many aspects of GDPR but applies to Brazilian residents. It mandates transparency and user control over personal data collected through cookies.

Key Provisions Related to Functional Cookies:

• Consent Requirement: Functional cookies that collect personal data require user consent.
• User Rights: Brazilian users have the right to know how their data is used and request its deletion.
• Data Minimization Principle: Websites should only collect the minimum data necessary to fulfill a function.

Example: If a functional cookie saves a user’s product preferences on a Brazilian e-commerce site, it must comply with LGPD’s consent and transparency requirements.

5. Personal Information Protection and Electronic Documents Act (PIPEDA) – Canada

PIPEDA governs the collection, use, and disclosure of personal information in Canada. While it doesn’t explicitly mention cookies, its principles apply to functional cookies that process personal data.

Key Provisions Related to Functional Cookies:

• Implied Consent: Unlike GDPR, PIPEDA may allow implied consent for non-sensitive data collection, provided users are informed and can opt-out.
• Accountability: Organizations must have mechanisms to handle functional cookies in compliance with PIPEDA’s principles properly.

Example: If adequately disclosed, a functional cookie storing non-sensitive data, such as a user’s preferred layout on a Canadian news website, may operate under implied consent.

6. Data Protection Laws in Other Regions

• Australia (Privacy Act): Functional cookies that collect personal information must comply with the Australian Privacy Principles, emphasizing transparency and user control.
• India (Proposed Data Protection Bill): India’s evolving data privacy DPDP may impose stricter consent and data storage requirements, affecting functional cookies.
• South Africa (POPIA): The Protection of Personal Information Act requires websites to inform users about cookies and provide opt-in mechanisms.
• Challenges for Website Owners
• Diverse Global Regulations: With varying laws across regions, website owners must implement location-based consent mechanisms to remain compliant.

Global privacy laws are continually evolving, making it crucial for businesses to stay informed and proactive. By understanding and adhering to these regulations, website owners can ensure legal compliance while building user trust.

Do You Need Consent to Use Functional Cookies?

Functional cookies, while not essential for basic website functionality, often require user consent, depending on the jurisdiction. The key factor lies in whether these cookies process personal data or go beyond functionality requested explicitly by the user.

Consent Requirements by Region:

1. GDPR (European Union)

Consent is generally required for functional cookies unless they are strictly necessary to provide a service explicitly requested by the user (e.g., saving cart items in an online store during an active shopping session).

Websites must:

• Disclose the use of functional cookies in their cookie banners.
• Obtain explicit user consent before enabling these cookies.
• Provide detailed information in the privacy policy about how the cookies function.

2. CCPA (California)

Functional cookies are treated as a subset of “personal information” if they store user preferences or behaviors tied to identifiable individuals.

Consent is not explicitly required; however, users must be allowed to opt out of the sale or share their data.

3. ePrivacy Directive (EU)

Requires prior informed consent for functional cookies unless they are “strictly necessary” for a service actively requested by the user.

4. LGPD (Brazil)

Like GDPR, this regulation requires transparency and consent when functional cookies involve processing personal data.

5. Other Regions

Countries like Canada (under PIPEDA) and Australia may require transparency and, in some cases, implied or explicit consent for functional cookies.

Manage GDPR Functional Cookies With WP Cookie Consent 

Managing GDPR functional cookies efficiently and compliantly is crucial, especially with evolving privacy laws. The WP Cookie Consent plugin provides an intuitive solution for WordPress website administrators.

Key Features of WP Cookie Consent:

1. Customizable Cookie Banners:
   • Create user-friendly banners that clearly outline the use of functional cookies.
   • Tailor designs to align with your website’s branding for a seamless experience.
2. Granular Cookie Settings:
   • Allow users to enable or disable functional cookies independently of other cookie categories (e.g., performance or advertising cookies).
   • Simplify cookie categorization for better user understanding.
3. Multi-Language Support:
   • Automatically detect user location and display cookie consent banners in their preferred language.
   • Ideal for websites with a global audience.
4. Compliance Tracking:
   • Maintain detailed logs of user consents to demonstrate compliance during audits.
   • Generate reports summarizing cookie consent activity for administrative purposes.
5. Automatic Cookie Blocking:
   • Block functional cookies until user consent is received, ensuring compliance with laws like GDPR and ePrivacy Directive.
6. Integration with Other Tools:
   • Seamlessly integrate WP Cookie Consent with analytics platforms or third-party tools for comprehensive cookie management.

By leveraging WP Cookie Consent, you can balance enhancing user experience and ensuring legal compliance.

FAQ

Conclusion

Functional cookies are indispensable for creating personalized, user-friendly, and accessible websites. While they are pivotal in enhancing user experience, their usage must align with global privacy laws to ensure compliance.

By understanding the nuances of functional cookies, their advantages, and how to manage them effectively using tools like WP Cookie Consent, website owners can offer an optimized browsing experience without compromising on legal obligations. 

In 2025 and beyond, navigating the complexities of cookie compliance will remain a cornerstone of responsible digital practices.

 If you liked this article, you can also consider reading:

• What Is Privacy Management and Why Is It Important?
• Top CCPA Fines for Non-Compliance: Key Cases and How to Avoid Penalties
• What is the EU’s Digital Services Act (DSA)?