I think you're coming from this already feeling that privacy is very important. The people you're trying to explain it to probably don't really care.
With that in mind, here's how I'd see you explain in that way to a lay person who doesn't get why it's important:
> I wrote a program called uWho(https://github.com/jwcrawley/uWho) for our hacker
You're a hacker?
> With a permissive license (OpenCV) attached to a GPL3 (Qt)
I have absolutely no idea what you're talking about already.
> My version was nice, in that it saved a one-way hash of the person's face. It is a 2 liner to save the full face instead of the nice method I did.
If I was following, the only thing so far is that you were taking pictures of people and recognised faces and it was really useful, and you're trying to convince me that we should be worried about others taking pictures of us and recognising faces?
> Now, tell me this: what would happen if a company downloaded every face in a user's profile, checked the names of tagged faces, and ran all of them through a face recognizer like what I already made?
What would happen? The company can recognise who people are, like facebook can and I already allow and don't care about / like?