The Implications of Do-Not-Track

Every week it seems a new wrinkle in the privacy debate makes the news wire. Late last week, the Federal Trade Commission announced preliminary plans for the creation of a Do-Not-Track list. The goal of Do-Not-Track would be to levy stricter regulations on behavioral online ad targeting. Is that a collective gasp I hear along digital advertising channels? Grab a paper bag and take some deep breaths. Upon further examination, there’s not much cause for alarm.

Online advertisers are not telemarketers. They are not hamstrung by the telephone. And their processes for the consumer, notably opt-in and opt-out functionalities, are already user-friendly making Do-Not-Track more of a political tool than an advertising detriment. Do-Not-Track will not reduce the number of ads consumers see. It would prevent ads from being targeted to sites a user has visited. But if a user likes receiving targeted ads, he or she simply wouldn’t subscribe to the list.

Given the attention privacy issues have received this year, it is understandable and somewhat commendable that the government wants to act. But by drafting up weightless and needless legislation, continuing to focus on platforms like Do-Not-Track does not make sense.

Privacy Moves Beyond Facebook

It has finally happened – privacy now transcends Facebook. Potential congressional legislation spearheaded by Virginia Democrat, Representative Rick Boucher, would require ad networks to obtain user consent to track their third party activity by way of an opt-in option.  Ad agencies are understandably miffed by Boucher’s proposal fearing it will stifle their ability to market brands and services in what has always been a free-flowing Internet.

The Interactive Advertising Bureau (IAB) is also up in arms over the proposed legislation, especially the section that calls for consumer consent when agencies collect information via cookies, IP addresses or unique user names. On the flipside, consumer groups fear the legislation does not go far enough instituting protections. In this curious game of privacy 'He said, she said', one must ask why this is a relevant political hot potato.

Rick Boucher uses Twitter. He is on Facebook. How can someone clearly trying to benefit from social media, so-called privacy infringing social media, be so hell bent on passing this type of bill? Welcome to campaign season. Representative Boucher is facing a serious challenge to his seat. Positioning himself as a champion of the people could serve him well in his campaign. Considering Facebook came out of its privacy battle relatively unscathed, Boucher's fight could help him without adversely impacting the digital landscape.

Interactive should take a collective deep breath. In a world where people routinely divulge their location via mass tweet or subscribe to mobile applications trading personal info for a great deal on designer shoes, Boucher's bill - pass or no pass - will go a long way toward eventually killing itself.

Privacy’s Impact on Display

Online advertising has taken a direct hit to the solar plexus with the current privacy debate sweeping digital marketing. Facebook is the obvious place to lay blame but the reasoning behind the decline in online behavioral advertising goes beyond whether or not you “Like” Mark Zuckerberg. The Ponemon Institute, a privacy research group, finds that marketers are 75% less likely to track a web user’s browsing habits for campaign targeting. Privacy and transparency have display advertisers running scared. This trend needs to change. It’s time to get proactive.
It’s not good enough to wish the privacy hysteria away. While it’s true that mass panics tend to quell over time, especially those involving Facebook, a passive approach shouldn’t be the first option. It’s like waiting for the three run homer in baseball. Sometimes you get one but it still means you had to get a few runners on base to make things happen. How should display advertisers go about their rally?
Don’t shy away from transparency, embrace it. Mapping out precise, explicit data detailing buyer intent ensures accuracy and establishes client trust. And though privacy advocates will continue making waves, technologically advanced user-metrics designed to target the right audience will alleviate any fears the general public may have. After all, they will be shown ads that interest them, which should ease the notion of privacy invasion.
The onus is on display advertisers to make clients and consumers understand the benefits of online behavioral tracking. There’s revenue to be made and customers to generate.