Home Data-Driven Thinking Surveillance Advertising: How Did The Advertising Industry Allow This Label?

Surveillance Advertising: How Did The Advertising Industry Allow This Label?

SHARE:
Gary Kibel

Data-Driven Thinking” is written by members of the media community and contains fresh ideas on the digital revolution in media.

Today’s column is written by Gary Kibel, a partner in the privacy/data security and advertising/marketing practice groups at Davis+Gilbert.

When brands need to better position their products and services, they turn to the advertising industry. When a business feels the public is either misconstruing or being misled about its practices, it turns to the advertising industry.

Professionals in the advertising industry are the experts in developing memorable taglines, jingles, phrases and encouraging consumer actions.

So how did the advertising industry allow the term “surveillance advertising” to gain a foothold, not just with aggressive privacy advocates but with lawmakers and regulators? The results could be significant if seemingly innocuous, data-driven marketing practices are legislated out of existence.

To be clear, there absolutely are certain data practices that are creepy, go beyond mere ad targeting and should be subject to regulation. However, the entire data-driven marketing industry is now being saddled with this new phrase. Who wouldn’t be scared by something called surveillance advertising?

A privacy advocacy group recently petitioned the Federal Trade Commission to engage in rulemaking to control what it referred to as surveillance advertising. But rather than acknowledging this phrase is overly broad and somewhat misleading, the FTC has readily repeated and even embraced it.

In Congress, a bill was recently floated called the “Banning Surveillance Advertising Act of 2022.” The proposed law would ban certain advertising merely because it’s targeted based on personal information and would provide consumers (i.e., class action lawyers) with a private right of action to bring lawsuits.

This type of method – tagging a seemingly ordinary practice with a phrase that evokes a strong negative connotation – is often used in politics and is very often successful.  

Politicians, for example, seek to associate derisive nicknames with the opposition: Tricky Dicky, Crooked Hillary, Lying Ted, etc. Perhaps one of the most effective political misnomers has been labeling estate taxes as death taxes. Who wouldn’t be outraged by a death tax! While, in reality, less than 1% of estates in the US are subject to estate taxes, the concept of a death tax evokes a strong response from many and has driven legislation despite the limited impact it has on the lives of most Americans.

In other words, the growing association between “data-driven” and “surveillance” is a problem.

The marketing industry is all about influencing people. It’s time for the industry to step up and take a number of steps. First, the industry should clearly differentiate between reasonable advertising practices and objectionable tactics and clearly explain the economic benefits of data-driven marketing. Stakeholders should also work closely with regulators and lawmakers to talk them off the ledge so they support reasonable privacy laws.

It’s possible for consumers to have more control over their personal information without outlawing effective and reasonable marketing practices. What’s unacceptable is for the advertising industry to be outwitted by a better marketing campaign.

Follow Gary Kibel (@GaryKibel), Davis+Gilbert LLP (@dglaw) and AdExchanger (@adexchanger) on Twitter.

Must Read

Viant Had A Good Q4, But Still Needs To Punch Up At Bigger Platforms

Viant reported its Q4 and full-year 2025 earnings on Wednesday evening and investors appeared pleased.

Puzzle pieces connected together. Two puzzle pieces with cables coming together on yellow background. Problem solving concept, business solutions and ideas. Vector illustration.

The Boring Infrastructure That Could Make Agentic AI Happen For Ad Tech

AI agents are moving fast, but MadConnect says ad tech’s slow, messy plumbing still needs an overhaul before agentic marketing can really work.

Understanding MCP, The ‘Universal Adapter’ For AI In Advertising

Your TL;DR on MCP, the open standard that lets AI models connect to tools, remember context and run workflows across platforms.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

YouTube Americas Leader Tara Walpert Levy Says Measurement Proves Creators Do TV Ads Best

“We are focused on being where the world watches video,” said Tara Walpert Levy, YouTube’s VP, Americas at the Convergent TV conference in NYC on Thursday. “And to us that now is TV.”

Paramount Skydance Is Trying To Buy WBD. Now What?

Late last week, Netflix walked away from plans to acquire Warner Bros., clearing the way for Paramount Skydance to scoop up the whole company with its hostile takeover bid.

Sallie Has An Ad Business And Meta Is Declining Credit Cards

Sallie, the major issuer of US education loans, is getting into the retail media network business.