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

AdExchanger's Big Story podcast with journalistic insights on advertising, marketing and ad tech

Google Had Its Day In Court. Now, It’s Amazon’s Turn

Google won’t have to break up its ads business after being declared an online monopolist. Meanwhile, Amazon faces a lawsuit from the FTC alleging that it charged advertisers more than necessary for ecommerce ads.

The FTC’s Amazon Lawsuit Is Ad Tech’s History Of Opacity Repeating Itself

Buy-side experts said it’s another example of a Big Tech platform taking advantage of the lack of transparency built into programmatic ad auctions. And they’re not optimistic change is coming.

How The Fin Tech Clearco Finances Ecommerce Startups (Without Losing Its Shirt)

This week, the Commerce Media Newsletter catches up with a startup from outside the world of data-driven advertising, but with an interesting position when it comes to ecommerce advertising. That’s Clearco, a Canadian fin tech company founded in 2015.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters
LOS ANGELES, CALIFORNIA - APRIL 26: Halo Collar CMO Seth Solomons attends a Celebration to Shine a Light On Dog Safety With Halo Collar on April 26, 2022 in Los Angeles, California. (Photo by Stefanie Keenan/Getty Images for Halo Collar)

How Halo Collar Uses Data And Incrementality To Raise Both Awareness And Sales

Halo Collar, a dog collar brand with direct-to-consumer origins, is preparing for its retail expansion by honing its first-party data strategy and incrementality measurement.

tech family cartoon technology family

CartographAI Launched To Help Advertisers Pick The Right Tech Vendors. Now, It’s Helping Vendors Market Themselves, Too

The company is launching an accelerator program to help tech vendors pitch their solutions in a way that makes sense to advertisers.

Comic: Weather Bar

Neuroscience And AI Are Transforming The Weather Company’s Measurement Stack

TWC is building a monetization model that treats weather as both a contextual and an emotional signal, and it’s using AI sales agents to bring it to market.