Home Data Privacy Roundup Ad Tech Is ‘Easy Pickings’ For Data Privacy Regulators

Ad Tech Is ‘Easy Pickings’ For Data Privacy Regulators

SHARE:
Comic: Thin Ice

Jamie Barnard, the CEO of a privacy compliance software startup called Compliant, recently told me in passing, “I don’t know that there’s such a thing as pure compliance in media.”

Interesting statement coming from the head of a company literally named “Compliant.”

But it’s true. The Minotaur’s labyrinth has got nothing on the ad tech ecosystem.

Even companies that make good-faith efforts to comply with data protection laws can unwittingly end up with front-row seats to the privacy theater.

For example, according to Compliant’s research, 88% of the consent management platforms in Europe haven’t been properly deployed and still allow websites to collect personal information before visitors have a chance to opt in (or not).

“Even when people think they’re compliant,” Barnard told me, “the reality of what’s happening behind the veil often tells a completely different story.”

The long view

And Barnard has spent a lot of time peeking behind the veil.

Before joining Compliant last year, he was at Unilever for nearly 16 years, most recently as the brand’s general counsel for global marketing, media and ecommerce.

Roughly 10 years ago, when viewability was one of the ad industry’s top concerns (what an innocent time), Unilever, together with GroupM, threw down the gauntlet and demanded ads be 100% in-view before they’re counted as viewable. The Media Rating Council had set its bar at 50% of the ad unit pixels in view.

“We said, ‘We’re not going to pay for impressions that no one’s seeing,” Barnard said. “Why would you pay for media that no one gets to see, right?”

In a way, viewability is not unlike data privacy. Both require transparency and trust.

A storm is coming.Advertisers deserve viewable ads and transparency into inventory quality, just like publishers deserve to be able to trust their partners, and consumers – people – deserve to have their choices respected.

‘Easy pickings’

But the similarity ends there.

Viewability is essentially a budget metric, whereas data compliance is on another level altogether.

“We’re talking about genuine liability – corporate liability,” Barnard said. And advertising businesses have a target on their backs, “because regulators are in business, too – the business of enforcing privacy, and it’s easy pickings.”

Easy pickings because … “just look at the state of the media supply chain,” Barnard said. “I don’t think most companies could withstand an audit of their data flows.”

And industry compliance tools, like IAB Europe’s Transparency and Consent Framework (TCF), leave much to be desired.

To be fair, the TCF is attempting a difficult, complex maneuver, Barnard said.

“But there’s no way that people fully appreciate what they’re agreeing to when they opt in to the TCF,” he said. “And if anything is certain, it’s that we’re moving to a future where consent – meaningful consent – will be the only way to justify data processing, at least in Europe.”

Please meet my spirit animal. Also, let me know what you think of this newsletter. Drop me a line at allison@adexchanger.com.

Must Read

How AI Can Enhance Content Without Generating It

As much as consumers complain about AI-generated content, advertising experts say AI still has an important place in video creation and production, including for ads. But using AI in content without turning off consumers is a tricky dance.

How Tovala Banks On Subscriptions And Incrementality – But Not Ads – To Profit From Its Oven

Smart TVs, refrigerators and other home appliances may pester you with marketing, but at least the hardware is cheap. Another startup taking a different approach to the same theory is Tovala, which was founded in 2015 and combines a standalone countertop oven with a weekly meal kit subscription.

Shopify Wades Deeper Into Advertising, But Not Ad Tech

Shopify is slowly but surely making its way into the ads business. But the ecommerce leader maintains its laissez-faire approach to ad monetization.

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

Advertisers Say They Need More Data From Netflix

Netflix touts sharper targeting, but buyers say its black-box approach – especially the lack of usable IP data – is blunting measurement and quietly pushing performance-driven spend elsewhere.

Walmart Buys Vibe.co To Woo SMBs To Streaming

Walmart will buy Vibe.co, a self-serve video ad platform, in hopes of attracting more small and medium-sized advertisers to connected TV.

OpenAI's debut in Cannes

At Its First-Ever Cannes, OpenAI Says ‘We Are Clearly In The Advertising Business Now’

Bonjour, ChatGPT ads. OpenAI’s inaugural Cannes Lions appearance doubled as a coming‑out party for its baby ad business.