Home Online Advertising Industry Shrugs As Google Announces Plans To Restrict Contextual Data

Industry Shrugs As Google Announces Plans To Restrict Contextual Data

SHARE:

Beginning in February, Google will no longer include contextual content categories – content identifiers such as “sports,” “news” or “weather” – in bid requests to ad buyers, the company said Thursday.

Google cited privacy concerns as the reason for the change, since contextual categories exposed in a bid request can be appended to individual profiles, even if the data on its own doesn’t represent a user-level privacy threat.

“While we already prohibit advertisers from using our services to build user profiles around sensitive categories, this change will help avoid the risk that any participant in our auctions is able to associate individual ad identifiers with Google’s contextual content categories,” wrote Chetna Bindra, Google’s senior product manager for user trust and privacy, in a blog post.

The change, however, doesn’t mean much to digital buyers and ad tech companies.

Google doesn’t incorporate third-party contextual ad vendors like Oracle Data Cloud’s Grapeshot or Peer39. Therefore its contextual data isn’t critical to the ecosystem. The announcement is a far cry from larger privacy-centric changes, such as Google’s decision to restrict the use of its ad ID outside of its Ads Data Hub cloud environment.

“Most DSPs do offer the ability to target content categories, so you can assume that the content categories a SSP sends through do serve a function there,” said GumGum’s SVP of global commercial development, Adam Schenkel. But he said if contextual data is being used, it typically comes from a third-party provider in the DSP, and not from Google or the media supplier.

Google also only includes broad category terms, which aren’t particularly useful for contextual data solutions, according to one exec at a contextual advertising company that is also a Google partner. Signifiers like “sports” or “beauty” are too vague to be worthwhile for companies trying to drill into contextual data taxonomies, this person said.

Third-party DSPs don’t pay much heed to supply-side context data anyway, said Chris Kane, founder and CEO of the programmatic consultancy Jounce Media. For one thing, publishers and exchanges could pass along whatever data they think makes the bid request more appealing.

Kane said the typical solution is for advertisers to use Peer39, Grapeshot or another contextual data provider to grab the page URL or app bundle ID, and look up that content on a classification table.

Beeswax co-founder and CEO Ari Paparo said the data is useful to an extent.

“The problem is that most exchanges don’t give this data, so it’s hard to rely on just one exchange’s data,” he said. “Instead most customers use Grapeshot or Peer39.”

Must Read

For Cuisinart, AI-Generated Ads Are As Handy As A Kitchen Blender

Cuisinart’s marketing team has been eager to take advantage of generative AI-based creative.

Paramount Skydance Insists The WBD Merger Will Be Good For The Media And Ad Industry

During Paramount Skydance’s Q2 earnings call, CEO David Ellison limited his remarks to a two-minute monologue about the company’s confidence in the intended merger. 

AI Agents Are Giving Publishers A New Way To Monetize Their Data

Here’s how PubMatic and Optable are using AI to help publishers turn first-party data into new ad deals and reach more buyers.

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

Sweetgreen Tapped Atmosphere TV To Introduce World Cup Viewers To Its Wraps

Sweetgreen turned the World Cup into a marketing moment for its new wraps, running video ads in public viewing spaces through Atmosphere TV.

Amazon Crushes Earnings And Reaches Almost $20 Billion In Q2 Ad Revenue

Amazon’s advertising businesses earned a total $19.8 billion in Q2, the company reported in its quarterly earnings on Thursday. That’s up from $15.7 billion in Q2 2025, and good for a 26% year over year growth rate.

Los Angeles, California - 26 February 2023: Reddit social media platform displayed on smart device

Reddit Had A Great Q2, But Investors Have AI Search Jitters

Guess there’s no pleasing investors. Despite Reddit delivering an objectively solid Q2, its stock cratered, in part because of search-related headwinds and low referral traffic.