What is your privacy worth?
This week: Amazon is offering users $10 to track all of their shopping activity across the web in an unprecedented move. Publishers are creating new targeting tools that don’t require cookies, showing just how fast the ad industry is changing - and other stories.
The Future of Advertising is Curation, Not Bots Calling The Shots
Ad fraud is reaching historic highs across the advertising landscape. Todd Garland argues that until bots can pass the Turing Test, humans will always be the best tool at combating ad fraud and assisting publishers against scammers.
Consumer awareness of privacy exploitation online and shifts to address it have been prevalent issues for the ad industry for some time now. While there’s growing options for consumers to manage what information is taken from them, businesses in the same online ecosystem are entirely dependant on tech giants like Google, and the ability to move away from these companies isn’t nearly as easy for them.
The Washington Post has created a first-party ad targeting tool that offers contextual targeting and user-intent predictions for marketers. This marks an interesting move for the publisher, reflecting the need to move away from third-party cookie tracking. The tool will still provide sophisticated targeting means while being compliant with stricter data-privacy regulations.
According to ad fraud prevention specialist TrafficGuard, North America’s average ad spend per user is 455% above the global average. A recent profile by TrafficGuard and Juniper Research estimates that within the next five years, advertisers will be losing $100 million a day due to ad fraud. This will represent a 125% increase since 2018. The report also states 1 in 5 ad transactions will be derived from fraud in 2023.
The rise in omnichannel attribution has created a gap in the measurement of TV advertising in a similar way to how last-click attribution doesn’t properly account for the many interactions customers may have with a brand’s advertising before they make a purchase. This is a result of agencies often using the baseline-plus-lift model of measuring TV’s effectiveness - meaning any unexplained traffic above a baseline value of other existing efforts is attributed to TV, instead of taking into account other advertising that may be happening simultaneously, such as radio.
Influencer marketing is a particularly murky area of advertising, still in its early years and facing increased scrutiny over how it is executed. Despite this, marketing measurement company Instascreener has reported an 83% year over year growth in influencer marketing spending in the U.S. and Canada.
How much is your privacy worth? Amazon is offering users a $10 voucher in exchange for the ability to track their shopping activity across the web. The offer, which was put out as part of Prime Day, would require users to install a browser extension and as one critic puts it, “...gives Amazon a holistic view of your web activity that’s frankly, unprecedented by any eCommerce retailer.”