As more firms tap into the targeting power of online data, how can you ensure you’re not in breach of copyright and privacy laws? Andrea Bardakos-Riley of AudienceScience highlights five key ares to ensure you get the most out of online data without treading on anyone’s toes.
As online advertising grows in popularity advertisers, publishers and media buying agencies are recognising that audience targeting is the most critical factor in any campaign. Previously it was accepted that offline marketers were spoilt for choice when it came to targeting, however recent technological advancements have paved the way for sophisticated data-led targeting, driven by a wealth of online data from a myriad of sources.
Online display advertising has seen a dramatic evolution as a result. There are new ways to understand and reach different audience segments and there is a clear move in the market to start participating in the data business, whether it is buying, optimising or selling data. However, with that comes new challenges and a growing need for the industry to understand the key issues surrounding online data.
Although global markets differ in terms of regulations and standards our experience in countries across the world highlight there are a number of universal areas that should be addressed when either buying or selling data.
Data ownership, rights of usage, compliance and data security are not familiar territory for many digital experts yet these and more wide-reaching issues like consumer education are set to ‘ignite or dilute’ the long-term future of online advertising.
1. Data Rights and Ownership
Fundamentally both buyers and sellers of online data need to be sure that they have the right to use the information commercially. As a data seller, it’s worth double checking that you have the right to sell and package the data for third party usage, both from a contractual and legal perspective. Meanwhile advertisers and data buyers need to know where the data originates from. In an industry where data gets sold and repackaged again and again that’s not always easy but it’s vital to know who you are buying from to protect your organisation from falling the wrong side of the current compliance laws.
2. Industry Participation and Compliance
There are many recognised organisations setting the standards for data usage and online behavioural targeting such as the IAB which operates across borders in the UK, US and mainland Europe. Active involvement with these organisations as a data buyer or seller provides commercial credibility and helps set you apart from competitors. Their forms and committees bring together industry people, shape ideas for the future and pave the way for the industry’s future success
In addition there are a number of industry privacy seals which are a validation of excellence in data quality. For example, the EuroPriSe European Privacy Seal for IT products and IT-based services that certifies companies as compliant with European regulations on privacy and data security, the TRUSTe Web Privacy Seal which certifies more than 3,500 websites and the EU Safe Harbor Seal which validates that US operators transferring data to the US comply with European requirements by abiding by a set of key principles.
3. Data Usage
What you do with data and how you do it is also a key issue particularly when it comes to online behavioural targeting. It is unlawful to use personally identifiable information (PII) or sensitive information for digital marketing. In the UK that includes information about health, culture and religion yet the definitions differ from country to country. For example, while the UK would view IP address as non-PII information, as it cannot be used to uniquely identify, contact, or locate a single person, in Germany it is classed as PII.
4. Consumer Education
The new enhanced notice which is likely to be adopted from May this year represents a key step in the industry’s move towards greater transparency and openness. It means that if a company is collecting data for online behavioural advertising purposes it will need to carry the enhanced notice icon link giving consumers information why this is happening and the ability to opt-out of being tracked. It’s a positive move but advertisers and publishers will of course be looking to minimise opt-out rates and active engagement with consumers about the benefits that behavioural targeting offers them is the subsequent challenge.
Typically we’ve seen it as the remit of industry trade bodies but it’s brands that own a direct dialogue with their customers and as such it is everybody’s responsibility to take part. As an industry we’ve been particularly bad at talking to consumers about compliance in a straightforward way and we need to be watchful for confusing and techie industry-speak when we do so.
5. Choose the right partners
With a wealth of innovative targeting solutions in the marketplace, it’s easy to be lured by the promise of ‘ready to buy’ audiences, increased campaign performance and efficiencies. However always take a look behind the scenes at reputation and experience before you choose a new data provider or platform provider. Track record proven technologies and commitment to best practices are vital ‘must haves’ in this fast-moving marketplace and make sure you’ve cut through the science and jargon of every new innovation before you buy.
The digital world moves quickly and online display advertising is at the forefront of significant change. That’s why it’s so important for publishers and advertisers to pin-down the fundamental requirements of the law and best practice. Get the basics of data right now and the future can unfold as quickly as technology will allow us. Ignore them and we risk creating legislative and public protests that might just stop us in our tracks.
By Andrea Bardakos-Riley
Director, Strategic Data Solutions
AudienceScience
www.AudienceScience.com