I want to start this rant by letting you know I consider myself a person of strong moral fiber. I respect you and your wishes.

However, I have some concerns with the draft legislation about online privacy. Don’t get me wrong, I’m all for online privacy. But I look at it like the ‘no-call’ list. Tell me you don’t want it and I’m fine with that. I’ll leave you alone. The new bill has a target in site that takes the idea of the ‘no-call’ list a little further than necessary. I’m speaking in particular of a common digital marketing practice known as behavioral targeting.

What is behavioral targeting? Simply put, it is when a publisher or company places a cookie on your computer when you visit Site A. As you continue to browse the web, your viewing habits are loosely tracked, even though you are no longer on Site A. The cookie from Site A contains a loose profile about you and your online preferences, like what type of sites you visit and content you prefer. When ad placement opportunities on one of the sites you visit matches your ‘profile’ relevant ads are displayed rather than the annoying Refinance Your Home Dancing Aliens.

Used properly, I see behavioral targeting as beneficial to a consumer. You are getting advertising that a user like yourself finds valuable.

Behavioral targeting does not retain your SS#, Name, etc. If it did, I would have had my identity stolen a long time ago.

I know this technology sounds scary, and I’m sure there are people smart enough to use it for questionable purposes. But that would traditionally happen only on sites of a questionable nature in the first place.

In Ad Age you’ll find an article on this topic. You can find it here.

If really bored, you can download and read the legislation draft as well.

Let me give you my point of view why I’m against this legislation AND why businesses and their marketers should care.

Behavioral targeting allows us, as an advertising and marketing agency, to better spend our clients media budget by identifying a particular type of user. Like TV, by displaying online advertising to consumers who would have a greater propensity to purchase your products we are providing a better service to our clients by spending their money on ads where our heavy users reside. We use behavioral targeting extensively and see very positive results. The conversion rate traditionally netted out about 35-40% higher than non-behaviorally targeted online ads. 35-40% better results is a pretty compelling reason.

Anyway, enough of the soapbox. I’m not asking you to write your congressman, although it couldn’t hurt… Just know this technology is out there – at least for a while longer. And is threatened.

Have a great week!

Jim Murphy
Director of Interactive Services, Hoffman | Lewis St. Louis