Google Opens its Network to 3rd Party Ad Servers, but Fails to Candidly Address the Privacy Issues

Google announced Tuesday that it [our emphasis] “is accepting third-party advertising tags on the Google content network in North America. This will empower advertisers to work with approved third parties to serve and track display ads, including rich media ads, across the Google content network through AdWords, giving them more options, flexibility and control over their campaigns.” Among the companies it lists that can track us through the Google network includes its own DoubleClick, as well as Eyeblaster, Eyewonder, Pointroll, Unicast, Dynamic Logic, and Interpolls.

Google has created a three-part video series on YouTube to “explain” how ad serving works. But like so much of Google’s privacy PR, it doesn’t really explain what the goals are of its expanded ad service. It also attempts to minimize the very real privacy concerns. Google uses its online ad industry Orwellian-like Doublespeak to suggest that the profiling and targeting of users is “enhancing their web experience.” Google could have included in its YouTube script what it is telling prospective YouTube ad sales persons: “that Google technology enables the world’s biggest advertisers to enjoy immediate and accountable communication with the consumer…to drive revenue… to top-tier brand advertisers and agencies…[via]… a next-generation advertising platform.” It could have said that its expanded online ad platform was designed, as its job announcement for a New York-based “Google Financial Services Account Executive” states, to help “the biggest financial services companies in the world. This includes investment, credit card, tax, banking and insurance companies.” Or as it explains in its “Google entertainment account executive” job announcement, “you’ll help to provide integrated, cross-platform advertising solutions for media and entertainment clients including TV, movie, gaming, music and web publishing companies.”

Google’s blog announcement for the opening up of its network to 3rd party ad servers, and its three-part series, could have detailed the range of data being collected and tracked by its DoubleClick and now other companies. That would include DoubleClick’s “Rich Media’s Audience Interaction Metrics package,” which “lets you analyze data on more than 100 unique interactions in every creative unit including multiple exit links, counters, timers and video metrics.” Or Eyeblaster’s “advanced …powerful tracking and optimization capabilities” that examine “unique viewer behavior– why look at impressions and clicks when you can look at the behavior of individual customers.” Or Unicast’s “User Engagement Index (UEI), that measures a user’s interaction with a rich media ad and provides a score made up of key engagement metrics.” Or what its now 3rd party approved from Eyewonder collects, such as “track all video interactions, rich media interactions, brand interactions and time, and …Custom tracking… to also measure metrics critical to your specific campaign.”

Google really requires both a privacy and online marketing ombudsman, to say the least. They have a very hard time being straight-forward about what information about us is being collected, how it’s really used, etc. Perhaps independent observers and consumer advocates whose mission is to help the company be more honest with itself, its employees, and its users would help. Meanwhile, we will just have to help regulators, policymakers, and the public better understand what Google isn’t really telling us.

PS: This announcement also has implications for mobile privacy. We think this quote from Mobile Marketer is very telling (hey, Google. Put him on your GoogTube channel!): “As mobile advertising evolves and matures, advertisers will demand consistent, in-depth analytics and immersive consumer engagement frameworks,” Mr. Rahav said [Amit Rahav, VP, Marketing, Eyeblaster]. “…To be able to retain client confidence and quality of user experience, Google defined a process for certifying trusted partners like Eyeblaster and other companies. Defining such rules of engagement creates the win-win ecosystem that helped scale Web advertising and stands to do the same for the mobile world.”

PPS: Perhaps Google should have addressed this, from its new 3rd Party approved partner Interpolls: “Interpolls is the only rich media company providing a complete end-to-end suite of integrated marketing solutions. In addition to rich media advertising, Interpolls provides clients with interactive promotions, live on-air voting, site polling, online sweepstakes and more. All of Interpolls services can be integrated into its proprietary platform, offering customers tremendous convenience while maximizing reach, awareness and results. “Expanding our distribution network to include the Google content network was a critical piece needed to provide our clients with the industry’s largest rich media distribution to reach their customers and prospects without limitations,” said Peter Kim, CEO and president, Interpolls. “The agreement opens the door for our clients to increase their distribution through the Google content network, and provides Google publishers and advertisers access to our innovative rich media advertising and widget solutions.”

PPPS (and we promise this is the last one!). Google also announced that several research firms were now allowed to work with its network and, we assume, help “measure performance” of Internet ads. They include Dynamic Logic, IAG Research, InsightExpress, and FactorTG. For example, IAG (now owned by Nielsen) says it “is the only panel-based measurement service that provides continuous evaluation of Internet ad performance and a direct comparison to TV ad effectiveness.” In another words, to help grow Google’s ad business it has, understandably, opened up its service to the network of tracking, analysis, and interactive media delivery services which comprise the world of marketing. But, we believe, Google should have explained all this clearly to users, and not–in our view–gloss over what this all means.

Microsoft pitches interactive ad and branding “integrated campaigns… that don’t necessarily feel like campaigns”

Microsoft is holding its annual meeting with advertisers, to show off what it can do. We will have more to say about it, but for now ponder this from Robbie Bach, Microsoft’s President, Entertainment and Devices Division:

“We think there are screens and areas beyond the browser for people to reach. We think you can reach them, whether it’s on a PC, on a TV, or on mobile devices. We think there are integrated campaigns that can be built, that don’t necessarily feel like campaigns, and that don’t necessarily feel like advertising, in a world in which people want to be entertained.”

The Shopping Cart Tells You What To Buy–and knows if you did!

Just when consumers tighten their wallets and purses, a new system emerges that will use data collected from us to target us while we shop in grocery stores. Here’s an excerpt from MediaCart’s pitch to advertisers:
“With MediaCart, consumer product brand marketers can deliver full-motion video advertising to shoppers as they approach various product locations in the store – whether walking down an aisle, approaching an end cap or standing at the checkout.

Direct One-to-One Ad Targeting. By collecting shoppers’ preferences through loyalty card information, prior shopping history, geographic locations and shopping times, advertisers are able to channel valuable communications to individual shoppers and deliver a powerful visual message right at the point of purchase.

Tracking Your Advertising Investment. The MediaCart® system tracks each cart’s location, dwell time, and shoppers’ purchases. This information will give valuable feedback on shoppers’ responses to alternative ads, offers, displays or message frequency. Advertisers are able to measure the true impact, quickly determine what is most effective, and adjust advertising messages and promotional offers as quickly as sending an email.”

Microsoft, by the way, is working with them. Be sure to see the picture of the cart on the press release.

Google Health and other Medical Information Portability Products: Beware of Data Tracking, Interactive Marketing & Privacy Concerns

Consumers should have immediate access to their health records, a mouseclick and password away. But should the price we pay be tied to allowing health data storage providers collect information about our medical concerns and interests, so they can sell ads to pharmaceutical and health-related companies? We think there are some areas, such as health, where online advertising should not tread. Storage and access should not be linked to targeted personalized digital marketing. Google is in the process of building its health advertising business. In the U.K. and the U.S., for example, they are hiring executives to operate what it calls its “Consumer Products and Health Care marketplace.” Here’s an excerpt from the employment announcement:

The role: Industry Manager, Consumer Products and Health Care – London

As a Google Consumer Products and Health Care Industry Manager, you’ll be working with those who provide advertising solutions for companies that produce and sell consumables and health care products/services. This job is a mix of finding and managing new and existing business customer relationships. Working closely with the Industry Head to develop Google’s Consumer Products and Health Care marketplace, you’ll combine a passion for the industry with strong presentation and communication skills. You’ll own the relationships with clients and agencies, targeting, educating and developing new clients to grow the business in unpenetrated territory. This means you have excellent client-servicing and relationship skills along with the entrepreneurial drive to approach and persuade new and existing customers with large, multi-faceted propositions.

Responsibilities:

  • Target new customers and develop strong relationships with clients and marketing services agencies.
  • Analyse data, trends and client performance, develop solid strategic sales plans, and prepare and conduct strategic pitches and sales presentations.
  • Collaborate and consult with major customers with the goal of extending relationships, increasing your client and agency base and optimising their advertising expenditures.
  • Develop case studies of successful campaigns in order to share insights with customers and to serve as an evangelist at targeted events and conferences.
  • Champion new product releases, internally and externally…”

There are serious questions which must be addressed about the implications not only to our health privacy, but the impact on our behaviors from medical-related interactive marketing. It’s an area we will return to soon.

Bravo to Reps. Markey & Barton for Raising Alarm on Charter Communication’s ISP eavesdropping plans

Today, Rep. Ed Markey and Rep. Joe Barton sent a letter to the CEO of Charter Cable. They have acted quickly to help protect the privacy of Internet users and, in this case, Charter’s customers.  Preventing ISPs from monitoring our online behaviors is important to fight for.  More will be coming.

Yahoo/WPP Alliance=More Data Collection via Targeting and Privacy Concerns

Regulators will need to examine the privacy implications of the new Yahoo and WPP alliance. When the display ad leader–Yahoo--links up with the global ad agency holding company powerhouse–WPP--data collection issues must come to the fore. Under the deal, explains Reuters, “WPP advertising agencies would, through its 24/7 Real Media arm, develop a proprietary advertising media trading platform that takes advantage of Yahoo’s Right Media exchange.” WPP’s “brands” include Ogilvy, Cheskin, Dentsu Y&R and many, many others.

WPP’s 24/7 says the following about its “comprehensive” targeting:

“Whoever you want to reach, we have targeting down to a science.

  • Behavioural. We can serve ads based on your customer’s browsing behaviour.
  • Demographic. We can target campaigns based on a number of demographic criteria such as race, age, income, sex, employment, education, and home ownership.
  • Technographic. We can target based on browser, browser version, bandwith or operating system.
  • Retargeting. We can flag visitors to a site based on what they did on their last visit, and then “retarget them” when they return.
  • Geo-dem. We can overlay geographic data such as country, state or zip code with demographic information.
  • Daypart. You can tell us what hour of the day or day of the week that you’d like an ad to be viewed.
  • Content. You can choose specific sites, sections or positions on a page for ad placement.
  • Keyword/search. We can serve ads based on specific words that are entered into a search engine by your customer.
  • Custom. We can develop a comprehensive targeting strategy that is customised for whatever your marketing goal may be.”

Mind over our data: It was 24/7 that just announced it was also using “psychographic targeting through a partnership with Mindset Media…[that] will enable brand advertisers to target consumers with specific personality traits that drive buyer behavior and brand affinity across a broad range of consumer goods and services.”

From MediaPost’s coverage (excerpt):  “ The multi-year deal will pair Yahoo’s Right Media ad exchange with the targeting prowess of WPP’s 24/7 Real Media, giving WPP agencies a more effective system for buying mass quantities of display inventory worldwide… WPP’s GroupMwill be able to access the platform directly through 24/7 Real Media and plug in various targeting options-… Ryan Jamboretz, director of corporate development at GroupM…said “[T]his only improves the product by allowing us to do things like behavioral and retargeting on a larger scale.”

source:  Yahoo, WPP Partner to Buy, Sell Rich Media More Effectively.   Tameka Kee.  Online Media Daily. May 15,2008.

Charter Cable to Spy on its Broadband Users to Serve Targeted Ads via NebuAd

We have long pointed out that deep-packed inspection can be used by ISPs to both eavesdrop on users and undermine the neutrality of the Internet. Via Wired and other sources we learn that “Charter Communications, one of the nation’s largest ISPs, plans to begin eavesdropping on the web surfing of its customers, in order to help web advertisers deliver targeted ads. In letters being sent to some of its 2.7 million high-speed internet customers, Charter is billing its new web tracking program as an “enhancement” for customers’ web surfing experience. The letters were first reported by a BroadbandReports.com user on Sunday. The pilot program is set to begin next month.”Charter, using language straight out of Orwell’s 1984, claims it’s offering an “enhanced” service. Demonstrating its monopoly clout, Charter is imposing this service on an opt-out basis. Charter will be using, notes Wired, NebuAd. Here’s what NebuAd says it does (our emphasis): “NebuAd delivers the most actionable consumer intelligence by extending its reach dynamically to encompass the ever-growing network of sites that consumers visit. NebuAd combines this web-wide view of pages navigated, searches performed, ads clicked, etc., with the industry’s most accurate targeting capabilities, matching consumer interests across more than 1,000 categories…The result is behavioral advertising on a vast scale with a level of relevance that drives significantly improved response and engagement rates across all categories of advertisements.”

Here’s what NebuAd told Behavioral Insider magazine last November (excerpt, our emphasis): “The kind of data we do aggregate includes Web search terms, page views, page and ad clicks, time spent on specific sites, zip code, browser info and connection speed…within this vast universe of information we create a map of interest categories, beginning with the widest definitions, auto, finance, education, what have you. But within those we can provide far greater granularity. So if you’re talking about auto, we can drill down into particular interest segments, say SUVs, luxury cars, minivans, and then even to particular brands or models. Within the interest category of travel, we can identify consumers interested in learning about Martinique, the south of France or Las Vegas.”…“ISPs have been a neglected aspect of online’s evolution over the past several years. But the fact is the depth of aggregated data they have to offer, anonymous data, is an untapped source of incredible power… The conventional approach to behavioral targeting has been to place cookies on specific Web sites or pages. We’ve gone about it in a very different way. We place an appliance in the ISP itself. Therefore we’re able to get a 360-degree, multidimensional view over a long period of time of all the pages users visit. So what we’re really talking about for the first time is a truly user-focused, though still anonymous, targeting, taking the totality of anonymous behaviors rather than just a subset of sites on a network.” Here’s what NebuAd said in a November 2007 release: “NebuAd’s rich insight into consumer interests surpasses any other behavioral targeting solution and enables NebuAd to deliver precisely targeted ads that drive substantially increased value per impression…NebuAd’s deep insight into anonymous consumer commercial interests across the Internet, combined with its ability to micro-target the most relevant ad placements, brings a new level of value for advertisers, publishers and ISPs:..ISPs, who have up to now facilitated but barely participated in online advertising opportunities, can open new revenue streams that complement advertiser and publisher objectives to maximize revenue and generate higher revenue-per-subscriber.”

Both the FTC and FCC must investigate Charter’s plan (and other ISP’s permit snopping schemes. Congress needs to hold oversight hearings as well). ISPs should not be in the business of letting online marketers have access to the rich informational personal data streams of their customers. Broadband providers such as Charter get paid handsomely already by their subscribers for connectivity (and also benefit from their monopoly status to secure lucrative `bundle’ packages from consumers). Charter, which has a checkered financial history, should not be allowed to weaken the privacy rights of U.S. consumers. Paul Allen, Charter’s chairman and the co-founder of Microsoft, should do better than this.

Google’s YouTube now offers advertisers ability to do “Buzz Targeting”

excerpt from YouTube May 13, 2008 press release: “As part of our continued efforts to experiment with new ways to provide value to YouTube advertisers, today we’re announcing one such new product: buzz targeting…YouTube’s …algorithm…determines which YouTube partner videos are quickly becoming popular on the site and about to go viral. The algorithm looks at several factors, such as acceleration of views, favorites, and ratings activity, and then allows advertisers to target their ads specifically to these videos on YouTube.

“Every advertiser hopes that their campaign will to be the next big viral hit online, and they come to YouTube to reach the millions of video viewers who are on the site everyday,” said Rajaraman [Shiva Rajaraman, YouTube Product Manager]. “Buzz targeting lets them do both at the same time. They associate their brand with the hottest content of the day, while reaching the most engaged users in our community.”

and from Online Media Daily: “YouTube buzz targeting works on an algorithm that looks at a number of viewer activities, including how many times a video is chosen as a favorite, how favorably it’s rated, and how quickly it picks up views, to determine which clips are about to “go viral.” Advertisers can capitalize on the momentum by choosing to run overlay ads on these videos, with the possibility of combining buzz targeting with other options like time of day, gender and category targeting.”

source: Advertisers Get Buzzed On YouTube With New Targeting Capability. Tameka Kee. Mediapost. May 14 2008

BT Watch: Tell me, is it the cookie or You that online marketers are “packaging” for targeting

How long can they get away with the “it’s anonymous” cover story as they identify, analyze, track and target our online interests and behaviors? Excerpt from Media magazine: “behavioral segmentation refers to a media seller’s packaging of groups of cookies who have visited sites (other than the client’s own) that suggest a need or receptivity for the client’s category of product. For example, all cookies that have visited automotive-related sites over the last 60 days may be packaged as a segment of people likely to be in the market for a new car…Predictive targeting uses more than behavior data…It uses mathematical algorithms to predict what a user will most likely interact with, and then learns and is adjusted based on the actual results...It is based on cataloging what a user has done in the past.”

source: Taking Measure: Savor the Flavor. John Nardone. May 2008

Google’s Mobile Plans include Cookies for Ad Targeting

At last week’s FTC hearing on mobile marketing, we pressed several industry representatives to confirm that the data tracking, profiling and targeting system we now have online is being migrated to mobile. That’s what eventually we were able to get at least one mobile marketing panelist to confirm.

Meanwhile, we have learned that Google has made presentations to advertisers about its mobile marketing capabilities. It appears that mobile cookies are part of their targeting marketing plan. Google told advertisers that “Google provides mobile conversion tracking on phones that support cookies. Google can measure clicks, impressions and conversions for all campaigns.”

Google needs to explain to the public how its cookies and mobile ad tracking and targeting will work, including what safeguards it plans. By the way, we also think it’s interesting to place Google mobile in the context of its DoubleClick subsidiary. DoubleClick mobile “is an ad delivery system for mobile websites that delivers dynamic, interactive ads to mobile web pages based on specific criteria as determined by you. It supports a wide range of devices and boasts a full management and reporting suite. Now publishers can deploy mobile advertising with the same confidence and control as online display ads…Report on impressions, clicks, jump pages and third-party metrics…Full reporting for all dynamically displayed ads.”

Google’s Android does, it turns out, dream of electric ads via cookies.