Viacom/MTV’s “Digital Fusion”–“Connect Brands to Consumers”

Viacom’s MTV has created Digital Fusion, “a new organization whose mission is to fuse marketing and innovation in order to connect brands to consumers.” What they are doing is, of course, emblematic of digital marketing today–something still off the radar of the public. Among the goals of Digital Fusion are to “…identify, analyze and recommend new ad sales products and opportunities in emerging media.” Viral marketing is also on its agenda, including “…influencing content and creative for novel advertising and marketing initiatives…leveraging off-network traffic: viral, web services, email, SEO/SEM efforts [search engine optimization/marketing]…Germinate grass roots offline efforts (street, events, etc.)…”

The public, policymakers–and MTV partners (such as the Knight Foundation)–will need to keep on eye on the largely stealth forces shaping the new media.

The evolution of targeting users online (or, "Oh where oh where has our privacy gone")

An excerpt from a recent trade piece that should encourage reflection and concern (our emphasis):

“Today, we can not only target by the sites we think our customers frequent, we can follow them around the Web and target them based upon the other sites they actually visit. We can also target them based upon the words typed into a box, and from where those words are typed through search geo-targeting. We can also retarget searchers elsewhere on the Web. Facebook’s recent announcements take targeting to a whole new level, based upon age, location, interests, and other online activity.”

Source: “Search And Online Advertising: A Continual Evolution.” Ellen Siminoff. Search Insider. November 16, 2007

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IAB creates new post: "SVP, Thought Leadership and Marketing."

As the IAB ramps up its political operation to defend the interactive marketing industry from consumer-friendly privacy safeguards, it has created a new senior position. The SVP for Thought Leadership and Marketing is… “to help drive the growth of interactive advertising through enhanced communications with marketers, agencies, and others about the power of interactive media to reach and influence consumers.” In another words, a seasoned PR hand. David Doty is now in that position; he came from Booz Allen Hamilton where he was Director of Corporate Branding and Creative Services.”

But what IAB requires is “thought leadership” that recognizes that interactive marketing can’t run a-muck. Consumer protections are required, as well as a socially responsible approach to digital advertising in a global environment.

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Facebook’s chief revenue officer’s pitch to advertisers: We’ve created “the most sophisticated and accurate targeting system available on the web today.”

What companies such as Facebook and MySpace say to their marketing clients and prospects is one thing. To users and members (and regulators), especially about protecting privacy, it’s another story. That’s one reason why we hope everyone will review this video from Facebook’s chief revenue officer Owen Van Natta presentation at a U.K. marketing conference held November 7, 2007. Van Natta explained that the new Facebook marketing system was designed to help marketers reach “people that influence people…the next generation of advertising is going to tap into trusted referrals in a way that has never has been done before.” Using the language of marketers, Van Natta pointed to the 25 million individuals daily on Facebook: “that’s a lot of reach and frequency.” “We’re going to spread your message virally,” he told the Internet Advertising Bureau UK crowd. You can “fan” your brand, he assured them. Facebook would enable them to tap into the “power of the influencer.”

Van Natta also discussed the test they had done of the new Beacon and related Facebook marketing system. Calling Facebook’s advertising approach a form of `social distribution,’ he said that “this is going to create some of the most effective advertising that marketers have ever seen…Facebook social ads are like trusted referrals from your friends.” It’s “the most sophisticated and accurate targeting system available on the web today.” The chief revenue officer also trumpeted the “targeting and insights” capabilities of the new approach: “nothing like this has ever been available before…incredibly power insights…actionable information.”

Van Natta also discussed the benefits for advertisers from the Beacon system, including how the use of the marketed products by Facebook members was tied in to their “mini-feed.” He discussed the new service called “Pulse,” which informs advertisers how many people are talking about their brand on Facebook. That’s “incredibly valuable,” Van Natta noted. He said they knew exactly who was getting the ad, and that advertisers would receive “actionable social data.”

We hope all Facebook users and regulators–here and in the EU especially–will watch this video. Facebook users have no idea they are now part of a viral marketing scheme, where information that is being sent to them is shaped by the kinds of arrangements made with advertisers. The idea that the information shared with marketers is “non-personally identifiable,” as he claims, is absurd. They know your interests, where you live, your circle of friends, etc. There is an important place for commerce in communications. But there need to be rules to ensure that what goes on is fair. And privacy must be protected.

Social Network Spying Machines

As we await the announcement form both MySpace and Facebook about their respective expanded profiling and and ad targeting plans, here’s a quote to ponder via this Reuters story (our emphasis): “MySpace said more than 50 advertisers have joined its HyperTargeting program, which mines the information on the social network’s member pages to determine their main interests and what kind of commercial messages they would respond to.

“It’s looking at what they say, what they do and what they say they do,” said Adam Bain, executive vice president of product and technology at Fox Interactive Media, the parent of MySpace within Rupert Murdoch’s News Corp.”

Read this, via Adweek. 11/5/07: “Analysts and agency executives say the moves to uncover what a News Corp. executive once called the “digital gold” of user-interest data and social connections could herald the evolution of behavioral targeting as the greatest advance in Internet advertising since Google perfected keyword-targeted search ads seven years ago.

“It changes everything,” said Michael Barrett, chief revenue officer at Fox Interactive Media, the News Corp. unit that includes MySpace. “Every form of targeting has been trying to get to what that individual is thinking about, passionate about and interested in. It defines the next generation of targeting.”

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BBC Signs up with Doubleclick: Privacy out the window, along with Beeb staff?

It’s interesting to watch the tandem work of Google and Doubleclick, even prior to the proposed merger. Doubleclick was just signed-up by the BBC to handle its forthcoming interactive display paid advertising on BBC.com (the Beeb better explain to all its users what will happen with those digital crumpets placed on their computers–I mean cookies, pixels, and other digital spy techniques). Here’s how NMA magazine [sub required] reports it: “BBC Worldwide has appointed DoubleClick to handle display ads on BBC.com, following last week’s green light to allow advertising on the international site... It will also be responsible for the pre-roll advertising on BBC.com through its existing BBC World deal. DoubleClick will work with BBC Worldwide’s internal sales team…The ads will only be served to users outside of the UK…” (Doubleclick already works with the BBC, handling ads for BBC World and the Beeb’s magazine).

Last March, the BBC signed a deal with Google’s YouTube, calling it a “ground-breaking partnership.” Meanwhile, the BBC is drastically cutting staff and reducing news budgets, as it faces reduced public funding. The reduction in funds for the world’s premier public service programmer–and the staff cuts–is a story unto itself–which we will eventually address. But the BBC should not be permitted to endorse a business model for online marketing where its users–even if not UK citizens and residents—are tagged, tracked, targeted, and sold to the highest behavioral targeting bidder. Unless safeguards are imposed, online advertising could have an adverse impact on the diversity and integrity of the news. This deal should also behoove the BBC news staff to launch a major investigation into the Google and Doubleclick merger, inc. how such a merger will impact public affairs programming.

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Google & DoubleClick Mobile [plus Jaiku]=a Dart to Privacy

DoubleClick is promoting, via full-page ads in the U.K. trades, its new DoubleClick Mobile service “Introducing a new way to serve ads on small screens,” touts the copy. It goes on to say that online marketers can “[U]se Doubleclick Mobile to sell and managage mobile advertising with the same team and tools you use for your display and rich media business.” Here’s what DC’s “Mobile Overview” tells marketers [excerpt]: “As you engage your audience on the mobile platform you have the opportunity to take control of your revenue and operations with DoubleClick Mobile. You can capture more dollars from your mobile content by adding dynamically served mobile display ads and destination offers…Just as online banners are uploaded into DART, mobile banners and mobile companion jump pages are uploaded into and served by DART. Mobile specific targeting criteria can be set within the DART interface, including content, device and capability targeting…DoubleClick Mobile helps you deliver ads to mobile devices worry-free through our database of over 3,000 handsets indetifying each device’s unique screen size and capabilities…”

On its website, DC says that its Mobile service allows marketers to “[S]et mobile-specific targeting criteria for dynamically served mobile display ads, including content, device and capability targeting.” In the UK, DC explains that: “DoubleClick Mobile tracks impressions, third party impressions, clicks and jump page conversions. Tracking mechanisms meet the unique requirements for mobile delivery, and care has been taken to ensure compliance with network operators.”

Pixelating Privacy: Here’s what ClickZ said about the new DC mobile service: “DoubleClick Mobile aims to bring “a lot of heavy iron” [said DC VP Ari Paparo] to the developing marketplace for ads on handsets. The product is capable of pairing ads with content…In addition to standard mobile display ads, it supports ad formats such as combination ads and roadblocks. Through pixel-based ad tracking, agencies and other third parties can access campaign performance data through their own campaign reporting systems.”

Finally, we think Google’s new acquisitions (such as Zingku] in the mobile area bear examining, esp. for privacy implications. Google also just bought Jaiku, a Finnish company. Here’s how Jaiku describes its service: “Jaiku’s main goal is to bring people closer together by enabling them to share their activity streams. An activity stream is a log of everyday things as they happen: your status messages, recommendations, events you’re attending, photos you’ve taken – anything you post directly to Jaiku or add using Web feeds. We offer a way to connect with the people you care about by sharing your activities with them on the Web, IM, and SMS – as well as through a slew of cool third-party applications built by other developers using our API.

The most powerful instrument of social peripheral vision is your mobile phone. We’ve put in a special effort to create Jaiku Mobile, a live phonebook that displays the activity streams, availability, and location of your Jaiku contacts right in your phone contact list. We modestly believe it is the best solution out there for seeing what your friends are up to.”

The future is now calling. Will we act to protect our privacy?

The Hidden Power of Doubleclick’s Databases

Here’s an excerpt from a new trade story. We think it’s relevant to the Google merger review, including the issue of data access and privacy. “excerpt: “Well, it turns out that the “raw” numbers we are using aren’t really raw. They look “raw” to us because 99.99% of the agency people do not have access to (or even want to look at) the raw raw. The raw raw is what the insiders would call log files. They are usually sitting with adservers (DoubleClick, Atlas, etc) and in their databases. Yes, you heard me right. There are databases, humongous ones that collect and compile cookie-level information. And there are database experts, lots of them. We do not see them, because they are not agency people. They work for adservers and sit behind the shields of adserver’s account reps. So in the end we are very much like a database marketing operation, except that in our case database and marketing are siloed in two different organizations.”

from: “The Magic Window.” Chen Wang. Online Metrics Insider. Oct. 12, 2007.

Doubleclick at the Brand Summit: Glimpse of Ad-enmeshed editorial future

There was an interesting exchange at a recent imedia Brand Summit event, which you can witness on this video at approximately 7:12 minutes. Chris Young, Doubleclick’s EVP for “Rich Media & Emerging Division” (I kid you not. That’s his job title) asked a question of speaker Sean Finnegan. Finnegan is the CEO of OMG Digital, a new Omnicom global division advancing interactive marketing. Finnegan was touting a viral campaign to drive (literally) young folks from bars directly into `were open all night’ McDonalds. Doubleclick’s Young reflected on the work his company and other major online marketers are doing to create an “embedded relationship, friendship, with the consumer.” He cited the trend among Doubleclick’s clients to develop “long-form webisodic content, creating a series.”

Finnegan’s reply was very telling–and should serve as another wake-up call for all those who care about the further merging of editorial content and advertising. He explained that agencies are “merging the digital groups with the entertainment marketing groups,” expanding what they had been previously doing with such approaches as “plot integration.” Interactive advertising, marketing, big brands, and editorial content all intertwined is the basic business model for much of the new media world. That’s why we should address now–before it’s too late–what the rules, safeguards and alternatives should be.

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Canadian Privacy Group Raises Key Concerns on Google, Doubleclick and Threat to our Privacy

We urge everyone to read the CIPPIC petition filed yesterday in Canada asking for a investigation of Google and Doubleclick. Among the key questions raised is whether the two companies are violating Canadian privacy law (Personal Information Protection and Electronic Documents Act-PIPEDA). The full document is on the Canadian Internet Policy and Public Interest Clinic website. But here are some key excerpts raising very important issues. Bravo! (and Merci) CIPPIC.

“37. Google’s servers automatically record information when the user visits Google’s website or uses Google products. Google server logs record the search request, URL, Internet Protocol (IP) address, browser type and language, and the date and time of the request, and one or more cookies that may uniquely identify the user’s browser. Google stores server logs indefinitely, but “anonymizes” them after 18 months.

38. The act of collecting user search queries and IP addresses invokes PIPEDA, requiring Google to provide adequate notice to users of any collection, retention, use, or disclosure of personal information other than that which can be reasonably implied (in this case, collection, retention and use necessary to deliver search results to the individual user). Without such notice, Google cannot be said to be obtaining meaningful consent from users to any other information practices, including retention and use for targeted marketing purposes.

39. The fact that Google’s search service is entirely dependent upon targeted marketing to users is not evident to the ordinary computer user. It cannot therefore be said that users implicitly consent to the use of their data for marketing purposes, even if such use is central to Google’s business model. Indeed, most users likely do not reasonably expect Google to retain their search queries in connection to their IP address for much longer than necessary to deliver the requested search results.

62. Google collects a variety of personal information about its users and uses that information to, among other things, improve its target marketing services. Online advertising services are constantly being improved, sometimes in ways that involve greater collection and use of personal data. This raises the question of what level of data collection and analysis is necessary for the purpose of target marketing; at what point is Google collecting more personal data than necessary for advertising purposes? No doubt Google is limiting its collection of data to that which is relevant for the marketing purposes, but the test in Canada is necessity, not relevance.

63. CIPPIC submits that a determination of what is necessary under Principle 4.4 should be driven not by what is possible or desirable from an advertising perspective, but rather what is actually necessary for Google to provide the service. The same test should be applied to all online advertisers, not just Google.”

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