1. DATA DRIVEN 1-TO-1 REAL TIME PERSONALIZATION
& CUSTOMER INTELLIGENCE
Data protection & privacy in the Social Web
www.adtelligence.de

2. DATA PROTECTION IN SOCIAL NETWORKS
Handling data: The tension between legal and personal boundaries
Legal boundaries User concerns
 Today, data protection laws provide that the  Data privacy is a critical success factor in
user must explicitly agree to the use of networks
personal data by third parties ("Opt-in")  Users gladly and willingly give a lot of info
 There are serious consequences for the re- for a price. But if they feel ignored in the
use or violation of the use of personal distribution of their data, even with legal
information safety, they rebel.
 It is expected that in the future, these  In the case of semantic advertising in
provisions will be tightened. GMail, there is the question: “Is Google
reading my emails?”
 Re-Targeting – Who is following my online
moves?
30.01.2013 www.adtelligence.de 2

3. THE USE OF DATA IN PRACTISE
Today and tomorrow
 Clear and open communication that ensures there is no personal data being passed on is expected by users.
 Social networks must clearly communicate that data is evaluated for the purpose of advertising. Users will accept
this if the data is not personal, and if they can avoid premium usage charges by doing so.
 The current legal situation allows for the anonymous storage of data for advertising purposes.
 Making services and providers of opt-out offers anonymous in compliance with all provisions are continuing to gain
ground.
 eCommerce providers such as Amazon personalize offers for their buyers. If an eCommerce provider stores data
from a user of a social network, it is not without the explicit opt-in of the user. Purchase information cannot be mixed
with information from social networks without the consent of the user.
 For the delivery of ads on social networks, cookies are not necessary, as opposed to with behavioral targeting.
30.01.2013 www.adtelligence.de 3

4. USER PROFILES
Different demographic and psychographic information
Legal boundaries User input
1. Personal data
 What was unimaginable a few years ago is
now commonplace 2. Demographic data: age, occupation, income,
etc.
 People freely write about themselves, their 3. Interests such as music, movies, books, sports,
interests, and their desires on the Internet and quotations
4. Geographic data like residential or study
 This information is no longer kept secret; it locations and destinations
is seen as a means of communication with
others. 5. Friends and social graph
6. Group activities
 User-generated content is thus voluntarily
generated in Social Networks.
7. Wall posts and comments
8. Photos
9. Specials such as blogs or video podcasts
30.01.2013 www.adtelligence.de 4

5. SINGLE SIGN ON AND FACEBOOK CONNECT
New opportunities for online advertising vs. a new challenge for data protection
Services like Facebook Connect, the new graph API, and OpenSocial allow the
personalization of offers from outside communities. Two principle distinctions:
 With user opt-in:
With opt-in, the user is asked by an eCommerce shop, for example, whether he (using his Facebook
data) wants to log in. If the user agrees, his data is read by Facebook (via the Connect interface).
 Without user opt-in:
Without opt-in, the user‟s personalized data may not be shared. It is possible to use pseudonymous
data temporarily, for example gender and age can be used to tailor the online shop to men or women.
 Example: The Facebook Graph API allows the processing of gender or age (no name or email). This
only works if the user is logged in on Facebook.
 Sites use user data for statistical or promotional purposes, but here the respect of the privacy policy
is especially important.
30.01.2013 www.adtelligence.de 5

6. CONCLUSION
Transparency is the key to resolving the debate about data privacy in Social Networks
New opportunities for online advertising in social networks offer many benefits, both for platform operators and for users.
Amazon and Apple, for example, make much use of them. This is precisely why open communication is of particular
importance when dealing with user data. Transparency leads to lasting acceptance.
Facebook and Google are dealing primarily with negative headlines in the media because they don„t tell their users what
they are doing. Three scenarios are described:
With user„s consent/
Anonymization Pseudonymization
opt-in
 No name or email may be  Only temporary storage  User actively agrees to
shared  No personal data transfer their data –
 Advertising to groups, not to  Example: eCommerce Shop everything must be used.
individuals personalized like the new  Example: Facebook Connect
 Only aggregated data Levis Shop
 No opt-in for advertising
possible
30.01.2013 www.adtelligence.de 6

7. Questions? Write us an e-mail to
Datenschutz@adtelligence.de
Michael Altendorf
ma@adtelligence
Become a fan: www.facebook.com/adtelligence
30.01.2013 www.adtelligence.de 7