what is online behavioral advertising?
overview
most internet users would like to be anonymous*
perceptions of personalization
have taken steps online to remove or mask t...
Technological innovation comes with Massive
RiskMany believe person info has been stolen or used improperly
perceptions of...
regulatory response
February 2012:
• Obama releases Report: Consumer Data Privacy in a Networked
World
✴ Consumer Privacy ...
Georgia Congressman Hank Johnson
introduced the bipartisan Application
Privacy, Protection and
Security (APPS) Act of 2013...
state legislative response
California: “Do not Track”" law effective January 1, 2014
• Who: Any operator of a website, onl...
state legislative response
California: S.B. 568 enacts two new statutes under the
title “Privacy Rights for California Min...
industry response
Who 1) BBB-ASRC, 2) DAA, 3) PMA, 4) MMA
• Self-regulatory principles:
http://www.iab.net/media/file/ven-...
industry enforcement
Scottrade and BMW : Companies were in compliance with the in-ad notice
requirements but not with Tran...
industry enforcement cont.
• Volkswagen: complied with the in-ad notice requirements,
but not with the Transparency and Co...
FTC enforcement
• FTC tasked with safeguarding Consumers & Markets
• Broad authority
• Focus on Uses/Abuses of “Big Data”
...
FTC enforcement cont.
• 2013: FTC Staff Revises Online Advertising Disclosure Guidelines
• July 1, 2013: FTC releases upda...
best practices
1. Review collection practices
best practices
2. Review marketing partners
best practices
3. Privacy Policy Tune-up | DNT, Online Eraser
best practices
4. Put systems in place
best practices
5. Data, Collection, Storage, Use
Thank You!
David M. Adler
Leavens, Strand, Glover & Adler
866.734.2568
www.ecommerceattorney.com
David@adler-law.com
adler...
Online Behavioral Advertising (OBA) Legal & Regulatory Compliance
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Online Behavioral Advertising (OBA) Legal & Regulatory Compliance

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Behavioral or targeted marketing and advertising is one of the fastest growing areas for advertising and marketing professionals. New technologies driving behavioral and contextual advertising are challenging the established methods. Many realize that limiting targeted marketing may lead to undesired and potentially disruptive consequences, including undermining the implicit bargain that drives the Internet: the exchange of value between consumers and content providers. However, legislators, regulators, and industry trade groups have expressed concerns over perceived abuses of the collection and use of personal data of online users that involve privacy issues that “go well beyond behavioral advertising.” With every technological development and opportunity, new legal and business risks present themselves. Understanding and minimizing these risks will help you maximize the opportunities. Attendees will learn 1) the current state of behavioral and contextual advertising, 2) risks and pitfalls with targeted advertising, and 3) trends in legislation and regulatory compliance.

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Online Behavioral Advertising (OBA) Legal & Regulatory Compliance

  1. 1. what is online behavioral advertising? overview
  2. 2. most internet users would like to be anonymous* perceptions of personalization have taken steps online to remove or mask their digital footprin have taken steps to avoid observation have had email or social networking account compromised *Pew Internet & American Life Project, September 2013
  3. 3. Technological innovation comes with Massive RiskMany believe person info has been stolen or used improperly perceptions of personalization have been stalked or harassed have had personal information stolen have been the victim of an online scam have had their reputation damaged have been led into physical danger
  4. 4. regulatory response February 2012: • Obama releases Report: Consumer Data Privacy in a Networked World ✴ Consumer Privacy Bill of Rights ✴ Control, Transparency, Context, Security Access/Accuracy, Collection & Accountability June 2013: • FTC: Julie Brill “FTC is ramping up enforcement” against those who break federal privacy laws, especially in the expanding new world of smartphones and mobile apps
  5. 5. Georgia Congressman Hank Johnson introduced the bipartisan Application Privacy, Protection and Security (APPS) Act of 2013 (H.R. 1913) • Notice + Consent • Self-Regulation • Opt Out • Security • Enforcement: FTC federal legislative response
  6. 6. state legislative response California: “Do not Track”" law effective January 1, 2014 • Who: Any operator of a website, online service, or mobile app • How: If personally-identifiable info about CA residents is collected • What: Must include do-not-track disclosures in its privacy policy • Implications: Applies to ANY online business
  7. 7. state legislative response California: S.B. 568 enacts two new statutes under the title “Privacy Rights for California Minors in the Digital World.” • Business & Professions Code section 22580, prohibits advertising certain products to minors online • Business & Professional Code section 22581, requires business to provide an online “eraser button” for remorseful minors • Implications: Applies to ANY online business
  8. 8. industry response Who 1) BBB-ASRC, 2) DAA, 3) PMA, 4) MMA • Self-regulatory principles: http://www.iab.net/media/file/ven-principles-07-01-09.pdf • January 1, 2014: deadline ot provide notice and choice to consumers about collection and use of data for (OBA)
  9. 9. industry enforcement Scottrade and BMW : Companies were in compliance with the in-ad notice requirements but not with Transparency and Consumer Control Principles. 1. Did not include an OBA describing the OBA activity occurring 2. Did not include either a link to an industry-developed consumer choice page or list of every third party conducting OBA activity 3. Did not include ensure that an enhanced notice link was present on every page of its website where data collection or use for OBA occurred 4. Did not indicate its adherence to the OBA Principles on its website
  10. 10. industry enforcement cont. • Volkswagen: complied with the in-ad notice requirements, but not with the Transparency and Consumer Control Principles. • 23andMe, 3Q Digital, and MediaMath: Campaign managed by 23andMe’s digital marketing agency (3Q Digital) used demand-side platform provided by MediaMath (self-serve) • Each company assumed one of the others was in charge of complying with the Self-Regulatory Principles, but none actually did.
  11. 11. FTC enforcement • FTC tasked with safeguarding Consumers & Markets • Broad authority • Focus on Uses/Abuses of “Big Data” ★ Fair credit Reporting Act ✴ Transparency ✴ Notice + Choice • Privacy By Design ★ HTC
  12. 12. FTC enforcement cont. • 2013: FTC Staff Revises Online Advertising Disclosure Guidelines • July 1, 2013: FTC releases updated COPPA Rule • CAN-SPAM Act • Civil Litigation: Google/Double Click ★ Violated state consumer protection placing advertising tracking cookies ★ FTC fined Google $22.5 million in 2012 over similar practices that violated an earlier settlement
  13. 13. best practices 1. Review collection practices
  14. 14. best practices 2. Review marketing partners
  15. 15. best practices 3. Privacy Policy Tune-up | DNT, Online Eraser
  16. 16. best practices 4. Put systems in place
  17. 17. best practices 5. Data, Collection, Storage, Use
  18. 18. Thank You! David M. Adler Leavens, Strand, Glover & Adler 866.734.2568 www.ecommerceattorney.com David@adler-law.com adlerlaw.wordpress.com @adlerlaw

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