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David Hallerman Principal Analyst N O V E M B E R  1 7,  2 0 1 1 Perspectives on Digital Privacy—Marketers, Consumers, Feds Sponsored by:
What we’ll look at today… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Twitter – #eMwebinar
Various  themes  will keep coming up in today’s webinar
The Main Issues (complex questions, incomplete answers)
The privacy landscape is filled with more  questions  than answers
Online  companies controlling  too much personal data is a prime focus of privacy concerns
Grace Liau, senior vice president, VivaKi “ Because  consumers have a lack of control , and cannot manage their risk, it almost seems as if their life is in somebody else’s hands. And I think that sums up what consumers are concerned about.”
Privacy can be defined as  control , and ceding control can lead to  trust ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Twitter – #eMwebinar
Jeff Jarvis, director, Tow-Knight Center for Entrepreneurial Journalism “ It’s not about privacy.  That’s the problem here. It’s about a lack of trust. It’s about a lack of transparency. It’s about a lack of perceived value.”
Some of the most commonly targeted types of ads are among the  least trusted
The vast majority of consumers simply want to know  what data is being collected , a form of control
Omar Tawakol, chief executive officer, BlueKai “ Data is fundamentally  the currency  that’s making online advertising grow.”
Control, collection and usage of  data  is core to the privacy debate ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Twitter – #eMwebinar
When it comes to data,  control and knowledge  are essential for at least half of consumers
Jules Polenetsky, director, Future of Privacy Forum “ Marketers often think privacy means they can’t market to someone, as opposed to  responsible data  use.”
Most of the types of data used to  improve marketing  are used for targeting ads
A majority of internet users would only consent to  share simple data : demographic information and their hobbies or interests
Reid Hoffman, executive chairman and co-founder, LinkedIn “ All these concerns about privacy tend to be  old people  issues.”
Is the privacy debate outdated? Or is the  concept  of privacy simply changing?
Consumer Attitudes About Privacy (contradictions found here)
Reasons  for privacy concerns vary significantly by age
People say they are  concerned  about privacy, but what is the… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Twitter – #eMwebinar
Being tracked and targeted turns privacy issues into something that  seems more sinister  than it tends to really be
Most people  know  advertisers are targeting them, but may not know why
Internet users are  all over the place  when it comes to privacy concerns
Internet users  regularly contradict  themselves about privacy concerns
Scott Meyer, chief executive officer, Evidon “ There is  a huge gap  between what consumers say and what they do in terms of managing their privacy.”
More  mixed messages : people don’t click because ads are irrelevant, but worried they’ll be tracked
Jules Polenetsky, director, Future of Privacy Forum “ You end up with this  great irony  where, in study after study, users generally have a negative feeling, but happily consume the sites and services.”
User attitudes about tracking create  significant limits  for targeting
Most people  do not want  to be tracked, to have their data collected, or to be targeted ( perhaps it’s the language )
Mobile Amplifies Certain Privacy Concerns (personal and portable)
Privacy is a  primary concern  among smartphone users
Mobile devices add  three wrinkles  to consumers’ digital privacy concerns ,[object Object],[object Object],[object Object],Twitter – #eMwebinar
It’s  the unknown  that exacerbates concerns among smartphone users
Chris Babel, chief executive officer, TRUSTe “ Consumers are more worried about  the device that’s in their pocket all the time  than they are worried about what’s on their computer.”
Concerns about  location  services all address some loss of control
Paul Gunning, chief executive officer, Tribal DDB Worldwide “ Some of the legislation talked about  doesn’t address mobile  at all.”
What sorts of  data  do mobile users think is private?
70% of marketers find mobile privacy issues a  challenge , too
Social Marketing and Privacy Concerns (a vulnerable space)
Most people have some level of concern about privacy on  Facebook
If you don’t like that study on  Facebook privacy , here’s another (and another)…
Sheryl Sandberg, chief operating officer, Facebook ( on November 7, 2011 ) “ People talk about Facebook and privacy a lot…but it’s because we lead in this area, meaning that  we are the most privacy-focused place  for anyone to share anything.”
Regular changes in Facebook’s privacy settings make  control  difficult
A majority of users are only  somewhat confident  about their social privacy settings (over 20% even less confident)
danah boyd, senior researcher, Microsoft Research “ What I find most fascinating in all of the discussions of transparency is  the lack of transparency by Facebook itself ….I mean transparency in interface design.”
The more people use Facebook, the less their privacy  concerns …meaning what?
Jeff Jarvis, author, “Public Parts: How Sharing in the Digital Age Improves…” “ 800 million people on Facebook  can’t be wrong  or drunk. They’re doing it for a reason.”
People are more concerned about privacy on  Facebook  than other sites
Mark Zuckerberg, chief executive officer, Facebook ( on November 7, 2011 ) “ If you look at companies, whether it’s Google or Yahoo! or Microsoft… they also have a huge amount of information about you . It’s just that they’re collecting that about you behind your back.”
Senior executives are also concerned about privacy when doing  social media marketing
Giving  value  to an audience for their data is highlighted in the social space
Potential Government Actions (regulations and laws)
Figuring solutions to the  privacy puzzle  requires actions from many players
Which  players  should be responsible for protecting user privacy? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Twitter – #eMwebinar
Interesting that “only” 59% of internet users say  government  should be responsible for protecting their privacy
Omar Tawakol, chief executive officer, BlueKai “ The role of the government is to make people sit up straight and follow self-regulation and, actually,  to prod the industry to aim for something better  than it has.”
Slightly more people of each age group prefer government  regulation  to industry self-regulation
Few internet users trust the  government  to protect their online privacy
Jules Polenetsky, director, Future of Privacy Forum “ Increasingly, countries are adopting privacy models that to some degree reflect the  European influence .”
Scott Meyer, chief executive officer, Evidon “ In Europe this is not about behavioral advertising. This is about  all forms of data  collection.”
What the Ad Industry Is Doing (and other things it might do)
Privacy concerns create  uncertainty  for the entire digital ad industry
Jonathon Shaevitz, chief executive officer, Maxifier “ Transparency   is going to be the only remedy in the long run.”
Two basic ways the ad industry is  responding  to privacy challenges ,[object Object],[object Object],[object Object],Twitter – #eMwebinar
Jeff Jarvis, director, Tow-Knight Center for Entrepreneurial Journalism “ R adical transparency  hands over complete control to the public –even to the point that they can say ‘stuff it’ to that advertiser.”
Privacy- enhancing  technologies, yesterday, today and tomorrow ,[object Object],[object Object],[object Object],[object Object],Twitter – #eMwebinar
Jon Leibowitz, chairman, Federal Trade Commision ( on November 8, 2011 ) “ Not every self-regulatory program includes real accountability, but the ones that do work better and generally are able to  avoid a more regulatory heavy hand  from Congress.”
Everyone talks about transparency, but what does it  currently mean ?
The Digital Advertising Alliance’s advertising option  icon  symbolizes notification, transparency and control
Grace Liau, senior vice president, VivaKi “ It’s all about  notice . Be very transparent about what you do.  Offer opt-outs .”
Giving users  opt-out control  is one type of value exchange for prime data
Paul Gunning, chief executive officer, Tribal DDB Worldwide “ We have to make consumer privacy control  an easy experience  and easily explained.”
A  central place  for managing tracking data appeals to most consumers
Jules Polenetsky, director, Future of Privacy Forum “ We’re ready to be very intimate with services and technology and businesses  when we trust that you’re gonna help us– including  marketing to us in the way we want  to be marketed to.”
What makes internet users  so positive  about email ads, and how does that apply to privacy issues?
The value exchange  between marketers and the public is most effective when  the rewards are transparent, too
About one-third of internet users think privacy  invasion is worth it  for free things of value
Eric Picard, chief product officer, TRAFFIQ “ Companies that track consumers’ behavior across the web without their consent, and without providing them any  recognizable value , should stop.”
Getting  value  back makes consumers more likely to interact, and thereby share data, with companies
Offline  loyalty  programs can be a model for online ad targeting
Users find rewards and value to be  incentives  for sharing personal data
Conclusions
danah boyd, senior researcher, Microsoft Research “ The battle that is underway is not a battle over the future of privacy and publicity. It’s a battle over  choice and informed consent .”
Chris Babel, chief executive officer, TRUSTe “ How do you make the jump from seeing self-regulation as a threat to ad targeting to  viewing consumer choice as a brand enhancer ?”
Privacy Challenges Continue to Evolve. . . Making it Difficult to Optimize Your Marketing Programs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Privacy Management Ensures Compliance,  Protects Brand, and Drives Engagement ,[object Object],[object Object],[object Object]
You need a Privacy Management Strategy! PRIVACY Customers Can I trust you with my data? Are you tracking me? DATA Targeted Ads Mobile Apps Cloud Services E-Commerce Email M-Commerce Social Media Web / Mobile Sites Businesses Partners Privacy Audit Monitoring & Certification Consumer Tools
TRUSTe Overview ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],www.truste.com  |  888-878-7830
Perspectives on Digital Privacy—Marketers, Consumers, Feds Questions & Answers Registrants will receive an email tomorrow that includes a link to view the deck and webinar recording.  To learn about  eMarketer Total Access  please visit  www.emarketer.com/products or contact us: (800) 405-0844 or  [email_address]   Twitter Hashtag: #eMwebinar Sponsored   by : Presented by: David Hallerman Principal Analyst, eMarketer, Inc.

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eMarketer Webinar: Perspectives on Digital Privacy—Marketers, Consumers, Feds

  • 1. David Hallerman Principal Analyst N O V E M B E R 1 7, 2 0 1 1 Perspectives on Digital Privacy—Marketers, Consumers, Feds Sponsored by:
  • 2.
  • 3. Various themes will keep coming up in today’s webinar
  • 4. The Main Issues (complex questions, incomplete answers)
  • 5. The privacy landscape is filled with more questions than answers
  • 6. Online companies controlling too much personal data is a prime focus of privacy concerns
  • 7. Grace Liau, senior vice president, VivaKi “ Because consumers have a lack of control , and cannot manage their risk, it almost seems as if their life is in somebody else’s hands. And I think that sums up what consumers are concerned about.”
  • 8.
  • 9. Jeff Jarvis, director, Tow-Knight Center for Entrepreneurial Journalism “ It’s not about privacy. That’s the problem here. It’s about a lack of trust. It’s about a lack of transparency. It’s about a lack of perceived value.”
  • 10. Some of the most commonly targeted types of ads are among the least trusted
  • 11. The vast majority of consumers simply want to know what data is being collected , a form of control
  • 12. Omar Tawakol, chief executive officer, BlueKai “ Data is fundamentally the currency that’s making online advertising grow.”
  • 13.
  • 14. When it comes to data, control and knowledge are essential for at least half of consumers
  • 15. Jules Polenetsky, director, Future of Privacy Forum “ Marketers often think privacy means they can’t market to someone, as opposed to responsible data use.”
  • 16. Most of the types of data used to improve marketing are used for targeting ads
  • 17. A majority of internet users would only consent to share simple data : demographic information and their hobbies or interests
  • 18. Reid Hoffman, executive chairman and co-founder, LinkedIn “ All these concerns about privacy tend to be old people issues.”
  • 19. Is the privacy debate outdated? Or is the concept of privacy simply changing?
  • 20. Consumer Attitudes About Privacy (contradictions found here)
  • 21. Reasons for privacy concerns vary significantly by age
  • 22.
  • 23. Being tracked and targeted turns privacy issues into something that seems more sinister than it tends to really be
  • 24. Most people know advertisers are targeting them, but may not know why
  • 25. Internet users are all over the place when it comes to privacy concerns
  • 26. Internet users regularly contradict themselves about privacy concerns
  • 27. Scott Meyer, chief executive officer, Evidon “ There is a huge gap between what consumers say and what they do in terms of managing their privacy.”
  • 28. More mixed messages : people don’t click because ads are irrelevant, but worried they’ll be tracked
  • 29. Jules Polenetsky, director, Future of Privacy Forum “ You end up with this great irony where, in study after study, users generally have a negative feeling, but happily consume the sites and services.”
  • 30. User attitudes about tracking create significant limits for targeting
  • 31. Most people do not want to be tracked, to have their data collected, or to be targeted ( perhaps it’s the language )
  • 32. Mobile Amplifies Certain Privacy Concerns (personal and portable)
  • 33. Privacy is a primary concern among smartphone users
  • 34.
  • 35. It’s the unknown that exacerbates concerns among smartphone users
  • 36. Chris Babel, chief executive officer, TRUSTe “ Consumers are more worried about the device that’s in their pocket all the time than they are worried about what’s on their computer.”
  • 37. Concerns about location services all address some loss of control
  • 38. Paul Gunning, chief executive officer, Tribal DDB Worldwide “ Some of the legislation talked about doesn’t address mobile at all.”
  • 39. What sorts of data do mobile users think is private?
  • 40. 70% of marketers find mobile privacy issues a challenge , too
  • 41. Social Marketing and Privacy Concerns (a vulnerable space)
  • 42. Most people have some level of concern about privacy on Facebook
  • 43. If you don’t like that study on Facebook privacy , here’s another (and another)…
  • 44. Sheryl Sandberg, chief operating officer, Facebook ( on November 7, 2011 ) “ People talk about Facebook and privacy a lot…but it’s because we lead in this area, meaning that we are the most privacy-focused place for anyone to share anything.”
  • 45. Regular changes in Facebook’s privacy settings make control difficult
  • 46. A majority of users are only somewhat confident about their social privacy settings (over 20% even less confident)
  • 47. danah boyd, senior researcher, Microsoft Research “ What I find most fascinating in all of the discussions of transparency is the lack of transparency by Facebook itself ….I mean transparency in interface design.”
  • 48. The more people use Facebook, the less their privacy concerns …meaning what?
  • 49. Jeff Jarvis, author, “Public Parts: How Sharing in the Digital Age Improves…” “ 800 million people on Facebook can’t be wrong or drunk. They’re doing it for a reason.”
  • 50. People are more concerned about privacy on Facebook than other sites
  • 51. Mark Zuckerberg, chief executive officer, Facebook ( on November 7, 2011 ) “ If you look at companies, whether it’s Google or Yahoo! or Microsoft… they also have a huge amount of information about you . It’s just that they’re collecting that about you behind your back.”
  • 52. Senior executives are also concerned about privacy when doing social media marketing
  • 53. Giving value to an audience for their data is highlighted in the social space
  • 54. Potential Government Actions (regulations and laws)
  • 55. Figuring solutions to the privacy puzzle requires actions from many players
  • 56.
  • 57. Interesting that “only” 59% of internet users say government should be responsible for protecting their privacy
  • 58. Omar Tawakol, chief executive officer, BlueKai “ The role of the government is to make people sit up straight and follow self-regulation and, actually, to prod the industry to aim for something better than it has.”
  • 59. Slightly more people of each age group prefer government regulation to industry self-regulation
  • 60. Few internet users trust the government to protect their online privacy
  • 61. Jules Polenetsky, director, Future of Privacy Forum “ Increasingly, countries are adopting privacy models that to some degree reflect the European influence .”
  • 62. Scott Meyer, chief executive officer, Evidon “ In Europe this is not about behavioral advertising. This is about all forms of data collection.”
  • 63. What the Ad Industry Is Doing (and other things it might do)
  • 64. Privacy concerns create uncertainty for the entire digital ad industry
  • 65. Jonathon Shaevitz, chief executive officer, Maxifier “ Transparency is going to be the only remedy in the long run.”
  • 66.
  • 67. Jeff Jarvis, director, Tow-Knight Center for Entrepreneurial Journalism “ R adical transparency hands over complete control to the public –even to the point that they can say ‘stuff it’ to that advertiser.”
  • 68.
  • 69. Jon Leibowitz, chairman, Federal Trade Commision ( on November 8, 2011 ) “ Not every self-regulatory program includes real accountability, but the ones that do work better and generally are able to avoid a more regulatory heavy hand from Congress.”
  • 70. Everyone talks about transparency, but what does it currently mean ?
  • 71. The Digital Advertising Alliance’s advertising option icon symbolizes notification, transparency and control
  • 72. Grace Liau, senior vice president, VivaKi “ It’s all about notice . Be very transparent about what you do. Offer opt-outs .”
  • 73. Giving users opt-out control is one type of value exchange for prime data
  • 74. Paul Gunning, chief executive officer, Tribal DDB Worldwide “ We have to make consumer privacy control an easy experience and easily explained.”
  • 75. A central place for managing tracking data appeals to most consumers
  • 76. Jules Polenetsky, director, Future of Privacy Forum “ We’re ready to be very intimate with services and technology and businesses when we trust that you’re gonna help us– including marketing to us in the way we want to be marketed to.”
  • 77. What makes internet users so positive about email ads, and how does that apply to privacy issues?
  • 78. The value exchange between marketers and the public is most effective when the rewards are transparent, too
  • 79. About one-third of internet users think privacy invasion is worth it for free things of value
  • 80. Eric Picard, chief product officer, TRAFFIQ “ Companies that track consumers’ behavior across the web without their consent, and without providing them any recognizable value , should stop.”
  • 81. Getting value back makes consumers more likely to interact, and thereby share data, with companies
  • 82. Offline loyalty programs can be a model for online ad targeting
  • 83. Users find rewards and value to be incentives for sharing personal data
  • 85. danah boyd, senior researcher, Microsoft Research “ The battle that is underway is not a battle over the future of privacy and publicity. It’s a battle over choice and informed consent .”
  • 86. Chris Babel, chief executive officer, TRUSTe “ How do you make the jump from seeing self-regulation as a threat to ad targeting to viewing consumer choice as a brand enhancer ?”
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  • 89. You need a Privacy Management Strategy! PRIVACY Customers Can I trust you with my data? Are you tracking me? DATA Targeted Ads Mobile Apps Cloud Services E-Commerce Email M-Commerce Social Media Web / Mobile Sites Businesses Partners Privacy Audit Monitoring & Certification Consumer Tools
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  • 91. Perspectives on Digital Privacy—Marketers, Consumers, Feds Questions & Answers Registrants will receive an email tomorrow that includes a link to view the deck and webinar recording. To learn about eMarketer Total Access please visit www.emarketer.com/products or contact us: (800) 405-0844 or [email_address] Twitter Hashtag: #eMwebinar Sponsored by : Presented by: David Hallerman Principal Analyst, eMarketer, Inc.