Does More Privacy Mean Fewer Ads?

One way of the other, users are going to have more privacy and control over their data where it comes to its use for advertising. But that almost assuredly does not mean there will be less advertising. There could plausibly be more advertising, simply because less-targeted ads mean "more waste."

To make up for the less-effective targeting, advertisers will have to spend more.

It is probably the case that most people, most of the time, do not prefer to see or hear advertising. Which is one way of saying they do not like advertising. 

Of course, many argue what people hate is bad advertising. Some surveys suggest 70 percent of consumers globally tolerate ads, including about a quarter who say ads can be enjoyable. 

source: Marketing Week 

 

But that is likely a minority opinion, sometimes advanced by marketing professionals, not consumers who are exposed to the ads. These days, people tend to view ads as intrusive, too numerous and an infringement on privacy. 

source: Stepan Stroe 

It’s more than that: ads are viewed as intrusive, in much the same way that  many people also do not appreciate unexpected phone calls, which likewise are viewed as intrusive. 

And yet advertising is a big business of perhaps $300 billion in annual revenue in the United States alone. But grumbling about targeted advertising seems to be growing in some quarters. The European Parliament is looking at legislation outlawing targeted ads using religious beliefs, sexual orientation and racial or ethnic origin.  

Facebook already does so. And Google is ending behavioral targeting. That means cross-site tracking will not happen, outside properties Google itself owns. 

Perhaps more important, many in the internet ecosystem--especially Apple--are moving to give consumers more control over ad tracking data. 

Apple will allow its users to opt in or out whenever an app wants to track a user’s activity across other companies’ apps and websites. 

source: Medium

And the trend has been underway for some time. Restricting use of third-party cookies provides one example. 

One way or the other, targeted advertising is going to change. Which also means advertising is going to change. But most of us likely do not believe there will be less advertising. It might be more private. 

Ads might be less effective. But who believes there will be fewer ads? Probably nobody. Not so long as advertising enables access to “free content” that people want. And not so long as firms still need to sell their products. 

source: Statista