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Business Technology

On tracking transparency

My good friend and former colleague, Adam Tuttle, shared this article today about tracking cookies.

I think it’s worth a read as I think it does show the digital advertising industry sincerely grappling with a future where tracking is more constrained.

I think this makes a good point:

“As an advertising industry, we’ve done a very poor job of communicating to the end user as to why we’re tracking them, and why this is beneficial. Few consumers understand how any of this works, and with lack of understanding it’s simple to just say no and block it.”

Bill Tucker, Group EVP, Association of National Advertisers & Executive Director, The Partnership for Responsible Addressable Media.

This is absolutely true. I think the marketing/advertising industry has looked at tracking with an intense amount of entitlement (dare I say “privilege” even). Opposition to tracking is often seen as a nuisance that the industry often rolls its collective eyes at.

But truthfully, tracking is a matter of consent. Something many marketers are ambivalent about. (See also: spammers.)

Businesses have rarely had to make the case to consumers as to how being tracked benefits the consumer. These tools and campaigns are often run by outside agencies/companies or departments mainly concerned with showing a great ROI, not customer happiness.

The question becomes, really, IS tracking actually beneficial to consumers?

Can you make a strong argument that blocking cookies/tracking is a harm to consumers?

The defense I often hear from those in the industry that targeted ads are better for consumers than regular ads. Are they? That feels like a false equivalency to me. Do we know customers want to see ads at all? 

Another twist on this I’ve heard recently has been that people would have to spend more time searching for things to buy were it not for targeted advertisement. That, to me, is also a false equivalency.

I know it’s heretical to say, but if consumers never learn about these goods and never buy them, are they really missing out? How many of these things we have advertised to us are things we actually need? How much are these goods really making people happy? Make that case to me. 

Now, I see some validity in the argument of tracking being used to support journalism. But consumers tend to think/act in the short term, so I think it’s a hard pitch to make to many. Additionally, paywalled/subscription content is becoming more accessible and successful than ever. We’re seeing strong evidence that people are willing to pay for quality content. 

As ActiveCampaign CEO Jason VandeBoom once said:

“The best marketing experience is one the person being marketed to enjoys.” 

Jason Vandeboom, CEO, ActiveCampaign

If marketing as we know it wants to survive, it needs to adapt or convince consumers that the benefits of tracking outweigh the perceived cost. But I think, if even the best marketing professionals in the world are struggling to make that sound sexy, that speaks for itself.

Categories
Business Pop culture Technology

Facebook’s GIPHY acquisition is evil genius.

I’ve seen a decent amount of bewilderment as to why Facebook would spend $400, 000 on an acquisition of GIPHY.

Honestly, I find it surprising that so many people would be confused by this because truthfully, it’s a brilliant strategic move.

To understand why, one only needs to look at all the ‘Like’ and ‘Share’ buttons that litter the web currently.

Even when you’re not using Facebook, every ‘Like’ and ‘Share’ button on the web uses browser cookies, IP addresses, and a host of other methods to track your behavior. These embedded pixels monitor almost your entire browsing experience and report it back to Facebook, who then uses it to profile you to better target ads at you.

But as Facebook CEO Mark Zuckerberg himself has pointed out:

“I believe the future is private,”

https://www.wired.com/story/f8-zuckerberg-future-is-private/

This is remarkably prescient and brilliant positioning. Because from a PR perspective, it makes it seem like Facebook is moving towards caring about privacy, when that is not really what he means at all.

In the last few years, we have seen the rise of tools like Slack and Discord to communicate and organize. These are perceived as “private” communities to users. And they represent a challenge for Facebook because our behavior in them is cut off from their data mining.

For Zuckerberg, “the future is private” is a challenge the company faces, not a business opportunity. Facebook’s continued growth requires a way to peer into our private communities.

So how do you find a way to track things that go on inside those walled gardens?

Same way you would the web: Tracking pixels.

And who has a large market share of image files embedded in closed chat conversations and “private” communities?

GIPHY.