Digiday Research: After GDPR, U.S. marketers are more worried about audience targeting limitations than fines
- Fifty-one percent of U.S. marketers’ biggest worry from GDPR is losing audience targeting capabilities.
- U.S. marketers are nearly half as likely to say being fined is their biggest GDPR concern compared to European marketers.
When the General Data Protection Regulation came into effect on May 25th earlier this year, some marketers — specifically those in the U.S. — were caught off-guard and were unaware the new regulations would apply to them. As marketers worked to understand what the future of advertising would look like in a post-GDPR world, key questions surrounding data usage, regulatory fines and legal obligations to users went unanswered.
In the run-up to GDPR, Digiday surveyed 46 U.S. marketers at the Digiday Programmatic Marketing Summit this past May to find out what their biggest GDPR concerns were. The majority of marketers were concerned by the heightened possibility that they would have a more difficult time targeting audiences. Massive fines certainly claim media headlines, but only 18 percent said that fines were their biggest concerns.
Marketers are right to be concerned over decreased targeting capabilities. Facebook and Google have already cut back on the data they share with marketers causing headaches. Meanwhile the resurgence of contextual ad targeting and rise of programmatic guaranteed deals give credence to the audience-targeting struggles marketers are encountering. Without the use of third-party data sources, marketers are forced to re-experiment with previously uncommon methods of reaching consumers.
However the real reason why U.S. marketers are more worried about audience targeting can most likely be attributed to their lack of concern over potential fines. Just over one-third of European marketers said fines were their biggest concern compared to the 18 percent of U.S. marketers. The lack of fear over potential fines by U.S. marketers could be due to a misguided belief or wishful thinking that European regulators either won’t levy charges against U.S.-based companies or lack the ability to do so, though both assumptions are wrong.
As evidence that European regulators can reach U.S. companies, marketers should be paying close attention to Facebook. The U.K. Information Commissioner’s Office just handed Facebook a $662,900 fine for failing to protect users data in the Cambridge-Analytica scandal. Had the data scandal happened after GDPR had gone into effect, the ICO could have fined Facebook up to 4 percent of their annual revenues.
U.S. marketers that aren’t worried about potential fines could also be thinking that there’s safety in numbers. The overwhelming majority of companies aren’t GDPR complaint. Therefore many U.S. marketers might reasonably expect there to be little chance of them being punished since every other company would need to be fined as well.
How gamers’ engagement with short-form video is changing
To better understand how modern gamers are engaging with short-form video, Digiday teamed up with Gamesight to pull key points from an exclusive report on gamers’ shifting video consumption preferences.
Inside SAG-AFTRA’s new deal with video platform Cameo
SAG-AFTRA and Cameo, the celebrity platform that connects talent and fans, have announced a new agreement that allows members to cover brand deals through Cameo for Business (C4B). Brands will be able to access more fan-favorite professional talent through SAG-AFTRA's health and pension plans.
Digiday+ Research: Extreme pessimism about the end of the cookie levels off among agencies
Agencies are still feeling out who they think the winners and losers will be as the end of the third-party cookie draws near, but they're doing so with notably less pessimism than they have in the past.
SponsoredHow agencies’ relationships with RMNs are continuing to evolve in 2023
This article is also available in Spanish. Please use the toggle above the headline to switch languages. Visit digiday.com/es to read more content in Spanish. Sponsored by Best Buy Ads As retail media networks proliferate, agencies are increasingly identifying RMNs as valuable opportunities for their brand clients as they seek quality audience data, meaningful reporting […]
Jose Cuervo Tequila celebrates UFC’s 30th anniversary with Kevin Holland, Stephen “Wonderboy” Thompson ads
Mexico-based Jose Cuervo, is the first tequila brand to be a direct advertiser of the UFC with spots featuring UFC fighters Kevin Holland, a Cuervo ambassador, and Stephen "Wonderboy" Thompson.
Benjamin Moore is using OOH near big-box retailers to say their paint isn’t there, encouraging people shop local
The 140-year-old paint brand wants to make sure people know that it is only available at local retailers.