As US privacy regulations emerge, the talk about a move to more contextual targeting becomes more realistic. There are many nuances that can make it very hard for a brand to manage individual state privacy laws. For example, California defines a consumer as anyone living in its state, while Nevada’s more specific definition shows an intent to buy. Nevada also doesn’t require a data opt-in, while California does. These logistics affect data collection, data storage – redefining people as they purchase and opt in or opt out – and data targeting.
In a blog post confirming the move Chetna Bindra, senior product manager for user trust and privacy at Google, said: “This change will help avoid the risk that any participant in our auctions is able to associate individual ad identifiers with Google’s contextual content categories.”
Advertisers will no longer be able to access a feature that lets them see the content their ad bid will be placed on. This feature, called “contextual content,” lets advertisers get a better understanding of their demographic by seeing an example of the type of webpage that their content will appear on based on the demographic that they’ve targeted.
The Consumer Technology Association (CTA) estimates that spending on technology during the 2019 holiday season in the U.S. will reach $97.1 billion. Eyeota’s 2019 Consumer Electronics Holiday Shopping study reveals that interest in tech products continues to climb in the 2019 holiday season with 64% of U.S. consumers planning to purchase consumer electronics as a gift this year.
According to a Markets and Markets study, spend on contextual strategies is experiencing an upward trend, and is expected to be worth $297bn (£232bn) by 2023. In fact, in another report released in 2018 by GumGum, 49 per cent of advertisers in the US claimed to be already using contextual targeting.