Adtech, the umbrella term for the software and tools that help agencies and brands target, deliver, and analyse their digital advertising efforts, is under fire. Critics argue that it’s not only intrusive but also ineffective. Adtech’s biggest problem is that it’s based on tracking people’s online behaviour, which is a violation of privacy. This has led to a rise in ad blocking and a decline in ad effectiveness.
Brands are now being urged to abandon adtech and return to old-fashioned, relationship-based advertising, which respects the customer’s privacy. The suggestion is that brands should focus on building direct relationships with customers, rather than relying on third-party data and tracking.
Adtech’s second major flaw is its lack of transparency. The complex system of bidding and ad placement makes it hard for brands to know where their ads are being placed and who is viewing them. This has led to instances of brands inadvertently funding hate speech or fake news sites.
In short, the call is for a return to a more ethical, transparent, and effective form of advertising that respects the customer’s privacy and delivers a better return on investment for brands.
Go to source article: http://blogs.harvard.edu/doc/2017/03/23/brands-need-to-fire-adtech/