Citation Edit

Digital Advertising Alliance, Self-Regulatory Principles for Online Behavioral Advertising (July 2009) (full-text).

Overview Edit

The DAA developed these Principles in an effort to forestall an effort by the FTC for new legislation to regulate online behavioral advertising. The self-regulatory program based on the DAA principles document was announced in October 2010.[1]

Under the Principles, online behavioral advertising (OBA) is defined as the practice of collecting

data from a particular computer or device regarding web viewing behaviors over time and across non-affiliate Web sites for the purpose of using such data to predict user preferences or interests to deliver advertising to that computer or device based on the preferences or interests inferred from such Web viewing behaviors.

The Principles require companies engaging in OBA to provide:

  • Transparency about data collection and use practices associated with OBA, providing consumers with clear, meaningful and prominent notice through multiple mechanisms.
  • Consumer Control over whether data is collected and used or transferred for OBA purposes, provided through easy-to-use consumer choice mechanisms.
  • Appropriate Data Security for, and limited retention of, data collected and used for OBA purposes.
  • Consent to Material Changes in an entity's OBA data collection and use policies for previously collected OBA information unless that change will result in less collection or use of the consumer's data.
  • Limitations on the collection of specified categories of Sensitive Data[2] for OBA purposes.

The Principles also provide for the education of consumers and businesses about OBA and how consumer choice and control may be exercised. Finally, the Principles provide for the establishment of accountability programs to monitor and seek compliance with the Principles by all companies engaged in OBA.

The Principles require all "third party"[3] OBA data collectors and advertising networks to use the DAA's Advertising Option icon to indicate compliance with the Principles and to timely inform consumers of and link them to a required web site notice and mechanism by which consumers can exercise choice concerning receipt of OBA. Third party data collectors and advertising networks are encouraged to use the consumer choice mechanism operated by the DAA, but may use an equally accessible alternative choice mechanism. If a third party does not provide the required notice and choice on a web site, the web site operator must do so.

References Edit

  1. See Better Business Bureau, Major Marketing/Media Trade Groups Launch Program to Give Consumers Enhanced Control Over Collection and Use of Web Viewing Data for Online Behavioral Advertising (October 2010) ([1]).
  2. As defined in the Principles, Sensitive Data includes personal information gathered from people known to be under the age of 13, and certain financial and health data.
  3. A third party is defined under the Principles as "an entity . . . to the extent that it engages in Online Behavioral Advertising on a non-affiliate's web site." It is distinguished from a "first party," which owns or controls the web site with which the consumer interacts.

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