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Wednesday, May 19, 2010

Study: Privacy Regulation Reduces Ad Effectiveness

Empirical findings from a recent study of banner advertising in Europe suggest that "even moderate privacy regulation does reduce the effectiveness of online advertising." The paper was authored by two marketing professors - Avi Goldfarb (University of Toronto) and Catherine Tucker (MIT).

Online privacy laws are not yet as restrictive in the U.S. as in Europe. Potential implication: tightening of online privacy laws will restrict ad targeting and effectiveness.

For a copy of study, go to the following link and click "One-Click Download":

http://bit.ly/bMayjI