Interest-Based Advertising (IBA)
or
Online Behavioral Advertising (OBA).
Founded in 2000, the Network Advertising Initiative (NAI) is the leading
self-regulatory association exclusively focused on third-party online
advertising.
With nearly 100 members, just about every Internet ad
served in the US involves the technology of one or more NAI companies.
These third-party services are crucial for a diverse Internet ecosystem
and digital economy as they help to facilitate the dynamic, free,
ad-supported Internet that consumers love and expect. But privacy and
consumer trust are also crucial.
The NAI's role, therefore, is to ensure
the health of the online ecosystem by maintaining and enforcing high
standards for data collection and use in online advertising.
With buy-in
and support from our member companies, the NAI sets the bar for online
privacy through a body of self-regulatory policies – the NAI Code – and
through a robust compliance enforcement program that helps members live
up to our high standards, but holds them accountable when they don't.
Online Advertising is a broad term used to describe the paid
advertising that publishers put on their websites to enable them to
provide you content and services for free.
But what most people hear
about is a specific type of online advertising that is tailored to your
likely interests by companies promoting their products or services.
This
is known as Interest-Based Advertising (IBA) or Online Behavioral Advertising (OBA).
Interest-Based Advertising is why you see ads that are relevant to you.
With this type of advertising, NAI member companies and advertisers collect information across some of the sites you visit.
They then use this information to try to predict what ads might be the most interesting to you.
Essentially, the free content you enjoy may be used to help serve ads
that you would find more meaningful, informative, and interesting, than
would the guy sitting next to you.
Reading an article about travel?
You’ll probably see ads for travel shortly after.
Check out a musician’s
website? You might get some ads for music popping up soon too.
Interest-Based Advertising doesn’t depend on information that may be
personally identifiable to you such as your name, phone number, Social
Security number, etc.
In fact, most third-party companies don’t want to
know who you are for Interest-Based Advertising. They only want
to link interest categories (loves travel) or demographic data (male
under 30) with your browser so that they can serve up relevant ads.
Of
course, different companies use different methods of Interest-Based
Advertising.
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