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Charter Uses NebuAd to Test Targeted Ads
US cable operator Charter Communications has partnered with behavioral targeting firm NebuAd to test its ability to provide targeted ads to its customers.
Charter is to supply NebuAd with the web-surfing behaviors of these customers, and in return, NebuAd will provide targeted advertising against that data. The partners say customer information is not shared: the system tracks URL information anonymously and uses it to build a model that infers the customer's interests based on URLs visited.
The kind of data NebuAd aggregates includes web search terms, page views, page and ad clicks, time spent on specific sites, zip codes, browser info and connection speed. From this information, the firm is able to create a map of interest categories such as auto, finance, education and so on. As a result, for example, if a user visits the Honda, Toyota and Ford web sites, the system deduces that the end user is shopping for a car and serves up relevant ads.
In advance of the test, the firm conducted a series of focus groups to help understand whether this technology adds value to clients' Internet experience. The firm says that feedback indicated that customers understand that advertising is part of the Internet model, and appreciate that ads are being served according to their interests or potential interests.
Charter says a percentage of its 2.7 million high-speed Internet customers received notification of the test, and those who did not want to participate were given the option to opt out of the exercise. Companies are treading more warily after some high-profile complaints surrounding targeted ads: earlier this year, UK telecoms giant BT faced a possible lawsuit after it admitted using business customers' data without permission, in a trial by analytics ad-serving company Phorm.
Web sites: www.charter.com and www.nebuad.com .
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