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by TrianguloY
1959 days ago
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Ideally ads should be like a recommendation system. If you want to buy a hard drive, the 'best' ads should be of hard drives that suits you, either because of their price, their features, or whatever you personally want. In order to build this profile, the recommendation system should know you, your data. Lots of recommendation systems exists, and those who's first objective are users seems the best ones (preferably if they are offline so your data is not shared). But what about an ad? By definition it's something someone pays to be shown. When Google shows you targeted ads, they aren't showing you the best ads for you, they are showing you the best ads of those companies who paid for it (and probably the price influences its ranking). The user is not the first objective. In an ideal world, personalized ads wouldn't be called ads, and would be like having an assistant. You want a hard drive? Here is the best hard drive for you, or a list if you prefer, and then you buy it and the company earns your money. In the current world, that's far from the reality. |
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It starts with a seller, who wants to sell this hard drive, no matter what, and then pays to find a buyer. Targeted advertising is a false promise that if the date of birth, sexual orientation, political preference, and the favourite color of everyone are known, the advertiser can somehow find buyers for a smaller fee. Indeed, most of the hard drive buyers are older than 20 and like women. There's a correlation to exploit.
This business model is completely backwards in the digital age. What is possible now, instead of profiling people, Google/Facebook/Amazon could have been profiling products, sellers, their supply chains, organize information, build knowledge graph, and rather than profit from a seller pushing their message, they could have took a commission for finding just the right hard drive for everyone, no matter what color they like.
The point is profiling sellers and their products is a harder problem than scamming and nudging unsuspecting users. We all know how great Amazon search is. Targeted advertising on the other hand is just the same as print era advertising but cheaper.