Creepy Crawlers

"I understand that advertising supports the internet, but I am a little spooked out," says Senator Claire McCaskill in a New York Times piece by Miguel Helft and Tanzina Vega (8/30/10). She adds: "This is creepy." The senator is among several lawmakers considering regulations on "remarketing," or the practice of tracking consumer behavior online to serve up targeted ads. Zappos is among the most enthusiastic proponents of the practice, but it appears that some backlash may be brewing.

If you’ve ever shopped at Zappos, you may have noticed that items you viewed but didn’t purchase show up in ads on sites — YouTube, Facebook or MySpace — that you subsequently visit. "It’s a pretty clever marketing tool," says Julie Matlin, who found herself being followed around by a pair of shoes she had viewed on Zappos. "But it’s a little creepy, especially if you don’t know what’s going on." Julie was even more chagrined when she found out she was being followed by ads for a dieting service.

Aaron Magness of Zappos says that’s why each ad has a link to an explanation for it along with an opt-out option (which few apparently take advantage of). However, Joseph Turow of the Annenberg School says that simply telling people what’s going on isn’t enough. "When you begin to give people a sense of how this is happening, they don’t like it," he says. And Alan Pearlstein of Cross Pixel Media, suggests it’s overkill and thinks the approach could be more subtle by featuring general coupons versus specific items, for example. "What is the benefit of freaking customers out?" he says.