Consumer manipulation through online behavioural advertising
Technological progress and the rapidly increasing abundance of consumer data have significantly changed the pervasiveness and effectiveness of online behavioural advertising (OBA). Although the marketing concept of OBA is versatile and holds great potential for companies, it also entails legal risks with regard to consumers’ privacy and autonomy. This article aims to describe the practice and technology of OBA. Then, it aims to outline the possible limits of consumer manipulation by OBA under Swiss law.
Table of contents
- I. Introduction
- II. Online behavioural advertising
- A. Definition
- B. Process of OBA
- 1. Data collection
- 2. Data storage
- 3. Data analysis
- 4. Data disclosure
- 5. Targeting
- III. Legal considerations
- A. OBA and the revised Federal Act on Data Protection
- 1. Do Swiss data protection regulations apply to OBA?
- 2. Data protection barriers to manipulative OBA
- 2.1. Does OBA collide with data processing principles?
- 2.1.1. Transparency and fairness
- 2.1.2. Purpose limitation and proportionality
- 2.2. Does OBA qualify as automated decision making?
- 2.2.1. Decisions usually based on profiling
- 2.2.2. Legal effects or a similar significantly impairment
- 3. Interim conclusion
- B. OBA and unfair competition
- 1. OBA as a particularly aggressive sales method
- 1.1. Does OBA qualify as sales method?
- 1.2. Does OBA impair consumers’ freedom of choice by being particularly aggressive?
- 2. OBA as unfair mass advertising
- 2.1. Does OBA qualify as mass advertising?
- 2.2. Does OBA have a direct connection to requested content?
- 3. Relying on the general clause of Art. 2 UCA as a safety net?
- IV. Conclusion
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