Mark Zuckerberg’s Delusion of Consumer Consent
nytimes.com
nytimes.com
They ASKED users what they wanted.
If you've every done anything with behavioral analysis online you'll quickly learn that users say they want one thing and then often behave the exact opposite.
First. If you ask users if they would use a site that has ads, the percentage that say they don't want ads (which is probably a majority) are also the same ones that won't pay for the site.
This is a demonstration of consumer irrationality. It's usually either A or B.. not neither A nor B.
There are basically three main revenue models online:
1. ads. 2. paid content. 3. you're the product.
Now #3 might not ALWAYS be bad. Duolingo for example can use the feedback they get from users using the app to improve the service and some users DO pay to remove the ads. When you're using it in a freemium capacity you're actually paying to help train Duolingo.
With Facebook they're mostly #3...
A better way to do this would be behavioral analysis.
The first is to find out if consumers want ads or would they rather pay for a service directly.
The answer is overwhelmingly in favor of them NOT paying directly. They would rather be the product or see ads.
Don't believe me? Do you see any social networks that charge money? There are some somewhat freemium platforms like Wordpress (which still has ads) but for the most part the vast majority of the revenue online does not come directly from consumers.
Now... do users want customized ads?
Again. The data is overwhelming here.
Between two ads, one tailored to the user , and another random ad, the more targeted it is the greater conversion rate.
Then people don't do what they want. Because they're weak-willed and/or being manipulated.
If you give someone cake and they eat it, does that indicate that they want to be fat?
So consumers want a free lunch. It may not be logical from a site owner's perspective, but it makes sense to consumers.
Note that users never visit websites that don't exist.
Websites that run ads actually exist and are profitable.
By visiting the sites they're admitting that this is what they "want" ...
It's a weird definition of "want" but consumers are being irrational.
They say they don't want ads but they constantly go to sites that offer ads.
If you ask them do they want Facebook spying on them they say no yet the line up to give their data to companies that are spying on them.
Also, between two ads, if the user does click on an ad they click on the better targeted ad. So by definition they like targeted ads.
We want the sites that offer the info we seek. Ads come and go, and when they get obnoxious we complain. Of course we do.
Services like Evernote have < 5% of the userbase paying.
It won't happen and they'll keep shifting and never be able to keep up with their expected growth as people abandon them over the next 10 years. I'm pretty sure they don't care and the point of their platform is international psyops and piles of gross data bucks.... It is possible that they could find a soul and do something interesting instead of predictable and lame.
The problem here is that Facebook squandered any possibly remaining trust in the company with their constant shenanigans.
My assumption nowadays is that when Facebook does anything it's hostile towards their users and only good towards their bottom line
A further assumption of mine is that whenever a Facebook spokes drone opens her or his mout they lie.
And whenever you think this foul and disgusting pustule of a company has reached the height of depravity they come up with an even worse surprise to prove you wrong and that they can behave in an even worse manner.
So Facebook claiming that they won't track me in exchange for money to me would be uttely untrustworthy.
Key takeaway: don't be proud of hijacking consumer irrationality.
At this point, I feel like they are just abusing the situation and writing everything like Facebook did yet another more terrible thing.
Facebook has a recognizable face that can make statements that can be critiqued, the ill-defined "many other companies" do not. Focusing on Facebook make the issue easier to understand, but the issues raised apply to all targeted advertising companies that try to justify themselves to consumers.
Then they should also mention that in their articles. Because in the existing form, for a not techie people it sounds like _only_ Facebook has been doing this and that's not the case.
"Many other companies" includes Google, Twitter, Ad networks like Adroll etc. I don't think there is a need to list all of them in here :)
x 64% of Americans say their likelihood of voting for a candidate they support would decrease (37% say decrease a lot, 27% say decrease somewhat) if they learn a candidate’s campaign organization buys information about their online activities and their neighbor’s online activities—and then sends them different political messages it thinks will appeal to them. [This activity is common during the 2012 election.]
Nowhere in the survey did they ask "would you rather see targeted ads or random ads?"
The results are still somewhat surprising, as clearly voters are not backing up these numbers at the polls.
35 points in 34 minutes was #1 now #17.
That's the case that Zuckerburg is making. However he goes further and effectively says "...and this level of personalization is what people have told us they want."
Now this NYT piece says that, in fact, people have explicitly said they don't want that.
Doubly so when they understand what it takes to get that level of personalization. So the conversation is important, and I think people need to make it with clear eyes.
[1] https://medium.com/@andrewkemendo/artificial-intelligence-an...
Finally, Z has no delusions. He knows exactly what FB is, as well as what (and then some) the masses will be willing to forfeit in order to bolster FB's bottom line.
I believe it's valuable to society that FB is revealed as the advertising giant they are, but there are other companies with their fingers in the pie that should be treated similarly - maybe our bandwidth just isn't sufficient to sustain negative coverage against multiple targets, that actually wouldn't surprise me.
- Traditional online media has been looking for an online advertising giant to attack for a while, Facebook was the first to be involved in a national scandal (Google is bigger but they're "Not Evil"). They want to regain some control of their advertising income
- Democrats blame Facebook for electing Trump
- Republicans blame Facebook for moderating from the left (doesn't help Zuckerberg was courting the Clintons and actively assisting her during the election).
- Privacy advocates want a focal point for the issue of online privacy and data mining.
The real question is: who doesn't hate Facebook right now?
I'm shocked that shareholders have kept him around - his personal brand is a huge liability for the company.