The federal government appears ready to give a measure of control to individuals on how their personal information is used in direct marketing and advertising.
The government, in its response to the Privacy Act Review Report, agrees to 38 of the 116 proposals, agrees in principle to 68, and “notes" 10.
The review itself set off a firestorm of commentary with industry bodies highlighting how the proposed changes would affect advertising, marketing and media.
The government has now agreed in-principle (proposal 20.2) that individuals should have a right to opt-out of their personal information being used or disclosed for direct marketing purposes, subject to refining the definition of direct marketing.
To prevent individuals from losing control of their information, the government agrees in-principle that consent be required in order to trade an individual's personal information (proposal 20.4), subject to refining the scope of what is considered to constitute “trading”.
There was strong support in submissions for distinguishing between more traditional forms of direct marketing such as email and SMS and the targeting of personalised content and advertising online.
The government agrees in-principle to defining direct marketing, targeted advertising, targeting and trading.
The 2023 ACAP survey indicated that 88% of Australians consider online tracking, profiling and targeted advertising to vulnerable individuals (such as gambling companies targeting gamblers) and 87% of Australians considered that sale of personal information, or trading in personal information to not be fair and reasonable.
More than eight out of ten (84%) Australians consider targeted advertising based on sensitive information (such as health information, racial or ethnic origin) to not be fair and reasonable and 69% consider online tracking, profiling and targeted advertising to adults based on personal (but not sensitive) information to not be fair and reasonable.
ADMA (the Association for Data-driven Marketing and Advertising) says proposal 20.3 “requiring an unqualified opt out of receiving targeted advertising” is one of the noted proposals which means it is unlikely to go ahead.
“ADMA has been very vocal about its hope that Proposal 20.3 would not progress as drafted due to its potential negative impact on the industry,” says ADMA.
“There are however still other concerns for marketers around targeted advertising in the Government's response.
“Marketing teams need to get ready now as the government has committed to introduce privacy legislation in 2024. This is much sooner than some were expecting.”
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