New Study by MAGNA & Brave Shows That Consumers Are More Likely to Support Brands in Ad Environments Where They Have Control

by Jul 21, 2021Community, Community, New Features, Security & Privacy

Study finds that three in four people find privacy protected ads and the option to control the number of ads they see daily appealing

A new study released today by MAGNA and privacy browser Brave, “Delivering Ad Experiences People Want: Challenging the ‘Status Quo’ Ad Value Exchange,” explored how people really feel about the ‘status quo’ ad value exchange, where people receive free content in exchange for being served ads, along with traditional ad tracking. The study found that most people (80%) feel the trade-off is a one-way street. While most people, including Gen Z and Millennials, understand the role online ads play, the majority report negative feelings about ad load (67%) and ad tracking that feels creepy (70%). For this study, MAGNA partnered with Brave, a web browser with a global advertising platform built for privacy that rewards people for their attention.  

The study’s main objective was to find out how people really feel about online advertising today, if the ‘status quo’ ad value exchange can be improved, and how well ads can perform in an alternative ad value exchange. The methodology was two pronged.  It consisted of an online survey with 1,005 responses among the general population to gauge attitudes towards advertising and various ad value exchanges.  In addition, the research included five ad effectiveness studies across MAGNA campaigns that ran on Brave.  These surveys included 10,218 respondents and measured brand impact among people exposed to Brave’s privacy respecting ads (that don’t rely on third party cookies). The ad effectiveness testing spanned both US and Canadian markets, measuring ads for a range of brands, including American Express in Canada, and Canada Dry, MINI, Energizer and Simple Mobile in the US.

“The results of the Brave trial underscore the interplay between a compelling value exchange and an authentic approach to consumer privacy and preference,” said Arielle Garcia, Chief Privacy Officer, UM Worldwide. “Consumers are increasingly attuned to the dynamics of the ad-supported internet, and aware of how their data is used to deliver personalization. Empowering people by giving them more control over how their data is used and greater choice over their online ad experience work hand-in-hand to engender trust – the foundation of a fair value exchange.”

Additional findings of the Brave and MAGNA study include:

  • Ad tracking and ad load are palpable: People understand the importance of online ads, but incessant tracking and ad load are a considerable issue. The majority (67%) of people feel bombarded by the number of ads on the internet and well over half (60%) feel that they are constantly being tracked by advertisers online.
  • Outright ad blocking isn’t the answer: The study found more control (79%) is preferred over outright ad blocking (73%). In addition, 72% of people felt online ads that are presented separately from web content at a convenient time were just as preferred as no ads at all.
  • More user control is good for marketers: If people could control their ad load online, 81% reported they would consider taking positive steps that are good for the advertising industry as a whole, including using more ad supported websites without paying for content (66%), support brands they see ads from (61%), and even spend more time online (60%).
  • A safe environment allows for high ad interaction: All four brands that participated in the research found 61% to 74% interacted with their online ads when run in a browser offering more control over ad load in a privacy safe environment. 
  • Privacy respecting ads yield results:  MAGNA advertisers who partnered with Brave saw significant increases in key branding metrics including brand association (+15%-+17%), intent to research products online (+30%) and purchase intent (+9%).   

“We know that Brave users are more receptive to our privacy-based ads based on their high engagement,” said Donny Dvorin, Brave’s Head of Sales. “This study confirmed both consumer acceptance of Brave’s advertising model and that Brave’s unique approach to advertising drives real business outcomes across many product categories.” 

The full study can be found at brave.com/magna-brave-delivering-ad-experiences-people-want.

About Brave:

Brave Software’s fast, privacy-oriented browser, combined with its blockchain-based digital advertising platform, is reinventing the Web for users, publishers, and advertisers. Users get a private, speedier web experience with much longer battery life, publishers increase their revenue share, and advertisers achieve better conversion. Users can opt into privacy-respecting ads that reward them with BAT (Basic Attention Token), a frequent flyer-like token they can redeem or use to tip or contribute to publishers and other content creators. The Brave solution is a win-win for everyone who has a stake in the open Web and who is weary of giving up privacy and revenue to the ad-tech intermediaries. Brave currently has over 33+ million monthly active users and over 1 million Verified Publishers. Brave Software was co-founded by Brendan Eich, creator of JavaScript and co-founder of Mozilla (Firefox), and Brian Bondy, formerly of Khan Academy and Mozilla.

For more information, visit brave.com or follow the company on Twitter @brave.

About MAGNA:

MAGNA is the leading global media investment and intelligence company. Our trusted insights, proprietary trials offerings, industry-leading negotiation and unparalleled consultative solutions deliver an actionable marketplace advantage for our clients and subscribers.

We are a team of experts driven by results, integrity and inquisitiveness. We operate across five key competencies, supporting clients and cross-functional teams through partnership, education, accountability, connectivity and enablement. For more information, please visit our website: https://magnaglobal.com/ and follow us on LinkedIn and Twitter.

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