• by Wendy Davis  @wendyndavis, April 14, 2010

As part of an attempt to demonstrate that the online industry can protect consumers' privacy, the Interactive Advertising Bureau and Network Advertising Initiative have issued technical specs for new behavioral targeting icons.

Mike Zaneis, vice president of public policy for the IAB, says the release of technical specs marks a major step toward the industry-wide goal of providing consumers with clear notice of targeting techniques. "We are beginning to revolutionize the way data is delivered to consumers for behavioral advertising," Zaneis says. "The entire industry will now provide real-time in-ad notice to consumers."

The specs spell out how ad networks and other companies can use metadata tags that include details about who served particular ads and how to opt out of behavioral targeting.

The industry groups have not yet released creative specs for the icons, but probably will recommend that they appear in the upper right-hand corner of ads, Zaneis says.

The icon itself -- an 'i' in a circle -- will appear when companies use data about consumers to serve them with ads. The icons were developed by the industry-backed think tank Future of Privacy Forum and WPP's Ogilvy.

The icons are critical to Madison Avenue's attempts to convince lawmakers that no new privacy regulations are needed. The Federal Trade Commission said last year that it supports industry self-regulation for now, but that companies need to improve their efforts to inform consumers about online tracking and how to opt out.

Currently, many companies use privacy policies to notify people about tracking and behavioral targeting, but those policies often are seen as too lengthy and dense to effectively communicate.

Divisions of Interpublic Group, Omnicom and WPP, plan to test the icons within a few weeks. Cadreon, a buying platform of Interpublic Group's Mediabrands, will include the icon in a campaign for Microsoft, while WPP's MediaCom, MEC and Mediaedge will deploy the icons in three ad campaigns.

Meanwhile, Rep. Rick Boucher (D-Va.) is expected to introduce a privacy bill later this month that would regulate online advertising.