IAB Data Privacy Study: 80% of U.S. consumers prefer free internet access supported by ads

A new IAB data privacy study validates the consumer value exchange and shows that privacy and personalization can co-exist. Over 80% of U.S. consumers now recognize the importance of a free and open Internet, and understand advertising’s roles in fueling it. They agree sharing personal data in exchange for access is fair, and prefer the level of personalization that the sharing provides.

“This study validates and builds upon what we heard from consumers during our 2024 survey. Personalization and privacy can co-exist and benefit both consumers and the growth of the free and open internet,” said David Cohen, CEO, IAB. “Consumers understand the advertising value proposition and are willing to share their data to enable a personalized experience.”

The study, “Striking the Balance: The Consumer Perspective on Privacy, Preference, and Personalization,” conducted by IAB leveraging its Insights Engine (powered by Attest) and in partnership with Talk Shoppe, reveals that awareness and support of data privacy laws in the U.S. and abroad are growing but education is needed.

The report shows that consumers with privacy rights prefer ads personalized to their interests. 86% of U.S. consumers agree websites/apps are free because of advertising; 82% agree personalized ads help them discover products and services they’re interested in; 80% prefer ads for products or services they’re interested in or shopping for, and 79% feel more positive toward brands/retailers that tailor their ads based on their preferences

“As the U.S. considers a comprehensive and preemptive national privacy law,” continued Cohen, “we hope legislators will balance a robust set of privacy rights focused on high-risk areas while continuing the benefits to consumers of a free and open internet.”

Some of the report’s findings include: 80% of U.S. consumers are concerned about their data being used for criminal activity, which highlights the importance of data security, especially with regard to sensitive data. Only 2% of consumers are concerned about use of their data for personalized advertising.

Additionally, 70% of U.S. consumers are familiar with current state-level data privacy legislation, and a majority of them perceive the laws to be effective. However, only 40% know they can access/delete collected data. 60% find current privacy management complex, confusing, and inconvenient.