Digital Advertising Raising New Consumer Protection Issues

Published on July 29, 2025

by Jonathan Ringel

Digital advertising has become an integral part of the modern marketplace, with companies of all sizes investing heavily in online advertising strategies. With the rise of digital advertising, however, comes new consumer protection issues that must be addressed. As more and more consumers rely on the internet for their purchasing decisions, it is important that regulations and safeguards are in place to protect their rights and interests. In this article, we will explore the various ways in which digital advertising is raising new consumer protection issues and what can be done to address them.Digital Advertising Raising New Consumer Protection Issues

The Power of Digital Advertising

Digital advertising has transformed the way businesses reach out to potential customers. Through the use of various online platforms such as social media, search engines, and websites, companies can target their desired audience with precision and efficiency. This has greatly increased the reach and effectiveness of advertising efforts, allowing businesses to reach a larger audience at a fraction of the cost of traditional advertising methods.

However, with great power comes great responsibility. The extensive use of digital advertising has also brought about new challenges and concerns, particularly when it comes to consumer protection.

Transparency and Disclosure

Unethical Advertising Practices

One of the main issues surrounding digital advertising is the lack of transparency and disclosure of sponsored content. With the use of influencer marketing and native advertising, it has become increasingly difficult for consumers to distinguish between sponsored and genuine content. This can lead to deceptive advertising practices, where companies use influencers or native ads to promote their products without clearly disclosing that it is a paid advertisement.

This lack of transparency not only misleads consumers but also undermines their trust in the advertising industry as a whole. In order to protect consumers from deceptive advertising, proper disclosure guidelines and regulations must be put in place to ensure that sponsored content is clearly labeled and identified.

Data Privacy and Protection

Another major concern with digital advertising is the collection and use of personal data for targeted advertising purposes. With the use of tracking cookies and other technology, companies are able to gather a vast amount of data on consumers’ online behavior and interests. This data is then used to deliver targeted ads to specific individuals, which can feel invasive and intrusive to some consumers.

In recent years, there has been a growing concern over data privacy and protection, with major data breaches and scandals bringing this issue to the forefront. As such, it is crucial that companies follow strict guidelines and regulations when it comes to collecting and using personal data for advertising purposes. Consumers should have the right to know what data is being collected and have the option to opt-out of targeted advertising if they choose.

Protecting Vulnerable Consumers

Digital advertising also poses a threat to vulnerable consumers, particularly children and teens. With the rise of social media influencers and the widespread use of social media platforms, young consumers are constantly bombarded with advertisements that promote unrealistic beauty standards and unhealthy lifestyles. This can have a negative impact on their self-esteem and overall well-being.

Furthermore, children and teens are often unaware of the persuasive nature of advertising, making them more susceptible to manipulation and exploitation. As such, it is important that stricter regulations are put in place to protect these vulnerable populations from harmful advertising practices.

Conclusion

In conclusion, while digital advertising has revolutionized the way businesses advertise, it has also brought about new consumer protection issues that must be addressed. From promoting transparency and disclosure to protecting personal data and vulnerable consumers, it is imperative that proper regulations and guidelines are in place to ensure that consumers are not being deceived or exploited. As the digital landscape continues to evolve, it is important that the advertising industry keeps up with these changes and prioritizes the protection of consumer rights and interests.