A Startup Wants To Pay You To Share Your Data For Advertising (wsj.com) 47
®Yahoo co-founder Jerry Yang (through his AME Cloud Ventures) contributed to $6 million in seed funding in November for startup Caden, which plans to pay users to share their personal data -- including what they buy or watch on mobile apps.
The Wall Street Journal reports: The startup, Caden Inc., operates an app by the same name that helps users download their data from apps and servicesâ"whether thatâ(TM)s Amazon.com Inc. or Airbnb Inc. â"into a personal âoevault.â Users who consent to share that data for advertising purposes can earn a cut of the revenue that the app generates from it. They also can access personal analytics based on that data....
Caden, which has been testing with a limited group of users, plans to begin a public beta test of 10,000 users early next year.... One option in the public beta test will anonymize and pool the data before sharing it with outside parties in exchange for $5 to $20 a month, according to Caden founder and Chief Executive John Roa. The amount of compensation will be determined by a âoedata scoreâ reflecting factors such as whether consumers answer demographic survey questions and which apps and servicesâ(TM) data consumers are sharing. Consumers will eventually be given the option to share more specific information for more tailored advertising. A marketer could then form audience segments and tailor their ad targeting and messaging to those groups. For instance, a user could consent to sharing his ride-share history so advertisers could create segments of people who ride a certain amount. That would eventually pay consumers up to $50 a month, Caden said.
A third option would let advertisers take a direct action based on the data that Caden understands about a specific user. If a consumer were part of a department storeâ(TM)s loyalty program, for example, the store might reward her for sharing her individual Amazon shopping history and use it to provide more personalized offers.ÂThat could generate thousands of dollars a year for participating users, the company said.
 Caden also hopes that the data it can aggregate will be compelling for consumers. Users could search for restaurants theyâ(TM)ve eaten at in a certain city, for instance, or how much they spent in certain categories across different apps, executives said. âoeItâ(TM)s like Spotify Wrapped for your whole life,â said Amarachi Miller, Cadenâ(TM)s head of product, referring to the streaming music serviceâ(TM)s year-end distillation of each userâ(TM)s listening....
Caden said it will initially sell only anonymized and aggregated data that doesnâ(TM)t tie back to individuals. As it starts to let brands do more personal promotions for users, it said it will let users see which brands and partners itâ(TM)s working with, and will let users control which brands can access their information.
The digital ad industry has been seeking new marketing-guiding data, the article points out, especially since Apple began require apps to ask for permission before tracking users.
Thanks to Slashdot reader guest reader for sharing the article.
The Wall Street Journal reports: The startup, Caden Inc., operates an app by the same name that helps users download their data from apps and servicesâ"whether thatâ(TM)s Amazon.com Inc. or Airbnb Inc. â"into a personal âoevault.â Users who consent to share that data for advertising purposes can earn a cut of the revenue that the app generates from it. They also can access personal analytics based on that data....
Caden, which has been testing with a limited group of users, plans to begin a public beta test of 10,000 users early next year.... One option in the public beta test will anonymize and pool the data before sharing it with outside parties in exchange for $5 to $20 a month, according to Caden founder and Chief Executive John Roa. The amount of compensation will be determined by a âoedata scoreâ reflecting factors such as whether consumers answer demographic survey questions and which apps and servicesâ(TM) data consumers are sharing. Consumers will eventually be given the option to share more specific information for more tailored advertising. A marketer could then form audience segments and tailor their ad targeting and messaging to those groups. For instance, a user could consent to sharing his ride-share history so advertisers could create segments of people who ride a certain amount. That would eventually pay consumers up to $50 a month, Caden said.
A third option would let advertisers take a direct action based on the data that Caden understands about a specific user. If a consumer were part of a department storeâ(TM)s loyalty program, for example, the store might reward her for sharing her individual Amazon shopping history and use it to provide more personalized offers.ÂThat could generate thousands of dollars a year for participating users, the company said.
 Caden also hopes that the data it can aggregate will be compelling for consumers. Users could search for restaurants theyâ(TM)ve eaten at in a certain city, for instance, or how much they spent in certain categories across different apps, executives said. âoeItâ(TM)s like Spotify Wrapped for your whole life,â said Amarachi Miller, Cadenâ(TM)s head of product, referring to the streaming music serviceâ(TM)s year-end distillation of each userâ(TM)s listening....
Caden said it will initially sell only anonymized and aggregated data that doesnâ(TM)t tie back to individuals. As it starts to let brands do more personal promotions for users, it said it will let users see which brands and partners itâ(TM)s working with, and will let users control which brands can access their information.
The digital ad industry has been seeking new marketing-guiding data, the article points out, especially since Apple began require apps to ask for permission before tracking users.
Thanks to Slashdot reader guest reader for sharing the article.
Re:Sure (Score:5, Insightful)
"Caden will give consumers a range of choices about sharing their data, including how it is shared and for what purpose"
I choose this option: I'm not giving you anything and your scam company can fuck off and die.
Re: Sure (Score:1)
Exactly this!!
Should be how all personal data is treated from the beginning: personal. With the option to sign up for selling it, for those who opt-in. And scrap all the rest of the computational and transactional overhead.
Sure, lots services would require subscription. Nothing wrong with that, that's totally in line with the philosophy of the opt-in requirement to sell ones personal data.
That would also make it illegal to sell anyone's personal data once signed up for a service.
In such a world, I might pro
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And why are you propagating the vacuous Subject from the vacuum-brained AC?
Anyway, it's an old idea. My version from about 20 years back was based on mediated email and included shopping lists for the products you actually wanted. Reputable business would be bidding for my attention based on the stuff I actually want to buy, but the company in the middle would be strongly motivated to protect my privacy to protect their own cut of the proceeds. And also strong motivated to block all the spammers. Why should legitimate companies have to compete with free BS?
Next extension was for competing companies based on such parameters as the fraction of the auctions going to me and how aggressively the middleman can find potential sources for that stuff I wanted to buy. And some fancy features to detect attempts to manipulate my decision processes? What? You mean I'd still be worried about slimy advertisers? Hell, yes.
Which factor is more relevant? That I managed to push the trolls' "censor" buttons? Or that they lack any capability to respond in any substantial way?
Hmm... In the first place is it worth the effort to try to figure out which button? Naw. Not worth it. Can't even think of anything of low enough value to compare with them... What's a mustard seed worth?
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What's scammy about a company paying you for something that clearly has value? I mean if your personal information didn't have value most of the internet wouldn't be able to offer you the services you want.
Funny you mention this being a scam as well. This kind of company predates the computer. My mother used to sign up to and get paid to fill out surveys about her shopping habits.
Scam != things you personally don't like.
Those are 1960s prices Re:Sure (Score:1)
At a minimum, you should hold out for ONE HUNDRED BILLION DOLLARS, plus inflation since 1997 [imdb.com].
Even that might be a bit on the low side.
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They'll buy from someone cheaper.
Don't you understand how capitalism works?
Even your "laughing price" is highly informative, because they'll know how many people settle for a lower "laughing price", and your refusal would still be a datum in constructing the probability distribution. Not a particularly important datum, but a datum nonetheless.
The WSJ article minus the Apple garbage characters (Score:4)
A startup backed by an internet-search pioneer wants to give cash to users who share personal data including what they buy or watch on mobile apps.
The startup, Caden Inc., operates an app by the same name that helps users download their data from apps and services—whether that’s Amazon.com Inc. or Airbnb Inc. —into a personal “vault.” Users who consent to share that data for advertising purposes can earn a cut of the revenue that the app generates from it. They also can access personal analytics based on that data.
The idea of giving consumers a cut of whatever brands might pay to reach them isn’t new, but it has been reinvigorated as outside companies have found it harder to harvest and share so-called third-party data. The digital ad industry has been seeking new sources of the consumer data that guides online marketing efforts as traditional tracking techniques have come under pressure. A new Apple policy last year requires apps to ask permission to track users, for example, permission that many people have declined to give.
Caden, which has been testing with a limited group of users, plans to begin a public beta test of 10,000 users early next year. The company last month closed a $6 million round of funding led by seed-stage venture-capital firm Streamlined Ventures and including Yahoo co-founder Jerry Yang through his venture firm AME Cloud Ventures.
“The team is uniquely focused on trying to solve one of the dilemmas of the internet: the exchange of consumer data for ‘free access’ to services, apps, and websites,” Mr. Yang said. Consumers have typically had little or no control over how their data is collected and who it is sold to, he said.
Caden will give consumers a range of choices about sharing their data, including how it is shared and for what purpose, it said.
One option in the public beta test will anonymize and pool the data before sharing it with outside parties in exchange for $5 to $20 a month, according to Caden founder and Chief Executive John Roa. The amount of compensation will be determined by a “data score” reflecting factors such as whether consumers answer demographic survey questions and which apps and services’ data consumers are sharing.
Consumers will eventually be given the option to share more specific information for more tailored advertising. A marketer could then form audience segments and tailor their ad targeting and messaging to those groups. For instance, a user could consent to sharing his ride-share history so advertisers could create segments of people who ride a certain amount. That would eventually pay consumers up to $50 a month, Caden said.
A third option would let advertisers take a direct action based on the data that Caden understands about a specific user. If a consumer were part of a department store’s loyalty program, for example, the store might reward her for sharing her individual Amazon shopping history and use it to provide more personalized offers.That could generate thousands of dollars a year for participating users, the company said.
Caden also hopes that the data it can aggregate will be compelling for consumers. Users could search for restaurants they’ve eaten at in a certain city, for instance, or how much they spent in certain categories across different apps, executives said.
“It’s like Spotify Wrapped for your whole life,” said Amarachi Miller, Caden’s head of product, referring to the streaming music service’s year-end distillation of each user’s listening.
Mr. Miller said two early groups that have shown interest in the app have included tech early adopters and couponers, a group of consumers that are savvy about rebates and deals, who hope to use the app as a passive income tool.
But any app that’s successful in the space will need to win over all sorts of consumers and keep them coming back in order to give marketers a compelling amount of data,
Hmmm lets see... (Score:3, Interesting)
Advertisers already proved they can not be trusted, they will assume they have ALL the rights once they pay you anything.
so...its a "Go F*ck yourself" from me.
I am sure your domain will end up in Pi-Hole at some stage.
Re: (Score:2)
Thinly-veiled treason. (Score:2)
Hint for the dumb ones: It's only worth this much because they're going to sell it to our enemies.
Re: (Score:2)
More than likely, it's not worth that much. Everybody else gets the data from you for free - while pretending they're not collecting it. Signing up for Caden requires you to capitulate to the tracking, mentally. Very few would break their illusion of freedom for $5. Even fewer advertisers would pay them $5 when everybody else sells it for pennies.
As for "the enemy", nobody with cash is an enemy to the data brokers, all of them are already selling it to everyone.
Re: (Score:2)
Right, it's just another rich man's boondoggle. I guess it's nice that some of the tech billionaires are at least thinking of ways to make their industry work better for people. But frankly it's not something that one man can do. Too many other people are making much more money doing it the current way, by fucking people over. That's the natural way of things in unregulated capitalism, or as we used to call it, criminal enterprise.
Re: (Score:2)
I guess it's nice that some of the tech billionaires are at least thinking of ways to make their industry work better for people.
Nah. They're just responding to a survey they read once that said that people would be willing to give up their PII for x dollars.
Rationale (Score:2)
So they want to take the information that the data hoarders get anyway when you use their connected services, package it all up in a bundle, and give you some money for selling it to everyone else (or the same hoarders in case they get some additional data that they don't already have).
"There's a little bit of your soul that you may not have sold to the devil yet, but we can help you with that."
For 5 or 20 bucks??? (Score:2)
You want to know private information and quality data from and about people and all you have to offer is 5 bucks a month? This is a joke, right?
Re: (Score:1)
Not cost-effective for advertisers (Score:3)
Advertisers typically pay a few cents per impression for targeted ads. Unless Caden plans to show users thousands of ads per month, the numbers don't add up.
Re: (Score:3)
He's not selling ads, he's selling personal data. Companies would love to get access to your Amazon purchase history and viewed items, for example.
A random ad impression is worthless, a laser targeted one based on things they know you spent time researching on Amazon or have in your Amazon cart waiting for a decision...
Re: (Score:2)
He's not selling ads, he's selling personal data. Companies would love to get access to your Amazon purchase history and viewed items, for example.
A random ad impression is worthless, a laser targeted one based on things they know you spent time researching on Amazon or have in your Amazon cart waiting for a decision...
So that's why they keep showing me stuff I ALREADY BOUGHT! Their "laser targeting" is pure horse puckey.
Re: (Score:3)
Google and facebook make their money selling your info. The people who buy that info also make money off your info. It's a whole ecosystem such that the $5-$10 a month that they get from advertisers generates a lot more economic activity as it gets sliced, diced, and resold down the line. Probably ultimately generates $100/month per user.
Re: (Score:2)
Advertisers typically pay a few cents per impression for targeted ads. Unless Caden plans to show users thousands of ads per month, the numbers don't add up.
Finally you'll find out just how worthless your browsing habits are.
Companies who abuse data like Cambridge Analytica did so by collecting many, many thousands of users data and selling it en masse. Individually the data is worth a fraction of a penny.
I suspect this company, because they're a self described "startup" will act like Uber, et al. where they take a half ton of Venture Capitalist money, pay users over the odds for their worthless data and turn that half ton into nothing in short order.
Obvious issue (Score:5, Insightful)
Adverse selection. The people who are short enough on cash to seek out a service to pay them 5-20 bucks a month, do not have the disposable income that advertisers are trying to reach.
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Re: (Score:2)
Re: (Score:2)
Glad someone modded you up. Really I don't see how Yang could be so oblivious to this. He should ask himself, would I do it.
Nothing oblivious about it. If anything it's the advertisement companies that may be oblivious. This is a business model much older than a computer, expect that previously you got paid monthly for mail in surveys.
Re: (Score:2)
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Lol, sign me up! (Score:1)
And my 100,000 robotic sock puppets!
There will be about a 1000:1 bot:human user ratio.
The data collected will be worthless.
This place will quickly die.
But before they die I'm going to make bank!
Just need a script to generate accounts, a bot to make them surf around randomly, and another script to sweep their money into my bank account from the bot accounts.
Re: (Score:1)
Just need a script to generate accounts, a bot to make them surf around randomly, and another script to sweep their money into my bank account from the bot accounts.
I expect that they have some plan how to verify your purchases. I can imagine that it will be based on actual purchases, not just searches and guessing based on incomplete data. Because such ads would be much more valuable than few cents. Example: There is someone who opted in to get the best deals, who is buying all books from some author and the author just published a new book which is a sequel to something they already purchased.
Re: (Score:2)
Eventually, yes they would add some filters, blockers, etc, but early stage startups in my experience tend to be about "launch now, fix later". There will be ample time to abuse their system before they close all the holes and go out of business. I can probably get the bottom end $5 payout for surfing with no purchasing on my bots until banned after 2-3 months. If I use real names (scraped from online lists) and matching email addresses at yahoo and other free email places most of my bots will likely las
NOPE ! (Score:2)
Nope! Nope! Nope! Nope! (...)
Why bother paying people? (Score:3)
People seem willing enough to give away their personal data for nothing. Why should anyone have to pay for it?
Re: (Score:2)
No one gives it away for nothing. They give it away because they expect something in return, and that something could be as simple as a site allowing you to publish 280 characters of unfiltered thought (we could call it a tweet), or a site that allows you to find other things on the internet and send those gmail things.
Your data clearly has value. This is just actual monetary exchange instead of battering services.
Re: (Score:2)
Have you seen those "Allow all cookies" notices? Do you get a benefit for clicking "Accept All"? How many people do you suppose click "Accept All" because they just want the alert to go away, even if they could also decline and make the alert go away? One study says 50% do. https://www.thedrum.com/news/2... [thedrum.com]
It's only works for Nielsen (Score:2)
That said with fewer and fewer people watching television I can see someone wanting to replace the old Nielsen syst
Eagerly awaiting (Score:2)
I'm eagerly awaiting the conversion of movie theaters to commercial viewing room where people can come in, buy snacks and watch nothing but commercials, and be compensated for their time (free snacks?).
Imagine the impact it could have on our current homeless situation.
It's a horrible, awful outcome that's quite likely to happen...
Re: (Score:2)
Fuck... (Score:2)
$50? That's All We're Worth? (Score:2)
I rather suck dick in a parking lot.
Genius Move (Score:2)
This is the smartest thing this week.
Jerry is buying your data from you.
Everybody else is stealing it.
Philanthropic venture. Brilliant.
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