Consumers want control over their data, but also recognise the value of an ad-supported internet, according to a new study by IAB Europe.
The research, conducted by Kantar, reveals fresh insights into how European consumers perceive online advertising, data privacy, and the trade-offs that sustain free digital services.
The investigation surveyed internet users aged 16 and above, across 12 European markets to ensure a representative sample of EU consumers.
Subscribe to Marketing Beat for free
Sign up here to get the latest agency-related news sent straight to your inbox each morning
The findings revealed the average European consumer receives €212 (£181) worth of free online services per month, including essential tools such as search engines, email and news platforms.
While privacy is a top concern, 60% of consumers believe a “pay or consent” model is reasonable when they understand the value exchange involved.
It also showed consumers appreciate the benefits of free access, and they recognise the potential downsides if personalised advertising were restricted – such as paywalls, reduced content quality, and limited accessibility.
IAB Europe’s CEO, Townsend Feehan said: “This study highlights that, seven years after the General Data Protection Regulation (GDPR) went into effect, EU consumers show good levels of awareness that the law gives them rights and choices, places obligations on the companies that process their data, and provides for sanctions in case of non-compliance.”
She said, it was “how GDPR was supposed to work”, “empowering users to make choices on the basis of information, with a high baseline level of data protection”.
“This said, the survey shows frustration with the daily experience of trying to exercise choice, concern about whether the rules are being effectively enforced, and a gap between consumers’ abstract preference for relevant ads and their recall of ads that actually were. So clearly, there are some important go-dos for both industry and regulators.”
The study said consumers have clear expectations when it comes to digital advertising and that ads should be “relevant, non-intrusive, and add value to their online experience”. It also found:
- 80% of consumers say online ads can be useful and prefer fewer, more relevant ads
- When consumers encounter an ad that is helpful to them, over 70% described this as a positive experience
- Over half agree that fewer personalised ads are less intrusive than many irrelevant ones
Following the research, IAB Europe developed a series of policy recommendations outlined in the report. They include:
- Safeguarding free access to a wide range of high-quality services for consumers
- Encouraging collaboration to better inform consumers about digital advertising and empower their online choices
- Preserving the existing legislative framework for personalised advertising
- Developing regulatory incentives and address barriers to consumer-friendly consent banners
- Revisiting barriers to business continuity and the consumer experience
- Prioritising effective implementation over new legislation
A total of 10,500 interviews were conducted: 1,000 in Germany, France, Italy, Spain, Poland, Sweden, the Netherlands, Czechia, and Belgium, and 500 in Denmark, the Republic of Ireland, and Norway.
