NEW YORK — U.S. Sen. Charles Schumer is asking the Federal Trade Commission to investigate an advertising technique that uses mobile phone data to learn about people who pass by billboards.
An outdoor advertising company, Clear Channel Outdoor Americas, says it works with partner companies to match aggregated location data. It can then cater ads to specific consumers based on the demographics of passers-by and determine if the people eventually end up at the advertiser’s stores.
Scroll down to see Clear Channel’s video explaining how it works.
The company uses aggregated data from partners, including AT&T. It says individual consumers cannot be identified.
Clear Channel Outdoor Americas spokesman Jason King said in a statement Sunday its RADAR program used for billboard advertising has existed for years.
The program was launched in the top 11 markets in the U.S. in early March, according to a report from NPR.
“It is incredibly creepy, and it’s the most recent intrusion into our privacy,” said Jeffrey Chester, executive director of the Center for Digital Democracy. “People have no idea that they’re being tracked and targeted.”
Schumer, a New York Democrat, wants the FTC to investigate whether it is a deceptive trade practice because he says most people don’t realize their location data is being monitored.
The FTC has not yet responded to Schumer’s request.
Clear Channel Outdoor operates more than 675,000 billboards throughout the world.
The Associated Press contributed to this report.
