Ads are everywhere — websites, billboards, bus stops, magazines. People glance at them for only a few seconds, yet they have enough power to drive hefty purchases and decisions. Research by Statista even predicts that the global advertising market will reach $455.9 billion in 2025. So what exactly makes ads so compelling?
Advertisers frequently draw on feelings of happiness, nostalgia or warmth to promote products. Studies by the Advertising Research Foundation used functional magnetic resonance imaging to discover that when evaluating ads, consumers rely more on emotional connection to make decisions rather than the information or statistics provided. Companies use this knowledge to make ads more engaging — think of Coca-Cola’s “Hilltop” ad, which portrays the drink as something that can bring together people from diverse backgrounds. Unfortunately, this emotional connection can also be abused. Instead of positive emotions, some advertisements use scarcity, fear of missing out, social proof and other psychological strategies to pressure consumers. Scarcity and FOMO in ads urge users to make impulsive decisions, with the ads claiming “only one left in stock!” or notifications warning “five minutes before this deal expires!” to create urgency and attract attention. Other common ad tactics include clickbait or controversy — for example, the Tubi ad that aired during the 2023 Super Bowl pranked viewers into believing someone had changed the channel, leading to violence and panic in households across the country.
These ads are all examples of mass advertising, which has been the primary form of content promotion for centuries — ads designed to reach large numbers of people through billboards or newspapers. In recent years, however, ad culture has seen a shift into hyper-personalized ads, which are now common on most platforms. Personalized ads are specifically curated for a user based on a substantial profile of data collected around them. According to a study by Pew Research Center, around 64% of all adults report having seen ads based on their personal data. This allows advertisers to reach their target audience more effectively and can make shopping more efficient for consumers.
However, the rise of personalized ads raises concerns about privacy and data collection — some believe that the amount of information gathered to profile a user’s shopping habits is intrusive.
Almost all of a user’s behavior can be analyzed to understand their specific interests — from likes and searches to location and demographic information. This is known as probabilistic modeling or “fingerprinting,” and it allows companies to place ads more effectively. The extensive amount of data collected can make it feel like one is constantly being watched or eavesdropped on.
Due to the increasing development of artificial intelligence, this concern is not likely to be resolved anytime soon. Programmatic buying, the automated process of finding digital space for ads, has existed since the early 2000s. With the recent advancements in AI, this process will be able to target consumers with unparalleled efficiency and precision.
Due to rising privacy concerns, governments have implemented consumer privacy laws, prompting tech companies like Apple to develop opt-out features for personalized ads. From the consumer’s side, reviewing ad-personalization settings or installing an ad blocker can alleviate privacy concerns.
Despite questionable psychological tactics and personalization, ads are a powerful part of consumer culture in society. When regulated and reviewed, ads can truly be advantageous to both users and advertisers.
