Is the "consent or pay" model a blessing or a curse?

Disclaimer: I am a digital marketer who has been relying on data from Big Tech for over 10 years to create and drive successful campaigns for dozens of companies and organizations. Since the introduction of GDPR and the series of privacy scandals that followed, cookies and data have come under the scrutiny of authorities aiming to curb malicious practices.

Let me be clear: this is a good thing. Scandals like those involving Cambridge Analytica and Meta, or closer, the data breach at Limburg.net, understandably fuel growing distrust among citizens when companies ask for their data. However, we must not fall into hysteria and lump all companies together.

Just under a week ago, VTM and Play, part of DPG Media and Ads&Data, came out with gloomy news. Due to major competition with Big Tech such as Facebook, Amazon and Google and the growing number of "cable cutters," they risk becoming structurally loss-making in the foreseeable future.
(source: HLN.be)

It is especially that first one that feels unfair. Big Tech has been dominant in the digital world for decades through, let's call a cat a cat, fairly aggressive data capture. The competition with the international tech companies is one that local players are struggling to win. Google, Amazon, Meta and other TikToks dominate the ad market and enjoy certain advantages. DPG Media and Ads&Data are simply not headquartered in Dublin and cannot run afoul of strict regulations on gambling advertising, for example. Big Tech, meanwhile, has become so big that pretty much nothing can stop them.

That doesn't make it any easier for local media. To their credit, though, they want to transform. They have been doing that for some time, by the way. The increased international competition and imminent tightening of the rules around "third-party tracking" have already caused a significant change of direction at DPG. To keep their network relevant and performant for advertisers, they launched DPG Media Online ID (DMOI). A way to securely collect and enrich data, within the DPG environment. The DMOI is a first-party ID that works cross-device and on all operating systems, across all titles and domains. So that data is not shared with other parties.

The DMOI has now taken a central place in DPG Media's advertising ecosystem. This makes sense, as advertisers and agencies are constantly looking for the highest possible relevance when it comes to audiences. The DMOI makes that possible, but an important aspect of this story is that it must also be continuously fed with data. If we all diligently use their websites and apps without cookie approval, the DMOI will not be fed and DPG Media will again lose relevance.

In that view, it is not illogical to ask for a payment if you don't want to be tracked. Media and news companies do not work with volunteers and bring news to us every day, hot off the press. It is utopian to think that can be done for free. When ad revenue drops, those players have to look for new revenue. And then, of course, they quickly end up with data.

Almost immediately after DPG Media started the test, the first question marks arose. The Data Protection Authority, through spokeswoman Aurélie Waeterlinckx, already expressed surprise at the move, just as the European Data Protection Board is writing guidelines after websites all over Europe started using the "consent or pay" model. Among others, Bild, Der Spiegel, Le Monde and several British newspapers have been charging a fee since the summer when you don't accept cookies. In the Netherlands, the Personal Data Authority also took a stand by saying payments are not abnormal.

In the broader context of the situation in which local media giants find themselves, DPG Media's move is not surprising. As always, the answer lies somewhere in the middle, and common sense must prevail: can we as consumers consider it normal for journalism to be and remain free? No. Should we expect instead that if we share data with a company, it will be valued and kept safe? Yes.