Ad body homes in on web bugs

The Network Advertising Initiative (NAI), which represents the bulk of online advertisers, has launched a programme to develop industry standards for the use of web beacons, also called web bugs.

As reported last month, web bugs are nearly undetectable tracking tags used mainly by marketers to monitor online consumer habits.

Many site operators and internet advertising companies place these markers on their pages to collect information, such as which pages are being read most often, so they can deliver targeted information to consumers.

Yet the bugs can be more invasive. They can capture a visitor's IP address, browser information and web address. The bugs can also be linked to cookies, the small programs that can contain personal information such as name and email address.

Trevor Hughes, executive director of the NAI, said the group would respond to consumer privacy concerns through the development of standards for the use of web beacons.

He explained that the group would build on the NAI's self-regulatory principles for online preference marketing, which were developed with input from the Federal Trade Commission and the Department of Commerce.

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