According to a statement from Uber to the Wall Street Journal, the company will soon start showing video ads in its apps. The ads will appear while you wait for a ride, while you’re in the vehicle, after you order on Uber Eats, in search results and elsewhere on Drizly. The ads will also appear on tablets inside some Uber cars.
Users in the US will start seeing video ads in the coming days. The company plans to show similar ads in the UK, France, Australia and other markets later this year.
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Static ads have been appearing on Uber Eats since 2019 and on the company’s ride-hailing app of the same name since last year. The company also began offering new tools on Drizly, its alcohol ordering app, last year. Mark Grether, Uber’s vice president and general manager of advertising, said the company is targeting $1 billion in ad revenue by 2024.
Video ads in Uber apps will be muted by default (sound will play on tablets in cars) and will run for up to 90 seconds. An Uber ride takes about 15 minutes on average, and users typically spend two to three minutes looking at the app during a ride. “We have two minutes of your attention. We know where you are, we know where you’re going, we know what you’ve eaten,” Grether told the Journal. “We can use all of that to show you a video ad that’s relevant to you.”
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Uber says it won't share your personal data with advertisers. You can opt out of receiving personalized ads based on information about you, such as your demographics and activity on Uber apps, but it's not possible to completely avoid these ads. However, you can lock your phone or use another app to avoid them.
It's not yet clear whether you'll be able to close an ad once it starts playing. The company explained to Engadget that the ads won't prevent users from accessing safety or messaging an Uber Eats driver or courier.
See also: Uber makes it easier to find your ride at the airport
However, these new products could pose some risks to Uber's reputation , according to James Ayres of digital design firm Work & Co.
A ride in a car, filled with ads, “fundamentally changes the perception” of Uber’s business, which was initially positioned as a premium alternative to traditional taxi services, Ayres said. He also noted that users who value privacy may also be put off by the idea that Uber uses their precise geographic destinations to target them.
Source: www.engadget.com
