The streaming and Connected TV (CTV) landscape offers exciting opportunities to reach families at home, but it also brings with it significant responsibilities concerning children’s data privacy. The recent lawsuit against Roku by the Michigan Attorney General was a timely reminder of the critical importance of adhering to data protection regulations like the Children’s Online Privacy Protection Act (COPPA) in the CTV environment, particularly when it comes to kids’ programming. When we talk about co-viewing, we’re also talking about kids’ data, and naturally, COPPA still applies.

Understanding the Issue

The lawsuit alleges that Roku violated COPPA by collecting and sharing children’s personal information – including locations, voice recordings, IP addresses, and browsing histories – without proper parental consent. 

This raises a crucial point: COPPA applies when content is directed to children. Even if the account or device belongs to an adult or the viewing occurs in a “family” setting, if the content primarily appeals to children under 13, then collection and use of personal information is prohibited unless a parent has given verifiable consent. And we know that most parents will not go through the prescriptive steps of verification and consent for the purpose of targeting advertising to their kids.

So, how do you know if the content primarily appeals and is directed towards kids? The COPPA Rule says that content can be child-directed for any single or combined factor from a list that includes subject matter (e.g., cartoons, kids’ games, toys, characters), visual content (animation style, bright colors, childlike themes), and the language used (simple, child-friendly vocabulary). Rule updates finalized by the FTC earlier this year added a few more considerations, like audience composition of similar services and reviews by third parties. The ‘you know it when you see it’ standard applies here.

The Implications for Brands, Platforms, Publishers, and the Adtech Ecosystem

For everyone participating in buying and selling CTV media, the Roku lawsuit serves as a stark reminder of the responsibilities in co-viewing scenarios. Relying on “family” targeting or assuming that parental presence negates COPPA requirements can lead to serious legal and reputational consequences.

Key takeaways:

  • Kids Specialists Are Essential: Partnering with a kids specialist is crucial for ensuring compliance with COPPA and other privacy regulations, either buy-side or sell-side
  • “Family” Targeting Is Not a Workaround: Simply targeting or monetizing based on “family” audiences doesn’t exempt anyone in the chain from data privacy obligations. If the content is child-directed, data collection must be turned off
  • Every Party Plays a Role: In the complex CTV ecosystem, every player – from the brand, to the agency, to the DSP, to the platform, to the publisher and its monetization partners – must ensure that personal information isn’t collected or used from kids’ programming for targeted advertising

States Are Taking Action: With or without federal enforcement, state Attorneys General are actively monitoring and enforcing COPPA regulations.

SuperAwesome’s Commitment to Child Safety

At SuperAwesome, protecting children’s privacy is at the core of our mission. When running “co-viewing” campaigns, we ensure that no personal information is collected or used for targeting or ad delivery by applying our KidSafe Filter (KSF) to every ad transaction. This technology blocks the transmission of personal information in the ad request and response, regardless of the platform’s collection/sharing settings. With SuperAwesome, every impression is screened and routed through our COPPA-compliant pipeline, and only inventory verified as appropriate for kids is made available to buyers. We recognize that even if a parent is present, child-directed content necessitates the highest level of care and compliance.

We encourage brands to partner with trusted experts who prioritize data privacy and understand the complexities of advertising to children. By working together, we can ensure that the CTV space remains a safe and responsible environment for children and families.

Critical Questions for Brands to Consider

  • Are you confident that your CTV partners are COPPA compliant?
  • Do you have a clear understanding of what constitutes “child-directed content”?
  • How are you ensuring that data collection is turned off for co-viewing campaigns featuring child-directed content?

By asking these questions and taking proactive steps to prioritize data privacy, the ecosystem can navigate the CTV landscape responsibly and protect consumer trust.
Whether you work on the buy-side or sell-side, we’re here to help. If you’d like to discuss how your business can confidently and compliantly navigate the CTV landscape, get in touch.