That said, these algorithms are simple presumably because they work "well enough". Fortunately or unfortunately, depending on your perspective, there isn't really a lot of meaningful competition in the ad space driving superior targeting. It's more about having the killer network, the list of effective channels (search, youtube, instagram whatever) that is the big players advantage rather than their targeting skills.
Agreed wholeheartedly, and this is an important point: advertisers don't really lose much by showing you ads you don't want, so it's unlikely the system would ever become ultra-precise.
What people seem to be looking for is not targeted advertising but targeted recommendations - where vendor "spend" can't skew the results to show you crap you don't want. But that's a product the consumer and not the vendor would have to pay for, by definition. Unfortunately consumers don't have deep enough pockets to make this kind of thing lucrative over just selling ads.
Im not sure if you mean “coerce” literally but if so this is overkill. Maybe “persuade” or to be more critical, “manipulate”?
It's almost like rather than identify who I am, they identified the social niche stereotype I identify with, and then pull ads from that reservoir.
So while Google is trying to get me to buy discrete transistors and push cart tires (work related stuff), Meta is trying to get me to buy bespoke Icelandic wool socks, artisan gummy edibles, and hand made ceramic table ware.