The digital marketing landscape, and the brands within it, are on the brink of a major transformation with the end of third-party cookies. These cookies have been essential for tracking user behaviour, enabling personalised ads, and measuring campaign success. But with rising privacy concerns and new regulations, a cookieless world is imminent.
PR and communications agencies might often see this as ‘too technical’, but staying informed is vital, especially for those offering hybrid services in the digital marketing realm.
So, here’s what you need to know and how to prepare.
Understanding third-party cookies
Third-party cookies are small data files placed on your device by companies other than the one you’re directly visiting. These entities—often ad tech companies, social platforms, analytics firms, and data brokers—use cookies to track users’ activities across multiple sites.
For example, if you browse for shoes on an online store, you might later see ads for those shoes on other websites you visit, courtesy of third-party cookies.
Have you ever thought of this as a mere coincidence? I bet you don’t see it that way anymore!
Why do digital marketers rely so much on third-party cookies?
- Audience targeting: Third-party cookies allow marketers to target specific audiences based on their web browsing behaviour and interests.
- Personalisation: They enable the creation of personalised ad experiences by tracking user preferences and delivering relevant content.
- Campaign measurement: Cookies provide valuable data for measuring campaign performance, including impressions, clicks, and conversions.
- Retargeting: Marketers can use cookies to retarget users who have previously interacted with their brand, boosting conversion chances.
- Cross-device tracking: Cookies help track users across multiple devices, offering a holistic view of customer journeys.
Google’s role in the cookieless transition
Privacy concerns are at the heart of Google’s decision to phase out third-party cookies. The move aligns with global regulatory shifts like the EU’s GDPR and California’s CCPA, which aim to protect user privacy online. While this may still seem like a far away reality for Australians, we can expect to see more regulations in 2024, especially with the rise of consumer privacy legislation sweeping the globe.
Google’s latest Tracking Protection feature is a big move towards a cookie-free future. It began by affecting about 30 million users globally, just 1% of Chrome’s user base, in January this year. And Google plans to continue rolling it out throughout 2025.
Preparing for the post-cookies future
As digital marketing and agency professionals, we may need to guide our clients through this transition.
Encouraging clients to enhance their first-party data collection efforts is crucial. First-party data can be collected directly from user interactions on a brand’s own platforms, including website analytics, CRM data, customer surveys, and loyalty program information.
Additionally, consultants should advise their clients to ensure that user consent plugins are installed on websites to comply with privacy regulations. But that’s not all we can do.
Here are some examples of other strategies we can suggest to our clients.
Exploring alternative strategies
- Contextual advertising: Shift towards displaying ads on web pages that match the content being viewed. For example, showing ads for gardening tools on an article about gardening. This method is less intrusive as it doesn’t rely on tracking user behaviour.
- Owned asset optimisation: Maximise the value of your digital assets, such as websites and social media, by creating engaging content and improving SEO. Enhancing the user experience on your own platforms can drive organic traffic and engagement.
- New identifiers and people-based identity solutions: Using first-party data, you can explore new ways to personalise messages and measure campaign performance without relying on third-party cookies. Direct data collection through customer surveys can help in creating personalised experiences.
The shift towards a cookieless future represents a significant change for digital marketers and the brands they work for. By understanding the implications and proactively adapting strategies, marketers can continue to deliver effective, personalised advertising in a privacy-first world.
As we dive into a cookieless era, let’s keep the spirit sweet and the strategies even sweeter. Here’s to a future filled with digital success, minus the crumbs!