It’s time to bid farewell to third-party cookies and hello to first-party cookies. The digital marketing strategies that were once effective and relied on web cookies will require innovation if they adjust to new data privacy restrictions.
To put this into a larger perspective, the last web browser to block third-party cookies to protect users’ privacy is Google Chrome, which is two-thirds of the global search market. However, Google plans to phase out third-party cookies in 2023 to promote a more stable ecosystem to support businesses across the web and new tracking technology.
Once third-party cookies become extinct, most PPC advertisers will innovate with new tracking methods and create new strategies to optimize their digital marketing efforts. Partnering with a digital marketing agency spearheading the challenge will be your best bet at keeping your online marketing efforts afloat.
What’s An Online Cookie?
There are different types of cookies, but long story short, they are text files that websites send to your device that is then used to monitor and retain specific information about you.
The Cookie Party
- Consists of bits of information that collect web-user data.
- Store user data such as browsing and setting preferences and tracking information.
First-Party vs. Third-Party
The main difference is who uses that data and who the cookie collects information for.
Benefits of First-Party Cookies
As data to help better connect with target audiences, it also improves user experience (UX). Examples include items added to online shopping carts, usernames, passwords, and language preferences. They also help provide services such as live chats and support.
First-party cookies can also save user information for future visits, remember configurations for customizable pages you visit frequently, and provide limited help to inform basic website analytics, such as page sessions and user demographics.
Third-Party Cookies in the Works
They are placed by someone other than the website owner to track users. Information stored about these users helps enhance PPC strategies to drive up website traffic and sales.
Third-party cookies are the main driver of the digital marketing business model. Brands utilize a consumer’s online history to influence them to make a purchase and help formulate strategies for the following:
- Ad targeting: Specific ads served to audiences based on their browsing history and individual profile.
- Remarketing: Track users and show ads for previously viewed services or products.
- Cross-site tracking: User touchpoints are tracked after they’ve left a website.
- Social media buttons: Social media advertisers use login buttons as identifiers to further track user demographics and interests.
These widely used marketing strategies using third-party cookies will cease to exist and soon push many advertisers out of their comfort zone to adapt to new strategies that use first-party data.
Data Segments Collected By Parties
- User behavior
Third-Party Cookies Leaving The Fun
Who wants to join a party without privacy and security? One of the reasons why third-party cookies will no longer be able to join the crowd. However, this leaves the party planners (online advertisers) blind when it comes to personalizing events (ads) and creating an ideal online experience (UX).
What Will Replace Third-Party Cookies?
As we approach the deadline to opt out of third-party cookies, some alternatives are already in the mix to ensure advertising agencies can manage PPC effectively. With time ticking, you can anticipate many other innovative options that will be available soon.
Currently, this is where the trends seem to be heading:
Google’s Browser-based Model
Rather than collect individual data, this model collects data from users and groups them into similar interest segments that online advertisers can later leverage to target ads.
These privacy-preserving alternatives for reaching relevant audiences are updated weekly to keep ad targeting relevant and make it harder to identify each group member.
First-Party Data Tracking
If you are an advertiser or company, any information collected on customers/users is owned and can be used for PPC management, including segmenting audiences to offer them as targets in ad placements on a site. This information includes content viewed, topic interest, and survey responses about demographics and interests.
Similar to a cookie-based system, this is a unique identifier to assess a user via login or other forms of ID. Identity-based tracking can evaluate access to information such as browsing history, ad views, and interactions like third-party cookie tracking. But again, this would require an extra step within the client experience journey and overall acceptance by online advertising.
Collecting details about the user such as browser type, type of content browsed, and operating system without any personal identifiers, it then looks for the same information trends to follow users across the web.
Connecting With Audiences in a Cookie-Less World
In the real world, removing third-party cookies from the equation will push marketers to look for alternatives to reach customers online.
It takes time for users to feel confident shopping on new websites. Increasing privacy and security measures is a way to promote a better user experience and can be the best thing for new PPC strategies and the start of a better customer experience. Video ads are becoming more popular and effective, and keyword targeting has become a more robust tool for creating meaningful interactions and delivering higher personalization.
We already have a plan of action to help advertisers achieve long-term success and sustainability with PPC advertising. Would you like to learn more about how it could fit your business strategy online? Our experts will give you insight into the game plan.