In January 202o, Google announced the sunsetting of the third-party cookie and provided a deadline of early 2022. Though this didn’t come as a surprise to the industry, marketers have begun to question the future of digital marketing.
However, before we try to provide an answer to this question, we must first take a look at what led us here.
The fundamental reason for the demise of the third-party cookie is the trust deficit in the digital marketing ecosystem. This deficit was caused by bad actors and practices that were powered by opaque tracking behaviors that the third-party cookie powered.
Marketers and consumers alike have become more interested in the inner workings of the digital advertising ecosystem, and more specifically, how data is being used for advertising purposes.
In light of this, how does the industry respond and what opportunities lie ahead for marketers?
The recent browser changes emphasized the need for trust and transparency to be restored, and for greater control to be placed back into the consumer’s hands. Further education is required in order for the consumer to build the understanding that they have the ability to opt-out of advertising if they so wish. To get there, all players must be focused on choice, transparency, privacy, and control.
In direct response to this industry call to action, a new opportunity has been born: the growth of first-party, data-driven marketing strategies, like adopting people-based solutions.
First-party, data-driven solutions rely on data sets that are underpinned by consumer trust and consent; that is, the data was obtained within regulated circumstances (e.g. a consumer providing their information in order to subscribe to a newsletter).
But how do these strategies work to benefit marketers and build consumer trust?
Obtaining first-party data sets through regulatory-compliant measures helps ensure marketers are respecting consumer privacy and building on their existing CRM data. This not only unlocks valuable information, like previous purchase history but also can predict future purchasing intent.
By adopting these solutions, marketers can forge a closer relationship with consumers and yield improved ROI driven by targeted and relevant advertising. Consumers, in turn, gain the ability to exercise optionality when it comes to advertising messages they are exposed to.
The future is optimistic and the opportunity to prepare for a post-cookie era is now available. Marketers should take steps to begin to prepare a path towards trust and transparency, with a concentrated focus on user consent today.
We never share your info, we only share ours.