Cookieless Future: Q3 2023 Update by Yieldbird
In January 2020, Google dropped a digital bombshell: third-party cookies in Chrome were on the way out. It was a…
In January 2020, Google dropped a digital bombshell: third-party cookies in Chrome were on the way out. It was a move that sent ripples through the online advertising universe, driven by Google’s mission to fortify user privacy and security amid a tightening regulatory landscape. Fast forward to today, and publishers are on the brink of a cookieless era, where innovation and adaptation are the keys to survival.
Join us on this journey and discover what will happen in the near future regarding cookies and the consequences of these changes. Furthermore, gain insights from Yieldbird’s experts on strategies for publishers to thrive in the evolving terrain.
Even though we know that third-party cookies will be gone soon, many companies are not aware of the real consequences of this event. What actually will we be facing?
Advertisers will have less detailed information about how users behave online without third-party cookies. This makes it harder to follow users’ online paths and show them ads based on what they’ve looked at before. Figuring out how well ads are doing, where they come from, and the return on investment (ROI) will be tougher. Marketers will have to find new ways to measure and use advanced analytics to see how their campaigns are working.
Advertisers will depend more on the information they get directly from users on their websites. This info can cover user sign-ups, what users like, and how they interact with the website. Making good use of this ‘first-party data’ will be super important for showing ads that fit each user. Big tech companies like Google, Facebook, and Amazon, who already have a lot of this kind of data, will likely get even stronger in the ad world. Advertisers might have to put more of their money into these platforms.
Users’ choices (whether they agree to their data being used for advertising) have already made it harder to reach them with ads. And when third-party cookies go away, especially on popular browsers like Chrome, it’ll make it even tougher to find and connect with users.
Companies in the advertising tech industry are working on privacy-friendly technologies to help advertisers connect with their desired audience without using third-party cookies. These solutions include Universal IDs, Privacy Sandbox APIs, and Seller Defined Audiences.
So, what should we expect in the upcoming months? In Q3, we bid farewell the final Origin Trials for Sandbox proposals and usher in the General Availability phase. During this period, Chrome allows developers to carry out real-time testing as they gear up for the shift away from third-party cookies. No major API alterations are on the horizon before the cookie phase-out. There will be two parts of the process.
In Q4 2023, APIs are available. Chrome will not disable cookies just yet, but developers can simulate third-party cookie deprecation for a chosen percentage of their user base, enabling controlled testing.
Then, in Q1 2024, Google intends to phase out third-party cookies for one percent of Chrome users. This allows for real-world testing of products coping without cookies.
Google encourages industry-wide engagement on the Privacy Sandbox and invites developers to adopt and test the APIs as part of end-to-end solutions. They will provide more details and guidance on testing metrics and methodologies in the coming months. They express their commitment to working with the industry to improve privacy on the web as they approach the final stages of third-party cookie deprecation in Chrome.
The new name for FLEDGE marks its move from an experiment to a practical feature. It’s built to manage interest-based ad auctions while safeguarding user privacy. It works by making specific ad decisions right within the user’s browser instead of on a server. This means user interest data doesn’t have to be sent to external servers, which boosts privacy.
A new website showcasing demos of different Privacy Sandbox APIs could feature interactive examples or simulations demonstrating how these technologies work in real-life scenarios. This resource is a valuable tool for developers, advertisers, and other interested parties to grasp the functionality of the Privacy Sandbox and learn how to align their advertising strategies with these emerging standards.
Alongside Audience and PPIDs, Google Ad Manager has enabled two beta features:
Secure signals – Universal ID’s blind tunnel through GAM
If you want to be fully prepared, here are a few pieces of advice from our experts that help you adapt to a new cookieless reality.
We hope you’re ready for the upcoming changes. And if you need more expertise, our AdOps Experts will be happy to help, so don’t hesitate to contact us.
Regional Growth Director
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