Cookies Aren’t Gone Yet – Why Marketers Still Need to Act Now
When Google announced a new direction for its Privacy Sandbox initiative, which includes delaying the full deprecation of third-party cookies in Chrome, it gave many marketers and advertisers a momentary sigh of relief. However, this pause doesn't mean that marketers should halt their efforts to prepare for a cookieless future. Despite the delay, the shift towards more privacy-driven digital advertising is inevitable.
The Decision and Its Implications
Google’s decision to allow users the choice to enable or disable third-party cookies means that the impact on the industry will vary depending on user behavior. If most users choose to disable cookies, the advertising ecosystem could face changes similar to what would happen with the complete elimination of third-party cookies. On the flip side, if users predominantly allow cookies, the digital advertising landscape may stay the same for now. However, historical data gives us an idea of what could happen:
iOS users' choices: 95% of iOS users opt out of ad tracking when given the choice.
Cookie consent data: Around 68% of users decline cookie disclosures on websites, with variations across regions.
Based on these numbers, it’s likely that a large portion of users (estimated between 70% to 95%) will disable third-party cookies. This means the industry should still anticipate a significant reduction in the addressable advertising supply.
What Should Marketers Do?
Given this shift, marketers should not become complacent. Instead, they should take proactive steps to future-proof their strategies:
Leverage Google’s Ecosystem: Google is less reliant on third-party cookies, thanks to its vast array of first-party data sources, including YouTube, Google Search, GMail, and Google Pay. Integrating your marketing strategy with these products is essential to mitigate the effects of a cookieless world.
Embrace First-Party Data: It’s crucial to accelerate efforts to gather first-party data from your audience. Offering incentives like newsletters, product discounts, and loyalty programs can encourage users to share their information directly with your brand.
Invest in Privacy-Durable Solutions: Even with the delay, marketers should begin or continue developing privacy-compliant solutions. Engaging with publishers who already have strong first-party data can help maximize the value of your marketing efforts.
Preparing for the Future
While the “cookiepocalypse” may not happen overnight, it’s still on the horizon. Marketers must continue adapting their strategies, focusing on privacy-first approaches that will not only comply with future regulations but also build trust with consumers. The transition to a cookieless future is likely to be gradual and driven by user behavior. Regardless, preparing now will position marketers for success in a more privacy-conscious digital world.