You may have heard that Google is phasing out 3rd party cookies by 2024, but have you considered how that will impact your company's online marketing strategies? This shift will have a significantly limiting effect on your business's marketing efforts, particularly if you rely on any type of targeted advertising.
For years now, third-party cookies have been used by advertisers and marketers to track users' browsing behaviors across the web. This allows companies large and small to build detailed profiles of associated interests and behaviors in their audiences. This data is then used to serve targeted ads to these users, which can be highly effective at driving sales and other desirable conversions.
That said, this has been perceived as an intrusion by many consumers. With increasing concerns around privacy and data protection, major web browsers like Google Chrome, Mozilla Firefox, and Apple Safari have started to phase out support for third-party cookies. In fact, Google plans to end third-party cookies in Chrome by 2024. That means that marketers will no longer have access to the same level of user data that they used to have, making it more difficult to serve targeted ads and measure campaign performance. With only months to adjust, it's worth noting exactly what the change will mean to you. Here are a few potential impacts:
Fewer Targeting Options: Without access to third-party cookies, it will be harder to target specific audiences with your online advertising. This could result in chaotic ad results and lower conversion rates.
Increased Reliance on First-Party Cookies and Privacy Sandbox: To adjust for the loss of third-party cookies, many businesses are investing in building up their first-party data sources. This includes things like surveys, forms, email lists, and data collected from on-site interactions. By using this data, you can continue to target your audience effectively, albeit on a smaller scale. If you're thinking this provides a massive advantage to larger companies with more built-in traffic and brand recognition, you're absolutely right. That means smaller companies will have to work smarter in order to stay in the game. Google's Privacy Sandbox is a new solution designed to help businesses market less intrusively while still targeting consumers using broader, more anonymous classifications.
Different Data Measurements: Without third-party cookies, measuring the success of your advertising campaigns can become far more challenging. You may need to rely on alternative methods (such as tracking pixels and the aforementioned first-party cookies) to gather data on user behavior. This can affect how you determine ROI and measure actual attribution.
Clearly, the shift away from third-party cookies will have a significant impact on the digital marketing landscape in the coming months and years. Businesses that adapt to these changes by investing in first-party data and exploring alternative tracking and targeting methods will be best positioned to succeed. Make sure you're leveraging the tools at your disposal. Need more help?
Contact us here at Trifecta! We're always ready to help businesses succeed, and we have tools to help you achieve real growth and prosperity.