Although the deadline for third-party cookie deprecation in Chrome has changed yet again, marketers are still faced with the daunting task of re-evaluating their strategies to navigate for the signal loss associated with Google’s decision. Amidst this uncertainty lies an opportunity for buyers to embrace innovative approaches, and leverage first-party data to activate programmatic campaigns effectively.
To date, there has been hesitation in the market to fully commit and invest in addressable solutions until cookies are officially phased out and local privacy regulations are confirmed. But in 2024, we’re finally starting to see some media owners tackling the task of improving their advertising and technology capabilities to help media buyers and agencies adopt alternative strategies.
Marketers have immediate actionable steps they can take to initiate their transition into a cookieless future. However, the crucial first step is to assess their current strategy and begin implementing incremental adjustments today.
Embrace first-party data
In the absence of third-party cookies, first-party data reigns supreme. Marketers can harness the power of customer data to gain deeper insights into audience preferences, behaviours, and purchasing patterns. Invest in building robust first-party data strategies through tools like CRM systems, email marketing, promotion-based data capture and loyalty programs.
By tapping into owned-data reservoirs, marketers can create more personalised and targeted campaigns that resonate with a digital audience on a deeper level. With any first party data set up, marketers must always consider the long-term goal and what the value proposition is for both parties, ensuring a robust consent management strategy.
“The onus is on us as publishers to use this detailed data in the best way and targeting forms a huge part of this. Our first-party data has bolstered our own targeting capabilities across BINGE, Kayo Sports and Foxtel Go via Foxtel Characters. Partners can now speak directly to different audience segments such as Auto Intenders, Travel Intenders and Beauty Enthusiasts.
Unlike with third-party cookies, this form of targeting minimises audience wastage because you have that certainty around quality that can be confirmed and data matched as well. This accuracy and reliability is what sets first-party data apart. These are not best guesses, this is confirmed information, and marketers are speaking to exactly the right people. It’s a long way from the third-party cookies of yesteryear”. Katherine Frost, sales director, QLD & SA at Foxtel
Explore alternative identifiers
While third-party cookies may be on their way out, alternative identifiers are emerging as viable enrichment solutions. Alternative identifiers include solutions such as hashed emails, data connectivity platforms, and unified ID 2.0 - these offer privacy-centric frameworks for identity resolution across devices and platforms.
This is the time to collaborate with industry partners to explore innovative approaches to identity resolution that prioritise user privacy while enabling effective ad targeting and measurement. Establishing identity resolution now offers greater insight into the performance of these workflows across future campaign activations. Proving success becomes significantly more challenging when the goalposts have already shifted.
Diversify the media mix
Diversifying the media mix and exploring alternative channels for reaching audiences will be a key component in mitigating the impact of the lack of third-party cookies. Look beyond traditional advertising strategies, like behavioural targeting and website re-targeting, and explore avenues such as contextual targeting and native/content advertising.
In the absence of broad reaching, behaviour-based audiences, activating across contextual environments is a robust way to ensure relevant advertising and audience targeting. Although cookie-based targeting has been around for a long time, contextual targeting is a proven and effective strategy for both programmatic and direct digital campaign activation.
Test and Learn Approaches
During this transition period, there is an opportunity to experiment and activate test campaigns to explore a range of different targeting strategies, identity solutions and alternatives, cohort targeting, creative formats, and messaging tactics. Leverage A/B and multivariate testing to identify what resonates most with audiences and optimise campaigns accordingly. Use this time, during what could effectively be called a ‘grace period’, to build a new baseline of campaign benchmarks, measurement, effectiveness and performance without third party cookies. Embrace a culture of experimentation and continuous learning to stay ahead of the curve in this rapidly evolving landscape.
Forge Strategic Partnerships
Collaboration is key in navigating the complexities of the post-third-party cookie era. Forge strategic partnerships with publishers, supply partners, ad tech vendors, and data providers, to access unique audience insights and targeting capabilities. Task these partnerships with the goal of mitigating the potential signal loss. Collaborate with industry stakeholders to advocate for privacy-forward solutions and shape the future of digital advertising in a way that prioritises user privacy and data transparency.
“Google's recent announcement of the delayed deprecation of third-party cookies across Chrome gives us more time for testing, but we shouldn't lose momentum. Cookies have already been removed from other browsers, so there is a precedent for what that signal loss might look like. The delay should not be seen as a reason to slow down, but rather time for the industry (agencies and marketers) to test and learn, and future proof digital advertising against inevitable change.
Within the shifting digital privacy norms and technology landscape, Kinesso remains committed to ensuring our clients are supported and guided throughout, whilst navigating changes across the whole ecosystem. Most crucially, Kinesso advocates for transparency and collaboration across the wider industry, around how these changes could impact future media investment and measurement.” Natalie Hatch, audience and data partnerships lead at Kinesso Australia
It’s important to be focused on the end goal. Key questions to ask during this process might include:
- What does my business need to achieve?
- What is the overarching metric of success for the business, and how do these strategies help to deliver that goal?
- How can I effectively balance digital campaign targeting, goals, and performance?
- How can we ensure media quality is considered within a test and learn strategy?
- How do I balance my usual programmatic buying strategies with the nuances of addressable activation?
While the phase-out of third-party cookies presents significant challenges for marketers, it also opens new opportunities for innovation and creativity. Media buyers can ensure success in the post-third-party cookie era by embracing first-party data, exploring alternative identifiers, diversifying the media mix, activating test and learn strategies, and forging strategic partnerships.
Stay agile, stay proactive, and stay ahead of the curve to thrive in this dynamic and ever-changing landscape.
Amelia Ward, head of buyer development, AUNZ, Index Exchange