When Google announced that it would remove third-party cookies from its Chrome browser Navigator part of the advertising industry collapsed. A simple but very effective method of tracking user activity is eliminated. Advertisers, who play a vital role in retargeting, i.e. tracking users on the Internet and presenting targeted ads, are now looking for alternative strategies.
Retargeting without cookies: how does it work?
Although third-party cookies have already been removed in Mozilla’s Firefox and Apple’s Safari, Google’s decision marks the end of this useful tool. Google Chrome browser Navigator currently holds a stake of approx 70% of the browser market and 50% of global online traffic. What do these changes mean in practice and how will they affect advertisers and consumers?
What are cookies?
Introduced in 1994, the simple cookie is the heart of a billion dollar advertising industry. A cookie is a simple file that is stored on your computer. Navigator stored and contain a series data containing information. Originally designed as a way to identify returning visitors to websites, specific pages, shopping carts and store logins, it has become an integral part of the advertising method known as name retargeting.
What are third-party cookies?
Third-party cookies allow third parties to track all of your online activities, such as the pages you’ve visited and the products you’ve purchased/viewed.
Even if you are not identified by name, your IP address is recorded and the cookie creates a profile of your interests and activities on the Internet. It is easy to understand that it interests those who want to advertise on the Internet.
There are also first-party cookies and second-party cookies, which are defined as follows:
Cookies from the first provider
Initial cookies link users to specific web pages and store limited information designed to improve your online experience. They basically do the needing for you browsers and the website must go through a “welcome” process each time it is visited. They are also used to collect information about individual users specific to this website.
Third party cookies
Second-party cookies collect the same information, but may be transferred from one company/website to another as part of a data partnership. An example of such a relationship could be an airline that uses cookie data. Ddata with a hotel chain that allows the hotel to provide targeted advertising.
What is retargeting and how does it work?
Retargeting is a powerful marketing strategy that uses third-party cookies stored in your browser. NObrowser to access details about your internet activities and specific interests. These data third-party websites such as Facebook and Google are then used to present targeted advertisements and thereby increase conversion rates. For example, if you visit a site that sells hiking boots, the next time you log in to your Facebook account, you will see relevant ads.
By tailoring the form of your online ads to your recent interests/browsing, you can entice potential lost customers to come back. You are doing conversion marketing and the ability to drive customers back to your website and increase conversion rates is invaluable in the business world.
Why are third-party cookies dying?
In one word: data protection. In 2018, after two years of preparation, the European Union introduced the so-called GDPR (General Data Protection Regulations), a tool aimed at protecting the collection, use and storage of personal data. Page GDPR it applies to all data, not just that collected online, and will have a significant impact on the e-commerce and online advertising industry.
For example, even third-party cookies that do not record your name, address, or personal information will track your Internet activities. The introduction of the General Data Protection Regulation (GDPR), perceived by many as a covert/covert way of profiling internet users and serving targeted/targeted ads, has sounded the death knell. Google’s announcement that it will remove third-party cookies from its Chrome browser by 2023 has been greeted with enthusiasm. Navigator permanently end this type of data collection.
How will these changes affect retargeting ads?
By removing third-party cookies from browsers, advertisers no longer have access to the critical information needed to deliver retargeted ads. Companies can continue to advertise on “related” sites, but they’re essentially advertising blindly because they don’t know the recent activities and interests of the people who see their ads. Because they are unable to “follow” potential customers on the web, they lose the impact of advertising on those who are actively interested in certain products/services.
The disappearance of third-party cookies means the elimination of a very effective and subtle way of collecting information about a person’s activities on the Internet. This method is certainly not the only way to deliver targeted advertising, but it will soon be redundant.
Advertising strategy without cookies
It’s important to reiterate that removing third-party cookies is a big blow to the targeted advertising industry, but it’s not the only way to do targeted advertising. There are several advertising strategies that do not use cookies and that can be very lucrative in certain circumstances:
Behavior analysis
As the term suggests, behavioral analysis is the study of behavior, in this case online activities. In fact, it is a way of predicting the behavior of a potential customer, such as the pages they visit, and presenting targeted advertising on that medium.
Create your own database of customer profiles
First-party cookies will not be disabled; therefore, individual website owners will be able to collect information from visitors. Fortunately, under the GDPR legal framework, you can still build a database of customer profiles and use it to perfect your advertising strategies. However, under Swiss law Data Protection Act does not perform profiling.
Direct relationships
Although newsletters are often underrated and not always well structured, they can foster connections with existing and potential customers. Targeted newsletters help address people’s specific interests and provide them with engaging ads and offers.
Average customer profile
Figuring out the viewing habits of your average customer using market research is certainly not an exact science, but it does provide an opportunity for targeted advertising. However, all businesses should already know the average profile of existing and potential customers.
Artificial intelligence, trend analysis
Artificial intelligence (AI) is central to the advertising industry today for gathering information, identifying trends and predicting online behavior. It’s also called machine learning (ML) and it’s kind of like a digital employee in the office.
IP Tracking ID and Device ID
While third-party cookies are effectively disabled, you may optionally use anonymous IP and device tracking identifiers. The information collected in this way allows you to create a profile of existing and potential customers.
Contextual advertising
Contextual targeting is becoming a reality for many people who have been in the business for a long time. This simply means that ads on a website are targeted to the content of a specific page. Simple but very effective!
Contextual marketing as an alternative
As we have already stated, contextual marketing is familiar to those who have been in the advertising industry for a relatively long time. This is a simple way to insert an ad into an article/content related to the site’s topic. The idea is simple: if you read an article about a certain topic, such as the iPhone, and then see an iPhone ad in front of you, it can trigger an impulse purchase.
In order to deliver the most relevant ads, contextual marketing encourages businesses to use more targeted ads based on SEO create marketing-focused content – a win-win situation for all parties involved.
Effective marketing in a world without cookies
Various tools offer a complete solution for third-party advertising and cookie-free retargeting in this new and challenging world. Based on the customer profile, browsing behavior and predicted visitor intent, you have the ability to target your advertising strategy. With data collected directly from your website:
- Ideal time to interact with your customers, higher conversion rate
- Presentation of personalized content based on the user’s past activities
- Introducing new metrics such as attention value, frequency, frequency and lifetime value
- Set up cross-channel tracking
- Access real-time customer profiles for advanced on-site marketing
- Feedback of targeted profile data to Google and Facebook to improve retargeting
The collection of anonymous data on your website, which is key to creating detailed customer profiles, complies with the latest data protection regulations. Deleting cookies eliminates the negative “Big Brother is watching” scenario that many customers fear.
In this changing environment, it is essential to be proactive and not reactive. Collected confidential and sensitive data is the property of the business owner and is not accessible to everyone in the business. In addition, real-time reports help monitor the impact of various targeted campaigns and optimize conversion and sales rates.
Conclusion
Third-party cookies have recently contributed to the stratospheric growth of online advertising. Unfortunately, the often intrusive nature of these cookies, increased transparency and customer awareness, and increasingly strict advertising regulations make third-party cookies obsolete. It is therefore important to understand, adapt and retarget your advertising/retargeting campaigns within these new parameters. Although there are many options, sometimes going back to historical strategies or using advanced technologies, it is important to act.