A Cookieless Future: Preparing for the End of Third-Party Cookies

The digital advertising landscape is on the brink of a major transformation as the end of third-party cookies draws near. For years, third-party cookies have been a cornerstone of pay-per-click (PPC) campaigns, enabling advertisers to track user behaviour across the web and deliver highly targeted ads. However, growing concerns over privacy have led to a shift towards a more privacy-conscious approach, forcing marketers to adapt. 

As we move towards a cookieless future, understanding how to navigate this new terrain is crucial. Here, we explore strategies for adapting PPC campaigns to a privacy-first world, focusing on the use of first-party data and privacy-compliant targeting techniques. 

Prioritising privacy-first advertising

The deprecation of third-party cookies marks a significant shift towards privacy-first advertising. This change is driven by increasing consumer demand for privacy, stringent regulations like the General Data Protection Regulation (GDPR) in Europe, and proactive steps by major tech companies. Google, for instance, has announced its intention to phase out third-party cookies in its Chrome browser by 2025. 

Privacy-first advertising requires marketers to rethink how they collect, manage, and use data. Instead of relying on third-party cookies, which track users across multiple sites, advertisers must now leverage data sources that respect user privacy. This means greater reliance on first-party data—information collected directly from users with their consent, such as data from website interactions, customer surveys, and loyalty programs. 

Leveraging first-party data

First-party data is invaluable in a cookieless world. It is collected directly from your audience, making it more accurate and reliable than third-party data. Moreover, since it is obtained with user consent, it aligns with privacy regulations, building trust with your audience. 

• CRM systems are treasure troves of first-party data. They store detailed information about customer interactions, purchase history, preferences, and feedback. By integrating CRM data with PPC campaigns, advertisers can create highly targeted and personalised ads that resonate with their audience. 

• Your website and app are primary sources of first-party data. Tools like Google Analytics 4 can provide insights into user behaviour, preferences, and engagement patterns. This data can be used to segment your audience and tailor your PPC campaigns to meet their specific needs. 

• Email marketing lists are another excellent source of first-party data. They contain information about subscribers who have explicitly expressed interest in your brand. This data can be used to create custom audiences for PPC campaigns, ensuring your ads reach a highly engaged and relevant audience. 

Privacy-compliant targeting techniques

 Adapting to a cookieless future involves embracing privacy-compliant targeting techniques. Here are some strategies to consider: 

• Contextual targeting involves displaying ads based on the content of the web page rather than tracking user behaviour. This technique ensures that ads are relevant to the content the user is currently viewing, enhancing the user experience while respecting privacy. 

• While interest-based targeting traditionally relied on third-party cookies, it can still be effective using first-party data. By analysing the interests and preferences of your audience, you can deliver ads that align with their interests without infringing on their privacy. 

• Using geographic and demographic information is another privacy-compliant way to target your audience. This method focuses on delivering ads based on users’ locations and demographic attributes such as age, gender, and income level, which can be gathered from first-party data or inferred from context. 

Embracing new technologies

As the digital advertising ecosystem evolves, new technologies are emerging to fill the gap left by third-party cookies.

One such technology is Google’s Privacy Sandbox, which aims to create web standards for websites to access user information without compromising privacy.

Some of these features include the Topics API which enables interest-based advertising (IBA) without having to resort to tracking the sites a user visits, allowing advertisers to reach potential customers or supplement contextual information to help publishers use advertising to fund websites.

They also have a Protected Audiences API which has technology to serve remarketing and custom audience use cases, designed so third parties cannot track user browsing behaviour across sites. 

Preparing for the future

To thrive in a cookieless world, advertisers must be proactive and adaptive. Here are some steps to prepare: 

• Conduct a thorough audit of your current data sources and identify where first-party data can be enhanced. Ensure that your data collection practices are transparent and comply with privacy regulations. Evaluate the impact of third-party cookies on your website functionality and within your marketing efforts. 

• Invest in technology and tools that support privacy-first advertising. This includes CRM systems, data management platforms (DMPs), and analytics tools that can help you leverage first-party data effectively. 

• Ensure your marketing team is well-versed in privacy regulations and the implications of a cookieless future. Provide training on new targeting techniques and technologies to keep them ahead of the curve. 

• As the landscape continues to evolve, it’s essential to test different strategies and iterate based on the results. Experiment with various privacy-compliant targeting techniques and refine your approach to find what works best for your audience. 

The end of third-party cookies presents challenges, but it also offers an opportunity to build stronger, more transparent relationships with your audience. Embracing first-party data and privacy-compliant targeting techniques means the more you’ll have, the more effective a PPC campaign that respects user privacy and drives meaningful results in this new era of digital advertising. 

This is something we prioritise with our PPC campaigns at Mediaworks to protect UX and still drive results for our partners. Check out our previous work and get in touch with us today.