Why Google’s cookies decision should accelerate change from advertisers

As the dust settles on Google's recent announcement that it will no longer remove third-party cookies on Chrome, it’s worth pausing and assessing the journey the industry has been on since its initial announcement on deprecation in 2020.

That news four years ago kickstarted the search for an effective replacement that the industry has been grappling with ever since. Various players have developed solutions that enable marketers to still reach their target audiences, while a new market of identifiers has appeared that utilises a range of unique data sources to keep user privacy front and centre.

These alternatives ways to target audiences won’t disappear. If anything their importance will continue to grow as users take control of their own data privacy and choose whether or not to cut the cookie for themselves.

Rather than sit back, now is the time for advertisers and agencies to start putting the building blocks in place to build towards a landscape where the cookie is less ubiquitous, and alternative solutions can drive the best outcomes.
 

Clearing out the clutter

Marketers may have already onboarded a range of new alternative targeting solutions. Or they may be at the beginning of their journey in embracing the privacy-first world. Either way, they must be sure that the technologies they are utilising are driving the best results. This is particularly important for those looking to deploy multiple solutions across a range of channels. To stop spend being wasted and to ensure that these solutions are working in the most effective way, marketers must first prioritise streamlining and curating their programmatic tech stack.

Too often, these are bloated and inefficient causing budget waste. For instance, recent studies have found that only a third of spend reaches the consumer. When attempting to measure the impact of cookieless advertising solutions, having a highly streamlined programmatic tech stack will allow marketers to more effectively see which solution is working best for each channel. 
 

Paying attention to the data

The move to a cookieless environment has only highlighted the need for advertisers and agencies to have effective data strategies in place. A range of alternative data sources – first-party, zero-party, and contextual, for example – are often utilised to power these targeting solutions. It is vital that agencies and advertisers have a strategy in place. There are four core strands that help to build an effective data strategy:

• Deterministic data: This form of data, which matches exactly one to one with a consumer, is becoming increasingly important with the loss of the cookie. This includes things such as email addresses, phone numbers, credit card numbers, usernames and customer IDs. Advertisers and agencies need to have systems in place to effectively collect and utilise this data while keeping user privacy front and centre
• Data integration: All sources of information and data providers need to be boarded onto a DSP if marketers are to ensure comprehensive data availability across their campaigns
• First-party data sync: By synchronising their first-party customer data, marketers can enhance targeting and personalisation efforts
• Online & offline integration: It’s vital to Implement usage rules for both first and third-party data across online and offline channels
   

Back to basics

While there are a wide range of tech solutions available to marketers to take advantage of, remembering the basics is essential. This includes prioritising premium inventory on high quality publishers. The made-for-advertising (MFA) scandal that broke last year only highlighted the need to direct spend towards high quality environments that help to drive consumer interaction, and ultimately ROI. By working closely alongside publishers and other partners, marketers should aim to create a carefully curated programmatic approach.

Similarly, creative needs to stand out to consumers. Strong creativity drives engagement, but utilising the latest tech tools can elevate this even further. Interactive ad types, for example, can catch the consumer’s eye, while generative AI has the ability to create hyper-personalised ads at scale. It may seem obvious, but the power of creativity in driving engagement must not get lost in the new advertising landscape that is unfurling after Google’s announcement. 

Google’s latest announcement doesn’t change the direction of travel. Agencies and advertisers need to continue to prepare for a future where the power of the cookie is diminished, even if it is still available. A strategic mindset and strong planning is key to this, but the effectiveness of high quality ad placements and attention grabbing creative cannot be forgotten. Those agencies and advertisers that want to get ahead need to ensure they are well prepared for a more privacy-focused future.