What Will Replace The Third-Party Cookie?

For years, digital marketing strategies have focused on delivering ads to their ideal customer using data from third-party cookies. They were able to target extremely specific demographics. But the collection of third-party cookies brought increasing concerns from consumers about personal privacy. 

This year marks the end of this practice, as internet browsers like Firefox, Safari, and Chrome continue to block third-party cookies by default. And the Apple iOs update requests their users opt in for their data to be tracked. What does the future of online advertising look like without the third-party cookie? How can you find and target your ideal customers online? Luckily, there are a lot of solutions out there. And we’re highlighting three.

Similar Alternatives

While third-party cookies are no longer being collected, that’s not to say similar alternatives aren’t being created. Google is still collecting personal data. They have just changed the way they are organizing and sharing it. Instead of having personal profiles of data for every individual person, they are grouping it into what they call a cohort.

For example, if your browsing history shows you love vintage cars you will be placed in a “cohort” of other people with the same interests. Everyone in this cohort can then be targeted with ads for vintage cars. Google argues this is more private than third-party cookies because the information is less individualized. But in many ways, this is a lot like third-party cookies and the practice has been criticized by some privacy advocates such as The Electronic Frontier Foundation. But for now with this alternative, specific targeting is still possible.

First-Party Data

Many businesses are taking matters into their own hands. The disappearance of third-party cookies has actually been a positive change, because it brings businesses back to the value of building relationships with their customers. From this perspective, this change is actually exciting. Businesses don’t have to rely on others, they can build their own first-party data.

The last few years, consumers have been targeted by companies they didn’t know using personal data they felt they hadn’t given permission to be shared. Now, companies are focusing on building their own first-party data with potential or existing consumers. For example, if you visited their website or social page, if you liked their post, bought something, or signed up for their email list, you have begun the conversation. Companies will use this data to target these consumers; continue the conversation, build the relationship, and lead them to the sale.

Return to Innovation

The disappearance of third-party cookies may seem unfortunate, but some see this as a good thing. You don’t need to depend on as much creativity to attract someone to your company if you already know they are interested in your services. But this loss of routine and inability to depend on formulas will require a return to innovation. 

As a company, you’ll need to get creative. Think of traditional advertisements. How do they capture attention from the start? How do they tell a story to a broad audience in a way that either converts them into buyers or into brand fans that will tell others? Innovation and creativity are necessary to make these advertisements successful.

Moving Forward

There is no reason for worry as third-party cookies disappear. There is a bright horizon ahead. Embrace this season as you build more meaningful relationships with customers through first-party data and flex your creative muscles to draw customers in. And remember, there will always be tools to target your ideal audience, such as Google’s cohorts strategy. Keep moving forward as you make changes in your digital marketing strategy so you can come out on top.