The Contextual Journal - Seedtag Blog

Privacy on the Rise Despite Cookies Staying Around

Written by Jordi Capdevila | Jul 25, 2024 11:03:22 AM

The digital advertising landscape is undergoing a profound transformation, driven by a relentless focus on consumer privacy. Regulations like GDPR and CCPA, coupled with browser restrictions, are rapidly eroding the traditional addressable advertising ecosystem. While the recent news about Google's decision on not deprecating third-party cookies has caused ripples, it's essential to recognize that the broader shift towards privacy is irreversible.

At Seedtagwe've been at the forefront of privacy-first advertising for a decade. We develop tools for advertisers to thrive beyond an evolving landscape, delivering campaigns that matter to users at the most relevant moment for them. Here is how we foresee going from an era of change to a change of an era: 

Cookie limitations: Losing Signals and Reach

With Chrome market share ranging from 75% to 50% depending on the country, according to web-tracking firm StatCounter. Furthermore, if you factor in legislation, penetration of ad and cookie blocking apps and users choice (53% of users reject cookies on certain websites and 32% in all websites according to a study conducted in conjunction with YouGov), it’s clear marketers are now facing numerous restrictions.

Traditional audience categorization and targeting methods are becoming ineffective because they rely on stereotypes and assumptions and fail to comply with privacy regulations, but even more importantly, user preference. Conventional advertising methods aim for a broad audience, but they often miss the mark, leading to wasted ad spend as many viewers may not be interested in the product or service; and fails on delivering the message to the total addressable market. Modern targeting strategies move beyond conventional identity-based approaches and focus on users' current interests and the context of the content they consume. Interest-based targeting, which breaks away from stereotypes, is seen as a more effective, non-intrusive, and privacy-centric alternative.

Cookies have carried the industry far, but time has come to pass the torch - a significant challenge for many advertisers and a unique opportunity for those who can adapt.

Contextual: The key to Precision & Scale

Contextual advertising is the cornerstone of our approach. It focuses solely on the content of the page rather than the user, mitigating privacy concerns and complying with data protection regulations. Contextual advertising delivers both precision and scale by leveraging the context surrounding ads rather than tracking individual users. This method respects user privacy while providing highly relevant ad placements.

Contextual signals can be particularly effective on platforms like Connected TV (CTV), cookieless by nature, which accounts for one-third of combined US linear and CTV ad spend in 2024, according to eMarketer. With strong projected growth in 2025, these signals ensure that ads reach the right audience at the right time without compromising privacy. Our Contextual Graph, combined with advanced AI, allows us to target audiences with precision and scale, delivering exceptional results in a privacy-centric world.

Beyond Contextual: A Hybrid Approach

In the changing world of digital advertising, there is no one-size-fits-all solution. The future is undeniably hybrid, combining traditional signals with emerging privacy-first methods. Integrations with new privacy-focused initiatives, such as universal IDs, Privacy Sandbox, are becoming increasingly important.

By using a mix of contextual advertising and available tools, advertisers can achieve a balanced and effective strategy that adapts to ongoing changes and user preferences. This approach allows advertisers to diversify their tactics, ensuring they do not rely on a single method and can reach their target audiences effectively.

Seedtag’s Commitment to Privacy-Preserving Advertising

Powered by Liz, our pioneering AI technology, we at Seedtag offer future-proof, thoroughly tested contextual targeting solutions that find and engage with nuanced audiences and capture their attention by aligning with their current line of interest.

We believe that by focusing on context, relevance, and user experience, we can build a more sustainable and effective advertising ecosystem.

Are you ready to embrace the future of advertising? Want to learn more on how Seedtag can help you navigate the complexities of a privacy-centric world?