May'23·Jordi Capdevila·3 MIN

Reasons to bake cookieless advertising into your media plan

Home Reasons to bake cookieless advertising into your media plan

The increased legislation around data privacy globally has placed significant limitations on third-party data collection. This trend, backed up by the decision of key web browsers to drop the use of cookies altogether, has pushed the advertising industry to change how they operate when it comes to targeting consumers online. While the third-party cookie is on its last legs, marketers are yet to completely move on to alternate options. A study by Adobe states that 75 percent of marketing and CX leaders still rely heavily on third-party cookies. The same study states that over a third of companies surveyed expected the impact of third-party cookie deprecation to devastate their business.

Brands of all sizes do have alternate options to ensure they are able to deliver targeted ads to users. Alternative methods such as first-party data and contextual targeting have emerged as clear options for businesses and advertisers alike. Brands like Amazon Prime and Spotify have been leaning on first-party data to create ads that lead to better engagement. Brands like Nike and McDonalds have been using contextual advertising to reach consumers with ads that are relevant to the content and context in which they are viewing the ad. Marketers can take advantage of cookieless targeting to explore and enhance their targeting approaches. Here are the top-three reasons to integrate this tactic into your media plan going forward –

  1. Prepare for a privacy-first world - Advertising without cookies can promote privacy in several ways. Without cookies, the ability to track a consumer’s online behavior and subsequently build a detailed profile is no longer present. While this is definitely a big blow to the advertisers, consumers prefer a cookieless approach.  According to a survey conducted by Pew Research Center, about 72% of American adults said they personally benefit very little or none from company data collection, and 81% said they feel that the potential risks of data collection outweigh the benefits.

Eliminating cookies makes it easier for businesses to be transparent about their data practices, and ultimately minimize the amount of personal data they collect and process to only what is necessary for a specific purpose, provided the consumer has given consent. An additional benefit of leveraging cookieless marketing is that it helps reduce the risk of data breaches and cyberattacks, as cookies are often vulnerable to security issues that can compromise users' data.

  1.   Deliver better customer experiences – We’ve all experienced a scenario where we browse the web for a certain service or product and keep seeing ads for the same irrespective of where we go online.  The biggest advantage of dropping the use of cookies is that consumers are not perpetually presented with ads that seem to follow them around the internet based on their past browsing behavior. This immediately makes the advertising experience feel less invasive and more organic. Technologies like AI and deep-learning algorithms used for contextual advertising play a key role here in ensuring users see ads that are relevant to what they are browsing.

Brands that have access to first-party data can study the same to deliver ads that are tailored to users' preferences, behaviors, and needs. This helps create a more positive brand experience and build stronger relationships with customers.  Brands like the New York Times are already embracing cookie-free advertising techniques to boost the efficiency of their direct-sold ads business.

  1.   Enhance brand safety and suitability – Without cookies, having to rely on contextual advertising or first-party data has given brands the ability to control where their ads are placed, and ensure that the ads are being shown in safe and appropriate environments.  With the number of fake news websites and fraudulent websites on the rise, dropping the use of cookies allows marketers and advertisers to avoid placing ads on websites that would harm the brand. By leveraging contextual advertising, brands can focus on the content of the website rather than the user's browsing history, which can be unreliable and subject to manipulation. Contextual advertising also allows advertisers to target specific keywords, topics, or categories relevant to their brand or product and smartly judge whether those keywords are being used in a negative or positive light before placing the ad. This helps ensure that ads are placed in a suitable context that is aligned with their brand's values and messaging.

There are several to embrace a cookie-free strategy for one’s media plan. Businesses that aren’t looking at alternate options to continue to engage in meaningful ways with customers will not only have to deal with the legal ramifications of various data privacy laws across the globe, but also deal with a diminishing client base. To get kick-started on your cookieless journey, write to us at Seedtag. Our experience of having set numerous companies on an impactful future-ready path when it comes to their media plans allows us to tailor-make an approach that meets your needs.

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