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Google backtracks on third-party cookie depreciation

Cookies

We reported, back in 2022, how Google's 2020 announcement to phase out third party cookies by 2023 broke the internet. This was then pushed back multiple times and the latest date given was early 2025. This had everyone wondering what was going on behind the scenes and if a cookie-less world would ever be seen. Turns out, everything is changing again.

This change of tide isn’t that surprising given the delays and number of times the date has been pushed back. 

Google has a tough time balancing the needs of publishers, the online advertising ecosystem and the consumer. The proposed deprecation of  the cookie would most certainly be seen to be acting in the interest of the consumer in the privacy-centric world we live in today, but it's clear that the wider market wasn't ready for the complete death of the cookie. Instead, Google has taken a pragmatic approach and put the decision in the hands of the consumer, much like Apple did with the introduction of ATT (App Tracking Transparency). However,  when given the choice, consumers in the case of ATT have overwhelmingly opted out , with just 24% of US consumers opting in. 

So whilst the cookie will not completely die in 2025, it is clear that privacy-centric solutions will be increasingly important as we move to a near-zero cookie future. Google's Privacy Sandbox will play a big part of that, as will contextual targeting.

Google is now proposing an entirely new solution, placing decisions in the hands of the individual user. Anthony Chavez, a VP at Google’s Privacy Sandbox says: 

“Instead of deprecating third-party cookies, we would introduce a new experience in Chrome that lets people make an informed choice that applies across their web browsing, and they’d be able to adjust that choice at any time.”

Essentially, Google users can now create their own ad and privacy settings by easily opting in or out of third-party cookies across their entire browsing experience with the click of one button. 

What does this mean for consumers?

Consumers are ultimately going to gain more control of their information and therefore understand better where and how their data is stored and used.  Every-day internet users will start to make more informed decisions about who has their data and what they’re allowed to do with it and will become even more savvy about any marketing served to them.

And what does this all mean for advertisers?

Over time, the industry has to become either good at convincing people to share their cookies and click that “button” or create a privacy-centric advertising environment in which we can still target people reliably without gathering first party data. Based on historical data from Apple’s tracking transparency (ATT) we estimate that 70-80% of consumers will opt out of 3rd Party Cookies on Google Chrome, while 100% of consumers using Safari and Firefox Browsers are already cookieless today.

The proven way we have always achieved excellent results for our clients without need for data gathered by cookies is Contextual Targeting. 

What is Contextual Targeting?

A past blog of ours has explained just how we do this. Video Ads are placed by understanding the consumer’s intent and interest from a contextual perspective. Serving video advertising to a user directly relating to the content on the video or mobile app they are watching takes into account that the audience is already interested in the subject. Given the interest, there is a much greater chance of generating higher click-through rates and conversions.

Contextual advertising can not only help identify your target audience's legitimate preferences, it does so by mitigating public data privacy concerns.

That's a huge win-win. More so now, than ever before. 

By more accurately targeting customers, contextual advertising is an incredibly effective way for brands to connect with their customers. This type of advertising also leads to increased ad recall, without harvesting personal information. And because contextual ads are intentionally designed towards users who are interested in a particular topic, users find them less distracting and annoying than traditional ads, like banners.

Even with this latest backtrack, the world of online advertising is going through a major change, with a new emphasis on reaching the right target audience at the right time and in the right environment.

At Precise TV, we leverage the power of AI to predict who is actually behind the screen, all without behavioral data from a third-party cookie. We analyze the context and content of every video, to ensure contextual ads resonate with consumers.

By doing so, we can ensure that ads are placed with better reach while adhering to the principles of brand safety.

Get in touch if you'd like to learn more about contextual advertising and how this can boost your business outcomes. 

Topics: youtube, advertising, contextual targeting, digital