SWITCHING OFF 3RD PARTY COOKIES: WHICH CAMP DO YOU BELONG TO? PREPPER OR HAMMOCK?

A few weeks ago, Google once again announced that they would be switching off their 3rd party cookies in the Chrome browser. What's with all the news that's been circulating in recent weeks, and in fact for months, about cookies dying? Google actually announced the switch-off of 3rd party cookies two years ago.

 

Despite the many news items and brief outcries, some people seem to be looking into the issue and possible alternatives, but others are in lean-back mode and waiting for now, because 2022 seems a long way off.

 

Where are we in the development process?

We are currently in a kind of transition phase. In the past, most users were almost indifferent to what happened to their data, but users are currently being encouraged to agree to the use of cookies or not. Some people are already using adblockers regularly via their browsers, meaning that adblock users are no longer being addressed in regular campaigns. Safari and Firefox have also long since abolished the use of cookies. Currently, only 30-50% of 3rd party cookies can still be used. This use of 3rd party cookies will gradually be switched off due to changes in operating systems and browsers, so that by the end of 2021 we will probably only be able to use just under 30% of all 3rd party cookies in Germany and in 2022 we will be flying blind as far as targeting is concerned due to the elimination of 3rd party cookies in the Chrome browser.

A slide from the Welect presentation with the headline: "The death of cookies has concrete consequences, we should be prepared"

What other alternatives are there?

  • One alternative is the single sign-on model: users could use various services with a single email registration. We are already familiar with this from some providers. For example, I use my Facebook, Instagram or Amazon login details to register or pay in online shops.
  • Another alternative is the Unified Advertising ID (lettershop mechanism). Here, an email or telephone number is hashed in compliance with data protection regulations. The use of this mechanism is similar to the use of cookies, but here too there will be hardly any more options for tracking the cookies, and it remains to be seen to what extent this is really data protection compliant.
  • Another alternative is that I as a user must always register or log in for content from publishers. This means that users always consent to the use of data, but it will be difficult to build up reach here unless the single sign-on model is established here too.
  • This leaves the 1st party cookie, which can only be set and used on one website at a time. If necessary, the IP address or browser can then be used to match the call on the cross-device side, which in turn is also difficult in terms of data protection.

 

Ideally, various alternatives should be combined to achieve greater reach and more precise targeting.

 

However, the biggest problem is and remains data protection and the GDPR. Users are being informed more and more about what happens to their data and must actively consent to the use of their data. For all cookie alternatives (with the exception of self-determination), data protection compliance has still not been clarified and there remains a big question mark.

 

It is very likely that there will initially be a ‘back to the roots’ and some agencies and advertisers will revert to contextual targeting. However, some of the targeting options used today will be lost. Comprehensive frequency capping will no longer be possible and retargeting will also become difficult with some approaches, not to mention net reach, which can no longer be optimised across multiple publishers.

 

So the best alternative, which is both compliant with data protection regulations and offers greater added value, is self-determination!

 

Only if users can decide for themselves which adverts they want to see can content be relevant and the right target group reached, regardless of age, gender and other characteristics. And if users prefer to make their own choices and can also decide where they submit which data, why not select the adverts that are relevant to them? Fortunately, we already have a very well-functioning solution for this - Welect - because the motto is: self-determination!

 

Then we at Welect can actually sit back and relax...