Cookies haven't disappeared & neither have your privacy efforts.
Google recently announced that third-party cookies are here to stay, for now. After months of anticipation, Google has instead decided to offer users the choice to opt-in to a more prominent cookie consent experience.
Why now?
Influenced by regulatory bodies and industry feedback, Google's decision signals the need for a balanced approach to privacy and advertising. With user choice at the forefront, Google aims to create a more sustainable ecosystem.
This shift highlights the importance of privacy-centric strategies for advertisers and publishers. By building trusted relationships with customers, organisations can aim for significant performance gains.
So, what does this mean for cookies?
While Google's reversal on phasing out third-party (3P) cookies in Chrome might seem like a win for those who rely on them, the future remains uncertain.
Google had already limited 3P cookies for 1% of users for Privacy Sandbox testing for the first half of 2024. Now, with the emphasis on a user opt-out option within user settings for 3P cookie tracking, the current availability of 3P cookies is unclear.
You may remember Apple’s App Tracking Transparency (ATT) prompt, which similarly impacted mobile signal (IDFA) availability.
As per Apple’s ATT report, user consent rates will likely decline over time, stripping away the value of third-party cookies. The rise of ad blockers, regulatory scrutiny, and browser restrictions clearly signals that there should be rampant steps towards privacy-centric strategies.
According to AppsFlyer’s 2024 report, 50% of iPhone users globally choose to opt in and share their IDFA signal across apps.
However, Apple’s policy was notably different because they actively prompted users to allow app IDFA tracking. If Google was to switch their current policy to mimic Apple’s, we can use ATT opt-in rates as a guide.
Cookies are also facing external pressure.
The EU already began curtailing 3P cookie availability and the transparency around collecting them back with GDRP in 2016, and they have shown no signs of stopping against further curtailing data for personalised ads.
The Australian government is set to release an update to legislation regarding data privacy in August 2024, which still makes all privacy-focused initiatives incredibly important, specifically consent management and consumer control over their personal data.
Other browsers such as Safari and Firefox have long since abandoned 3P cookies.
What's next for advertisers?
While brands and advertisers today can take a breather in their cookie deprecation preparedness, we still believe in the need for future-proofing strategies as we anticipate 3P cookies continuing to fade over time.
Building robust first-party data foundations to unlock insights is essential for long-term success.
- Stay Focused on Privacy: Continue investing in a modern, privacy-focused marketing stack. Much of the advertising landscape already functions without third-party cookies (as is the case in other browsers and for opted-out users).
- Embrace New Technologies: Google is investing in Privacy Sandbox, AI, and other advanced technologies. Implement Google Tech, such as GA4, that helps preserve targeting and measurement on Google.
- We're here to help: Resolution Digital is committed to supporting you with the expertise and tools you need to navigate these changes successfully, no matter what strategy you choose.
Whether Google makes additional changes to 3P cookie availability or changes their opt-out mechanism are uncertain. With present conditions, 3P cookies will hang around for the foreseeable future, but advertisers will be better served exploring alternative identifiers and techniques.
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