THIRD-PARTY COOKIES APOCALYPSE. WHAT IMPACT ON PROGRAMMATIC ADVERTISING?

THIRD-PARTY COOKIES APOCALYPSE. WHAT IMPACT ON PROGRAMMATIC ADVERTISING?

From 2022, Google announced that it wanted to end the use of third-party cookies on its browser. As a reminder, these are files containing personal data collected from users.

As it stands, this system makes it possible to display advertisements to Internet users based on their interest and in relation to their browsing history. In anticipation of the end of this era, Google anticipates with the will to set up solutions like the Privacy Sandbox with the FLoC (Federal Learning of Cohorts) and FLEDGE.

CHANGES IN THE GOOGLE ENVIRONMENT WITH DATA PROTECTION

Following this announcement, a study conducted by the American firm showed an increase in research of + 50% in 2020 on “how to protect your personal data on the web”.

Developments in the sector have highlighted the fact that Google should review its operation and promote better service to give confidence to users of the platform. The search engine wants to give back control to Internet users and no longer be a platform that sells their personal data to the highest bidder.

 

Europe, for its part, launched the GDPR (General Data Protection Regulation) in 2018 to oversee the processing and protection of personal data. This new regulation aims to protect the personal data of users on the web in the European Union. This signal was the first in relation to the protection of personal data.

 

Across the Atlantic, California in 2018 passed the California Consumer Privacy Act (CCPA) as part of protecting consumers on the web. Consumers now have the right to know the data taken by the website and to ask for it to be deleted. Companies cannot refuse to delete your data from their database.

 

The days when everything was possible with your data will soon be over. The various scandals such as Cambridge Analytica or the elections of Donald Trump have accelerated the implementation of regulations. These companies had access to your personal information and redistributed it to their customers. This is why the data management and the conditions of use of the sector are called into question.

WHAT ARE THE CONSEQUENCES FOR PROGRAMMATIC ADVERTISING?

In programmatic advertising, this news is important because it directly influences the tactics deployed. For example, targeting of website visitors will no longer be possible through third-party cookies that identified a person.

From there, the tools offered by Google will no longer be able to segment users in the same way according to the age, household income and gender of users. This situation forces the search engine to think about a new way of targeting.

Likewise, Google had developed a tool that controlled a person’s ad exposure so that they were not overexposed, thereby avoiding the intrusive and irritating side of the ad. From 2022, this rule will no longer apply and the risk of a person’s overexposure to advertising may increase.

With the disappearance of the third-party cookie, the risk of seeing more disappointing performance is real. Google reassures, however, on this point by promising 95% identical performance. There can be several effects like an increase in CPM (cost per mile) as well as CPA (cost per acquisition). But then what to do? Google is already developing solutions for 2022.

THE SOLUTIONS DEVELOPED BY GOOGLE

To respect user privacy, Google is currently developing the Privacy Sandbox. This is a project that aims to replace third-party cookies by maintaining the effectiveness of advertisements even without them.

As part of the Privacy Sandbox project, Google teams are working on a tool that should still make it possible to track users on Google while respecting data protection standards. This is an interest-based targeting called Federated Learning of Cohorts (FLoC), it will create similar audiences grouped together as a cohort.

Likewise, FLEDGE is Chrome’s new solution to fight against data loss in the face of the end of third-party cookies. This tool should allow advertisers to retarget advertising despite the deletion of cookies.

In short, Google is looking for solutions to help advertisers and publishers in the future. Google has yet to work on the most harmonious solution for all. In any case, stay tuned for upcoming announcements from Google in 2021 regarding the solution they find for 2022.


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