Cookies have been an essential component of any ad technology or paid media marketing plan since its inception in 1994.
Do you know why cookies are going to be a popular topic this year?
Have you heard anything concerning the future of third-party cookies?
First-party cookies vs Third-party cookies
What is Cookie?
A cookie is a text file containing small amounts of data produced by the webpage as the user navigates. The website uses this information to identify you, save your choices, remember your session, and so on.
Type of Cookie
Cookies come in different types; but in this article, we will talk about first-party cookies and third-party cookies.
First-party cookies are those created directly by the website the user is viewing, or by the host domain. A cookie’s wide variety of purposes includes allowing us to improve user experience using information about the user. Can be set by the publisher’s web server or any JavaScript that is loaded into the page.
Third-party cookies are those created by a third-party server and put into the website while the user is browsing. They are mostly utilized for tracking, retargeting, and advertising purposes.
Widely used in advertising for nearly 20 years, cookies are becoming less and less reliable. So what is the status of cookie usage on this day?
How are cookies used today?
First-party cookies are now used for various purposes, the most common of which is to save user preferences and sessions on the web. Third-party cookies, on the other hand, are used to create consumer profiles, track their behavior, and personalize advertising.
User privacy
The use of third-party cookies is increasingly common on online advertising sites. Besides, the privacy policy of consumers has been more clearly displayed in the media. Processes for blocking cookies (or deleting data after a user session) have emerged extensively in recent years. So consumers get privacy, data protection, and control over how data is used online with all third-party cookie issues.
Fighting the growing popularity of cookie blocks and complying with privacy-focused rules has prompted advertisers and publishers to seek a new solution for user privacy.
The affect of deleting 3rd party cookies on digital marketing campaigns
Cookie-based data is the most often used data in digital marketing initiatives. The lack of third-party cookies makes it more difficult to validate digital advertising performance. Furthermore, it will be more difficult to influence a user across many websites (audience extension) and identify similar target groups to develop lookalike audiences to recruit new users, raise brand awareness, and provide personalized advertisements.
Frequency capping is another aspect associated with poorer efficiency. Without the cookie containing information from multiple domains, it would be difficult to determine and limit how many times a user sees your advertising in a given period.
Finally, third-party cookies now provide the marketer with a comprehensive view of the combination of platforms employed in the plan. Determine what is working and where to spend additional money based on the outcomes. This elimination will have an impact on view-through attribution tactics as well.
Users’ without tracking pixels
With all of these changes, pixel-based tracking is leaving marketers increasingly blind to user interactions with ad campaigns. The value of first-party data collection and CRM systems will increase.
To track data in the post-cookie era, we will need to create our tracking server and integrate it with other technologies like Facebook Manager and Google Analytics. But how does the data reach the server? It originates on the client side or the web server before reaching your tools. The advantage is that tracking data is delivered straight to the server and then spread.
This new method restores openness and efficiency in marketing procedures by complying with GDPR, integrating the user journey and combining events from different touchpoints, and improving site speed by eliminating analytics pixels.
Conversions API (CAPI)
The Conversion API (or CAPI) is Facebook’s reaction to the cookie dispute and was previously known as the Server-Side API. This interface enables advertisers to submit events straight from their servers to Facebook. These server events are used to measure, report, and optimize.
As you can see, digital campaign plans will need to evolve in terms of tracking, targeting, and data validation. Adsmurai has created a series of posts regarding cookies, the Conversions API, and how to prepare your paid media campaigns for this significant change.
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