How advertisers can succeed in the post-cookie world

post-cookie With Chrome’s third-party cookies slowly edging toward deprecation, Safari and Firefox’s cookies long gone, and privacy regulations increasing around the world, advertisers should already be developing privacy-safe strategies that are no longer reliant on third-party data.

This challenge – or opportunity – is enabling the advertising ecosystem to champion privacy, while finding innovative ways to continue delivering relevant ad experiences to consumers. Harvin Gupta, Director of Solutions Engineering at Xandr talks through the options in more detail.

As it stands, advertisers are heavily reliant on third-party cookie-based identifiers to reach their audiences, manage frequency, and to measure ad effectiveness. But it’s time for advertisers to go beyond this and look for new strategies to continue being effective in the post-cookie world.

A first-party strategy

One of the first things advertisers should be looking to do is to make use of the wealth of data they already have – everything from purchase data, CRM and even email engagement. When unlocking this data, it’s imperative that advertisers continue to prioritise consumer privacy.

When it comes to activating in-house data, an important first step is making sure that the company leadership is fully onboard with the idea. Data audits are expensive to undertake and can prove to be costly for a business, if not done correctly. Once leadership has agreed, it’s time to organise the data. There needs to be a distinction between consented and non-consented data to ensure regulations are followed. Any data that’s used needs to be organised and compliant.

Alongside this, there has to be a focus on educating the consumer on the value exchange. Consumers are now more wary of how their data is being used and it’s important to keep them in the loop to build trust and ensure they continue sharing their data to, ultimately, deliver more relevant ad experiences to them.

Publisher relationships

While advertisers have greater data resources than ever before, many publishers have even more first-party data at their disposal.

As a result, publishers will offer their inventory through private or curated marketplaces that respond specifically to advertisers’ needs. This is why brands need to evaluate collaboration opportunities and make use of technologies, such as data clean rooms, to ensure privacy-safe audience matching, ensuring that users known to both the advertiser and the publisher can receive the best possible experience. It also offers the opportunity to find relevant target audiences through the publisher’s segments.

Supporting the open internet

Though the deprecation of third-party cookies presents a huge opportunity for publishers to prove the worth of their data, it will – at least initially – put pressure on them to remain financially stable. Because of this, it’s paramount that advertisers allocate budgets outside of the walled gardens and support the open internet.

Advertisers should note that consumers are spending a lot of time on the open internet, and attention is becoming increasingly fragmented across screens and platforms. Despite this, 61% of ad spend makes its way into walled gardens, meaning advertisers are missing out on opportunities to connect with wider audiences.

Embrace the opportunities

The industry has to think long and hard about how to approach the changing face of identity. Taking the above steps will help advertisers to continue to achieve relevance in this post-cookie world – and there’s still time to explore these, especially with Google putting the cookie deprecation on hold until 2023. There are many options out there, with plenty more on the way, so it’s important that marketers understand and evaluate all the possibilities.

post-cookieHarvin Gupta, Director of Solutions Engineering at Xandr