Big news just broke in the world of online advertising! After announcing the end of third-party cookies in 2022, Google chose to postpone its deadline till the end of 2023. There are many reasons for it, but the industry professionals are welcoming this news. Let’s take a look at the situation.
Third-party cookies: What are they?
Third-party cookies are ad trackers. They help companies to efficiently target their ads. Those cookies enable advertisers to get information on the users’ profile: their browsing history, their preferences, their clicks. They are generated automatically by the visited website. This way, the displayed ads are personalized to your site’s audience.
Reorganizing the Ecosystem: Big Changes in the Digital Advertising Landscape
Despite significant progress, Google estimates that the third-party cookie alternatives are not ready. They need “more time to do things right”. What needs to be understood is that the conversations over third-party cookies are still ongoing between Google, the authorities, the publishers and the advertisers. This delay must enable all parties to be better prepared for this transition thanks to different tests.
The objective for Google is to protect its users’ privacy more effectively while allowing advertisers and publishers to continue to generate revenues thanks to advertising. This gives a better understanding of how important the impact of a cookieless world is on them.
On the Privacy Sandbox official website, Google has presented its new forecasted calendar. This should give the concerned parties more time to prepare. At the end of 2022, the advertisers and publishers will have 9 months to update their practices. From the middle of 2023 to its end, the progressive suspension of the third-party cookies on Chrome will start.
The Privacy Sandbox question
Announced over a year and a half ago, the Privacy Sandbox’s objective is to enable advertisers the ability to collect information from internet users in a way that respects their privacy more respectfully. This initiative is presented as a “suite of open APIs” thanks to which the data are stored in Chrome and accessible to advertisers.
But it’s important to note, the Privacy Sandbox is raising concerns everywhere. An investigation has been opened by the Competition and Markets Authority (CMA) in Great Britain. They are worried that this initiative will only strengthen Google’s domination over the online advertising market. This concern is shared by the European Commission which also opened an investigation on possible anti-competitive practices in Google’s ads display.
Possible Alternatives
The ecosystem has to get ready for this change but just gained a bit more time. In the absence of third-party cookies, advertisers have to build a strategy from first-party data. This data has been recognized as essential for the development of alternatives.
These past months have enabled the industry professionals to grasp the scope of the challenge. They have two options: find new ways to collect user data while respecting their preferences, or find the right technologies that will enable them to unify and activate this data with their consent. Proposing sustainable alternatives will be possible if all members of this industry work together.
Alternatives have already been created but Google’s postponement enables the industry to catch its breath and set up long term strategies. It’s too soon to say if the Google calendar is the final one, we will keep you updated. To be continued…
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