What three steps should brands make to prepare for the cookie-less world?

There is a huge rise the concern people have for their personal information, how their data is being collected and where it is going. Due to the rise in concern third-party cookies are soon to be discontinued. This is going to change the way brands collect data, builds client profiles and markets consumers. Brands need to act as soon as possible to stay up-to date with data trends and ensure they are still able to collect valuable data (McKenzie, 2021).

There are three steps highlighted below that gives ways in which brands can prepare for a cookie-less world. They take into consideration how people currently collect data, how this will change and how they can still find value in the information they are still able to collect.

1. Focus on first-party cookies

Cookies will not completely cease to exist, first-party cookies will still very much be in use. First-party cookies are the direct relationship between the host domain and the website you are visiting. They only collect the information you share on that website and do not track you across other websites or apps (Komnenic, 2022). The term ‘cookie-less world’ looks at the move to disable third-party cookies. These are the cookies that track your activity across different domains, for example if you ‘like’ something on Facebook another domain can access this information and use it to target people and display more relevant ads (Cookie-Script, 2020).

The issue that brands have with collecting data through first-party cookies is that they don’t always tell you a lot of information, nowhere near as much information as third-party cookies do. The challenge brands will face is trying to find the value in third-party cookies. Companies have already begun research into the impact this will have on businesses, GetApp found that 41% of business believe they will struggle when third-party cookies are phased out and 44% of marketers believe they will have to increase their spend from 5% to 25% to achieve the same goals (Bump 2021).

Three ways in which brands can use first-party cookies are by incentivising opting in for a newsletter, using a customer relationship management platform to personalise experiences, and test content and marketing on groups before publishing it for the mass market. These steps will help brands build stronger and more trustworthy consumer relationships whilst also generating valuable data. They will be able to look at how the consumer interacts with their brand, what they’d like to see and build a stronger picture of their customer.

2. Transparency with consumers

Transparency is key when trying to build trust and encourage people to visit your website. The more trust consumers have in a brand, the more willing a consumer will be to share data, therefore there will arguably be less need for third-party cookies. Companies should notify consumers what data they are collecting, how they are collecting and how they are going to use it. This will allow them to make an informed decision on whether they would like to opt into sharing their data. This also allows the consumer to have full control over their data and personal information (Morey et al, 2015).

Part of being transparent with consumers means making the information supplied readable. Consumers need to be able to read, understand and digest the information that is being presented, otherwise they cannot make a suitable decision (Tene and Polonetsky, 2011). There is a difference between posting something in a larger font than to fully break it down and clearly layout how you will be using their data. Not everyone will understand the technical words used to describe data and privacy so it is imperative to ensure everyone can understand the information.

3. Acceptance and finding value

Acceptance is a key part in preparing for the cookie-less world. The dismantle of third-party cookies is inevitable and cannot be stopped. Accepting this and understanding that it may be beneficial will assist a brands success. This will allow brands to seek new creative ways to collect data, try new techniques and focus on what is important to them. It gives brands the opportunity to get to know consumers on a personal level and increase their trust in the brand (Forbes Communications Council, 2021).

The quicker this new way of data collection is accepted, the quicker solutions can be made, therefore the less likely it is brands will lose a considerable amount of data and money. There is still time to test new methods and see what works before third-party cookies are completely gone. Using this time wisely is important for brand success and survival.

---

References

Bump, P. (2021). The Death of the Third-Party Cookie: What Marketers Need to Know. [online] blog.hubspot.com. Available at: https://blog.hubspot.com/marketing/third-party-cookie-phase-out.

Cookie-Script (2020). All you need to know about third-party cookies. [online] Cookie-script.com. Available at: https://cookie-script.com/all-you-need-to-know-about-third-party-cookies.html.

Forbes Communications Council (2021). Council Post: 14 Key Steps Marketers Can Take to Prepare For A ‘Cookie-Less’ World. [online] Forbes. Available at: https://www.forbes.com/sites/forbescommunicationscouncil/2021/12/14/14-key-steps-marketers-can-take-to-prepare-for-a-cookie-less-world/?sh=bfc115b3daad [Accessed 10 Jul. 2022].

Komnenic, M. (2022). First-Party vs. Third-Party Cookies: The Differences Explained. [online] Termly. Available at: https://termly.io/resources/articles/first-party-cookies-vs-third-party-cookies/.

McKenzie, R. (2021). How to Prepare for a Cookieless World. CookiePro. Available at: https://www.cookiepro.com/blog/prepare-cookieless-world/.

Morey, T., Forbath, T. and Schoop, A. (2015). Customer Data: Designing for Transparency and Trust. [online] Harvard Business Review. Available at: https://hbr.org/2015/05/customer-data-designing-for-transparency-and-trust.

Tene, O. and Polonetsky, J. (2011). To Track or ‘Do Not Track’: Advancing Transparency and Individual Control in Online Behavioral Advertising. SSRN Electronic Journal, 13(1). doi:10.2139/ssrn.1920505.