For years, marketers and advertisers relied on cookies to collect user data, using it to direct their messaging and target the desired audience. Due to rising concerns over online privacy and data autonomy, however, cookies have fallen out of fashion. In fact, over the past couple of years, the marketing world has been hurtling toward a cookieless future.
This current trajectory started back in 2017, when Safari blocked third-party cookies; Firefox followed suit just two years later. Google announced that it, too, would phase out third-party cookies, a move that has now been pushed back to 2025.
So, while the cookieless future isn’t here quite yet, it’s still looming. Marketers would do well to prepare for this major disruption. The question is, what does marketing look like in a world beyond cookies?
Some Important Background
Before we get too much deeper into this discussion, it may be helpful to step back and define some terms. When we talk about cookies, exactly what are we referencing?
Cookies are basically just small text files, used to harvest information from users on Web browsers. Cookies fall into two basic categories:
- First-party cookies are stored by specific websites and are used to provide a more frictionless user experience; for example, first-party cookies might help you avoid the need to continue logging in each time you visit the site.
- Third-party cookies are collected and stored by other websites, and are used for purposes related to advertising, e.g., targeting ads to match user search queries or online purchasing patterns.
Keep in mind that browsers like Firefox and Chrome are sunsetting third-party cookies, as those are the ones that run afoul of online privacy concerns. First-party cookies aren’t in any danger of being phased out.
Attribution at a Glance
To understand why cookies are so important for marketers, it’s important to consider attribution.
Attribution is the process by which digital marketers seek to understand the different touchpoints that contribute to a consumer purchase. Basically, attribution traces the path of a conversion. When marketers discuss attribution, they usually break it down into a few different touchpoints, which can include social media, organic search, PPC ads, even email marketing messages.
In previous eras of online marketing, third-party cookies have made it fairly easy to assess attribution. Installing a simple piece of code on a website, or even a Facebook account, provided marketers with a way to determine exactly which path led consumers their way.
Now, marketers are facing a new challenge: Cookieless attribution.
The Shift to Cookieless Attribution
Cookieless attribution is exactly what it sounds like: A way to anonymously collect data without relying on third-party cookies. Some methods for cookieless attribution include server-side tracking and device fingerprinting, among other things.
Cookieless attribution is an increasingly big deal for marketers, and it’s not hard to understand why. Consider:
- With cookieless attribution, you don’t have to worry about infringing upon user privacy or confidentiality. Given that almost nine out of 10 American consumers say they are concerned about online privacy, this is no small thing!
- Cookieless attribution also allows marketers to continue determining their most fruitful channels for generating conversions.
- Finally, cookieless attribution provides ways for marketers to create buyer personas, albeit in different ways than they might have before.
Simply put, cookieless attribution is essential for marketers who wish to make data-driven decisions in an ecosystem that increasingly prioritizes user privacy.
Preparing for Cookieless Attribution
While third-party cookies haven’t been fully phased out quite yet, that day will be here before we know it. The time for marketers to prepare is now.
There are a few steps you can take to get ready for cookieless attribution. Our recommendations include:
- Take the time to master some of the advanced features offered by Google Analytics 4, which include a number of tools for cookieless attribution. Server-side tagging and Google Consent Mode v2 are just a couple of options worth exploring.
- Also make sure you’re taking advantage of first-party data, including the data you obtain from email signup forms, surveys, and other direct methods of data collection. This is a great way to gather information without violating privacy norms.
- Consider an investment in market research. Targeted surveys, online polls, and consumer focus groups can all provide valuable data.
- Spend some time talking with your digital marketing strategist about how you can adapt to a post-cookies world, continuing to make well-informed marketing decisions without the use of third-party data collection.
Contact enCOMPASS Agency Today
We’ll soon be living in a world where third-party cookies are no longer viable. The time to pivot is now. And while there are plenty of ways to do so, you’ll ultimately benefit from having some guidance from a seasoned marketing team.
To talk with the enCOMPASS team about cookieless attribution, feel free to reach out to us at your convenience.
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