Confused about cookies and the constant changes around them? Focus on building your own customer data and email lists to engage with your audience without relying on third-party cookies. In today’s Tech News Tuesday episode, we’re talking about tracking cookies, the new experience in Chrome, and why it matters to you.
What Are Tracking Cookies?
Tracking cookies are small pieces of data stored on your device by websites you visit. They keep track of your online activity and help advertisers show you relevant ads. For example, if you look at a pair of shoes online, you might see ads for those same shoes on other websites.
Changes Coming to Tracking Cookies
There’s been a lot of talk about changing how these cookies work. Google announced a plan back in January 2020 to turn off third-party tracking cookies in Chrome, the most-used browser. This would bring Chrome in line with other browsers like Safari and Firefox, which have already blocked third-party cookies by default.
Google proposed several alternatives to these cookies through their Privacy Sandbox initiative. However, each alternative has faced resistance from various groups, including privacy advocates, trade regulators, and the advertising industry. So, rather than turning off third-party cookies by default, Google is now introducing a new experience in Chrome. Users will be able to choose their tracking preferences when they update or first use Chrome.
This change matters because it impacts how businesses can track and target potential customers online. Google will continue to develop its Privacy Sandbox APIs, and users will have some choice about cookies, but it’s important to remember that this change doesn’t mean you should stop focusing on building your own list and customer data. This is something your business needs to do regardless of what happens with cookies.
Having your own customer data and email lists is crucial. It allows you to engage directly with your audience without relying on third-party cookies.
Google’s Attempts to Replace Third-Party Tracking
A little bit more history. In the fall of 2017, Apple implemented a 24-hour time limit on ad-targeting cookies in Safari. By the summer of 2019, Firefox blocked tracking cookies by default. Google, which makes most of its money through online advertising, argued that if they didn’t provide a proper way to track, advertisers would use more invasive methods of tracking like browser fingerprinting.
Google introduced FLoC, or Federated Learning of Cohorts, in January 2020. This machine learning approach grouped users based on similar browsing habits. However, FLoC faced significant backlash from privacy advocates, other browser makers, and regulators. Google then pivoted their privacy sandbox to the Topics API, giving users more control over which topics would be transmitted to advertisers.
Fast forward to early 2022, Google announced it would delay the removal of third-party cookies until the second half of 2024. However, citing concerns from UK regulators, Google pushed the deadline to 2025. Instead of waiting for this deadline, Google decided last month that cookies will not go away, and will introduce the new user prompt about tracking preferences.
Google hasn’t announced how this will exactly work and when it will roll out. Small changes to how Chrome approaches its consent choice system will have far-reaching repercussions for how many users choose to opt in and whether the data will be useful for advertisers. After Apple introduced a similar choice for users to stop app tracking, major social apps lost nearly $10 billion in revenue. Google has delayed making such a move to give advertisers time to adapt, but it seems inevitable that businesses will need to adjust their strategies.
The Best Approach for Small Business Owners
It’s crucial to build your own customer data and lists. Relying solely on third-party cookies is risky. By developing direct relationships with your customers, you can ensure you have the data needed to effectively market to them, regardless of changes in cookie policies.
Keep an eye on these changes and adapting your strategies is key to staying ahead.
Do you prefer to listen in? Here’s our podcast:
Links in this episode: Google halts its 4-plus-year plan to turn off tracking cookies by default in Chrome
Google Says It’s Still Figuring Out How A Cookie Opt-In Model Will Work
