July 2024 update: As of July 22, 2024, Google announced it will no longer deprecate third-party cookies. Instead, Google promised to introduce a new feature that lets people make an informed choice that applies across all web browsing. In light of this, we recommend continuing to prioritize the capture of first-party data. Focusing on direct interactions with your customers allows for more reliable and compliant data collection, ensuring your marketing strategies remain effective regardless of industry changes.
Digital marketing is currently undergoing a monumental shift, particularly in the way businesses track and engage with their audiences online. With major browsers like Google Chrome, Safari, and Firefox phasing out third-party cookies, marketers are faced with the challenge of reimagining user tracking and data collection.
In this webinar, CallRail Chief Product Officer Ryan Johnson spoke with Workshop Digital's Andrew Miller about the deprecation of third-party cookies, what it means for marketers, and ways to prepare for this kind of change.
Cookies 101
With all this talk of cookie deprecation, it's crucial to first understand what each cookie is and how web users interact with them as they browse.
First-party cookies
First-party cookies are created by the websites visitors browse on. They remember things like logins, shopping carts, and browsing history, remembering visitor preferences and enabling a personalized experience for users.
Third-party cookies
Third-party cookies come from other companies (advertisers) following users around the web. These cookies track browsing habits across different sites to target visitors with tailored ads.
What about second-party cookies?
"Second-party" is not a browser “cookie” but refers to data shared between companies. Marketers may share or sell their customer data to another company for audience targeting.
What are the different types of data
- Zero-party data: Information customers share with companies.
- First-party data: Information companies collect about their customers.
- Second-party data: Customer information companies sell to each other.
- Third-party data: Data collected by organizations that do not directly interact with customers or business data consumers.
Third-party deprecation
The concept of third-party cookie deprecation marks a significant shift in how consumer data is collected and utilized online, heralding new challenges and opportunities for marketers and advertisers.
Google has been grabbing the attention of marketers everywhere with their initiative to drop their use of third-party cookies.
Google’s announcement
Google has delayed third-party cookie deprecation once again. Their most recent announcement was made on April 23, ahead of Google's quarterly reports. Google posted a statement on its website for the Privacy Sandbox saying, “We recognize that there are ongoing challenges related to reconciling divergent feedback from the industry, regulators and developers, and will continue to engage closely with the entire ecosystem.”
Google did not outline a new timetable beyond shooting for 2025.
Google isn’t the only one!
Safari dropped third-party cookies in 2017 and Firefox dropped them in 2019.
What marketers need to know
In light of these seismic shifts in cookie policy, marketers should be well-informed about the implications and explore innovative strategies for targeting and tracking. Here are some need-to-know facts to stay ahead of this shift.
Is it the end of user tracking?
No! Despite marketers’ heavy reliance on third-party cookies to track user behavior, they’re not the only tech that allows businesses to monitor user activity with precision. There have been and will be plenty of ways to track website visitors in this new world.
First-party cookies will still work by default in all browsers, delivering valuable insights into user behavior with their consent.
How to prepare?
Miller has previously stated "The ‘cookieless future’ that we've all been fearing is happening now. It's time for marketers to audit their tracking tools and audience data to prepare for a world where first-party data are table stakes, not just "nice to haves."
So what steps can you take as a marketer to prepare for the shift?
- Check your site: In your Chrome settings, search for your site's first and third-party cookies and find more information on each cookie in the Chrome Developer Tools.
Go to View > Developer > Developer Tools > Privacy Sandbox > Cookies
- Audit your tech stack: Ask your advertising, CRM, analytics, and data partners about their cookie usage and plans to navigate Chrome’s third-party cookie deprecation.
Ask these 5 questions:
- What reliance does your technology currently have on third-party cookies?
- How are you planning to adapt your services in response to the deprecation of third-party cookies?
- What impact do you anticipate the deprecation of third-party cookies will have on the effectiveness of your tools?
- Can you provide examples of how your solution will maintain data privacy standards post-cookie deprecation?
- What steps should we take on our end to align our data strategy with your new tools and methods?
Experiment now, win later: Find “next best case scenarios” for any audience targeting or attribution tools that depend on third-party cookies to work properly.
Invest in GA4 and integrations: Enable the CallRail GA4 integration and make sure it’s up to date to help you adapt to the phasing out of third-party cookies while enhancing AI-driven business insights (Protected Audience API)
Fully utilize all first-party tracking available: (with CallRail make sure each of your business phone numbers are being tracked)...no need to wait until 2025!
Don’t panic :) - If you are already tracking each of your business phone numbers there is nothing you need to do to keep it working after third-party tracking is fully depreciated on Chrome.
Stay current with the latest announcements from Google: but also prepare early so that the transition is smooth.
Work with agencies like Workshop Digital: to help you through the transition and capitalize on the latest strategies!
As the deprecation of third-party cookies continues, marketers are being pushed towards more transparent tactics in tracking and understanding consumer behavior. This shift, while challenging, presents a unique opportunity to innovate and deepen the reliance on first-party and zero-party data, ensuring not only compliance with emerging privacy norms but also building a more trustful relationship with consumers. Preparing now for these changes is key to thriving once these new policies are in place.
Learn more by watching the full webinar here.