With the increase in commerce and content consumption on mobile devices, cookies have started to become less effective since cookie based tracking is a major challenge due to every mobile app having a different environment and there is no data sharing across apps.
Marketers need to find alternative ways to increase digital fingerprints across different devices, since the role of cookies is gradually decreasing. The gradual disappearance of third-party cookies was the focus of an interaction between Neil Patel, entrepreneur, angel investor and digital marketing expert and Prasad Sangameshwaran, editor, ETBrandEquity.com.
On the future of identity in a third party cookieless world, how is the digital marketing ecosystem in a third party cookieless future going to pan out? Patel said that companies are looking for solutions to get enough information about users even without cookies, using customer data platforms.
On the effect of this change on companies and clients who may or may not have access to first party data, Patel said that the major effect will be seen on companies spending heavily on advertising, but eventually there will be solutions as well.
Talking about agencies and tech companies preparing their clients for a third-party cookieless era, Patel said that the agencies are inclined towards providing solutions to the clients, regarding what they might have to end up using.
Elaborating on customer data platforms Patel said, “Customer data platforms are great because you can learn all about your customers in one platform. It is similar in many aspects to CRM, but more so for customer data.”
On the topic of advertising strategies in a third-party cookieless world, Patel mentioned that there was no reason for concern and there exist a lot of large corporations who need all this to be solved to generate revenue. “If not having the cookies affects one, not having it would affect the competitor as well.” Patel said that he looks at the change that has come to digital advertising not as a game changer but as an inevitable change, stating that it was bound to happen.
However, the absence of third-party cookies is not going to usher in an era of complete customer privacy. Patel said that it might not be as private as people are thinking it would be, because of the solutions like customer data platforms. On being asked about the power in the hands of the publishers, as a gatekeeper of the audience, Patel said that he didn’t think so because the real power is in the hands of the advertisers who are buying the traffic.
Will the cookieless world signal the end of programmatic advertising? Patel said that everything isn’t cookie-based and it may not necessarily mean the end of programmatic advertising. He took the example of Facebook and how it keeps a track on consumer data, and can target customers in a focused manner.
Would marketing mix modelling be core to strategy in the post cookieless world, as compared to usage of single channel attributions to produce consumer centric results, or is there a need to use a mix of both? Patel replied saying marketing has turned omni-channel, so while looking at attributions, one needs to look at a mix and not just one attribution.
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