Prosek's 2024 Digital Strategy Trends: How to Prepare for the End of the Third-party Cookie

“It’s time to start using your first-party data.” – Linnea Castaneda & Craig Schweitzer .

Traditionally, advertisers could use third-party data from cookies to serve ads across the web to users who’ve interacted with their brand. This won’t be the case for much longer, and that’s a massive shift for advertisers.

Third-party vs first-party data: what’s the difference?

In short, third-party cookies are more valuable than first-party cookies to advertisers because they can track user behavior on any website and serve them ads wherever they go. First-party data can only track data from users on the hosted website domain it collected the data from.

(Source: Clearcode)

Privacy concerns and regulatory changes have led to limitations on data collection and requirements for users to opt-in to consent to data collection and usage. As early as 2024, third-party cookies will be disabled for 1% of Chrome users. Safari web browser has already blocked third-party cookie tracking and Apple has followed suit, announcing iOS 17 will automatically remove tracking parameters from links you click on.

Why do you need to change your strategy?

The loss of third-party tracking affects advertisers’ ability to retarget users and limits publishers, programmatic and Google Ads from serving ads to your most relevant users.?

How You Overcome the End of Third-party Cookies

Here are three ways you can optimize and adapt your retargeting strategy with first-party data:

1. Set up Universal Tracking Pixel and Event/Conversion Tags on your hosted website:

a. ? Universal Tracking Pixel: A piece of code placed on the global <header> or <footer> of your website to track user behavior once a user has entered the site. It distinguishes where website traffic came from (organic search, direct, paid search, organic social, paid social).

b. ? Event/Conversion Tag: A piece of code that tracks specific events like button clicks, video starts, or clicks on phone numbers. This is valuable to see how many users entered your website from an ad and performed an action.??

2. Collect and Integrate Existing Contact Lists: Gather and organize relevant first-party data from your existing email and contact lists. Data like email addresses, first and last names, companies, and job titles can be compiled into a CRM list and uploaded directly into advertising platforms. You can segment your contacts into customized audiences like prospects or current clients and serve each audience relevant ads based on their stage in your marketing funnel.

3. Leverage In-Platform Tools: Ad platforms typically have built-in retargeting capabilities. Through LinkedIn, you can set up a retargeting audience based on various objectives, then choose to serve sequential advertising or higher intent ads to people who have already engaged with your content. Other platforms like Facebook Ads and X (formerly Twitter) Ads offer similar capabilities.

Marketers must be agile and adaptable in response to the cookie-less world. By embracing first-party data and taking advantage of your current ad tech suite’s offerings, you can continue to reach your target audiences effectively while respecting user privacy and delivering relevant advertising experiences.

Key Takeaways:

• There aren’t clear alternatives to third-party cookie tracking currently, but data collection technology is in the works.
• The future of third-party tracking depends on whether Google Chrome lives up to its promise of removing third-party tracking parameters from its browser in 2024.
• You can watch Google’s progress on the topic on The Privacy Sandbox.
• Use best practices and collect as much first-party data as available. Starting now is important so you have sufficient data available once you’re no longer able to rely on third-party data.
• Expect shifts in the market. If ads become less targeted, publishers and ad platforms will likely reduce advertising costs. For advertisers, this may lead to new opportunities.

The rapid rise and fall of B2B digital marketing trends have never been faster. Our 2024 Digital Strategy Trends series examines areas of opportunity and illuminates the ways B2B marketers can take advantage of key trends. Our team of experts analyzed the digital landscape to identify the most pertinent emerging trends in social, analytics and digital marketing for B2B companies.

To learn more about the emerging B2B digital strategy trends, get in touch with us and we can help think through your marketing strategy.

Daniel Allocca , Partner, Head of Digital & Integrated Marketing

Alex Bochner , Vice President, Digital & Integrated Marketing