Privacy Power Shift: How Google's Consent Mode V2 Reshapes Marketing & Advertising

The digital marketing landscape is shifting! Privacy regulations are evolving, user expectations are changing, and Google Consent Mode V2 (CMv2) is shaking things up. This new feature empowers users with fine-grained control over their data, impacting how advertisers target and track audiences.

About (CMv2)

Google Consent Mode V2 is currently in beta, is designed to give users more control over their data and how it's used for advertising. For advertisers, it means some changes to how you target and track your audience.

User Experience

Imagine this: You're browsing travel websites, dreaming about that perfect beach getaway. You land on a stunning resort's website and start exploring their room options. But before you dive in, a new pop-up appears: (These are prompts that ask for your consent in a manner that's less about cookies and more about participating in a privacy-focused ecosystem. This approach seeks to balance the need for personalization in advertising with the growing demand for greater control over personal data and privacy).

Options to the user

1. Grant full access: The resort tailors your experience. They remember your preferred room types, amenities, and activities from past visits, suggesting the ideal vacation package and highlighting similar destinations you might love. They might even upgrade you occasionally based on your preferences!
2. Share some insights: You give the resort a glimpse into your travel style. They recommend activities and dining options aligned with your interests, ensuring a personalized but less specific experience. You might see ads for beach getaways in general, but not necessarily that specific resort.
3. Keep it private: You value your privacy. The resort doesn't track your preferences. You won't be bombarded with targeted ads, but you might miss out on special offers or personalized recommendations that could enhance your trip.

That's Google Consent Mode V2 in action! Travelers can now decide how much privacy they're willing to share for a potentially more curated hotel experience.

What does this mean for advertisers?

Consent Mode V2 means that you may have a harder time tracking and targeting your audience. You won't be able to see as much data about your users, and you may not be able to target them as precisely as you could before.

However, there are still ways to reach your target audience with Consent Mode V2.:

• Use first-party data. First-party data is data that you collect from your own customers, such as their email addresses or website behavior. You can still use this data to target and track your audience, even under Consent Mode V2. Focus on getting those first party goal conversions/ journey based customer identifications!
• Be transparent about data collection. Let your users know how you are collecting and using their data. This will help build trust and make it more likely that they will opt in to tracking. And you can actually

Repercussions and Implications of not implementing Consent Mode v2 by March 2024:

• Remarketing lists will stop populating: This means that your remarketing lists will not be able to add new users, and they will eventually become too small to be effective.
• You will no longer be able to exclude "Recent Users" from your audiences: This means that you will not be able to target or exclude users who have recently interacted with your website or app.
• You will not be able to import GA4 audiences into Google Ads: This means that you will not be abrle to use Google Analytics 4 data to create audiences in Google Ads.
• Demand Gen Lookalike audiences will not be possible: Demand Gen Lookalike audiences are a type of audience that is based on a list of your existing customers. Without remarketing audiences, you will not be able to create Demand Gen Lookalike audiences.
• There will be an impact on your overall performance: We are unlikely to see a sudden 50% drop in conversions, but there may be a smaller decrease in performance.

First-Party Data is Key:

• Build strong customer relationships: Gather first-party data through opt-in forms, website behavior tracking, and email marketing campaigns. Offer value in exchange for data, like exclusive content or discounts.
• Segmentation : We can still use the first-party data to CMV2 to create precise audience segments based on demographics, interests, and purchase history. Tailor your messaging and offers for maximum impact.
• Growth of Microsites? & Increased focus on contextual targeting: With limited access to individual user data under CMv2, advertisers may shift their focus towards contextual targeting, placing ads alongside relevant content on niche websites. This could create opportunities for micro-sites with highly specialized content to attract targeted audiences and ad revenue.

In closing

While Google Consent Mode V2 presents certain challenges, it also opens doors to new and innovative marketing strategies. By focusing on building strong first-party data relationships, embracing creative contextual targeting, and prioritizing transparency with users, advertisers can still reach their target audiences effectively. The future of marketing lies in a balanced approach, leveraging both paid and organic strategies while respecting user privacy every step of the way.

If you DO get it right here are the Marketing and Advertising pros of (CMv2 Vs CMv1 )