Originally appeared in AdExchanger
Google’s decision not to deprecate cookies in the Chrome browser after all caused a stir across the industry. Companies invested heavily in developing solutions aligned with the Privacy Sandbox as a survival tactic for the post-cookie landscape. At first glance, Google’s about-face may appear to undercut those efforts.
It’s easy, and perhaps even satisfying for some –but inaccurate – to say “all that effort was for nothing.” Given Chrome’s dominance among browsers, AdTech companies had no choice but to prepare for “what if” scenarios. The same goes for cookie deprecation. Google’s plan to end support for third-party cookies would have removed a mechanism that has been a cornerstone of addressability for the past 15 years.
To be clear, those efforts have not been wasted. They spurred innovation across the AdTech landscape, driving progress in privacy-first targeting, alternative identifiers, supply-path data activation, and real-time data enrichment – all of which will pay dividends for years to come.
Whether born directly from Privacy Sandbox participation or inspired by the broader trend toward privacy reform, industry-wide preparation for cookie loss and browser disruption has yielded tangible benefits. Pressure from Google, Apple, and evolving regulations served as a catalyst for modernization that could shape the next decade of advertising technology.
An industry anchored in product innovation
AdTech is a fundamentally product-driven industry defined by short innovation cycles and the imperative to build and test rapidly. This DNA enables companies to stay resilient, evolve and deliver innovation.
Change is good. Disruption can be even better –but only for those who embrace it. Google’s evolving stance on cookies and Privacy Sandbox doesn’t negate what’s been learned. If anything, it underscores the need to keep innovating. The next wave of disruption is likely right around the corner.
The payoff
While some may argue that the time and effort spent preparing for cookie loss was wasted, those efforts have functioned as a forcing mechanism for several innovations in data activation.
Supply-side data activation and optimization, aka “curation,” is an alternative to the traditional approach to data activation. Unlike the traditional data management platform (DMP) to demand-side platform (DSP) activation flow, curation allows buyers to utilize supply-path data more directly.
The upshot? Improved performance and pricing for media agencies and brand advertisers. As curation continues to evolve, it’s poised to play a central role in how advertisers and publishers transact.
Real-time data enrichment is another area that has benefited from this period of accelerated innovation. Many companies were compelled to improve their tech stacks to align with Sandbox protocols. These updates, particularly in real-time data enrichment capabilities, are now laying the groundwork for future data activation strategies across both the buy and sell-sides.
Exiting out of tunnel vision
Over the past five years, the AdTech industry has invested deeply in planning for a future without cookies. Still those investments have been well worth it. While cookies are not going away, the broader deprecation of signal continues. The work that was done to prepare will inevitably inform the next evolution of our industry.
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Every year, the Experian team attends the Consumer Electronics Show (CES) in Las Vegas, to immerse ourselves in the world's most significant consumer tech showcase and stay at the forefront of the latest technological advancements and innovations that shape the AdTech industry. This year's event was a vibrant melting pot of innovation and vision, from streamers taking a bigger bite of the advertising pie to the emergence of AI-powered solutions and drone delivery services. Amidst these advancements, the dynamic interplay of technology, media, and advertising raised important questions, especially in the context of evolving regulations and cookie deprecation. During CES, we captured insights from various thought leaders, and in the coming months, we'll be sharing these valuable perspectives with you. Watch the video below for full insights coming from our content studio onsite during the event. Or, keep reading for a recap on four key trends from CES and what they mean for your business in 2024! “My first CES was a major success. You could feel the buzz in the air as new ideas and partnerships were being created within and across industries. The intersection of the different players within retail media, connected TV, retail technology, the demand and supply-side, and agencies all in an ever-changing world of regulation and privacy begs for a solution that can maximize a successful outcome for all.”anne passon, sr director, sales, retail & cpg 1. Audience targeting: How first- and third-party data work together A central theme at CES was the importance of audience targeting, highlighting the crucial role of first-party data. However, it’s clear that to maximize its potential, this data needs to be augmented with sophisticated identity solutions and enriched with third-party insights, all while navigating the complexities of privacy regulations. This integrated approach is vital to understanding audiences and for creating more effective marketing strategies that comply with privacy regulations. 2. Standardizing metrics in retail media networks The challenges around retail media networks, particularly in terms of standardizing metrics like incremental return on ad spend (iROAS), were a hot topic at CES. This complexity around this topic underscores the need for neutral, expert third parties to help bring clarity and consensus, aiding businesses in navigating this multifaceted domain. 3. The challenge of switching data solutions Discussions covered the broader challenges associated with transitioning to new data solutions. For businesses, this involves a critical assessment of the benefits versus the costs and complexities of adopting new platforms or systems. This decision-making process is increasingly significant as data strategies become integral to marketing success. 4. Identity solutions in a cookieless future With the industry moving toward a cookieless future, the spotlight at CES was on the importance of robust identity solutions. Understanding the functionality and necessity of various universal IDs is essential to minimize data loss and maintain effective targeting. Investing in flexible and adaptable identity solutions like the Experian Graph is essential to maintain effective targeting and audience engagement in this new landscape. Announcements and advertising innovations at CES 2024 CES was a stage for significant announcements and innovative marketing initiatives: Criteo and Albertsons announced their collaboration in retail media. Instacart's partnership with Google for enhanced shopping ads and AI shopping carts. NBCUniversal's advancements in streamlining programmatic advertising. Brands like Netflix, LG, Freewheel, and Amazon Ads also captured attention with their creative marketing strategies, ranging from unique collaborations to themed promotions and captivating events. These insights from CES provide a glimpse into the future of technology, media, and advertising. They highlight the need for adaptability, innovation, and informed decision-making in these dynamic industries, especially in the context of privacy regulations. Stay tuned for our series of posts where we'll dive deeper into these topics, sharing exclusive insights from industry thought leaders. Follow us on LinkedIn or sign up for our email newsletter for more informative content on the latest industry insights and data-driven marketing. Contact us Latest posts
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