The digital advertising and commerce landscape is undergoing a monumental shift due to changes in mobile and browser tracking. This episode provides a comprehensive overview of how the deprecation of third-party cookies and IDFA changes will disrupt audience activation, retargeting, media attribution, and personalization. Ecommerce operators will learn about the key privacy laws driving these changes, the anticipated impacts on major tech players like Shopify, Amazon, Google, and Facebook, and crucial alternative solutions to prepare their businesses for a privacy-first future.
Key takeaways
Understand that Apple's IDFA is shifting to opt-in, significantly impacting mobile ad targeting, while Google Chrome will block third-party cookies by January 2022, affecting web tracking.
Recognize that privacy regulations like GDPR, CCPA, and CPRA are the foundational drivers behind these tracking changes, necessitating a privacy-first approach to data.
Explore alternative solutions such as first-party walled gardens (Google, Amazon), Real ID systems, Clean Rooms, and Google’s FLoC to maintain audience insights and targeting capabilities.
Anticipate that businesses heavily reliant on third-party data, such as smaller retailers and publishers, will face significant challenges, while platforms with robust first-party data like Amazon are likely to benefit.
Prepare for a future where customer acquisition and retention strategies must pivot towards owning first-party customer data and fostering direct relationships, as traditional tracking methods become obsolete.
EP257 - Cookies, IDFA, and Commerce Deep Dive Changes in mobile tracking (IDFA), and browser tracking (third party cookies) are likely to disrupt digital commerce. Here is everything you need to know. Background Privacy Law Changes California Consumer Privacy Act of 2020 (CPRA) California Consumer Privacy Act of 2018 (CCPA) EU General Data Protection Regulation (GDPR) Third Party Cookies Safari (19% share) 3P cookies blocked as of March 2020 Firefox (4% share) 3P blocked as of Sept 2019 Chrome (64% share) will block 3P January 2022 Mobile Tracking (Digital License Plates for Mobile Users) Apple Identifier for Advertisers (IDFA) – Goes from Opt Out to Opt In Q1 2021 Google Play Services ID for Android (GPS ADID) – Still Opt Out Use Cases that are impacted by IDFA/3P changes Audience Activation and Retargeting Frequency Capping and Suppression Media Attribution Audience Insights and Segmentation Personalization Alternative Solutions 1P Walled Gardens (Facebook, Google, Amazon) Real ID Systems (Trade Desk, Liveramp, Epsilon) Clean Rooms Cohorts – Google Privacy Sandbox: FloC (Federated Learning of Cohorts) Impacted Businesses Google – Biggest winner, built a business based on relaxed privacy standards, now pulling the ladder up behind them Apple – See Google, but with a smaller share of browser market Facebook – Lose ground to Google/Apple but gain on everyone else Amazon – Winner. Forcing more ad dollars to Amazon walled garden Shopify – Loser. Forcing Facebook to capture more commerce instead of referring to Shopify sites. Publishers – Loser. Harder to make ad model work Other Retailers – Loser for customer
What does this episode say about paid acquisition?
Understand that Apple's IDFA is shifting to opt-in, significantly impacting mobile ad targeting, while Google Chrome will block third-party cookies by January 2022, affecting web tracking.
What does this episode say about analytics & attribution?
Recognize that privacy regulations like GDPR, CCPA, and CPRA are the foundational drivers behind these tracking changes, necessitating a privacy-first approach to data.
What does this episode say about dtc strategy?
Explore alternative solutions such as first-party walled gardens (Google, Amazon), Real ID systems, Clean Rooms, and Google’s FLoC to maintain audience insights and targeting capabilities.
What does this episode say about paid acquisition?
Anticipate that businesses heavily reliant on third-party data, such as smaller retailers and publishers, will face significant challenges, while platforms with robust first-party data like Amazon are likely to benefit.
What does this episode say about paid acquisition?
Prepare for a future where customer acquisition and retention strategies must pivot towards owning first-party customer data and fostering direct relationships, as traditional tracking methods become obsolete.
