Privacy Sandbox and FLoC
So, what happens now? Although Google will no longer invest in technology that tracks people and collects detailed individual data, they will be providing alternatives. Namely, they have announced their “Privacy Sandbox” system, which aims to build “a more private, open web”. Whilst this mission statement might sound paradoxical, the new development will simultaneously allow websites to show targeted ads but reduce the amount of user information shared. Put simply, advertisers will be able to receive anonymised aggregated data about conversion and attribution, rather than cookies that give them access to the individual browsing habits of its users.
Google’s Privacy Sandbox is set to work in tandem with Federated Learning of Cohorts (FLoC), a technology that “hide[s] individuals within large crowds of people with common interests”. FLoC works by grouping you with others that it infers have the same interests as you. This information will still be based on your browsing history; however, Google will add you to their own “cohort” rather than sharing your browsing history with third-parties via cookies.
How Can Your Brand Adapt?
A cookie-less world is a frightening prospect for many advertisers. According to global research conducted by Adform and Dynata carried out earlier this year, adjusting to this digital overhaul is proving very difficult. They found that 78% of marketers globally have no tested solution in place for 2022, with this figure rising to 90% for UK marketers.
The brands that will thrive during this adtech evolution are those who want to rediscover an authentic brand voice. Whilst Google’s Privacy Sandbox will supply you with a helpful ad targeting tool, you should avoid solely relying on it. Instead, you should create a multifaceted digital strategy that links together all your consumer touchpoints.
Recognise and Utilise First-Party Data as a Marketing Resource
Although the advertising world has historically only placed real value on third-party data, there is now an opportunity to focus on turning first-party data into actionable insights. To start with, you will need to begin collecting your own first-party data if you have not already.
How you plan to use the data will impact what type of data you want to collect e.g. if the data will be used to send more personalised email marketing campaigns, you could gather it via an email survey. Notably, first-party data will give you access to data that your competitors do not have. But most importantly, first-party data comes from your actual site visitors, making it easier to create a personalised online experience.