The Final Exit of the Third-Party Cookie

a439s ApproachFor the past five years a4 has been positioning itself to obtain and utilize an extensive range of authenticated firstparty data In addition a4 partners with countless publishers DSPs and SSPs in constant communication regarding their product roadmaps new initiatives and industry trends Cultivating and nurturing these relationships will continue to be criticalAs regulations tighten on privacy standards thirdparty data may be losing its reverence while other avenues such as firstparty and contextual data are becoming more and more valuable As it stands the technology powering the Lumascape may be considered too invasive putting privacy concerns at the forefront and opening conversations and feedback from the publicGoogle39s ProposalsThere has been continued collaboration among adtech partners to figure out what comes next in reaching the intended audience while doing so in a privacycompliant manner Google39s decision to push the date back to 2024 is designed to allow the public to join in on the conversation Google39s first idea was FLoC Federated Learning of Cohorts a Privacy Sandbox proposal to contextually group users into buckets to target All proposals would go through several phases of testing and development with public feedback taken into considerationFLoC was scrapped and replaced with Topics in January Currently 300 interestbased groups will be used to classify site visitors within a threeweek time frame This is intended to create more generalized privacycompliant data and will exclude sensitive categories such as gender and race These topics are powered by the browser and stored on an individual39s device rather than an external server giving more transparency and control to the userEffects of a Limited Lookback PeriodIt will be interesting to hear advertiser and agency feedback on the threeweek lookback period as the short window should gather more accurate data However we could be missing out on relevant users that would normally fall into cohort buckets for longer than three weeksEach audience has a different timing relevance For instance a user would naturally be in the market for a new car longer than they might be in search of a consumerpackaged good How will these cohorts scale With many local advertisers layering on specific geos the segment size will shrinkNonetheless contextual targeting is and will continue to be extremely important and whitelisting intended sites and apps has been an effective way to target in the past given sufficient scalePlayers Across the LumascapeSeveral key industry players have shared alternative solutions to targeting and measurement In the case of the Trade Desk39s UID 20 an email address is hashed and encrypted into a random number 247MM associated todayAmazon is utilizing their machine learning capabilities with the intent to model audiences and tap into contextual cohort advertising as well They are also creating their own Amazon Ad Tag AAT for conversion tracking Current cookie and device ID measurement will be supplemented with hashed email addresses of those users who converted It39s still too early to see how this approach will pan out but in the everchanging landscape it seems that firstparty data is more valuable than evera439s Adaptationa4 will continue to utilize and expand upon firstparty data while working with publishers to create new strategic direct relationships and nurture current relationships a4 has access to 90MM authenticated US household IP addresses where the data is matched to a physical home address and anonymized providing privacy protected accurate reach to advertisersWhile a4 is keeping up to date with the continued evolution of the larger ecosystem by remaining ahead of regulations the effort is not a onesizefitsall scenario Clients have different needs and KPIs with both upper funnel and lower funnel strategies and a4 has been providing options for measuring and optimizing campaign impact at different parts of the funnel and continues to develop new attribution methodologies for key clientsThis article was written by Tricia Thompson Director of Programmatic Buying a4 AdvertisingClick the social buttons to share this story with colleagues and friendsThe opinions expressed here are the author39s views and do not necessarily represent the views of MediaVillagecomMyersBizNet

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