Google To Disable Third-Party Cookies For 1% Of Chrome Users via @sejournal, @MattGSouthern

Google has announced it will begin phasing out support for third-party cookies in Chrome by disabling them for 1% of users starting in Q1 2024.

This initial deprecation comes ahead of a broader phase-out for all Chrome users by Q3 2024.

Third-Party Cookies Blocked For 1% Of Chrome Users Next Year

Beginning in early 2024, Google will turn off third-party cookie support in Chrome for 1% of users worldwide.

This is the first part of a gradual process to remove third-party cookies entirely.

The extended phase-out aims to allow initial small-scale testing before the impact is felt by all Chrome users later in 2024.

Websites can use this early stage to assess how their services handle the loss of third-party cookies.

Why Google Is Phasing Out Third-Party Cookies

Third-party cookies have enabled convenient cross-site tracking of users as they browse the web.

Google wants to eliminate this tracking capability while introducing new standards that support key needs like fraud prevention and delivering relevant ads.

Google says this change will improve user privacy and security while providing website owners tools to sustain their businesses without third-party cookies.

What Happens When Third-party Cookies Are Fully Blocked?

Starting in Q3 2024, Google plans to expand the third-party cookie removal to 100% of Chrome users, pending regulatory approval.

This will force major changes in how digital advertising operates. Some fear it may push sites toward more opaque tracking methods.

To ease the transition, Google is releasing new Privacy Sandbox APIs for use cases, including identity, advertising, and fraud detection. However, uncertainty remains around how the ad ecosystem will adapt.

The initial 1% deprecation next year provides a critical period for websites, advertisers, and other industry players to assess compatibility and prepare for the broader rollout. Scrutiny will be high, given Google’s dominance in web browsing.

What Does This Mean For Advertisers?

The news will likely be controversial for the digital ad industry, which relies on third-party cookie tracking. Some ad tech firms stand to lose their current data collection abilities.

Advertisers and publishers must adopt new methods for serving relevant ads to users. This shift could benefit walled gardens like Google, Facebook, and Amazon with logged-in user data troves.

Privacy advocacy groups have welcomed the move, though some caution Google’s Privacy Sandbox doesn’t go far enough to restrict covert tracking.

How Does This Impact Users?

Users may see more relevant ads, or possibly more ads overall, as sites work to sustain ad revenue. Logged-in experiences across Google or Facebook properties could become more prevalent.

The effects remain to be seen, but the third-party cookie’s demise will markedly alter the landscape of privacy and advertising on the web.

What Happens Next?

Google aims to have its new Privacy Sandbox APIs tested before the broader phase-out.

Uncertainty remains about how digital advertising will function without third-party cookies.

Industry groups are working to develop new standards for targeted ads protecting anonymity. Chrome’s large market share means sites must adjust.

In Summary

Google’s plan to phase out third-party cookies marks a major shift in digital advertising and website tracking.

While aimed at improving user privacy, the change brings uncertainty around how the ad ecosystem will adapt.

Website owners should audit their cookie usage now and begin preparations to ensure their services function smoothly when third-party cookie support starts being removed in 2024.


Featured Image: T. Schneider/Shutterstock

Google Bets On AI-Powered Video Ads To Disrupt Social Media Advertising via @sejournal, @MattGSouthern

Google announced the launch of a new advertising product called Demand Gen Campaigns, which utilizes AI to create highly targeted video and image ads on YouTube and other Google platforms.

This new ad product aims to help advertisers extend their social strategies beyond traditional platforms like Facebook and Instagram.

Demand Gen represents Google’s latest effort to compete with traditional social sites for advertising dollars.

Demand Gen Campaign Details

Demand Gen Campaigns utilize video ads up to 15 seconds long, ideal for pre-and mid-roll YouTube placements, and image carousels tailored for mobile.

Advertisers can use Demand Gen’s creative tools to tailor ad content and messaging for different audience segments.

Formats like bumper ads and carousels aim to capture attention and interest as users scroll through feeds.

In addition to compelling creative, Demand Gen applies Google’s powerful AI to identify “lookalike” audiences that share characteristics with a brand’s existing customers.

Bidding and budget tools allow granular control over ad delivery to drive clicks, site traffic, or conversions.

Google says Demand Gen gives advertisers more flexibility to refine campaigns based on performance data.

Responding To Shifts In Consumer Behavior

Google Bets On AI-Powered Video Ads To Disrupt Social Media AdvertisingScreenshot from: blog.google/products/ads-commerce/demand-more-from-social-with-ai-powered-ads/. October 2023.

Demand Gen campaigns come when consumer viewing habits are rapidly shifting.

Recent surveys show viewers now split their social media time between traditional platforms like Facebook and Instagram and video sites like YouTube.

According to Google’s research, 90% of users have watched content from a particular creator or artist across multiple platforms and formats in the past year.

Experts attribute the shift to “social media fatigue” as users tire of highly-curated feeds on sites like Instagram. YouTube is seen as a place for more genuine engagement with creators.

Helping Advertisers Respond To Changing Behavior

A shift in viewing habits presents challenges for advertisers used to targeting audiences primarily on Facebook and Instagram. Google’s Demand Gen is designed to help advertisers capitalize on this change in habits.

Google claims that Demand Gen Campaigns can help advertisers take advantage of this shift through visually compelling ads tailored to specific audiences. The ads aim to capture user interest as they browse YouTube, Google Discover, and other parts of the Google ecosystem.

Early adopters like Naranja X, an Argentine fintech startup, have already seen strong results from Demand Gen tests. Naranja X’s Demand Gen ads drove 3X higher click-through rates at 61% lower cost than its paid social campaigns. Samsung Germany also saw a 400% increase in click-through rates using the new ad product.

Availability

Demand Gen Campaigns officially rolled out worldwide on October 10, replacing Google’s previous Discovery ads product.

Discovery campaigns will be phased out through early 2024.

The launch of Demand Gen is arguably Google’s most aggressive move yet to take on rival advertising platforms like Meta.

If Demand Gen gains traction, it could motivate Meta to enhance its video ad offerings to remain competitive.

Featured Image: PixieMe/Shutterstock