As third-party cookies disappear and first-party data strategies take centre stage, we explore the future of digital advertising-oriented data management platforms and targeting approaches
A further development flowing from the loss of third-party cookies is the renewal of interest in older forms of audience building, such as contextual audience building, but using new technologies that provide opportunities for semantic targeting and even moving to predictive targeting.
“There’s a huge volume of solutions marketers haven’t really been forced to contend with, because they have this old notion of how audiences are built they rely so heavily on,” O’Connell says.
According to Oracle’s Collins, more advertisers are leveraging contextual intelligence solutions allowing for targeting by the content, page or video without need for third-party cookies or personal information.
But despite the changes, the current approach for many appears to be one of business as usual. Programmatic marketing agency MiQ’s operations officer, Damian Healy, is surprised at how little demand there has been to get in front of the changes. Even for his own business, he says the changes have not been significant.
“You could think that [being programmatic] means we are entirely reliant on cookies,” Healy says. “But the beauty of programmatic these days is it is omnichannel. I am delivering huge amounts of overall volume in BVOD now, and all of that is based on set top box IDs and smart TV IDs. It’s not dependent on cookies at all. We can use that data to build out optimised reach for advertisers.
“When I was looking at this initially, it seemed an insurmountable mountain. But once we got into it, we saw there are lot of things we can do without cookies.”
Healy also noted a swing back to search, especially for acquisition for performance advertisers.
“Search is a click-based medium, and when you click on to an advertiser’s website you can use first-party cookies at that point,” Healy says. “You know the click came from Google, you know the keyword, you know it landed on your website. You’re then in first-party cookie territory to tell whether they bought something or not.”
In addition, Healy is keeping an eye on other initiatives coming out of Google, including its FLEDGE privacy sandbox proposal. This browser-based technology is being pitched for next-gen remarketing and custom audience use cases but will not be able to be used by third parties to track user browsing behaviour across sites.
“There are some pretty strong reasons to believe there are going to be technology-based and potentially browser-based solutions that are going to get us past some of the sticking points,” Healy says.
For the short term at least, the job for marketers when it comes to campaign planning is likely to be more difficult than it once was.
“With cookies going away, your ability to use mobile IDs fragmented as well, and all the new channels like digital out-of-home and set to boxes and over-the-top devices, there are so many IDs and devices out there it has become a lot harder,” Healy says. “That is where our identity work comes from.”
With the emphasis inevitably swinging towards greater use of first-party data, Stubbs sees plenty of territory still to be explored around how data might be collected and utilised.
“There is a lot more innovation around how you might extend your first-party data, and brands are becoming significantly more commercially savvy around the value of their own data as well,” Stubbs says. “Pieces that start to become really interesting are things like micropayments and getting under the hood of what value exchange looks like.
“What might it look like to get them in the door without having to hand over all of their data at the start, and then build up that relationship through a value exchange? You will start to see massive convergence around content and data, and elements where it brings in commerce. That will be one of the interesting growth areas.”
So while the industry might be shaken up in terms of changes to data and the tools that manage it, O’Connell says it’s a good time to closely examine what consumers actually want.
“A first-party data strategy means you have to have something useful to the consumer they want to interact with,” O’Connell says. “It is really about customer experience and content strategy. You need to think all about those things.”
In the third and final episode of our 3-part CMO50 video series exploring modern marketing and why it’s become a matter of trust, we’re delighted to be joined by Telstra’s former CMO and now digital services and sales executive, Jeremy Nicholas, and Adobe VP Marketing Asia-Pacific and Japan, Duncan Egan.
Flash back to the classic film, Willy Wonka and the Chocolate Factory. Television-obsessed Mike insists on becoming the first person to be ‘sent by Wonkavision’, dematerialising on one end, pixel by pixel, and materialising in another space. His cinematic dreams are realised thanks to rash decisions as he is shrunken down to fit the digital universe, followed by a trip to the taffy puller to return to normal size.
Why is it there is no shortage of leadership development materials, yet outstanding leadership is so rare? Despite having access to so many leadership principles, tools, systems and processes, why is it so hard to develop and improve as a leader?
As a nation united by sport, brands are beginning to learn money alone won’t talk without aligned values and action. If recent events with major leagues and their players have shown us anything, it’s the next generation of athletes are standing by what they believe in – and they won’t let their values be superseded by money.