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The Future of Digital Advertising Without Third-Party Cookies

Advertisers and publishers are currently asking themselves an important question: How will data be used for digital advertising in the future? After all, digital advertising is currently in a state of upheaval. The reasons for this are a number of data protection regulations. In our article, we describe possible future strategies that could become important for brands. 

Why digital advertising needs to change in the first place

But let's start from the beginning: Where do we currently stand or why are we in the biggest disruption in digital advertising? Technology companies and browsers are increasingly restricting the use of cookies for advertising. After Safari (2018) and Firefox (2019) made the beginning, Google followed in 2020 with the announcement to declare the principle of third-party cookies to be over (end of 2023 is supposed to be the final end).

These important milestones hit the technology companies for the reason that cookies have increasingly lost their actual meaning and are used for other purposes: Today, the collected usage data is used to target advertising to specific groups. This means that a lot of data is stored, and the user may not even be aware of what it is and what happens to it. The entire business is therefore extremely opaque for users. 

Why these measures by Google & Co. are necessary

In order to regulate this prevailing lack of transparency regarding data storage and use to some extent, the DSGVO-compliant cookie banner was introduced throughout the EU, which enables users to determine for themselves whether further data is stored. And many technology companies are following suit with further measures: Apple introduced a new privacy feature with iOS 14.5 that asks Apple users for consent to app tracking when using an app. Read more here.

With the end of third-party cookies in Google Chrome in 2023, the advertising industry will have to completely reorganize itself. With a market share of over 60%, this will have an enormous impact on the playout of digital advertising campaigns: A crucial technology for playing out targeted advertising to users will become fragile. 

Target group-specific targeting and advertising will therefore no longer be feasible in this form. Technologies such as microtargeting, cross-site tracking and companies that specialize in precisely these technologies will no longer exist in the future. 

What are people's attitudes toward digital advertising?

Before we get into the details and strategic directions of new advertising formats, let's take a look at the attitude of those who are actually "affected" by advertising: the users. What position do they take when it comes to digital advertising? 

According to Statista's Global Consumer Survey, 38% of respondents dislike ads for products they have already purchased. In addition, 38% are dissatisfied with being shown ads based on their online search behavior. In addition, the study found that 34% of consumers dislike targeted social media advertising based on their interests and behavior. 

But advertising can also be received positively: According to the above-mentioned study, 27% of respondents do not find advertising annoying if they get something in return. Also, 48% say that they click on ads that interest them. And particularly interesting in terms of tracking & advertising: 25% rate free use, 23% special offers and 24% convenient use as the decisive factor in granting permission to track data. 

Why the focus on users is a success factor of the future

The results of the Global Consumer Study thus show that advertising can be perceived positively if it offers users added value. Thus, a current direction of new digital advertising becomes clear: to involve the user, to make it more transparent to him what he gets out of it and what his data is used for, to offer him that certain something that he is willing to give his consent to.

So what will online advertising look like in the future? One thing is certain: advertisers and publishers will have to reposition themselves technologically and strategically. One solution is certainly to rely on technologies with first-party data

Another solution, which is already being used by some publishers, is to get users to register for an app or similar. By registering, an added value is offered that the user wants to use, and so he or she is incentivized to register. 

Bring! as a prime example of future digital advertising

One particularly successful example of an advertising format that already uses first-party data and registrations to run marketing campaigns is the shopping app Bring!

The Bring! Shopping List, is an app that guides users through all aspects of shopping for everyday items like groceries and drugstore goods - from inspiration to collaborative planning to purchase. With the help of shareable shopping lists, recipe ideas, and local offers, shopping and thus organizing the entire household is simplified for millions of consumers worldwide. The numbers speak for themselves: 1.5 million active users in Germany and 300,000 active users in Switzerland per month!

In addition to the shopping platform for consumers, Bring! partners from FMCG and retail an innovative mobile advertising platform that enables them to open up new types of marketing channels and place products in the context of shopping in a targeted and native way. Numerous brands and retailers can look back on successful campaigns with Bring! 

The advantage of the Bring! App is that the campaigns are not based on third-party data sources, but are realized exclusively on the basis of the users of the app. The Bring! App is one of the advertising formats of the future. Would you like to learn more? Learn more about our advertising formats here or contact us directly.


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