Billions of people online experience a world of advertising that feels personal to them. That personalisation is powered by data and machine learning, which helps ensure people receive the most relevant message at the right time across the customer journey.
Digital ads ecosystems have presented a great number of opportunities for advertisers to reach their customers. But all this is going to change as customers are also demanding greater data privacy, and the ecosystems need to rapidly shift in an effort to meet those expectations.
The biggest change expected by the year 2023 relates to data privacy regulations and data restrictions from web browsers on websites that have enabled data sharing properties. The said change primarily affects advertisers that target customers using third party cookies, their over-dependency on pixel data, and how the user’s data is ingested by advertising service providers. Once these changes come into effect, advertisers’ performance is set to drop by >40%. While this is deemed to be a huge setback, brands can stay a step ahead and be prepared for what is to come, with a solution to mitigate the issue.
Cookies have been an integral part of digital marketing for years and have helped brands identify target audience, understand their behaviour on websites and track efficacy of performance campaigns. However, this came at a price – the price of privacy of users, their behaviour being tracked, and misused by some.
Nevertheless, the privacy laws are catching up and cookie-less tracking is fast becoming the preferred solution. This has been further fueled by tech giants introducing improved tracking methodologies (drifting away from cookie data), users getting more conscious on what data they are sharing while browsing, and governments introducing new restrictions and laws to curb the exploitation of personal data.
ADA, the largest independent data and artificial intelligence (AI) company across 10 markets in South and Southeast Asia takes data privacy seriously. With proprietary technology IP in data processing, data ingestion, and consumer AI models that is gleaned from 375 million consumer profiles across the region on monthly basis, it places utmost importance to how data is captured, stored, and used, in compliance with all General Data Protection Regulation (GDPR; EU regulations), and Personal Data Protection Act (PDPA; Malaysia regulations).
In the future of a cookie-less world, advertisers will not have long-term visibility of digital user identification as we expect the world’s most popular browsers to materially or completely limit the efficacy of third-party cookies in 2023. Without visibility into their customers’ activities and preferences, businesses will experience an impact across all stages of their digital marketing efforts. So, businesses who value data-driven outcomes are now taking steps to establish more reliable data connections with their ad platforms.
With the loss of cookies imminent, Facebook are helping advertisers adapt to these changes in the ads ecosystem with Facebook’s Conversions API solution. Conversions API is designed to support brands by delivering business results with full transparency; advertiser control what information is shared with Facebook; and limiting the dependency on browsers for data sharing. This solution essentially makes the cookie data redundant, while keeping the user privacy intact.
Digital advertising forms a big part of marketing budgets and advertisers want to ensure that their marketing dollars are well-spent, tracked, and able to drive business goals – all this while keeping the interests of the brand and customers ahead of them. Conversions API will enable advertisers to:
This solution will also allow advertisers to control what data is shared and its frequency with Facebook. The seamless API sharing also warrants better reliability of the data than dependency on browser-based methods. This will help advertisers derive meaningful insights and full funnel view by leveraging website, offline, and CRM data. During the transition period, Facebook recommends using Conversions API in addition to their existing Facebook pixel for maximum performance.
Figure 1: Strengthening how data is shared with Facebook – Advertisers can help ensure the reliability of the data they share by sending it directly to Facebook, instead of depending on browser-based methods that may become unreliable in the changing ecosystem.
To begin, you need to consider your business objectives when deciding what data to leverage by taking control of the data, because including more data sources can lead to better marketing. For this to happen, you will need full-funnel visibility, which will be limited once browser privacy policies take effect.
Figure 2: Enabling full-funnel visibility – Consider your business objectives when deciding what data to leverage. Including more data sources such as CRM data, lower-funnel events, or detailed event parameters like item categories can lead to better marketing.
So, taking the first mover advantage here is essential for growth for any brand. Those who take the plunge now will be able to test out new tracking and measurement systems, and be prepared for changes come 2023; with the ability to optimise performance as they go along. The luxury of testing multiple tracking mechanisms may not be of much value once the majority of the industry shifts to a cookie-less way of tracking.
Facebook Partner, ADA has taken the first step towards a pixel-less future in educating clients on Conversions API and helping them achieve business outcomes, whilst keeping user data privacy at the forefront. The in-house operation and technical development capabilities give ADA an edge over other digital and advertising companies in leading the effort to test the Conversions API solution across a selection of industries, allowing them to be well prepared for the radical changes to take place in 2023. ADA is optimistic that this move will ensure that clients’ digital campaigns and outcomes will see minimal disruption as we adopt cookie-less tracking solutions of the future.
With over 800 data scientists, digital media gurus, industry experts, management consultants, and eCommerce practioners across 10 markets in South and Southeast Asia, ADA is constantly enhancing and expanding data sources to help clients stay ahead. Our technical expertise combined with data prowess has resulted in a consistent growth trajectory for our data-led marketing solutions for our over 1,300 and growing clients.
Contact us to learn how you can brace for browser changes.