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March 30, 2022

Impending demise of third party cookies and Fb meta retargeting options

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Cookies are small bits of code that are saved in web browsers, which are typically utilized to distinguish website users. There are two kinds of cookies: first-party and third parties. From a technical standpoint there isn’t any real distinction between them, because they share the exact same data and serve the same purposes.

The distinction between different kinds of cookies lies with the way they’re created and used in the future and used, which is often based on the situation. There are various advantages to making first-party vs. third-party cookies.

1. Issues with cookies from third parties

Since the beginning the use of third-party cookies has been unnoticed by online Internet users, and they have allowed publishers and advertisers to collect information from them while they travel from one site to another. This is usually the case that third-party cookies are created by companies that the user hasn’t had any contact with or with whom they haven’t had any contact. Following years of abuse by advertisers, consumers have become more aware and are requesting increased openness. People’s perception of cookies began to become suspect.

Concerns about privacy along with the introduction of European privacy-focused laws (GDPR as well as ePrivacy) have led companies that use technology for advertising online to alter the ways they store, collect and use data from visitors.

Third-party cookies are increasingly ineffective for advertisers who want to target users and measure the performance. Customers now have several mobile devices and are able to use them interchangeably. Third-party cookies can’t be transferred between devices or between apps, so it’s difficult to monitor a user’s entire shopping experience. This can cause difficulties in correctly assigning conversions and budgets to the correct channels, which ultimately leads to wasted.

Third Party Cookies getting banned by major platforms

Safari as well as Firefox have been able to block cookies from third-party websites from 2013 onwards.

Its iOS 14 update was released in April 2021. When an app is downloaded or updated by apps, the approval is required. This iOS 14.5 update will send users a push notification that prompts users to let apps keep track of their the activity. It also gives users the option to disable the sharing of their IDFA (Unique Identifier) at the app level.

In January of 2020, Google announced that they will be removing third-party cookies for 2 years. Google decides to use as its web browser Chrome the ethical option of leveraging private data to improve the user experience as well as the loyalty of the identified Internet users.

First Party Cookies are now the hottest thing in town.

Cookies that are classified by the term “strictly necessary” will be not subject to the consent for cookies notice, and even then, you’ll have to provide a description of the purpose of these cookies. The most knowledgeable marketers know best of all that first-party cookies are most important factor in establishing connections with brands and publishers. This is the right time for marketers to engage with their customers and increase performance using third-party cookies.

Advertisers must be creative in using the data from the first-party cookies to aid in targeting or Retargeting. For example, using information from CRMs or data input by Internet users on forms that relate to registrations and access to content services, purchase on the Internet or in navigation information (by websites, for instance).

Other companies are working on implementation of identification data from third parties that exclude cookies to make up for the loss of their data.

Facebook Cookie Pixel: From Third- to First-Party

Facebook Pixel, a piece of code that allows brands and advertisers to monitor the effectiveness of their campaigns, and optimize them to Facebook advertisements, initially built on cookies from third parties. ITP 2.0 basically caused a bug in Safari and forced Facebook to find solutions.

What Is Facebook’s First-Party Cookie Pixel?

In simple terms, Facebook’s brand-new first-party cookie pixel serves as an attempt to block cookies such as Apple’s ITP. The cookie appears to be being sent by the website that displays the advertisement, but in reality, it’s sending information directly the other way to Facebook and, in turn performs the functions that are typical of third-party cookies.

The decision to remove using the “legacy” third-party cookie and moving to the first-party pixel as the default choice for the Facebook pixel is designed to assist businesses in continuing to use analytics and tracking attribution for ads regardless from the web browser that they’re running.

While the first-party cookies is now the default choice for Facebook’s pixels. Advertisers can alter the settings at any point and switch back to third party cookies, which could be crucial if they store sensitive information. The option to change this setting is located in the Settings section Under Events Manager

It is now possible to use both first-party and third-party cookies in Meta Pixel. Meta Pixel. The main difference between third-party and first-party cookies is who is the owner of the cookie.

First-party cookies belong to the website the user is watching, while third-party cookies are owned by an website different from the one one that the user is currently browsing.

As opposed to third-party cookie, first-party cookies are more commonly accepted by browsers and are stored for longer durations.

For more control over your advertisement results, the options for using cookies in conjunction with your Meta Pixel include:

  1. Utilize Meta Pixels Meta Pixel with both first and third-party cookies

It is the standard choice and will most likely be the currently selected Meta Pixel settings. By selecting this option, you’ll make use of first-party cookies in the Meta Pixel, in addition to third-party cookie information. Utilizing both third-party and first-party cookies will enable you to connect with more clients on Meta and also to improve the accuracy of measurement and reporting.

  1. Utilize to use the Meta Pixel with third-party cookies only

You can deactivate first-party cookies, and then use your Meta Pixel with third-party cookies only. By doing this you’ll find that your Meta Pixel will be less effective in reaching customers through Meta and less precise in measuring and reporting.

Your Meta Pixel settings:

  1. Advertising and Analytics

The default setting and most likely the currently Meta Pixel settings. This option lets make use of advertising options such as audiences as well as the conversion process, targeting as well as optimization as in addition to Facebook Analytics data. Note that pixels that are associated with an account for advertising or a Business Manager account must use the Advertising and Analytics option.

  1. Analytics Only

If you select to use your Meta Pixel in an Analytics Only choice, the pixel will not be employed to perform Meta reports on ads. If you select this option, you have access to Facebook Analytics data for measurement and reporting purposes but not for the creation of campaigns or audience definition.

The way Facebook’s first-party Pixel option works:

Other Possible Workarounds for ITP 2.0

Although ITP 2.0 could be a bad thing for the vast major portion of small companies that are independent AdTech and MarTech businesses, each one is working on or has provided a solution to mitigate the negative consequences the technology has, with the primary solution being server-to server conversion and event tracking.

This is an illustration of how the cat-and-mouse game plays out that is played between businesses that want to encourage user privacy , and those who are determined to stop it.

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