3rd-party cookies came under focus when Google affirmed in January 2020 that it would phase them out from its Chrome browser by early 2022. Then, it reset the deadline to 2023-end after publishers, advertisers, and other online market players pushed back. Google is the pack leader, and this announcement, ostensibly to protect people’s privacy, has sent the advertising and marketing worlds into a mad scramble for 3rd-party cookie alternatives. Well, there are cookies and cookies.
Remember, because of the lack of a perfect solution, the world had to make do with this flawed one. For lazy marketers and publishers, third-party cookies also became the easy way out.
While 3rd-party cookies (about to crumble) are on the way out, one must understand that there are other cookies, such as 1st-party cookies, that can still be relied on. And don’t forget, only 3rd-party cookies are on the way out, but not 3rd-party data. While the industry is exploring other “viable” options to replace 3rd-party cookie tracking, Google is developing its own solutions. Two years is enough time for the industry to arrive at some common alternatives, with or without Google’s help. Also, you probably won’t be affected by this change if all you want to track is your website’s visitors’ behaviors, preferences, and basic demographics while they’re browsing your site only.
What Are Cookies
Cookies first appeared on the web in 1994, and today most major websites require visitors to accept them.
A 1st-party and a 3rd-party cookie are the same kind of file from a technical perspective. The only difference lies in how websites create and use them.
As with any invention, cookies took on a life of their own. In some cases, cookies were used for purposes other than their intended ones, leading to a more varied, or even negative, experience.
Cookies can be deleted using your device's cookie manager or by deleting them in your browser. Although browsers offer their own ways to manage cookies, most major websites still use third-party cookies and refuse to delete them.
A technology that has been abused beyond its intended purpose, cookies can lead to untargeted campaigns and harm the user experience. Cookies can be a valuable tool in marketing and also provide greater privacy to those who desire it. When users decline cookies, they become invisible to websites, which may protect privacy but can sometimes lead to a confusing user experience.
1st-party cookies
Whenever a visitor visits your site, a 1st-party cookie gets generated and stored on that person’s computer by default. It is often used to remember a user’s password, basic information about them, and other preferences.
A single 1st-party cookie lets you see what your users did when they visited your website, how often they visit, and other basic analytics to inform your marketing strategy. However, you cannot see related information from other websites that the same person may have visited.
Here’s an example: How does Amazon remember your login information, language, items in your cart, and many other details to make your navigation so effortless? By using 1st-party cookies.
On the other side of 1st-party cookie tracking are analytics dashboards that provide marketers with access to such cookie data. Which means they can see metrics like the number of web sessions, the number of pages people clicked on, and so on.
In short, A 1st-party cookie is generally used only by the site you are visiting.
3rd-party cookies (third-party cookies)
In addition to your own cookies, 3rd-party cookies are tracking codes placed on a visitor's computer by another website. When a web visitor visits your site and other sites, the 3rd-party cookie tracks their visit and sends this information to the third party (mostly an advertiser) that created the cookie.
If you’re an advertiser, 3rd-party cookie data provides insights into the online behaviors of your web visitors, such as what websites they frequently visit, what they’ve bought, and their interests, from multiple sources. The detailed data allows you to build robust profiles of your visitors. Using this information, you can create a retargeting list to send ads to past visitors or people with similar web profiles.
3rd-party cookies can track your online browsing to deliver tailored ads. Advertisers know about your personal interests, so they show you the ads accordingly. This means such cookies are stored in your browser or device. But this method also violates an individual’s privacy.
Here’s an example: Say you want to buy a smartwatch, and so search many websites, including say an X site for it. From the X site, you later visit another Y e-commerce site and are surprised to see the X site's advertisement for smartwatches on it. A 3rd-party cookie may have triggered this advertisement.
Thus, such cookies are now used in many aspects of digital marketing.
