More than four years have passed since Google’s announcement in January of 2020 that they would be on “a path towards making third party cookies obsolete” in order to “create a more private web.” However, on a blog post made last month, they announced that they are no longer going to move forward with getting rid of third party cookies.
Cookies have been a mainstay of the internet for a long time now, but you may be asking: What really are cookies? How does this relate to small businesses in terms of online marketing?
Cookies, in the simplest terms, are small files of data and information stored in your browser when you use a website. There are two kinds of cookies: first party cookies and third party cookies.
First party cookies are used by the site you are visiting, and allow the owner of the website to be able to track certain actions taken on the website, such as how much time a user spends on a page, what buttons they click, and more. Basically, first party cookies track how you engage and interact with a website and provide that information to the owners of said website.
Third party cookies track similar information, yet the difference is in who collects it. Just as the “first party” in first party cookies indicates that the data is being collected by the owner of the website, the “third party” in third party cookies refers to the fact that a different company or organization is collecting this information. These companies are generally advertising groups and social networks using this information of what sites you visit and how you interact with them to better advertise to you, the user.
Sometimes, the organization will use this data themselves to market to you, and other groups collect this information on you and your internet habits to sell to other companies that want to figure out how to better advertise their products and services. By using these cookies that collect and track a variety of information about you as we have previously covered, advertisers over time are able to create a robust profile and use this profile to target users with specific advertisements that are more likely to be relevant to them and their shopping habits.
How does this relate to you as a small business owner?
Understanding the use and utility of cookies is essential for more advanced digital marketing campaigns. Now that we know that third party cookies are here to stay, you can more confidently invest in advertising and marketing methods that utilize the information provided by third party cookies. Here are a few ways you can leverage first and third party cookies for your business:
- Keep investing in retargeting campaigns that utilize cookie data. Cookies allow you to retarget visitors who showed interest but didn’t convert. Set up retargeting ads to follow users who visited your site but didn’t complete a purchase or inquiry.
- Analyze customer behavior for better decision-making. Third-party cookies collect valuable data on how users interact with your site and other online activities. Use this data to better understand your audience’s preferences, interests, and purchasing behavior.
- Personalize the user experience. Cookies can track users’ browsing behavior, allowing you to deliver personalized content, product recommendations, or marketing messages. When customers feel like you understand their needs, they’re more likely to engage and convert.
Google’s decision to maintain support for third-party cookies in Chrome gives small businesses more time to leverage this powerful tool. However, this is also an opportunity to future-proof your marketing strategies by diversifying your data sources and focusing on building trust with your customers, in case Google tries to move away from cookies again in the future. Understanding how cookies work—and how to use them effectively—can provide a significant boost to your digital marketing efforts and keep you ahead of the competition.
