Adapting to a Cookie-less Future in Video Advertising

The world of digital video advertising is on the brink of a major shift. With privacy concerns rising and new regulations coming into play, the way advertisers track users and target them with personalized content is undergoing a transformation. One of the most significant changes on the horizon is the phasing out of third-party cookies, which have been a cornerstone of online advertising for decades.

For video advertising, this transition presents both challenges and opportunities. Advertisers who rely on cookies for targeting, remarketing, and measuring campaign success will need to rethink their strategies. But for those willing to adapt, the cookie-less future offers a chance to leverage new technologies and approaches that might even improve the effectiveness of video ads.

In this blog, we’ll explore what the cookie-less future means for video advertising and how businesses can stay ahead of the curve by embracing privacy-first strategies.

Table of Contents

What Are Cookies, and Why Are They Disappearing?

Before diving into the impact on video advertising, let’s start with the basics: what exactly are cookies?

Cookies are small pieces of data stored on a user’s device by their web browser. They help websites remember certain information about users, like login credentials or shopping cart contents. In the context of advertising, third-party cookies have been used to track user behavior across different websites, allowing advertisers to create detailed profiles and target audiences based on their online activity.

However, growing concerns about data privacy have led regulators and tech companies to crack down on the use of cookies. Major web browsers like Google Chrome, Safari, and Firefox are either limiting or planning to eliminate third-party cookies entirely. Google, in particular, has announced plans to phase out third-party cookies in Chrome by 2024.

The end of cookies is a response to consumers’ desire for more control over their data and greater transparency in how it’s used. This change will require advertisers to adapt to new ways of reaching and engaging their audiences—especially in the highly competitive space of video advertising.

How the Cookie-less Future Affects Video Advertising

Video advertising has become one of the most effective forms of digital marketing, thanks to its ability to capture attention and convey complex messages in a short amount of time. Whether it’s pre-roll ads on YouTube or short, engaging clips on social media platforms like TikTok and Instagram, video ads are a powerful tool for brands.

But many video advertising strategies have relied heavily on third-party cookies for tracking user behavior, targeting specific demographics, and measuring performance. Without these cookies, advertisers will need to find alternative ways to:

• Target Audiences: How will video ads reach the right people if third-party cookies are no longer available?
• Measure Campaign Performance: What methods can be used to track engagement, conversions, and ROI without cookie-based data?
• Personalize Content: How can brands deliver personalized video ads that resonate with users when tracking is more limited?

Let’s explore these challenges in more detail and discuss some potential solutions.

1. Targeting Audiences in a Cookie-less World

One of the biggest challenges of the cookie-less future is finding new ways to target audiences with video advertising. Without third-party cookies, advertisers will no longer be able to track users across multiple websites to create profiles for targeted ads. However, this doesn’t mean that targeting is going away—it’s just evolving.

First-Party Data

The key to succeeding in a cookie-less world lies in first-party data. First-party data is information that businesses collect directly from their users through interactions on their own websites or apps. This includes data from user registrations, purchases, email subscriptions, and more.

For video advertising, leveraging first-party data means focusing on engaging your existing audience. By understanding the behaviors, preferences, and needs of your current users, you can create highly relevant video ads that speak directly to them.

Contextual Targeting

Another solution to audience targeting in the cookie-less future is contextual targeting. Instead of relying on user data, contextual targeting focuses on the content that users are consuming. For example, if someone is watching a YouTube video about fitness, you can display video ads for workout equipment or healthy food brands.

This approach aligns well with video advertising, as it allows advertisers to match their content to the context in which it’s being viewed. It’s less invasive than tracking users across websites, making it more privacy-friendly while still delivering relevant ads.

2. Measuring Campaign Performance Without Cookies

Tracking the performance of video advertising campaigns has traditionally relied on cookie-based data. Without third-party cookies, advertisers will need to adopt new methods of measuring engagement, conversions, and overall effectiveness.

Server-Side Tracking

One option is server-side tracking, which involves collecting data directly from the server rather than relying on the user’s browser. This method allows advertisers to track important metrics like video views, clicks, and conversions without violating user privacy. It also provides more accurate data, as it’s less susceptible to issues like ad-blockers or cookie consent banners.

First-Party Measurement Tools

Many platforms, including Google and Facebook, are already offering first-party measurement tools that allow advertisers to track the performance of video ads within their ecosystems. For example, Google Analytics 4 is designed to work without relying on cookies, using machine learning and first-party data to measure user interactions across devices and platforms.

By combining server-side tracking with first-party tools, advertisers can still gain valuable insights into how their video ads are performing, even in a cookie-less world.

3. Personalizing Video Ads in the Age of Privacy

Personalization has been one of the driving forces behind the success of video advertising. Tailoring video content to a user’s preferences, interests, and past behavior has been proven to boost engagement and conversion rates. But with privacy concerns taking center stage, advertisers must find new ways to deliver personalized video ads without infringing on user data.

Privacy-First Personalization

In a cookie-less world, brands can still offer personalized experiences by using first-party data and focusing on privacy-first practices. For example, instead of tracking users across the web, businesses can ask for explicit consent to collect and use data for personalized video ads. This might involve allowing users to opt-in to receive personalized content based on their preferences.

Dynamic Video Content

Another approach to personalization in video advertising is the use of dynamic video content. This technology allows advertisers to create multiple versions of a video ad with different messaging, visuals, and calls-to-action. Based on the context in which the ad is shown (e.g., the website, time of day, or user’s device), the most relevant version of the video is displayed. This allows for personalization without relying on third-party cookies.

Preparing for the Cookie-less Future: Best Practices for Video Advertising

As the industry moves toward a cookie-less future, it’s essential for brands and advertisers to stay proactive in adapting their strategies. Here are some best practices for video advertising in this new era:

1. Invest in First-Party Data: Start building a robust first-party data strategy by encouraging users to engage with your website, app, or social media channels. Offer value in exchange for data, such as personalized recommendations, exclusive content, or discounts.
2. Use Contextual Targeting: Align your video ads with the content your audience is consuming to ensure relevance without relying on personal data.
3. Adopt Server-Side Tracking: Transition to server-side tracking and first-party measurement tools to accurately measure the performance of your video campaigns.
4. Embrace Dynamic Video Ads: Leverage dynamic video content to create personalized experiences without compromising user privacy.
5. Stay Transparent with Users: Be clear about how you collect and use data, and ensure that users have the option to opt-in or opt-out of personalized video ads.

Conclusion

While the cookie-less future may seem daunting, it also presents an opportunity to rethink and improve how we approach video advertising. By focusing on first-party data, privacy-first personalization, and new measurement techniques, advertisers can continue to deliver effective and engaging video ads that resonate with their audience—without compromising privacy.

Adapting now will not only future-proof your video advertising strategies but also help you build stronger, more trusted relationships with your audience.