Google has said it expects to turn off 100% of third-party cookies by the end of next year. Many ad tech providers are working on alternative identity solutions, and they are building up first-party data products that attempt to address privacy concerns.
However, Chrome’s cookie deprecation will undoubtedly be felt by advertisers, which is why testing Google’s new protocols is a priority, Mooney said.
Educating advertisers on the changes
“The ad tech ecosystem, those products that our clients interact with day to day, are in some way supported by third-party cookies today,” Mooney said. “Therefore, those solutions are at risk and that’s something we’ve been really making sure that our clients really understand.”
“The ad tech ecosystem as it stands is more underpinned by third-party cookies than perhaps is visible to a lot of advertisers and marketers out there,” Mooney added.
GroupM’s announcement was partly to ensure that advertisers have a seat at the table as ad tech partners make post-cookie modifications, Mooney said. “The advertisers want to know what impact [there will be],” he said. “They want us to allow them to gain greater transparency over the changes the ad tech providers are making and to work with the ad tech providers through this partnership and program.”
Cookies have been seeping out of programmatic advertising for years, especially since Apple started blocking third-party cookies in Safari in 2017. Apple has since made similar anti-tracking changes on iPhones with rules that prevent apps from tracking consumers without their consent. Google is following a similar roadmap just at a slower pace. Google plays such a large role in internet advertising and any changes it makes could hobble rivals that rely on the open web to conduct business.
Some ad tech providers and publishers are concerned that Google could limit the availability of data while advantaging its own business. Google’s Chrome team has been spearheading cookie deprecation, separate from Google’s ads team. Some ad tech providers have been slow to test Privacy Sandbox, or prepare for it fully, in part because the program has faced delays in the past, but also rewiring programmatic ad pipes can be expensive and drain resources.
Google is rolling out Privacy Sandbox while being watched by the U.K.’s Competition and Markets Authority. The regulator wants to ensure that data changes to Chrome don’t stymie Google rivals and businesses that rely on a well-functioning internet. A Google spokesperson said that the work with GroupM is focused on getting real-world tests in the first quarter of 2024 and providing feedback to CMA.
“Transitioning to new technologies takes time,” the Google spokesperson said in an emailed statement. “We believe this program, led by WPP, will enable advertisers to test the integration of privacy-preserving technologies on live campaigns ahead of third-party cookie deprecation.”