The cookie is already gone. The budgets have shifted. All the howlers screaming about Chrome’s road map for deprecation are akin to the last soldiers standing on the battlefield clinging to the flag of a fallen nation. In short, it’s over.
But we can’t measure the downfall of cookies by looking at the bidstream. There is still plenty of cookie-based buying going on. The old user-sync systems are still playing pixel ping-pong with cookie-enabled browsers.
This entry was originally posted on The Drum as an Open Mic Article.
The exact date upon which the 3rd party cookie vanishes is tough to pin down. What we are reasonably certain of is that sometime in the second half of 2024 the Google team will release a version of Chrome that will have them turned off by default.
One of the foundational underpinnings of online advertising will cease to exist. Falling away will be the common key used to value and target ad opportunities, contextual signals used to build audience segments, attribution functionality used to gauge performance, not to mention the collateral impact that losing all these things will bring.
It’s important to explore both the direct and indirect impact of cookie deprecation to have as much of a complete picture as possible. If one becomes too focused on the direct impact, they will lose sight of the long-term and peripheral damage from the wake of this change.
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I sat down (virtually) with Neera Shanker from Blockthrough in December. We discussed a few market trends like non-addressable audiences, privacy regulation and the platform giants (Apple and Google).
In this episode, I actually know wtf I’m talking about. It’s only my second attempt at guesting on a podcast. And the first time I really had the appropriate expertise on a subject.
Here I’m talking about ad-tech and how non-addressable audiences (no cookie IDs and such) are an important area of focus. Many online publishers are not giving this topic enough attention. If that kinda thing is interesting to you, or you just like hearing the sound of my voice, give it a listen.
Tune in to learn about how I got started in ad tech waaaaaay back in 1997. The internet was a different place back then. It’s striking to remember how a small operation could have a large impact.
Then you’ll hear about my work at Yieldmo, my day job. Hint: I really like my job. In my best radio voice I talk about my typical day, challenges I’m helping to overcome, and how we measure success.
Finally, I evangelize the need for non-addressable solutions in the market. It’s a big issue that will require investment (time and money) in order to future-proof the industry.
If you’d like to grab the podcast in your favorite app, jump over to buzzsprout for the links.
I wrote an earlier post called “In a world without cookies” which was my early response to the default setting in Apple’s Safari browser. This issue has expanded such that we’ll see even fewer cookies out there, so I’m going to bring a little more light to the issue of privacy and privacy compliance in mobile, tablet and the desktop.
For the purposes of addressing privacy, the physicality of the device, whether it is a tablet, phone, or a desktop computer, can be mostly ignored. The real technical distinctions with regard to privacy are between browsers and apps. It’s also important to understand the need for advertising companies to maintain compliance with organizations like the NAI and initiatives like the OAB. Together, the OAB and NAI dictate opt-out rules that online advertising companies must adhere to.
Apple’s Safari browser has a default set to block third party cookies. Firefox will soon have a similar default setting.
The most prolific obstacle in privacy and compliance is probably a result of Apple’s move to disable 3rd party cookies by default in their Safari browser. This is not just the Safari that ships on your iPad or iPhone, but all Safari browser installs, including that one on everyone’s beloved Windows machine. Now, the team behind Mozilla’s Firefox browser has pledged to do the same. Blocking by default causes two problems: advertising companies can’t do simple things like frequency cap using a cookie, and there’s no way to determine the user’s actual intent. If the default setting was to allow 3rd party cookies, a user’s intent would be crystal clear if it was set to block. Read more
This is the fourth in a series of posts walking readers through the mobile advertising space. Stay tuned for at least one more post in the coming weeks. This post is also published on the Rubicon Project blog.
Fixing Mobile
When evaluating advertising options on mobile devices, it is important to consider the screen size as well as whether the content is viewed in mobile web or a native mobile application. Content that is viewed in a browser is often suboptimal for advertising. When presented with a standard un-optimized web page the phone’s browser will shrink the content to fit the width of the display. This has the unfortunate side effect of also shrinking ads, often until they’re very small. In this scenario, advertisers are not getting their money’s worth, as their ads are often too small to see.
To successfully advertise on web pages displayed on a mobile phone a site’s layout must be mobile optimized. This single column of content optimized for a phone’s screen lends itself to an advertising unit that spans the screen unobstructed. While hardly anyone would think that these small banner units that span the screen are the answer to mobile advertising needs, this is at least a place to start.
In an attempt to expand the advertising opportunities on mobile, the IAB is working with advertisers and publishers to create new, more engaging ad units for mobile. These units have names like “Push” and “Slider”. They are initially inconspicuous on the page, but can take over the entire screen to create a more immersive experience. Adhesion banners stay in the same place on the screen, remaining in view throughout the user’s session. Creative thinking like this has led to ad units that expand to the limits of the screen of the device. Rather than being little boxes on the screen, these ad units use the full dimensions of the device to be more immersive and engaging.
Content viewed in mobile apps have distinct challenges from their web counterparts. These challenges are common to phones and tablets. The most prominent challenge is the requirement of the SDK (or Software Development Kit). SDKs are sets of code that an application developer integrates into their app to allow mobile ads to run within their app. Mobile inventory buyers, generally, develop SDKs. Their code enables the application to call the buyer’s ad server to get ads and render them properly. For each demand source that the application developer partners with, there is likely a new SDK integration. The problem is that all these SDKs have a distinct set of instructions to perform a fairly common set of tasks. The proliferation of distinct SDKs has resulted in more fragmentation in the market.
There are still stories of app developers integrating up to seven different SDKs to manage the need for competitive demand for inventory. Managing multiple SDKs can be problematic. There is non-trivial operational and technical overhead of integrating additional code to the application. Demand partners have their own development roadmaps and update their SDKs on their schedule. Each time an SDK is updated the application developer needs to re-integrate the code and re-submit the app for approval to iTunes or Google Play.
It’s not all gloom and doom in the app world though. The IAB has recently made efforts to normalize the SDK interactions to reduce the learning curve for integrating different SDKs. It introduced the Mobile Rich Media Ad Interface Definitions, or MRAID. MRAID is an effort to create a common set of standards. Indeed, many mobile advertising companies now offer MRAID compliant creatives. As support for MRAID grows we all can be hopeful that these woes will subside.
Through the use of SDKs, mobile apps are able to make use of functionality that is native to mobile devices to deliver a more engaging advertising experience. Companies such as InMobi or Celtra offer a rich advertising experience to the user instead of the standard still-image ad (with click-through) that is very prominent in online display advertising. The SDK opens the door for highly interactive and engaging ads, which have actually been well received by users.
Tablet inventory, whether accessed through an app or web, comes with some interesting opportunities. First among them is the larger screen offering the potential for larger ad formats. There are several tablet-specific formats gaining traction in the market. Some are custom for a specific application. Others, like the Filmstrip from IAB’s rising stars, are approaching a level of standardization that can be leveraged by application developers and the currently rare tablet-optimized web.
The impact of these challenges depends on the user experience that you design for your mobile users. You should decide what the appropriate experience is for your content type, and then deal with the relevant advertising issues that arise. Formatting and building content specifically for mobile is the first step toward monetizing content. Have you had issues integrating SDKs with your mobile apps?
