Tuesday next week we are holding the online seminar - Mastering Social Media Advertising in a Post-Cookie World: Practical Strategies to Boost ROI and Stop Wasting Money.  It's a hot topic, as the cookie apocalypse has made it much harder to drive performance from social media advertising. So in this article we want to ask what exactly are cookies, and why is the impact so harshly felt across social commerce and eCommerce.

The Cookie - simply explained

For a long time, cookies have been an essential part of online advertising and eCommerce. Cookies are small text files that are stored on a user's computer or device when they visit a website. They have been widely used to track user behavior and provide personalized content and advertisements. However, the use of cookies has become increasingly controversial, as concerns about user privacy and data protection have grown.

‍What's happened to challenge the Dominance of Cookies 

In recent years, there have been significant changes in the way websites and online businesses handle user data, particularly in the United States. One of the most significant changes has been the shift in cookie policy, which has had a significant impact on social advertising and eCommerce

In response to these concerns, many websites have changed their cookie policies, either by requiring users to opt-in to the use of cookies or by limiting the use of cookies altogether. In the United States, the most significant change has been the implementation of the California Consumer Privacy Act (CCPA) and the General Data Protection Regulation (GDPR) in Europe.

The CCPA, which went into effect in 2020, requires businesses to give consumers the option to opt-out of the sale of their personal information, including data collected through cookies. This has had a significant impact on social advertising and eCommerce, as businesses are now required to obtain explicit consent from users before collecting and using their data for advertising purposes.

Similarly, the GDPR, which was implemented in 2018, requires businesses to obtain explicit consent from users before collecting and using their data. This has had a significant impact on eCommerce, as businesses are now required to obtain consent before collecting and using customer data, such as their email address or phone number, for marketing purposes.

We are also seeing companies such as Apple, who has long been a proponent of user privacy and transparency, taking a strong stance on cookies and data privacy. One of the key ways that Apple has addressed cookies and data privacy is through the introduction of the Intelligent Tracking Prevention (ITP) feature in Safari, the company's web browser. ITP works by blocking third-party cookies by default and limiting the lifespan of first-party cookies to seven days. This means that advertisers and other third-party companies are unable to track users across the web without their explicit consent.

In addition to ITP, Apple has also implemented a number of other privacy features across its products and services. For example, the company's App Tracking Transparency (ATT) feature requires apps to request permission from users before they can track them across other apps and websites. This gives users greater control over their data and helps to prevent companies from tracking them without their knowledge or consent.

While these changes have been challenging for many businesses, they have also helped to protect user privacy and data protection, which is a positive development for consumers.

‍

The Cookie Apocalypse - its impact on Social Commerce and eCommerce 

The impact of these changes on social advertising and eCommerce has been significant. Social media platforms, such as Facebook and Twitter, have had to adjust their advertising policies to comply with the new regulations. For example, Facebook has introduced a new "Limited Data Use" feature, which allows advertisers to limit the use of data collected through cookies for ad targeting.

Similarly, eCommerce businesses have had to adjust their marketing strategies to comply with the new regulations. Many businesses have turned to alternative methods of marketing, such as email marketing and influencer marketing, which do not rely on the use of cookies.

In short, the changes in cookie policy have had a significant impact on social advertising and eCommerce. Businesses are now required to obtain explicit consent from users before collecting and using their data, which has forced them to adjust their marketing strategies to comply with the new regulations. 

Learning how to survive in this new world is the focus on the Webinar on Tuesday next week, find out more here.