The internet is about to change forever. Are you ready?

I love a dramatic headline!

With data privacy well and truly on the agenda, I genuinely believe we’re not too far away (okay it will probably take a couple of years) from the internet changing for good. You only need to listen to the leaders of our technology giants to see how heated an issue data privacy has become. We’ve seen the legislative changes in the form of GDPR and PECR. Now it’s the turn of the technology giants to lead us into our new world.

The big battle

Apple and Facebook have been going ‘head to head’ for a while now. With Tim Cook’s statement at Brussels’ data privacy day last week, being coined the ‘final blow of the data privacy battle’ between Cook and Zuckerberg. Without actually mentioning Facebook, Cook stated that “Technology does not need vast troves of personal data stitched together across dozens of websites and apps in order to succeed. Advertising existed and thrived for decades without it.” “If a business is built on misleading users on data exploitation, on choices that are no choices at all, then it does not deserve our praise. It deserves reform.”

Of course, Cook’s right, advertising did thrive for decades without a need for personal data. However, Facebook’s model, (rightly or wrongly) centred around data collection, has provided a very targeted and affordable form of advertising for many, providing a positive (and trackable) return on investment. There are very few marketers for whom paid social advertising hasn’t become a core part of the marketing mix. Whether he’s got the greater good of the world in mind or not, there is some truth in Zuckerberg’s argument that ‘change’ risks hurting the internet economy and particularly start-ups.

Whilst we should consider that Cook and Zuckerberg have been coming at this debate from very different positions, given that they operate very different business models (Apple sells products, Facebook sells advertising), Cook certainly makes a strong case for ethics. Just because it works, doesn’t mean it’s right.

And of course, Cook isn’t the first person to recognise and vocalise this. The issue isn’t Facebook per se, but rather that data has become power. And for a long time, data was being collected without consumers having a clear awareness that their data was being exploited for commercial or advertising purposes. Facebook of course aren’t the only ones – but they are market leaders, so the attention will remain firmly on them.

Google’s position

So we’ve got two tech giants very clearly voicing their opinions on this debate. Where does Google stand in all of this? From a business model perspective, it could be argued that Google stands shoulder to shoulder with Facebook – both have a history of collecting and monetising their users’ personal data.

Whilst not involved in the Apple / Facebook debate, Google have been making their position on consumer privacy clear over the past couple of years. Back in Jan 2020, Google announced that they would be phasing out the use of third-party cookies on Chrome. They’re not the fist to do so – Safari and Brave have been blocking third party cookies for years. This move is part of a wider project from Google – a series of initiatives “to develop a set of open standards to fundamentally enhance privacy on the web” known as their ‘privacy sandbox’. So perhaps Google actually sit slightly more in the Apple camp – there’s certainly a recognition that change is required to better protect their users. Of course, Google’s plans were met by resistance – particularly from the Ad tech industry.

The death of the third-party cookie

Despite resistance, it seems clear that the death of the third-party cookie is inevitable (despite slightly shifting timescales), leaving questions on many marketers’ minds. There will clearly be significant impacts in the areas of media measurement, conversion tracking and of course audience targeting for advertising. Google are working on alternatives and have launched some initiatives already – such as Google Consent Mode. But it still feels like there’s a long way to go. In particular, in the areas of frequency capping, attribution, and optimisation.

So where do we as marketers stand in all of this?

In all honesty it feels like a bit of a waiting game. It’s clear that the internet (including but not limited to social media) needs to change. As an industry we’re used to change, things are constantly evolving. But this feels different. It’s different because we’re used to a continual introduction of new technologies, creating a wave of new opportunities for how we reach and talk to our audiences. This time it’s not about helping us as marketers, it’s about helping our customers, and better protecting them. Greater opt-in mechanisms and consumer paywalls will undoubtedly impact our abilities to maintain current marketing performance. But whilst it’s unclear how changes will impact our capabilities to deliver, we shouldn’t look upon these changes negatively. Instead we should look at this quest for better alternatives as a way of delivering campaigns that will be more welcomed by customers. We should never lose sight of the long game – which in this scenario is stronger trust between marketers and consumers.

Are you ready to adapt?

I can’t help but feel that we’re heading towards the next industrial revolution – or perhaps it’s better termed as a significant shift in the internet’s evolution – a new internet era if you will. Either way, change is coming, and more than ever as marketers we need to be ready to adapt. The upshot is that the internet will fundamentally change forever. Should we be scared? No. Do we need to plan? Yes, absolutely.

So what do we need to do? Here’s my take on it in the form of tips for getting prepared for an inevitable shift in how the internet and (hopefully) social media platforms operate:

1) Conduct a cookie audit. Third party cookies will be phased out. Where and how are you using them – understand your pain points.

2) If you’re using an attribution model that relies on third party cookies, investigate alternative measurement frameworks and modelling techniques.

3) Look at your budget splits between your upper and lower funnel channels. Are you investing enough in upper funnel channels to maximise the lower-funnel pipeline? We’re going to see changes to channels that are optimising towards upper and mid funnel objectives (such as programmatic) as well as changes to channels that might be working towards lower funnel objectives (such as paid social). Understand your alternatives to the impacted channels, should you need them – and understand how that will impact your costs, ensuring that you maintain the right balance between upper and lower funnel channels.

4) Consider how you could better leverage your use of first party data. Look at your collection, processing and activation processes. Ensure your cookie consent policy reflects your intended uses to ensure data compliance.

5) Explore strategic data partnerships with publishing companies. (This might feel a bit full circle, but bear in mind that publishing companies have evolved too).

6) Test alternative targeting tactics. It seems likely that contextual targeting will be (at least part of) the way forward.

7) Create an ‘always on’ testing plan. Testing will be core to our ability to optimise our marketing mix in the new world. It is only through continuous testing that we’ll be able to create iterative improvements.

What did I miss? Tell me in the comments.

Collaboration is key

The next few years will certainly be interesting for marketers. But it feels progressive. In the past few years, we’ve learnt to better respect consumer privacy. The future is about how we honour that learning. If you’re starting to feel nervous, remember that the fundamentals of marketing aren’t changing – it’s just the technology behind the tactics that will change.

That said, the continuous battles between the tech giants doesn’t feel particularly useful in all of this. Surely, we can all see there needs to be a better way. And surely collaboration between technology giants is key to reaching an integrated ecosystem that enables marketers to create effective interactions with customers whilst maintaining their privacy. Fingers crossed.