How did it all start?
In January 2020, Google announced its plans to phase out support for
The fact that Google will drop support for theseThe cookies that are commonly used to track users on the internet came as no surprise given the company's privacy statements in Chrome. Yet such an aggressive schedule surprised many.
Google eventually plans to replace third-party cookies with technology developed through the Privacy Sandbox.
What is Privacy Sandbox?
Google's solution to destroy third-party filescookies will impact the business. The fact is that with their help, companies collect and process user data to launch targeted and personalized advertising. That is, the one that suits your interests. As an alternative, Google offers its “privacy sandbox” - Privacy Sandbox. The initiative was promised as a way to reduce inappropriate tracking while continuing to allow ad targeting in the Google Chrome browser. But the advertising industry is concerned that the proposal is just a gimmick. On the other hand, users want to know what data companies will receive.
In the future, without cookies, Google wants toad targeting, measurement and fraud prevention were done in accordance with the standards set by its Privacy Sandbox. This replaces cookies with five APIs. Advertisers will use each API to get aggregated data on issues such as conversions (how well their ads are performing) and attribution (which property counts for, say, a purchase). The privacy sandbox is an alternative path that Google offers to the ad industry by relying on anonymous signals (non-cookies) in a person's Chrome browser to benefit from that user's browsing habits.
Will Chrome now stop following users?
In general, the Privacy Sandbox initiative is stillis in its infancy. So while Google offers a lot of features, there is no actual platform or code that marketers can properly evaluate. Here's what we know about each API so far. Trust API is an alternative to Google CAPTCHA; it will only ask a Chrome user to fill out a CAPTCHA-like program once, and then rely on anonymous “trust tokens” to prove in the future that the person is real. The Privacy Budget API limits the amount of data that websites can collect from Google's APIs by giving each one a "budget." Google's conversion measurement API, an alternative to cookies, will allow an advertiser to know whether a user saw their ad and then ended up purchasing a product or landing on a promoted page. Cohort-based federated learning will rely on machine learning to learn the browsing habits of groups of similar users.
“The most important element of the sandboxPrivacy is Google's proposal to move all user data to the browser, where it will be stored and processed, ”explained Amit Kotecha, director of marketing for data management platform provider Permutive, in an interview for Digiday. - This means that the data remains on the user's device and complies with the privacy requirements. It's now table betting and the gold standard for privacy. "
But is it?
Users, advertisers and businesses
After the news was published that Google would abandon third-party cookies, many users received it with enthusiasm. But not advertisers.
In recent years, confrontation between advertisingnetworks and privacy protection only made the situation worse, reports Securitylab. For example, blocking cookies used for tracking has led to the development of alternative techniques such as browser fingerprinting. Such methods attempt to identify a user among others based on the special settings used and hardware features.
A new set of standards will enable advertisingcompanies to determine the interests of the user without individual identification. General categories of interests, such as music genre, will be taken into account, but data at the level of the history of visits to specific sites will remain unaffected.
Also, experts suggest to preventindirect identification use the Privacy Budget method. In this technique, the browser only provides a subset of the data that ad networks can use for identification. If the number of calls to the API exceeds the permissible limit and the further issuance of information may lead to a violation of anonymity, then access to certain APIs is blocked.
So what's the problem?
Third party cookies are used by advertisingcompanies to track a user's online behavior, create a profile and predict their interests based on the sites they visit. This data is used to send personalized advertising. Google's third-party cookies sit on millions of websites, giving the company tons of information about the sites you visit as part of its huge advertising business. However, these days the public is becoming increasingly aware of privacy issues. In turn, regulators pass more laws to protect it.
This is where federalism comes to the rescue.cohort-based learning (FLoC), which Google says is an advertising technology focused on user privacy. With FLoC, Chrome will track users' browsing habits across different web pages and then place them into different audiences or "cohorts" based on the data. Advertisers will then target their ads to specific cohorts rather than the individual user.
So if you're looking for a browser that doesn't collect your data for advertising—as an individual or as part of an anonymous audience—you might want to try a different one.
So Google will still be theretechnically provide targeted advertising to the user, but will do so in a more anonymous way. Google claims that businesses can get almost the same ROI on advertising from FLoC as they would with cookie-based tracking. FLoC is currently being tested with advertisers to see if it can work as a cookie replacement. Ultimately, the system may not work as expected. Yet Google is confident enough of its success to announce that it will eliminate cookies. Additionally, the company said it will not replace them with a similar type of personal tracker.
Google will continue to collect datausers, underlines Recod. What you do when you use the company's products such as YouTube and Search - and ads will be targeted based on them. Such data becomes even more valuable to advertisers as third-party sources dry up. This is extremely beneficial for Google, whose platforms are visited by billions of people every day. In fact, the bulk of Google's revenue comes from Search Ads. More specifically, we are talking about more than 50% of all income, according to the latest quarterly report. By the way, search engine advertising brings in more revenue than the company gets from its ad network. It now relies on third-party cookies. And since banning cookies will not affect Google searches, this data-driven revenue stream will continue to flow.
This does not apply to data collected throughGoogle trackers in mobile applications. However, Apple's upcoming iOS 14 update is supposed to stop app tracking. iPhone users will at least get a new privacy option over the next few months.
Finally, while Google says it is committed todeveloping and using advertising technologies that do not rely on tracking and advertising to users, other companies are developing their own tracking methods without the use of cookies. They can still track you when you are using Chrome (or another browser).
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