Prepare for third-party cookie extinction.

byrobys53

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1 year ago

Prepare for third-party cookie extinction.

Everyone enjoys cookies. Do they, or don't they? People either love or despise third-party web cookies, just like oatmeal raisins. Now, major corporations such as Google are attempting to do away with them entirely.

This impending trend away from third-party cookies has been dubbed the "cook-free future." While experts think a cookie-free future promises privacy and security, it will provide numerous issues and obstacles for marketers, organizations, and website administrators. Consumers will also have to contend with a few issues.

With a cook-free future just around the corner, now is the time to prepare. This essay will teach us more about the cook-free future, its ramifications, and how we can all benefit from it.

Continue reading to find out more and say goodbye to cookies - or at least digital cookies.

What exactly is a "cookie-free" future?

As the term implies, the "cookieless future" refers to a shift away from using third-party cookies for various purposes.

But what's the big deal about it? You've heard of cookies, but you might need to realize how widely they're used - or what privacy problems they create.

As online user privacy and security become more critical, Google, Firefox, and other central site providers are removing certain cookies entirely.

While this may be a victory for user privacy, it also creates a great deal of uncertainty for website administrators and advertisers who rely on third-party cookies to follow individual users and serve appropriate adverts. As a result, while large companies seek to transition to a cookie-free future, many people are exploring equally appealing alternatives.

But before we go there, let's refresh our memory on what cookies are and how they might affect us.

Cookies are little pieces of user data that help identify you and your computer online. Your username, password, and email address may be included in this user data.

Because their primary purpose is identification, cookies are mainly used to notify websites who you are. As you might expect, cookies are valuable for various applications, from keeping login sessions to delivering adverts via contextual targeting.

Cookies, like their namesake candy, come in various flavours, with some being better than others.

Cookies are always provided to you by the web servers of the websites you visit. Unless the website you are visiting has chosen not to use cookies, you will usually be offered one of the two primary kinds.

Cookies from third parties:

Cookies that are generated directly by the website you are visiting. They are typically used to keep sessions alive so you can remain logged on your next visit. First-party data is generally safe as long as the website you visit is not compromised.

Cookies from third parties:

Cookies from websites other than the one you are browsing. These cookies are typically linked to third parties via advertisements or other features. As a result, even the most well-intentioned website owner can operate as a conduit for third-party cookies, for example, if it offers third-party advertisements with questionable practices.

It is easy to see why third-party cookies are the more contentious of the two options. In the following section, we will look at why they cause so many problems and why they are still so commonly used.

The debate about third-party cookies

While first-party data is typically innocuous (essentially the "chocolate chip cookies" of tastes), third-party cookies are not as innocent, and the debate surrounding them is one of the primary reasons for the cookless future.

But what makes them so contentious?

For example, third-party cookies are frequently utilized without the consumer's consent. As you browse, the adverts you see may inject third-party cookies into your computer, allowing those third parties to follow where you go online.

Third-party cookies, in the best-case scenario, use this monitoring capability to provide you with targeted offers (mainly personalized advertisements) on other websites you visit. The screenshot shows how a user receives a third-party cookie that alters the way they are displayed advertisements.

So, what's the issue? Sure, tailored advertisements can be creepy, but they're not all that horrible, right?

Both yes and no. Cookies aren't inherently nasty or dangerous, either to third parties or to themselves. However, many consumers need to be more comfortable with being tracked.

Furthermore, while cookies are intrinsically secure, they can occasionally be used as a target for security concerns such as cross-site request forgery (CSRF) and cross-site scripting (XSS).

We'll go into more depth later, but for now, know that these two (and additional) risks enable malevolent third parties to launch cyberattacks against perfectly harmless websites.

Because of privacy and security concerns, many major search engine platforms have gone "cookieless." But what precisely does "cookieless" mean?

What exactly does "cookieless" mean?

Being "cookieless" means that you do not use or accept third-party cookies.

Because cookies are used to personalize many of our digital experiences, it might not be easy to picture living without them. If we can't be identified, how should we stay logged in, have personalized experiences, or receive targeted advertising?

Fortunately, other solutions allow us to use all of the functionality of cookies without really using them. Even though many websites and browsers are still in the transition period, they all share a goal: a future free of cookies.

Why would there be a future without cookies?

A world without cookies has numerous advantages, particularly in terms of security.

However, for website owners and marketers, these advantages may appear more of a nuisance, especially given that 97% of advertisers employ third-party data and cookies. As a result, many people are questioning why a world without cookies is required.

Fortunately, website administrators and advertisers will still be able to personalize their services and target visitors, but without the privacy and security problems that cookies bring. To do so, they must use cookie substitutes such as first-party data such as persistent Web IDs and solutions such as Google's Privacy Sandbox.

Furthermore, a cookie-free future might not be so cookie-free after all. Because third-party cookies are a critical concern, many sites may be able to continue using first-party cookies (which they use themselves) without fear of being penalized.

Even with the privacy and security benefits, a future without cookies may be inconvenient. As we'll see below, there are plenty of other reasons to impose cookie limits, some of which may even result in cost savings.

Why are cookies becoming less popular?

The significant reasons for phasing out cookies are privacy and security concerns. As a result, most buyers and sellers believe that removing cookies will enhance digital advertising in the long run.

However, there are other reasons why a cookie-free future is a good idea. Let's take a closer look at some of these critical elements.

Privacy

The most severe problem with third-party cookies is privacy, which is why many brands and businesses are abandoning them.

As previously stated, third-party cookies raise several privacy concerns. Most individuals are concerned about tracking user behaviour without their knowledge. Advertisers and other third parties (whether malicious or not) have had access to users' browsers for a long time.

Even though rules like the General Data Protection Regulation (GDPR) now compel users to consent to cookies, many people click on these prompts (like the one below) out of habit or convenience.

As a result, regardless of GDPR compliance, third-party cookies remain a pervasive issue.

Furthermore, cookies can assist third parties in creating extensive – and sometimes intrusive – user profiles in addition to tracking users' location and displaying adverts. Although some social media platforms make some of their users' profile data available, most consumers are surprised to learn how much their platforms know about them.

In any case, it can all come across as scary and intrusive. As organizations place a higher importance on consumer trust and privacy, they also strive for a more cookie-cutter (read: less intrusive) future to provide better customer experiences.

Cookies, as if compromising your privacy wasn't bad enough, can also pose several security dangers. We're talking about unexpected visitors here!

Here are a handful of the most severe security dangers that cookies can offer.

Cross-Site Request Forgery (CSRF, also known as XSRF):

Although cookies help store some data, they are not particularly smart and cannot tell the difference between a request from a trusted user and an unauthorized one. As a result, many malicious actors use cookies to launch CSRF attacks.

Malicious cookies are injected into users' browsers via trusted websites, and then malicious requests (e.g., to delete files) are executed across multiple websites the user visits.

XSS (cross-site scripting):

Websites that have been compromised are frequently utilized as a platform for XSS attacks. Hackers use these attacks to inject malicious JavaScript or HTML code into websites, which can be used to seek cookies and other data from unwary users.

Cookies are a tasty reward for many hacker assaults because they might include sensitive information such as login credentials.

Fixation on the session:

Cookies, as we've seen, are frequently utilized to keep you locked in between website visits. This is accomplished by session cookies, which record a unique session ID for the duration of your browser's session. Unfortunately, hackers can intercept your login credentials by inserting their session ID in a URL sent to you. A hacker can access your account on a particular website if you log in through one of these URLs.

Cookie hurling:

Although most cookies are associated with a path or domain name, this is not always true. When a website encounters multiple of these cookies, it frequently selects one at random without taking any other factors into account. To take advantage of this, many hackers would "drop" a cookie into a user's browser in the expectation that an unwitting website will intercept it. If this is the case, the website is at the mercy of the cookie (read: the hacker) and must comply with any requests, such as providing login credentials.

Capture of Cookies:

Session cookies and other authentication cookies are best transmitted via secure SSL or TLS channels. However, because this depends on the website, it is only sometimes carried out. Cookies transferred over secure channels have a "secure" flag and cannot be read, whereas cookies sent insecurely can. As a result, many hackers listen in on these insecure connections and attempt to steal sensitive customer data.

Not only do these security issues harm individuals, but also the websites they visit. As a result, many website owners prefer a chef-free future, if only for security reasons!

Ad fraud (also known as affiliate fraud).

Cookies can also be used to track fraudulent transactions and site activity. This may not be a huge concern, but it has allowed numerous scammers to make millions of dollars in bogus sales.

This is how it works.

Many businesses establish affiliate programs to enable third parties to market their products. When a customer purchases through one of these affiliates, the affiliate earns a percentage of the sale.

Typically, these purchases are recorded by correlating the affiliate's cookie to consumer sales. It sounds like a dependable way to keep track.

Not exactly. While most respectable affiliate programs and their affiliates have no issues with this mechanism, some dishonest affiliates have taken advantage of it. Cookie stuffing is a typical example, in which evil third parties insert malicious cookies on a hacked website.

When unwary users visit this website, they receive cookies that interact silently with the partner site and conduct fraudulent sales.

As a result, both marketers and affiliate programs are eager to work toward a future free of cookies (and hence less fraud).

Savings on expenses

You can undoubtedly guess that monitoring and containing privacy, security, and fraud takes a lot of effort. Unfortunately, reality is not far behind.

While cookies provide numerous advantages to advertisers, marketers, and website owners, their inherent danger comes at a high cost to anyone worried about security.

While the specifics of our cookie-free future are unknown, eliminating cookies will undoubtedly remove many of these risks and associated expenses.

Whether or not cookies are used, website owners and users should constantly monitor their security.

However, it may be more straightforward and less expensive to avoid the risks posed by cookies, as we have previously noted.

The potential consequences of a cookie-free future

However, not everyone can profit from a world without cookies' privacy and security enhancements.

And we're not just talking about hackers exploiting cookies. Instead, many website owners, marketers, and organizations are already grappling with the difficulty of abandoning cookies. Anyone who uses cookies for tracking or to design a customer journey may want to consider other tracking signals and solutions.

Here's how the Internet's top players will fare without cookies.

For customers

The cookie-free future is mainly advantageous to users. Because many browsers and websites have wholly eliminated cookies, users may surf with the assurance that their cookies and sessions will not be utilized for harmful behaviour.

It's also against the rules for websites to employ cookies for monitoring visitors and creating intrusive profiles of their online habits. Overall, the future without cookies is highly optimistic for most web users.

Owners of websites

The cookie-free future is both exciting and problematic for website owners.

They may not have to worry as much about cookie security vulnerabilities. Still, they will have to modify the way they engage with users to provide a consistent user experience.

For example, in the cookie-free future, most websites utilize session cookies to retain login sessions, which is becoming less safe - and makes less and less sense. Site operators should instead begin employing first-party data strategies to utilize other (and more secure) personal identifiers.

Marketers should

Because advertisers predominantly rely on third-party cookies to offer tailored ads, digital marketing will bear the brunt of the effects of a boil-free future.

However, this isn't necessarily a bad thing; in fact, it's an advantage. But how is that possible when a cook-free future eliminates much of the data generated for marketing purposes?

The solution is to stay up with the cookielessness and cookie alternatives trends. While cookies have long been a dependable aid, there are other dependable (or even the safest) methods of gathering user information.

As we'll see later, many marketers must use first-party data to retain targeted advertising, especially in the face of sophisticated ad blocks.

Of course, the repercussions extend beyond simply switching to alternatives. As cookie deletion puts many long-standing marketing techniques to the test, marketing teams must also develop new ways to collect their data, strengthen ties to niche advertisers (also known as walled gardens) and train their businesses on cookieless.

How to Get Ready for a Cookie-Free Future

Whether you're ready or not, the cookie-free future is arrived.

Even if several major platforms, such as Google Chrome, continue to postpone the deletion of third-party cookies, we are already in the process. As a result, now is the perfect moment for website owners, marketers, and businesses to plan for a future without cooking.

Use these pointers to adjust and stay ahead.

Be mindful of new privacy threats.

While the cook-free future will aid in eliminating many concerns about data privacy, it will not eradicate them. It's only a matter of time before hackers and other hostile parties find a way to abuse organizations that start using alternate tracking systems.

Even if first-time user data isn't the next significant attack vector, businesses should watch for developing privacy and security trends. Even the most promising technologies, as the last two decades have demonstrated, can be phased out if they pose a risk.

Use different identifiers.

Cookies are a very effective method of tracking and identifying users. But, in a cookie-free future, how can businesses and marketers accomplish this?

The solution is to utilize different identities and tracking signals. Here are a few examples of successful business practices.

They are targeting based on context.

Before using cookies and other "newfangled" technologies, contextual targeting placed ads on comparable marketing channels - which worked very well. Instead of going through the hassle of obtaining user consent and ensuring privacy, you may offer advertising on connected sites and channels.

Universal IDs.

Many computer platforms will use universal identifiers as the tech world moves away from cookies. While Google Chrome does not intend to enable them, many other platforms do as a handy way to identify users without exposing themselves to security issues. These IDs are often provided by security solutions that give an interoperable, secure way to track people across the web.

Cohorts.

Cohorts, akin to contextual targeting, are a simple but effective way of tracking people based on comparable interests. Platforms, once again, do not need to worry about identifying individuals but can use activity data to give consistent, tailored experiences to groups of people who share similar qualities, interests, or hobbies.

Device-based solutions.

Device data offers the ability to improve cohorts even further. Rather than marketing to individuals based on their device data, devices can only give as much information as a third party requires to categorize its users. User privacy is kept in this manner, while marketers can continue to make tailored offers based on proven user action.

Improve your privacy policies.

If the cookless future teaches us anything, user privacy is crucial.

Your users' privacy is more important than ever. Even if you've gone to the work of drafting a compliance privacy policy, you should look over it again to ensure that it genuinely meets the interests of your users. If it does not, you may need to make another update.