Are you a marketer/brand owner relying on cookies to better understand your website’s consumer performance? If the answer is yes, be prepared to overhaul how you gather data because a cookieless future is coming.
According to a US digital marketing survey carried out by Statista, 83% of digital marketers rely on third-party cookies to track their users. However, Google has decided to phase out third-party cookies to respond to users’ rising demands for greater privacy.
This development will change how data tracking on the web works, especially for businesses.
So, what does a cookieless future mean for your website?
The Phasing Out of Cookies: What Does This Mean For You?
Third-party cookies are crucial for all websites. Cookies have been the cornerstone of successful digital marketing for a long time.
According to a 2020 survey by Epsilon, marketers are dreading a cookieless future and have little faith in the post-cookie digital world. In such a situation, you will have limited access to consumer identifiers, which will make it challenging to run targeted ad campaigns or customize the browsing experience for each unique visitor.
You will need to rely heavily on first-party data, which will, fortunately, remain unaffected in this digital revolution. However, tracking first-party data comes with its own set of challenges. Let’s explore these challenges in-depth in the section below.
Are your current tactics for collecting consumer data enough?
According to an independent study by Claravine, 83% of advertisers claimed that they would rely more on first-party data collection. Still, only 38% said they have the adequate resources to pivot their strategy.
To better understand the different kinds of data, let’s deep dive into the other categories.
- First-party data is the information you collect directly from consumers visiting your website.
- Second-party data is the data you receive from platforms selling their first-party data to you. For example, the data you will receive from social media platforms about your brand performance, impressions, likes, comments, etc., would be considered second-party data.
Businesses rely on social media platforms for second-party data, which is the next best thing in the cookieless future. Companies hope to acquire and convert traffic with this second-party data and generate higher sales figures.
Unfortunately, second-party data received from social media platforms are less authentic, hashed out, and incomplete. It doesn’t provide you with the accurate metrics you need to optimize your business strategy. If you aim to survive in a cookieless future, you must adopt a better collection of authentic first-party data.
The Solution: Own Your Data
Since you cannot blindly rely on social media platforms for accurate first-party data, you will need to generate and own your first-party data.
Generating and collecting first-party data would require you to map your website/digital properties and accurately monitor impressions, clicks, conversions, shares, and all other essential data pointers in real-time. You can then leverage this information optimally to improve your website performance and customize more personalized experiences for your customers in the future.
With First-party data ownership, there are several advantages:
- Knowing your Customers Better: Understand who your customers are, what they are up to on your platform, and how they are engaging with your content, products, and services
- Personalization: First-party data ownership gives brands the power to customize the end-user experience via crucial insights about customer interactions, engagement, and conversions
- Creating Evangelists: Brands are driving up customer retention and building a loyal fan base on the back of a hyper-personalized brand experience, thanks to first-party data.
- Regulatory Hurdles: The ownership path of first-party data is clear and allows brands to establish a legal point of connection with their customers and the ability to interact with them freely, globally.
- Reducing Cost of Acquisition: Brands can optimize the customer acquisition funnel by understanding their customer base better and effectively decreasing acquisition costs.
The following section introduces an integrated solution that will enhance your ability to acquire rich data insights about your customers’ activities.
Enhance User Experience with Live Commerce
Imagine having access to critical data points about your customers’ digital journey on your website, ranging from first impressions, consideration, conversion, and retention in an integrated solution. How?
A Live Commerce solution seamlessly connects with any website and overhauls the entire digital customer experience throughout the customer funnel. In the process, brands are getting access to several rich data points generated constantly via customer interactions (clicks, video views, chat messages, reactions, average time spent viewing videos, add to cart rate, etc.)
With Firework’s full-funnel Live Commerce solution, brands can greatly enhance their business intelligence capabilities with access to data points such as:
- Traffic flow
- Customer activity: CTR
- Time spent on video consumption
- Reactions + comments
- Add to cart rates
- Actual conversions
- Category preferences
- Search data and real-time customer feedback via live streaming experiences (chats + reactions).
Here are some of the benefits of adopting a Live Commerce solution for your brand:
- Interactive Shoppable Videos – Create immersive shopping and viewing experiences for your users using swipeable, shoppable videos and web stories.
- Strengthen your digital community – Build and strengthen your brand community online using live-streaming campaigns, videos, and events.
- Generate high-quality content – More and more users are increasingly leaning towards quality live-streaming content over traditional text and image-based content.
- Rich customer insights – Besides the traditional data points, you can access more insightful data points such as products added to the cart, purchases, video views, average time spent on videos, etc., that add contextual value to customer actions and plan better experiences scale.
The modern consumer consists of Millenials and GenZs who want an interactive e-commerce experience at every step. They want fun videos, a dynamic brand presence, and innovation at every turn. Firework can make this integration possible for you with a full-suite live commerce solution that brings authenticity, transparency, and community to their digital experience. To find out how your brand can build a Live Commerce strategy and own customer data, schedule a live consultation with Firework.
Live Commerce is the future of marketing, and it is crucial in driving traffic to your website, giving you control over accurate first-party data. Global leaders are turning to live stream shopping and interactive, shoppable video content to upgrade their website experience and data ownership capabilities. Are you ready for the future?